Dhaka – Chittagong Expressway PPP Design (RRP BAN 45174)
Project Administration Manual
Project Number: 45174 Loan Number: October 2011
People's Republic of Bangladesh: Dhaka – Chittagong Expressway PPP Design
Contents ABBREVIATIONS I. PROJECT DESCRIPTION 1 II. IMPLEMENTATION PLAN 1 A. Project Readiness Activities 1 B. Overall Project Implementation Plan 2 III. PROJECT MANAGEMENT ARRANGEMENTS 3 A. Project Implementation Organizations – Roles and Responsibilities 3 B. Key Persons Involved in Implementation 3 C. Project Organization Structure 4 IV. COSTS AND FINANCING 4 A. Cost Estimates by Expenditure Category and by Financier 5 B. Allocation and Withdrawal of Loan Proceeds 6 C. Fund Flow Diagram 6 V. FINANCIAL MANAGEMENT 7 A. Financial Management Assessment 7 B. Disbursement 8 C. Accounting 9 D. Auditing 9 VI. PROCUREMENT AND CONSULTING SERVICES 9 A. Advance Contracting 9 B. Procurement of Goods, Works and Consulting Services 9 C. Procurement Plan 10 D. Consultant's Terms of Reference 10 VII. SAFEGUARDS AND SOCIAL DIMENSIONS 10 VIII. PERFORMANCE MONITORING, EVALUATION, REPORTING AND COMMUNICATION 11 A. Project Design and Monitoring Framework 11 B. Monitoring 14 C. Evaluation 14 D. Reporting 15 E. Stakeholder Communication Strategy 15 IX. ANTICORRUPTION POLICY 15 X. ACCOUNTABILITY MECHANISM 15 XI. RECORD OF PAM CHANGES 16
Attachment A: Procurement Plan Attachment B: TOR for Design Consultants Attachment C: TOR for Transaction Advisors Attachment D: Safeguard Implementation Support Consultants Attachment E: Detailed Cost Estimate for the Consulting Services
Project Administration Manual Purpose and Process
1. The Project Administration Manual (PAM) describes the essential administrative and management requirements to implement the project on time, within budget, and in accordance with Government and Asian Development Bank (ADB) policies and procedures. The PAM should include references to all available templates and instructions either through linkages to relevant URLs or directly incorporated in the PAM.
2. The Ministry of Communications (MOC) is wholly responsible for the implementation of ADB financed projects, as agreed jointly between the borrower and ADB, and in accordance with Government and ADB’s policies and procedures. ADB staff is responsible to support implementation including compliance by MOC of their obligations and responsibilities for project implementation in accordance with ADB’s policies and procedures.
3. At Loan Negotiations the borrower and ADB shall agree to the PAM and ensure consistency with the loan agreement. Such agreement shall be reflected in the minutes of the Loan Negotiations. In the event of any discrepancy or contradiction between the PAM and the loan agreement, the provisions of the loan agreement shall prevail.
4. After ADB Board approval of the project's report and recommendations of the President (RRP) changes in implementation arrangements are subject to agreement and approval pursuant to relevant Government and ADB administrative procedures (including the Project Administration Instructions) and upon such approval they will be subsequently incorporated in the PAM.
Abbreviations
ADB = Asian Development Bank ADF = Asian Development Fund AFS = audited financial statements DMF = design and monitoring framework EIA = environmental impact assessment EMP = environmental management plan IEE = initial environmental examination IPP = indigenous people plan NGOs = nongovernment organizations PAI = project administration instructions PAM = project administration manual PIU = project implementation unit PPP = Public Private Partnership QCBS = quality- and cost based selection RRP = report and recommendation of the President to the Board SOE = statement of expenditure SPS = Safeguard Policy Statement SPRSS = summary poverty reduction and social strategy TOR = terms of reference
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I. PROJECT DESCRIPTION
1. The proposed technical assistance loan (the TA Loan) will finance the preparation of the Dhaka – Chittagong Expressway design for an ensuing investment project to be financed under a public private partnership (PPP) scheme readily available for implementation.
2. Impact and Outcome. The TA loan will facilitate project preparation for a follow-on investment project resulting in the Dhaka – Chittagong Expressway being efficiently constructed, operated and managed under a PPP scheme. As outcome of the TA loan, an agreed design of the Dhaka – Chittagong Expressway for implementation under a PPP-scheme will be prepared.
3. Outputs The project will provide (i) a feasibility study with assessment of route alignment options, (ii) the economic and financial analysis for the Follow-on Project, structuring of the PPP-scheme, establishing the financial model in support of the Follow-on Project, and recommendation of the PPP structure for the Follow-on Project, (iii) capacity development in the Executing Agency for PPP-Project implementation; (iv) prepare the detailed engineering design for the selected option including the finalization of all safeguard documentation, (v) Transaction Advisory Services for the preparation of the pre-qualification and bidding documents for the Concession Agreement, preparation of the Concession Agreement, and support for the Project Executing Agency during the bidding process, and (vi) Safeguard Implementation Services to support and assist in relation to safeguard implementation for the Follow-on Project.
II. IMPLEMENTATION PLAN
A. Project Readiness Activities
Project Implementation Loan Processing (Consultants) ADB Actions Government Actions ADB Actions Government Actions Aide Memoire Project coordinator Sep Loan Fact-Finding Confirmation, Advertisement assigned TAPP submission Management PEC recommen- Oct Review Meeting, dation on TAPP, RFP Finalization Loan negotiations Loan negotiations Shortlisting Nov/ ADB Board Approval PIU Setup Dec RFP Issuance
Technical Jan TAPP Approval Evaluation
Feb Signing Financial Evaluation
Mar/ Contract Effectiveness April Negotiations
B. Overall Project Implementation Plan
20112012 2013 2014 2015 Item JFMA M JJA SO N D JFMA M JJA S O N D JFMAMJJA S O NDJFM AM JJASO NDJFMA M JJASO N D
A.
Loan Processing and Approval by ADB Loan Effectiveness
B. Recruitment of Consultants
1. Bidding
2. Consultant Contract Negotiations
3. Consulting Services Execution
C. Feasibility Study 1. Inception Period
2. Feasibility Study
3. Consultation and approval of Final Report
D. Preparation of Detailed Design
1. Preparation of Detailed Design 2. Approval of Detailed Design and DPP
E. Land Acquisition/Resettlement Plan (RP) Impl.*)
Support during Land Acquisition/RP implementation
F. PPP-Scheme Design
1. Assessment of PPP Options and Viability
2. Recommendation of PPP-Scheme
G. PPP-Contract Procurement 1. Pre-Qualification of Bidders
2. Preparation of PPP Contract and Bid Documents
3. Bidding Process
4. Support during Bid Evaluation
5. Contract Negotiations/Award of PPP-Contract
Note: *) To enhance project readiness should the ensuing investment project be financed by ADB. Source: Asian Development Bank
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III. PROJECT MANAGEMENT ARRANGEMENTS
A. Project Implementation Organizations – Roles and Responsibilities
Project implementation Management Roles and Responsibilities organizations Executing agency Ministry of Communications Establish PIU and Project Director day-to-day project management consultant recruitment and management withdrawal applications project progress reports maintaining project accounts and complete loan financial records
ADB monitor and review overall implementation of the project in consultation with the executing agency including: the project implementation schedule; actions required in terms of safeguard implementation if applicable; timeliness of budgetary allocations and counterpart funding; project expenditures; progress with disbursement; statement of expenditure when applicable; compliance with particular loan covenants; and the likelihood of attaining the project’s immediate development objectives.
