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World Bank Document ICR Review Report Number ::: ICRRICRR1208212082 Operations Evaluation Department Public Disclosure Authorized 1. Project Data: Date Posted ::: 03/18/2005 PROJ IDID:::: P035691 Appraisal Actual Project Name ::: Kenya - Nairobi Mombasa Project Costs 122.0 120.3 Road (((US$M(US$MUS$M)))) Country::: Kenya LoanLoan////CreditCredit (((US$M(US$MUS$M)))) 50.0 41.9 SectorSector((((ssss):):):): Board: TR - Roads and Cofinancing 58.8 63.5 highways (93%), Central (((US$M(US$MUS$M)))) government administration (7%) LLL/L///CC Number::: C2812 Board Approval 96 (((FY(FYFYFY)))) Partners involved ::: European Union Closing Date 03/31/2002 03/31/2004 Prepared by ::: Reviewed by ::: Group Manager ::: GroupGroup:::: Public Disclosure Authorized Kavita Mathur Peter Nigel Freeman Alain A. Barbu OEDSG 2. Project Objectives and Components aaa.a... Objectives The objectives of the project were to: (i) safeguard the only feasible road connection between the port of Mombasa and the main areas of economic activity in Kenya through the reconstruction and strengthening of the Nairobi-Mombasa road; (ii) encourage private sector involvement in the maintenance of infrastructure; (iii) strengthen the monitoring and control of road maintenance activities and provide basic institutional support for road maintenance planning. bbb.b... Components The project comprised of three main components: (a) reconstruction/strengthening of the Nairobi-Mombasa road (planned US$111.6 million, actual US$107.7 million); (b) pilot routine maintenance contracts (planned US$6.7 million, actual US$7.3 million); and Public Disclosure Authorized (c) institutional support including twinning with an external road agency (planned US$3.7 million, actual US$5.3 million). ccc.c... Comments on Project Cost, Financing and Dates The project closed on March 31, 2004, two years after the original closing date. The project suffered initial delays in finalizing the design by Ministry of Roads, Public Works and Housing (MORPWH). The actual credit was US$ 41.9 million and the remaining undisbursed balance of US$ 4.0 million (net of foreign exchange fluctuations between SDR and US$) was cancelled. 3. Achievement of Relevant Objectives: The objective to safeguard the only feasible road connection between the port of Mombasa and the main areas of economic activity was achieved. The IDA financed section, Bachuma Gate - Mtito Andei (150 km) was completed on time and within budget. The EU funded section, Sultan Hamud - Mtito Andei was started in April 2003. At project closing 30 km was constructed and the remaining 20 km was still under construction. The travel time between Nairobi and Mombasa has been reduced by 40% from 12 hours to about 7 to 8 hours. Additional works were undertaken including the widening of three road bridges, one railway bridge and repair of a 9 km loop road through Voi town off the Nairobi-Mombasa road. Public Disclosure Authorized The objective to encourage private sector involvement in the maintenance of infrastructure was achieved. At appraisal 100% of major rehabilitation and 70% of periodic maintenance was contracted out. All of routine maintenance was carried out by force account. At project closing, 100% of new and rehabilitation works, 80% of periodic and 40% of routine maintenance works was contracted out. The objective to strengthen the monitoring and control of road maintenance activities and provide basic institutional support for road maintenance planning was substantially achieved. Kenya Roads Board was established and a Road Maintenance Fund was created to provide sustainable funding for road maintenance. The Road Works Inspectorate (RWI) was established to undertake technical audits of road works. The road inventory and condition survey study was completed and MORPWH has updated the maps of classified network and data on network condition. 4. Significant Outcomes/Impacts: Improvement in the condition of road network. At appraisal 3.9% of the classified road network was in good condition, 12.5% in fair condition and 83.6% in poor condition. At completion, 17% of the network was in good condition, 39% in fair condition and 44% in poor condition. Introduction of the Road Maintenance Levy from fuel and transit tolls, for the funding of road maintenance activities. The income to the Road Fund exceeded the agreed levels at appraisal. 5. Significant Shortcomings (including non-compliance with safeguard policies): There were initial delays in finalizing the design by Ministry of Roads, Public Works and Housing (MORPWH) and preparing of the Strategic Plan. Also, there were problems in the provision of counterpart funding. There were delays in the construction of the EU funded section of the Nairobi -Mombasa road. Construction on Sultan Hamud - Mtito Andei section started only in April 2003, well after the completion of the IDA financed section. Twinning Arrangement - combining technical assistance and training from an established overseas roads agency, suffered from long procurement delays and lack of enthusiasm from the identified partners. It was eventually dropped from the project. Procurement arrangement for Road Inventory Studies were not properly designed as services, vehicles and other equipment was procured under different contracts. This negatively affected the output of this study. 666.6... Ratings::: ICRICRICR OED Review Reason for Disagreement ///Comments /Comments Outcome::: Satisfactory Satisfactory Institutional Dev .:.:.: Modest Substantial Institutional Development impact is assessed as substantial because a strong institutional structure was developed and MORPWH capacity for road network planning, funding for road maintenance and contracting out works to private sector has substantially improved (see Sections 3 and 4). Sustainability ::: Likely Likely Bank Performance ::: Satisfactory Satisfactory Borrower Perf .:.:.: Satisfactory Satisfactory Quality of ICR ::: Satisfactory NOTENOTE: ICR rating values flagged with ' * ' don't comply with OP/BP 13.55, but are listed for completeness. 7. Lessons of Broad Applicability: Stand-alone road investment projects should be developed within a framework for policy and institutional reform which has strong government support. Contracts for technical assistance and studies need to take into account implementation realities and the ability to effectively deliver a particular task. Where capacity is weak, the projects technical team should include financial management experts for proper accounting, reporting and payment processing to avoid delays. 8. Assessment Recommended? Yes No 9. Comments on Quality of ICR: The quality of the ICR is Satisfactory. It has adequate data to enable a sound rating of the project and generally complied with the ICR guidelines. The rating of the Institutional Development Impact in the ICR was somewhat harsh, given that a strong institutional structure was successfully established. Although a twinning arrangement was planned, its failure to materialize did not seriously impact this progress. .
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