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The World Bank for OFFICIAL USE ONLY Document of The World Bank FOR OFFICIAL USE ONLY Report No: 65353-EAP Public Disclosure Authorized PROJECT APPRAISAL DOCUMENT ON PROPOSED IDA GRANTS IN THE AMOUNT OF SDR 14.5 MILLION (US$22.91 MILLION EQUIVALENT) TO THE REPUBLIC OF KIRIBATI; AND IN THE AMOUNT OF SDR 17.2 MILLION (US$27.21 MILLION EQUIVALENT) Public Disclosure Authorized TO THE KINGDOM OF TONGA; AND IN THE AMOUNT OF SDR 7.5 MILLION (US$11.85 MILLION EQUIVALENT) TO TUVALU IN SUPPORT OF THREE PROJECTS UNDER A REGIONAL APL PACIFIC AVIATION INVESTMENT PROGRAM Public Disclosure Authorized IN THE AMOUNT OF SDR 78.8 MILLION (US$125 MILLION EQUIVALENT) November 11, 2011 Timor-Leste, Papua New Guinea & the Pacific Islands Sustainable Development Department East Asia and Pacific Region Public Disclosure Authorized This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization. CURRENCY EQUIVALENTS (Exchange Rate Effective October 31, 2011) Currency Unit = Australian Dollar (AU$) 1 AU$ = US$1.0598 US$1 = AU$0.9436 Currency Unit = Special Drawing Right (SDR) 1 SDR = US$0.63069 US$1 = SDR 1.5856 Currency Unit = Tongan Pa‘anga (TOP) 1 TOP = US$0.5930 US$1 = TOP 1.6863 FISCAL YEAR January 1 – December 31 ABBREVIATIONS AND ACRONYMS AusAID Australian Government Overseas Aid Program ADB Asian Development Bank ADS-B Automatic Dependent Surveillance-Broadcast APL Adaptable Program Lending ARP Abbreviated Resettlement Plan ATC Air Traffic Control AU$ Australian Dollar AWS Automatic Weather Station CAA Civil Aviation Authority CAD Civil Aviation Division (Tonga) CAR Civil Aviation Regulations CAS Country Assistance Strategy CQS Consultants‘ Qualification-Based Selection CXI Cassidy Airport (Kiribati) DCA Department of Civil Aviation (Tuvalu) DCA Directorate of Civil Aviation (Kiribati) EA Executing Agency EIRR Economic Internal Rate of Return EMP Environmental Management Plan EPA Economic Partnerships Agreement ESMF Environmental and Social Management Framework ETOPS ExTended OPerations (formerly Extended-range Twin Engine Operations) FA Force Account FIR Flight Information Region FM Financial Management FOD Foreign Object Damage FUN Funafuti Airport (Tuvalu) i GoA Government of Australia GoK Government of Kiribati GoTg Government of Tonga GoTv Government of Tuvalu HDM-4 Highway Development and Management Model Version 4 IA Implementing Agency ICAO International Civil Aviation Organization ICB International Competitive Bidding IDA International Development Association IFR Interim Financial Report IPP Indigenous Peoples Plan KAMO Kiribati Airports Management and Operations LCS Least Cost Selection LMD Lands Management Division (Kiribati) MCTTD Ministry of Communications, Transport and Tourism Development (Kiribati) MELAD Ministry of Environment, Land and Agricultural Development (Kiribati) MTC Ministry of Transportation and Communications (Tuvalu) MFED Ministry of Finance and Economic Development (Kiribati and Tuvalu) MFNP Ministry of Finance and National Planning (Tonga) MoT Ministry of Transport (Tonga) MPE Ministry of Public Enterprises (Tonga) NPV Net Present Value NSC National Steering Committee NZAP New Zealand Aid Programme NZ$ New Zealand Dollar NCB National Competitive Bidding NDB Non-Directional Beacon ORAF Operational Risk Assessment Framework PACER Pacific Agreement on Closer Economic Relations PAIP Pacific Aviation Investment Program PAPI Precision Approach Path Indicator PASNet Pacific Aviation Safety Network PASO Pacific Aviation Safety Office PDO Project Development Objective PIASA Pacific Islands Air Services Agreement PIASST Pacific Islands Aviation Safety and Security Treaty PIC Pacific Island Country PICTA Pacific Island Countries Trade Agreement PICFFA Pacific Islands Forum Fisheries Agency PMU Project Management Unit POM Program Operations Manual PRC People‘s Republic of China PRIF Pacific Region Infrastructure Facility PSC Program Steering Committee PST Project Support Team QBS Quality-Based Selection QCBS Quality and Cost-Based Selection of Consultant Firms RAP Resettlement Action Plan RPEC Regional Procurement Evaluation Committee ii RPF Resettlement Policy Framework SAR Search and Rescue SARP Standards and Recommended Practices SBD World Bank Standard Bidding Document SDR Special Drawing Rights SH Shopping SOE State Owned Enterprise SPRTECA South Pacific Regional Trade and Economic Cooperation Agreement SSS Single-Source Selected or Single-Source Selection of Consultants TA Technical Assistance TAL Tonga Airports Limited TBU Fua‘amotu Airport (Tonga) TFSU Technical and Fiduciary Services Unit TOR Terms of Reference TRW Bonriki Airport (Kiribati) TSA Tourism Satellite Account TSCP Tonga Transport Sector Consolidation Project US$ United States Dollar VAV Lupepau'u airport at Vava‘u (Tonga) WTTC World Trade and Tourism Council iii Table of Contents PAD Datasheet – Republic of Kiribati ....................................................................................... v PAD Datasheet – Kingdom of Tonga ........................................................................................ xi PAD Datasheet – Tuvalu ........................................................................................................ xvii I. Strategic Context ............................................................................................................ 1 A. Regional Context ................................................................................................... 1 B. Sectoral and Institutional Context ......................................................................... 2 C. Higher Level Objectives to which the Program Contributes ................................ 5 II. Program Development Objectives .................................................................................. 5 III. Program Description ....................................................................................................... 6 A. Phases .................................................................................................................... 6 B. Program Components ............................................................................................ 7 C. Project Financing ................................................................................................... 8 IV. Implementation ............................................................................................................. 11 A. Institutional and Implementation Arrangements ................................................. 11 B. Results Monitoring and Evaluation ..................................................................... 12 C. Sustainability ....................................................................................................... 12 V. Key Risks ..................................................................................................................... 13 VI. Appraisal Summary ...................................................................................................... 13 A. Economic and Financial Analysis ....................................................................... 13 B. Technical ............................................................................................................. 14 C. Financial Management ........................................................................................ 15 D. Procurement ......................................................................................................... 15 E. Social ................................................................................................................... 16 F. Environment ........................................................................................................ 17 Annex 1: Detailed Program Description ............................................................................. 18 Annex 2: Program Implementation Arrangements ............................................................. 25 Annex 3: Implementation Support Plan .............................................................................. 44 Annex 4: Team Composition .............................................................................................. 46 Annex 5: Economic and Financial Analysis ....................................................................... 47 Annex 6: Rationale for Regional Approach ........................................................................ 55 Annex 7: Kiribati Aviation Investment Project Under the Regional Pacific Aviation Investment Program .................................................. 61 Annex 8: Tonga Aviation Investment Project Under the Regional Pacific Aviation Investment Program .................................................. 82 Annex 9: Tuvalu Aviation Investment Project Under the Regional Pacific Aviation Investment Program ................................................ 100 Annex 10: Maps .................................................................................................................. 116 iv PAD DATA SHEET REPUBLIC OF KIRIBATI PACIFIC AVIATION INVESTMENT PROGRAM – KIRIBATI AVIATION INVESTMENT PROJECT PROJECT APPRAISAL DOCUMENT EAST ASIA AND PACIFIC EASNS Date: November 11, 2011 Sector(s): Aviation (100%) Country Director: Ferid Belhaj Theme(s): Regional integration (35%); Trade Sector Director: John A. Roome facilitation and market access (35%); Administrative Sector Manager: Charles M. Feinstein and civil service
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