B. Key Persons Involved in Implementation
Executing Agency Ministry of Communications Md. Mozammel Haque Khan, Secretary (Roads Division) Fax No. +88-02-9562798 Bangladesh Secretariat Dhaka, 1000
ADB Transport and Communications Sri Widowati Division of South Asia Regional Director, SATC Department (SATC) Telephone No.: (63) 2 632 6794 Email address: [email protected]
Mission Leader Markus Roesner Senior Transport Specialist, SATC Telephone No.: (63) 2 632 4980 Email address: [email protected]
C. Project Organization Structure
4. The flow chart below shows the reporting lines in the internal structures of key organizations involved in implementation, including coordination by MOC as the executing agency and chair of the steering committee for intergovernmental coordination.
Steering Committee Ministry of Communications Asian Roads Division Development Chai: Secretary MOC Bank Executing Agency
Project Director Roads and Highway Department
Project Implementation Unit
IV. COSTS AND FINANCING
5. The TA loan is estimated to cost $12.5 million, including taxes and duties of about $1.25 million. The total cost includes physical and price contingencies, and interest and other charges during implementation. The investment plan is summarized in Table 1.
Table 1: Project Investment Plan ($ million) Item Amounta A. Base Costb 1. Consulting Services 8.75 2. Project Management 1.25 3. Taxes and duties 1.25 Subtotal (A) 11.25
B. Contingenciesc 1.00
C. Financing Charges During Implementationd 0.25 Total (A+B+C) 12.50 a Includes taxes and duties of $1.25 million io be financed from Government resources. b In mid-2011 prices. c Physical contingencies computed at 10% for consulting services. Price contingencies computed at 5% on foreign exchange costs and 8% on local currency costs; includes provision for potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate. d Includes interest. Interest during implementation for ADB loan(s) has been computed at the rate of 1.0% per annum. Source: Asian Development Bank estimates.
6. The government of Bangladesh has requested a loan in various currencies equivalent to $10 million from ADB’s Special Funds resources to help finance the project. The loan will have a 32-year term, including a grace period of 8 years, an interest rate of 1.0% per annum during the grace period and 1.5% per annum thereafter, and such other terms and conditions set forth in the draft loan agreement. 5
7. The Government will provide $2.5 million for local taxes and duties, and project administration. The ADB and the Government will finance 80% and 20% of total investment cost, respectively. The financing plan for the TA loan is in Table 2.
Table 2: Financing Plan Amount Share of Source ($ million) Total (%) Asian Development Bank 10.00 80.00 Government 2.50 20.00 Total 12.50 100.00 Source: Asian Development Bank estimates.
A. Cost Estimates by Expenditure Category and by Financier
8. The detailed cost estimates for the consulting services is provided in Attachment E, the detailed cost estimate by expenditure category and detailed cost estimates by financier are presented as table 3 below.
Table 3: Detailed cost estimate and financing plan ($ million)
Total ADB Government Item Costa Total [%] Total [%] A. Consulting services 1. Engineering Design 8.00 8.00 100.00 0.00 0.00 2. Transaction Advisor 0.50 0.50 100.00 0.00 0.00 3. Safeguard Implementation 0.25 0.25 100.00 0.00 0.00 Subtotal (A) 8.75 8.75 100.00 0.00 0.00 B. Project Management 1.25 0.00 0.00 1.25 100.00 C. Taxes and duties 1.25 0.00 0.00 1.25 100.00 D. Contingenciesb 1.00 1.00 100.00 0.00 100.00 E. Financing Charges during Implementationc 0.25 0.25 100.00 0.00 0.00 Total (A+B+C+D+E) 12.50 10.00 80.00 2.50 20.00 a In mid-2011 prices. b Physical contingencies computed at 10% for consulting services. Price contingencies computed at 5% on foreign exchange costs and 8% on local currency costs; includes provision for potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate. c Includes interest. Interest during implementation for ADB loan(s) has been computed at the rate of 1.0% per annum. Source: Asian Development Bank estimates.
B. Allocation and Withdrawal of Loan Proceeds
CATEGORY ADB FINANCING Percentage and Basis Amount Allocated USD for Withdrawal From Number Item (million) the Loan Account 100 percent of total 1 Consulting Services 8,75 expenditure claimed* 100 percent of amount 2 Interest Charge 0.25 due
3 Unallocated 1,00
Total 10.00 *Exclusive of taxes and duties imposed within the territory of the Borrower.
C. Fund Flow Diagram
9. The TA loan will adopt the direct payment procedure and the reimbursement payment procedure.
10. In case of reimbursement procedures adopted, the following diagram shows how the funds will flow from ADB and the Borrower to implement project activities.
Asian Development Bank Pays directly to consultant Confirms Consultant’s claim
Project Director
Submits claims Consultants To Project Director Submits claims for work For certification done
Key Documents Flow Funds Flow
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11. In case of reimbursement procedures adopted, the following diagram shows how the funds will flow from ADB and the Borrower to implement project activities.
Donor Releases funds to Bangladesh Requests Donor to reimburse Bank (BB) for payments made by GoB
Project Director Bangladesh Bank Maintains funds under PIU A/c No.
Instructs BB to pay GoB A/c No. for PIU in contractor from Bank Bangladesh Bank Account
Key Documents Flow Consultants Funds Flow Receives funds for work done
V. FINANCIAL MANAGEMENT
A. Financial Management Assessment
12. Financial management risks should be considered and updated throughout the life of the TA loan. Risk mitigation measures should also be updated accordingly.
13. The accounting function of RHD is performed by the Audit and Accounts Department under the Management Services Wing which reports to the Chief Engineer of RHD. The two accounts officers are deputed from the Comptroller and Auditor General’s (C&AG) Office. RHD has the necessary accounting policies, procedures and chart of accounts for the proper recording of project financial transactions, including the allocation of expenditures in accordance with the respective disbursement categories and sources of funds. It has most of the controls in place for the preparation and proper approval of transactions. It also retains all accounting and supporting documents in a secure place. They are properly catalogued to allow authorized users easy access and retrieval of documents.
14. RHD submits monthly, quarterly and annual reports to the Controller General of Accounts (CGA) under the Comptroller and Auditor General. The reporting is on cash basis with report of the expenditures of each division submitted to CGA who collates the accounts for
RHD. RHD’s Director, Audit and Accounts, also collates RHD’s accounts and reconciles it with CGA’s account so that the output is consistent. The reporting by the divisions is submitted on a disc which is entered into RHD’s CMS system which helps to collate the data. Project accounts are done manually on Excel spreadsheets and are not part of the CMS. The financial reports for projects are prepared monthly, quarterly and annually with a comparison of actual expenditure against budget.
15. RHD has an internal audit function which is the responsibility of one of the Accounts Officers under the Director of Audit and Accounts. The establishment manning provides for 3 officers but currently there are only 2 officers. As mentioned earlier, due to the limited staff, hardly any internal audit is carried out on the operations or projects during or after implementation.
16. Project accounts are audited annually by the government’s audit authority, Foreign Aided Project Audit Directorate (FAPAD). The audit is conducted in accordance with International Standards of Auditing. FAPAD has generally conducted the audit in time as required under the donors' loan agreements. This is usually performed 6 months after the end of the financial year. The audit is in effect mainly a financial (not technical) audit and the opinion is limited to funds received and expenditure incurred by the project authority.
17. RHD has significant experience in implementing externally financed projects and has the organization structure in place to implement these projects. RHD assigns well qualified and experienced accounts officers who are familiar with ADB procedures and would be able to support and train the accounts officers in the project implementation units. Areas for possible enhancement include streamlining cheque clearance mechanism and strengthening internal audit capacity. These are ongoing activities and will be enhanced during implementation of follow-on investment projects.
B. Disbursement
18. The Loan proceeds will be disbursed in accordance with ADB’s Loan Disbursement Handbook (2007, as amended from time to time),1 and detailed arrangements agreed upon between the Government and ADB.
19. Pursuant to ADB's Safeguard Policy Statement (2009) (SPS),2 ADB funds may not be applied to the activities described on the ADB Prohibited Investment Activities List set forth at Appendix 5 of the SPS. All financial institutions will ensure that their investments are in compliance with applicable national laws and regulations and will apply the prohibited investment activities list (Appendix 5 of SPS) to subprojects financed by ADB.
20. Direct payment procedure and reimbursement procedure will be adopted. Statement of expenditure (SOE) procedures will be used for reimbursing eligible expenditures for any individual payment transaction up to $100,000 equivalent. SOE records should be maintained and made readily available for review by ADB's disbursement and review mission or upon ADB's request for submission of supporting documents on a sampling basis, and for independent audit.3
1 Available at: http://www.adb.org/Documents/Handbooks/Loan_Disbursement/loan-disbursement-final.pdf 2 Available at: http://www.adb.org/Documents/Policies/Safeguards/Safeguard-Policy-Statement-June2009.pdf 3 Checklist for SOE procedures and formats are available at: http://www.adb.org/documents/handbooks/loan_disbursement/chap-09.pdf http://www.adb.org/documents/handbooks/loan_disbursement/SOE-Contracts-100-Below.xls 9
21. The EA will be responsible for (i) preparing disbursement projections, (ii) requesting budgetary allocations for counterpart funds, (iii) collecting supporting documents, and (iv) preparing and sending withdrawal applications to ADB.
22. Before the submission of the first withdrawal application, the borrower should submit to ADB sufficient evidence of the authority of the person(s) who will sign the withdrawal applications on behalf of the borrower, together with the authenticated specimen signatures of each authorized person. The minimum value per withdrawal application is US$100,000, unless otherwise approved by ADB. The borrower is to consolidate claims to meet this limit for reimbursement and imprest account claims. Withdrawal applications and supporting documents will demonstrate, among other things that the goods, and/or services were produced in or from ADB members, and are eligible for ADB financing.
C. Accounting
23. The EA will maintain separate project accounts and records by funding source for all expenditures incurred on the Project. Project accounts will follow international accounting principles and practices.
D. Auditing
24. The EA will cause the detailed consolidated project accounts to be audited in accordance with International Standards on Auditing by an auditor acceptable to ADB. The audited accounts will be submitted in the English language to ADB within 6 months of the end of the fiscal year by the EA. The Government and the EA have been made aware of ADB’s policy on delayed submission, and the requirements for satisfactory and acceptable quality of the audited accounts. ADB reserves the right to verify the project's financial accounts to confirm that the share of ADB’s financing is used in accordance with ADB’s policies and procedures.
VI. PROCUREMENT AND CONSULTING SERVICES
A. Advance Contracting
25. All advance contracting will be undertaken in conformity with ADB’s Procurement Guidelines (April 2010, as amended from time to time) (ADB’s Procurement Guidelines)4 and ADB’s Guidelines on the Use of Consultants (2010, as amended from time to time) (ADB’s Guidelines on the Use of Consultants).5 The issuance of invitations to bid under advance contracting will be subject to ADB approval. The borrower and the EA have been advised that approval of advance contracting does not commit ADB to finance the project. Advance contracting includes recruitment of consultants.
B. Procurement of Goods, Works and Consulting Services
26. All procurement of goods and works will be undertaken in accordance with ADB’s Procurement Guidelines. All consultants will be recruited according to ADB’s Guidelines on the
http://www.adb.org/documents/handbooks/loan_disbursement/SOE-Contracts-Over-100.xls http://www.adb.org/documents/handbooks/loan_disbursement/SOE-Operating-Costs.xls http://www.adb.org/documents/handbooks/loan_disbursement/SOE-Free-Format.xls 4 Available at: http://www.adb.org/Documents/Guidelines/Procurement/Guidelines-Procurement.pdf 5 Available at: http://www.adb.org/Documents/Guidelines/Consulting/Guidelines-Consultants.pdf
Use of Consultants.6 The terms of reference for all consulting services are detailed in Section D.
27. Consulting firms will be engaged using the quality- and cost-based selection (QCBS) method with a quality to cost ratio of 90:10 for the Engineering Design Consultant Services and the Transaction Advisory Services. This higher ratio of quality is adopted due to the scope covering a large scale Expressway project, the first in the country with PPP as a new financing modality in the transport sector, requiring high-level project coordination and management. Capacity development also requires innovativeness in change management in the organization. For the safeguard implementation support advisory consulting services, the standard quality to cost ratio of 80:20 shall apply.
C. Procurement Plan
28. The procurement plan is in Attachment A and describes all procurement of consulting services for the TA loan.
D. Consultant's Terms of Reference
29. The consultant's terms of reference are provided in the following:
Attachment B: TOR for Design Consultants Attachment C: TOR for Transaction Advisors Attachment D: Safeguard Implementation Support Consultants
VII. SAFEGUARDS AND SOCIAL DIMENSIONS
30. The TA loan is expected to ensure development of environmentally and socially viable follow-on investment projects. Projects under follow-on loans will be prepared in compliance with ADB's Safeguard Policy Statement (2009) and government guidelines, regulations, and policies. The TA loan is not expected to have any adverse on social and environmental consequences due to the nature of project preparation. Social and environmental impacts relating to follow-on loans will be assessed and mitigated in accordance with ADB's Safeguard Policy Statement (2009) and government guidelines, regulations, and policies.
31. The TA loan is not expected to have any impact in gender and social dimensions. Projects under follow-on loans will be prepared in compliance with ADB's Guidelines for Incorporation of Social Dimensions in Bank Operations (1994), and ADB's Handbook on Social Analysis (2007). Gender, consultation and participation, labor, HIV/AIDs, and other social risks relating to follow-on loans will be assessed and mitigation plan will be prepared to address those issues.
6 Checklists for actions required to contract consultants by method available in e-Handbook on Project Implementation at: http://www.adb.org/documents/handbooks/project-implementation/ 11
VIII. PERFORMANCE MONITORING, EVALUATION, REPORTING AND COMMUNICATION
A. Project Design and Monitoring Framework
Performance Targets Data Sources and Assumptions Design Summary and Indicators Reporting Mechanisms and Risks Impact Assumptions Dhaka – Chittagong Dhaka – Chittagong Reporting mechanism to Willingness of private Expressway efficiently Expressway in be drafted under PPP sector to invest in constructed, operated operation under a concession agreement Bangladesh’s transport and managed under a PPP-scheme by 2020 infrastructure PPP scheme Positive investment climate in Bangladesh Outcome Assumption Agreed design of the Submission and Project feasibility study Active support from other Dhaka – Chittagong approval of Feasibility and detailed design Government agencies Expressway for Study including reports and other stakeholders to implementation under recommended PPP- support selection of route a PPP-scheme scheme in 2013 Draft PPP concession alignment options agreement Submission and approval of Design and PPP contract documents in 2015 Outputs Assumption 1. Feasibility study Option for detailed Project feasibility study Sufficiently qualified with assessment of design selected and and detailed design consulting firms different route detailed design and reports participate alignment options tender documents completed by 2015 Risk 2. Economic and Delays in Government financial analysis for PPP-scheme selected Draft PPP concession approvals the Follow-on Project, by 2014 agreement structuring of the PPP-scheme, establishing the financial model and recommendation of the PPP structure for the Follow-on Project
3. Capacity Training Program Training Program and Development for established by 2013 Training Report PPP-Project and training implementation implemented by 2015
4. Detailed Detailed Design engineering design for Report completed by Detailed design Report the selected option 2015 including the finalization of all safeguard documents
Design Summary Performance Targets Data Sources and Assumptions and Indicators Reporting Mechanisms and Risks
5. Transaction Concessionaire under Concession Agreement Advisory Services for proposed PPP- the preparation of the scheme selected by pre-qualification and 2015 bidding documents for the Concession Agreement, preparation of the Concession Agreement, and support for the Project Executing Agency during the bidding process
6. Support for Safeguard documents Safeguard documents safeguard prepared by 2014 implementation for follow-on project7
Activities with Milestones Inputs
1. Feasibility Study Loan 1.1 Consultant selection by March 2012 ADB: $10 million 1.2 Feasibility Study including data collection, Item Amount ($ million) surveys, engineering feasibility study and evaluation of options, economic analysis, Consulting Services 8.75 financial modeling and analysis, PPP- Financing Charges during structuring, environmental, resettlement and implementation 0.25 indigenous people assessment completed by March 2013 Contingencies 1.00 1.3 Option for detailed design selected by September 2013 Government: $2.5 million 2. Institutional environment for PPP-Projects Item Amount ($ million) 2.1 Assess the institutional environment for PPP- Project Management 1.25 Projects and identify the needs for industry restructuring for PPP by March 2013 Taxes and Duties 1.25 2.2 Identify legal prerequisites for PPP-Projects by March 2013 2.3 Value for Money Analysis and identify options for PPP-structuring of the investment project by July 2013 2.4 Action plan for improvements for PPP-project implementation by July 2013
7 Expected output if the follow-on project is financed by ADB. 13
Activities with Milestones
3. Capacity development for PPP-Project implementation 3.1 Training Program drafted by March 2013 3.2 Training completed and Training Report submitted by March 2015 4. Detailed Design 4.1 Commencement Detailed Design by October 2013 4.2 Detailed Design including detailed engineering design, support during PPP procurement, social assessment, resettlement and indigenous people assessment and environmental studies completed by September 2014 4.3 Approval of detailed design by March 2015 5. PPP Transaction Advisory Services 5.1 Consultant selection by September 2012 4.2 PPP-scheme selected by June 2013 5.3 Public Private Partnership agreements drafted by September 2013 5.4 Selection of contractor under proposed PPP- scheme by March 2014 6. Support for Safeguard Implementation (to be carried out 2014/2015, if ensuing project is financed by ADB) 6.1 Provide advice on ADB’s policies, procedures, and best practices, helping them implement plans as required 6.2 Help to establish units to implement plans relating to resettlement, social aspects, and environment 6.3 Provide training to government officials and NGOs 6.4 Facilitate coordination and lines of communication between ADB and government agencies, line departments, and organizations or individuals involved with resettlement aspects of projects 6.5 Monitor project management to ensure effective coordination and implementation of safeguard-related plans
Source: ADB
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B. Monitoring
32. Project performance monitoring The achievement of the project performance targets will be assessed following the design and monitoring framework. The EA will establish a project performance management system. Indicators to be monitored include (i) the number of traffic before and after the follow-on investment loans; (ii) project implementation period and (ii) the number of RCI transport projects before and after the Project; (iii) the amount of private sector investment realized, and (iv) the extent of due diligence of social and environmental safeguard measures completed at ensuing loan fact-finding mission stage, during the project implementation. Progress will be monitored and reported monthly by the consultants. These reports will provide information necessary to update ADB's project performance reporting system.8
33. Compliance monitoring: Regular monitoring of TA Consultants' outputs to ensure policies compliance will be conducted through the Bangladesh Resident Mission and SATC. As necessary, special loan administration missions and a midterm review mission will be fielded to ensure policy compliance. The EA will monitor project implementation in accordance with the schedule and time-bound milestones, and keep ADB informed of any significant deviations that may result in not achieving the milestones.
34. Safeguards monitoring: Regular safeguards monitoring of TA Consultants' outputs to ensure that ADB's Safeguard Policy Statement (2009) are met will be conducted through the Bangladesh Resident Mission and SATC. As necessary, special loan administration missions and a midterm review mission will be fielded to ensure safeguard policy compliance. The EA will monitor project implementation in accordance with the schedule and time-bound milestones, and keep ADB informed of any significant deviations that may result in not achieving the milestones.
35. Gender and social dimensions monitoring: Regular gender and social dimensions monitoring of TA Consultants’ outputs to ensure ADB's Gender and other social related policies are met will be conducted through the Bangladesh Resident Mission and SATC. As necessary, special loan administration missions and a midterm review mission will be fielded to ensure compliance of Gender and other social related policies. The EA will monitor project implementation in accordance with the schedule and time-bound milestones, and keep ADB informed of any significant deviations that may result in not achieving the milestones.
C. Evaluation
36. A project inception mission will be fielded soon after the legal agreements for the TA loan are declared effective; thereafter, regular reviews will follow at least annually. As necessary, special loan administration missions and a midterm review mission will be fielded, under which any changes in scope or implementation arrangement may be required to ensure achievement of project objectives. The EA will monitor project implementation in accordance with the schedule and time-bound milestones, and keep ADB informed of any significant deviations that may result in the milestones not being met. Within 6 months of physical completion of the TA loan, the EA will submit a project completion report to ADB.9
8 ADB's project performance reporting system is available at: http://www.adb.org/Documents/Slideshows/PPMS/default.asp?p=evaltool 9 Project completion report format available at: http://www.adb.org/Consulting/consultants-toolkits/PCR-Public- Sector-Landscape.rar 15
D. Reporting
37. The EA will provide ADB with (i) quarterly progress reports in a format consistent with ADB's project performance reporting system; (ii) consolidated annual reports including (a) progress achieved by output as measured through the indicator's performance targets, (b) key implementation issues and solutions; (c) updated procurement plan and (d) updated implementation plan for next 12 months; and (iii) a project completion report within 6 months of completion of the TA loan. To ensure projects continue to be both viable and sustainable, project accounts and the executing agency AFSs, together with the associated auditor's report, should be adequately reviewed.
E. Stakeholder Communication Strategy
38. While conducting poverty and social assessment, the TA consultants will conduct field visits and direct consultations/interactions with stakeholders using participatory approaches at the local and line Ministry levels. If there are any gaps emerging from the communication needs assessment, the TA consultants will have to formulate, in discussion with internal stakeholders and key decision-makers, a communications strategy for the TA loan.
IX. ANTICORRUPTION POLICY
39. ADB reserves the right to investigate, directly or through its agents, any violations of the Anticorruption Policy relating to the Project.10 All contracts financed by ADB shall include provisions specifying the right of ADB to audit and examine the records and accounts of the executing agency and all Project contractors, suppliers, consultants and other service providers. Individuals/entities on ADB’s anticorruption debarment list are ineligible to participate in ADB- financed activity and may not be awarded any contracts under the Project.11 To support these efforts, relevant provisions are included in the loan agreement, regulations and the bidding documents for the Project. In particular, all contracts financed by ADB in connection with the Project shall include provisions specifying the right of ADB to audit and examine the records and accounts of RHD and BR, and consultants and other service providers, as they relate to the Project. The Government will also allow and assist ADB representatives' carrying out random spot checks on the work in progress and the utilization of funds for the Project. A further transparency measure is establishment of a publicly accessible project website within the existing RHD website where the Borrower will disclose key project related information including on costs, safeguards, and procurement.
X. ACCOUNTABILITY MECHANISM
40. People who are, or may in the future be, adversely affected by the project may submit complaints to ADB’s Accountability Mechanism. The Accountability Mechanism provides an independent forum and process whereby people adversely affected by ADB-assisted projects can voice, and seek a resolution of their problems, as well as report alleged violations of ADB’s operational policies and procedures. Before submitting a complaint to the Accountability Mechanism, affected people should make a good faith effort to solve their problems by working
10 Available at: http://www.adb.org/Documents/Policies/Anticorruption-Integrity/Policies-Strategies.pdf 11 ADB's Integrity Office web site is available at: http://www.adb.org/integrity/unit.asp
16 with the concerned ADB operations department. Only after doing that, and if they are still dissatisfied, should they approach the Accountability Mechanism. 12
XI. RECORD OF PAM CHANGES
41. All revisions/updates during course of implementation should be recorded and retained under this Section to provide a chronological history of changes to implemented arrangements recorded in this PAM.
12 For further information see: http://compliance.adb.org/. Attachment A 17
PROCUREMENT PLAN
Basic Data Project Name: Dhaka – Chittagong Expressway PPP Design Country: Bangladesh Executing Agency: Ministry of Communications Loan Amount: $10 million ADF loan Loan Number: 45174-001 Date of First Procurement Plan:15 September 2011 Date of this Procurement Plan: 15 September 2011
A. Process Thresholds, Review, and 18-Month Procurement Plan
1. Project Procurement Thresholds
1. Except as the Asian Development Bank (ADB) may otherwise agree, the following process thresholds shall apply to procurement of goods and works.
Procurement of Goods and Works Method Threshold International Competitive Bidding (ICB) for Works Above $1 million International Competitive Bidding (ICB) for Goods Above $500,000 National Competitive Bidding (NCB) for Works Beneath that stated for ICB, Works National Competitive Bidding (NCB) for Goods Beneath that stated for ICB, Goods Shopping for Works Below $100,000 Shopping for Goods Below $100,000
2. ADB Prior or Post Review
2. Except as ADB may otherwise agree, the following prior or post review requirements apply to the various procurement and consultant recruitment methods used for the Project.
Procurement Method Prior or Post Comments Procurement of Goods and Works ICB Works Prior ICB Goods Prior NCB Works and Good Post Shopping for Works Post Shopping for Goods Post Recruitment of Consulting Firms Quality- and Cost-Based Selection (QCBS) Prior ADB will select the consultants. EAs will negotiate and sign the contract.
3. Consulting Services Contracts Estimated to Cost More Than $100,000
3. The following table lists consulting services contracts for which procurement activity is either ongoing or expected to commence within the next 18 months.
General Description Contract Value Recruitment Advertisement International or Comments Method Date National (quarter/year) Assignment Feasibility study and Quality and Cost Q4/2011 International firm detailed design $8.0 million Based Selection consultants, PPP (90:10) preparation Transaction Advisor Quality and Cost Q4/2011 International firm $0.5 million Based Selection (90:10)
18 Attachment A
General Description Contract Value Recruitment Advertisement International or Comments Method Date National (quarter/year) Assignment Safeguard Quality and Cost Q1/2013 National firm Implementation $0.25 million Based Selection Support (80:20) (two packages)
B. Indicative List of Packages Required Under the Project
4. The following table provides an indicative list of all procurement (goods, works and consulting services) over the life of the project. Contracts financed by the Borrower and others should also be indicated, with an appropriate notation in the comments section.
General Description Estimated Estimated Recruitment Type of Comments Value Number of Method Proposal (cumulative) Contracts Consulting Services $8.50 million 2 QCBS (90:10) Full, STP and ADB will select the BTP consultants. EAs will negotiate and sign the contract. Consulting Services $0.25 million 1 QCBS (80:20) STP
C. National Competitive Bidding
1. General
5. The procedures to be followed for national competitive bidding shall be those set forth for the National Open Tendering Method in the Government’s Public Procurement Rules, 2008 (as updated and issued pursuant to the Bangladesh Public Procurement Act, 2006) with the clarifications and modifications described in the following paragraphs required for compliance with the provisions of the Procurement Guidelines.
2. Advertising
6. Bidding of NCB contracts estimated at $500,000 or more for goods and related services or $1,000,000 or more for civil works shall be advertised on ADB’s website via the posting of the Procurement Plan.
3. Anti-Corruption
7. Definitions of corrupt, fraudulent, collusive and coercive practices shall reflect the latest ADB Board-approved Anti-Corruption Policy definitions of these terms and related additional provisions (such as conflict of interest, etc.).
4. Location of Bid Submission
8. Submission of bids to ‘primary’ and ‘secondary’ locations, or ‘multiple droppings’ of bids, shall not be required or allowed. Advertisements and bidding documents shall specify only one location for delivery of bids.
Attachment A 19
5. Rejection of All Bids and Rebidding
9. Bids shall not be rejected and new bids solicited without ADB’s prior concurrence.
6. Member Country Restrictions
10. Bidders must be nationals of member countries of ADB, and offered goods must be produced in member countries of ADB.
7. Lottery
11. A lottery system shall not be used to determine a successful bidder, including for the purpose of resolving deadlocks.
8. Qualification Requirements
12. A successful bidder must be determined by an assessment process that shall include the application of qualification requirements to all bids.
9. Rejection of Bids
13. A bid shall not be rejected on the grounds that its bid price is not within a percentage range above or below the contract estimate.
20 Attachment B
TERMS OF REFERENCE Engineering Consultant
A. Introduction
1. The Government of Bangladesh (the Government) has received a loan from Asian Development Bank (ADB) for the Dhaka – Chittagong Expressway PPP Design TA Loan (the Project) and intends to apply a portion of proceeds to engage firms of international consultants (the consultants) to prepare the feasibility studies and detailed engineering designs for a new access controlled expressway between Dhaka and Chittagong.
2. The main objective of the consulting services is to carry out (a) the necessary surveys for traffic forecast, to establish base maps for the design and safeguard documents related surveys, and (b) feasibility study and detailed engineering design for the expressway (including structures and bridges), which consist of: (i) appropriate condition surveys, (ii) engineering design and cost estimates for the improvements, (iii) economic and financial analysis, (iv) financial modeling and PPP-structuring, (v) social and environmental assessment in accordance with ADB's Safeguard Policy Statement 2009 (SPS) as well as government regulations and policies, (vi) establishing bidding documents and providing procurement assistance for the PPP- concession, and (vii) other assistance as may be required by ADB Mission for loan processing.
3. The Ministry of Communications (MOC) is the Executing Agency (EA). The EA will establish a Project Implementation Unit (PIU) in the Roads and Highways Department and appoint a senior official as the Project Director to implement the TA loan. The consultant will also coordinate with the government’s Steering Committee, the concerned local authorities, with the assistance of the EA, for data collection, site visits, and other appropriate consultations.
4. A Steering Committee with representatives from related Ministries and Government agencies covering National Planning, Commerce, Trade, Finance, Energy, Agriculture, Shipping, the PPP-cell in the Prime Minister’s Office, etc. and representation from the two municipalities as well as the concerned districts of Bangladesh will be establish for high-level policy decisions for the project, to agree on issues needing decisions beyond the level of the Ministry of Communications, such as the selection of the preferred route option or PPP-scheme.
5. The TA loan will be implemented for 3 years from April 2012 to September 2015. Advance contracting actions will be undertaken for consultants' recruitment to enhance project readiness. The consultants will be selected based on ADB’s quality- and cost-based selection method using full technical proposals in accordance with ADB’s Guidelines on the Use of Consultants (2010, as amended from time to time) and a quality to cost ration of 90:10.
6. Two international consulting firms will be recruited for the (i) preparation of the engineering design and (ii) transaction advisory services. The preliminary outline terms of reference for consulting services for design services are listed under chapter B for the engineering design consultant and under chapter C for the transaction advisory services. It is estimated that about 115 person-months of international staff and about 390 person-months of national staff will be required for the engineering design services under chapter B and about 5 person-months of international staff and about 10 person-months of national staff will be required for the transaction advisory services under chapter C. A third consulting contract may be requested by the government for Social Safeguard Implementation for subprojects to be financed by ADB, if any. About 240 person-months of national staff will be required for this consulting service; the terms of reference for this consulting service are in Appendix 6.
Attachment B 21
7. The consultants shall carry out regular workshops for private sector investors interested in the project to update them on the progress of project preparation and to collect feedback from potential investors on the project design, structuring of the PPP-scheme and other technical, financial and institutional terms of the project. The workshops shall be carried out at least twice annually with participation of the transaction advisor, one recruited, and shall be linked to major milestones of the consultancy contract, such as report finalization or sufficiently in advance of advertising of bidding processes etc.
8. Procurement of equipment needed to carry out the consulting services and to be financed from the ADB loan will be undertaken in accordance with ADB's Procurement Guidelines (2010, as amended from time to time).
B. Outline Terms of Reference for the Engineering Consultant
1. Scope of the Assignment
9. Possible options to be appraised in the Feasibility Study include, but are not limited to the following:
. Option I – At-grade alignment along a new right of way (ROW) . Option II – Elevated alignment within the ROW of the national highway . Option III – At-grade and elevated alignment along the national highway . Option IV – Elevated alignment in a new ROW
2. Feasibility Study
10. The purpose of this Feasibility Study is to examine the various alignment options from a technical, environmental, social, and financial perspective to assess the best option that can be carried into the Detailed Design Phase. The terms of reference for the consultants for feasibility study include, but are not limited to, the following:
a. Studies, data collection and surveys
11. The consultants will have the following tasks:
(i) Establish a national highway development plan for Bangladesh, linking the proposed Dhaka – Chittagong Expressway with other planned Expressways, feeder roads, the national highway network and the trans-Asian road network, major Air- and Sea Ports, etc.
(ii) Establish a base-map as part of a graphic information system covering the entire corridor between Dhaka and Chittagong for all studies under the TA loan.
(iii) Carry out zoning for the origin-destination Survey, collect the necessary socio- economic data and carry out additional traffic surveys and interviews with households, vehicle owners, truck and bus operators, freight forwarders, etc.
(iv) Review previous studies and map planned and ongoing infrastructure projects in the base map established above.
22 Attachment B
(v) Establish an approval procedure within the Government of Bangladesh to select and freeze the selected route alignment option.
(vi) Establish selection criteria for the selection of the alignment option for the detailed design after completion of the Feasibility Study.
b. Engineering Study
12. The consultants will have the following tasks:
(i) Establish a design manual for the expressway project including design criteria and a catalogue of standard design solutions for the cross section, structures such as culverts, bridges, retaining walls etc.
(ii) Survey conditions along the corridor, including the condition of the existing national highway and roads crossing the future alignment, including geometric features, type and condition of drainage structures, pavement strength, and other major features; determine residual life; and categorize the roads into homogeneous sections.
(iii) Design auxiliary functions such as toll plazas, service and rest areas for travelers, service areas for operations and maintenance of the road, weight stations, police stations and traffic monitoring and supervision centers, etc.
(iv) Investigate the suitability of local construction materials, and, where necessary, locate new quarries and borrow pits, and assess the quality and quantity of materials and hauling distances.
(v) Prepare cost estimates for the alternative route alignment options, separating foreign exchange, local currency, and tax and duty elements.
(vi) Propose an approach to contract packaging consistent with ADB’s Guidelines for Procurement.
(vii) Prepare a report summarizing the findings and recommendations, and presenting the supporting data and analysis, for review by the Government and ADB.
(viii) Based on the agreed selection criteria, recommend one option to be further studied in the detailed engineering design and facilitate the Government’s and Steering Committee’s approval process for the selected option.
(ix) In cooperation with local road authorities, consult with stakeholders regarding project design, and ensure that the selected roads reflect the result of consultation.
(x) Conduct an independent road safety audits with use of ADB’s Road Safety Audit for Road Project: An Operational Tool Kit and: The Federal Highway Administration (FHWA) of the United States Department of Transportation: FHWA Road Safety Audit Guidelines (2006).
Attachment B 23
(xi) Develop a road inventory database and a digital mapping of the project alternatives linking road inventory, traffic volume and other existing data with use of geographic information systems (GIS).
c. Economic Analysis
13. The consultants will carry out the following tasks:
(i) Review existing traffic data, conduct traffic counts and origin-destination and axle-load surveys, and forecast traffic for each route alignment option.
(ii) Prepare an economic analysis of the proposed route alignment options using the Highway Development and Management model version 4 (HDM-4) individually and in combination; distribution analysis; and estimation of the poverty impact ratio following ADB’s Guidelines for the Economic Analysis of Projects and keep in view the key aspects of project investment analysis as outlined in the Key Areas of Economic Analysis of Projects - An Overview (ADB 2004).
(iii) Prepare sensitivity and risk analysis in relation to changes in key parameters, and calculate switching values.
(iv) Prepare project performance indicators and set performance targets by conducting a baseline survey.
(v) During detail design stage, if required, update the economic analysis based on updated cost estimate and prepare two-page economic assessment summary for ADB's review.
d. Financial Model and Analysis, PPP structuring
14. Based on the project cost estimates for the considered options, toll rates based on similar projects, and standard project finance assumptions for the project, prepare the financial model for the project IRR (FIRR) for the options. Minimum Debt Service Coverage Ratio (DSCR) shall also be computed, as well as the capital support (as viability gap fund) required to make the project bankable and to achieve a minimum DSCR as 1.2; a value for money analysis shall also be carried out for the options.
15. The consultant’s responsibilities will include the following:
(i) Provide an overview of similar projects realized under various PPP-schemes, preferably in countries with comparable socio-economic situation as found in Bangladesh and discuss opportunities and challenges as well as lessons for this Dhaka – Chittagong Expressway project.
(ii) Identify and quantify all costs, expenses and revenues of the Project and prepare cash-flow statements for the concession period. Based on the above, prepare the Revenue Model which will indicate the possible capital structure, likely sources of financing, the costs of financing, the cash flow, debt service, return on investment etc. (the “Revenue Model”). This also includes sensitivity analysis in relation to the critical parameters of the Revenue Model.
24 Attachment B
(iii) Explore possible approach for public-private partnership (PPP) development, prepare a financially and commercially viable and implementable PPP scheme. PPP-schemes may also include, amongst others, concession agreements for BOT models with viability-gap-funding by the government, performance based operations and maintenance contracts with targeted investments of the contractor in infrastructure, or any combination of such schemes. The consultant shall discuss the benefits and challenges of each scheme and suggest based on the results of the technical feasibility study and the economic and financial analysis an option recommended to be followed and further prepared during the detailed design period of the project.
(iv) Assess the institutional prerequisites for PPP in fields such as (a) systematically reacting to the complexities of appropriate risk allocation and project finance structuring to be addressed, (b) robust negotiation of contracts, (c) efficient dispute resolution mechanisms, and (d) effective public sector oversight including the evaluation of “value for money” and formulate a suitable “public sector comparator” to recommend necessary actions to be taken by the government to ensure successful project implementation.
(v) Assess legal prerequisites for PPP and explored the range of issues in implementing this project as a PPP with significant risk transfer and increased investment by private sector, such as the potential to charge toll that will lead to cost recovery, legal basis for applying toll, set-up a regulator for the toll rates, legal background for the source of financing (budget line item) for viability gap funding option or annuity based funding, etc.
(vi) Assess the legal and institutional framework for PPP-Project implementation and suggest improvements, where needed. The necessary documents shall be revised or drafted, if required and agreed with the Government.
(vii) Draft the form of concession agreements and framework tender documents, and the actual toll road bidding documents which will be used.
(viii) Review the risk allocation assumptions to assess whether those risks, such as land acquisition, toll collection, safety monitoring, licensing/permitting etc., can legally be allocated to private sector.
(ix) Recommend a mechanism to determine the amount of toll charged and the legal, institutional and regulatory framework to adjust the toll rate.
(x) Identify the need for industrial and institutional restructuring for PPP-project implementation and provide recommendations for actions needed to implement the ensuing investment project.
(xi) Recommend an appropriate toll level based on an assessment of the economic situation in the country, a survey on the “willingness to pay” for using the Expressway and the competition within the road sector, i.e. the mostly parallel Dhaka – Chittagong Highway and competition from railway, inland waterways and air transport subsector.
Attachment B 25
(xii) Structure the PPP-scheme with a range of options to decide on the degree of government support to this PPP requires and to evaluate the relative feasibility and impact of a range of strategies available for such support. This shall include not just grants and viability gap subsidies but also debt or exchange rate guarantees; shadow tolls and minimum traffic revenue guarantees; or other revenue enhancements or concession term extensions. Identify requirements for successful delivery of PPP and prepare possible government and ADB support strategies.
(xiii) Identify and quantify the estimated financial impact of the Project on the re- sources of the government. The consultant shall work in collaboration with the PPP cell set up in the Prime Minister’s Office, to ensure consistency in the application of PPP processes.
(xiv) Based on the recommended PPP-scheme and drafted concession agreement, suggest the organization structure during final design, construction, operation and maintenance of the project at the government side as contract partner for the concession agreement and its relationship to the regulatory body, law enforcement agencies and other parties involved. Determine clearly the responsibilities for traffic management, operation and maintenance of the Expressway, toll collection system, traffic enforcement, handling of emergencies. Clarify the role and responsibility for reviewing the quality and availability of the road and road safety.
(xv) Assess the PPP procurement capacity of the involved government partners or Special Purpose Vehicles established for the ensuing investment project and recommend who will be responsible for the PPP procurement.
(xvi) Analyze under which clause of ADB's Procurement Guidelines (3.13 a or b) the selected PPP scheme will fall and prepare the necessary procurement due diligence reports required by ADB to assess whether the concessionaire has been selected in accordance with ADB's Procurement Guidelines, should financing for the ensuing investment project be requested from the government and ensure that any procurement financed by ADB is in accordance with the Procurement Guidelines and determine how the arrangements under Para 3.13(a) or (b) will apply.
(xvii) Assess the financial management and design the funds flow and disbursement mechanisms for the ensuing project and identify any further capacity building (financial management and ADB’s disbursement procedures) that will be necessary for the ensuing investment project, if financed by ADB.
(xviii) Assess the needs for capacity development related to PPP-Project implementation in the Ministry of Communications and the Project Implementation Unit in the Roads and Highways Department. The capacity development shall include technical, legal, institutional, financial and project management related issues. A training program shall be drafted and the identified trainings shall be implemented during the detailed design stage of the project.
26 Attachment B
e. Environmental Assessment
16. The consultant will carry out an assessment of the environmental implications of construction of each of the candidate roads and recommend roads with the least impacts for selection for further work. The assessment will be carried out in line with the requirements of the policies and requirements of the Government of Bangladesh and the ADB Safeguard Policy Statement (SPS) 2009. Specifically the consultant will:
(i) Review documents/publications on the national and local environmental policies/rules and information on local environment, natural resources, local climate change issues and related subjects.
(ii) Carry out site visits to all the candidate roads to get a general idea of the type of environment in each of the roads
(iii) Conduct public consultations with local community people to collect information on environmental issues/conditions in the area and also to understand the views of the community on the construction of the roads
(iv) Prepare ADB Rapid Environmental Assessment (REA) checklist for each road to help determine the significance of the environmental impacts of each road;
(v) Assess the impacts of each road on all aspects of the physical (air, noise, water, soil), ecological (flora, fauna, protected areas) and social environment (physical/cultural resources and structures). The assessment must cover all technical issues stated in the ADB SPS 2009 such as biodiversity conservation and sustainable natural resources management, pollution prevention and abatement, health and safety and physical cultural resources. Climate change impacts and the need for mitigation or adaptation measures must also be included.
(vi) Carry out a comparative analysis of the impacts of the candidate roads on various environmental aspects
(vii) Based on the analysis rank the roads in order of the significance of their environmental impacts and make recommendations for a road/s with the least impacts to be taken up for further studies
(viii) Prepare a comprehensive report that accurately reflects the findings of the study and analysis carried out
f. Resettlement and Indigenous People Assessment
17. The consultants will assess the resettlement impact of the four proposed alignment in accordance with the Government’s and ADB’s Safeguard Policy Statement (2009). The major tasks include, but are not limited to, the following:
(i) Provide thorough assessment of resettlement impact along the four proposed alignments. Provide a detailed matrix, by chainage, of characteristics of potential affected people and land in the proposed project area, including approximate estimate of number of affected households; resettlement budget based on the
Attachment B 27
Government’s and ADB’s policies and regulations; and potential challenges and issues related to land acquisition.
(ii) Along the proposed alignments, identify project-related interests of key stake- holders, likely barriers to their participation in and benefiting from the project re- sources.
(iii) Identify whether the proposed alignments will be located in, or pass through, areas of significant indigenous people’s settlements. If relevant, provide a detailed matrix, by chainage, of characteristics of potential affected indigenous people in the proposed project area.
(iv) Recommend alignment option based on analysis of resettlement impact of the four proposed alignments.
3. Detailed Design
18. The consultant shall prepare a ‘preferred option report’ outlining the rationale for the recommended preferred option amongst the alignments based on the findings from the (a) technical assessment, (b) environmental and social assessment; and (c) financial assessment, The recommended preferred option shall be presented to and discussed with the EA and the Steering Committee of the project to reach an common understanding on the selected preferred option to be pursued in the Detailed Design phase of the project.
19. Presentation and Consultation: The transaction advisor shall need to present and defend the preferred option report to the EA. Following written confirmation from the EA of the final ‘Preferred Option Report’ by the consultant, the consultant shall carry out the detailed design and costing for the preferred alignment option.
a. Engineering Study
20. The consultant’s responsibilities will include the following:
(i) For the selected route alignment, carry out the engineering design, including geometric features, and type and condition of drainage structures, including an estimate of their load-carrying capacity, pavements, and other major features.
(ii) Carry out engineering surveys as required preparing Detailed Engineering Designs to enable construction quantities to be calculated with reasonable accuracy (10%).
(iii) Prepare designs based on the typical pavement sections, applying sound engineering practice and giving due regard to environmental aspects as indicated in IEE/EIA and in accordance with the ADB’s SPS 2009 and the Government and ADB environmental regulations and policies.
(iv) Investigate the suitability of local construction materials and, where necessary, locate new quarries and borrow pits and assess the quality and quantity of materials and hauling distance.
28 Attachment B
(v) Study the hydrological regime in detail, based on an analysis of rainfall and flood records, supplemented by engineering field investigations, to establish the adequacy of road embankment levels, culverts, and side ditches, and design bed and slope protection for the drainage structures and bridges.
(vi) Assess cross-drainage requirements and proposed new structures (bridges, culverts, and causeways as appropriate) or improvements to structurally unsound structures.
(vii) Prepare practical and cost-effective geometric (horizontal, vertical, intersection, etc.) pavement and structural designs on the basis of projected traffic levels; pavement structure studies; axle-load considerations, as determined from activities (i) to (vi) and from previous studies; traffic safety; environmental assessment; and other relevant inputs.
(viii) Prepare engineering technical specifications for each work item, taking into account relevant specifications in use in the country and elsewhere for similar works.
(ix) Design auxiliary functions such as toll plazas, service and rest areas for travelers, service areas for operations and maintenance of the road, weight stations, police stations and traffic monitoring and supervision centers, etc.
(x) Conduct an independent road safety audits with use of ADB’s Road Safety Audit for Road Project; An Operational Tool Kit and: The Federal Highway Administration (FHWA) of the United States Department of Transportation: FHWA Road Safety Audit Guidelines (2006). Provisions for managing road safety aspects appropriately during construction will be included in all bidding documents.
(xi) Prepare Detailed Engineering Designs of road, pavement, and structures, and bills of quantities, and calculate Engineering costs estimates for civil works broken down into foreign (direct and indirect) and local components as well as taxes and custom duties.
(xii) Prepare contract packages, taking into account (a) the location of the project roads, size of contracts, and other project specific factors; (b) ADB’s Guidelines for Procurement; and (c) the aim of supporting development of strong, competitive domestic private sector capacity in road industry.
(xiii) Prepare Engineering project implementation schedules showing anticipated progress of works and expenditures for each contract package. The schedules will reflect seasonal climatic effects at the work sites and take into account typical outputs on earlier ADB-financed road projects.
(xiv) Prepare engineering drawings, including road plans (1:2,000 scale), longitudinal profiles (scales: 1:2,000 horizontal and 1:200 vertical), cross-sections, structure plans, and other requirements.
Attachment B 29
b. Support during PPP Procurement
21. The consultant shall provide support to the transaction advisor supporting the concessionaire recruitment of the project13. Such support shall include drafting technical schedules, clarifying bid queries on technical aspects, and assisting in evaluation of technical proposals.
c. Social Assessment
22. The consultants will carry out the following tasks but are not limited to:
(i) Conduct in-depth social and poverty analysis by providing a 20% socioeconomic profile of the project influence area, in accordance with ADB’s Handbook on Social Analysis (2007) and Poverty Handbook (2006), to assess local demand for the proposed expressway investments, employment opportunities, child labor, gender specific capacity to take advantage of the likely socioeconomic opportunities that would result from the Project, HIV transmission and/or other health and safety risks, including the nature, extent and determinants of poverty in the project area. Identify and estimate the likely socioeconomic and poverty reduction impacts of the project and to collect baseline data for monitoring social impacts.
(ii) Conduct in-depth social analysis covering demographic, economic and socioeconomic conditions and trends and identifying the extent, dimensions, trends of poverty in the project area and relevance of these issues in the project design. Collect relevant information and data on a range of elements which include: accessibility, affordability, income/employment, safety and existing distance from education, health services, market centers, current public/private transport networks and related fares in the project area to address the mobility and access the needs of the poor and women.
(iii) Identify project-related interests of key stakeholders, likely barriers to their participation in and benefiting from the project resources, and suggest possible strategies for addressing their concerns.
(iv) Conduct studies by using participatory approaches. With the participation of stakeholders, identify and analyze the reasons behind the vulnerability of at risk groups, including their exposure to risks. Suggest participatory development strategies for key stakeholders to apply when designing and implementing the project.
(v) Prepare a detailed gender analysis. Identify project design elements (policy, investment, or implementation) in which women can participate in and thus benefit from the project. Collect sex-disaggregated data for road use, health, education, employment, and other relevant indicators.
(vi) Conduct assessment of risks of human trafficking and HIV/AIDS due to the project. Provide suggestions for measures to be incorporated in the project to
13 The transaction advisor shall be procured through a separate process, please refer to section C of the TOR.
30 Attachment B
mitigate possible adverse impacts through human trafficking and HIV/AIDS, and identify possible partners for assisting in implementing such measures.
(vii) Specific health indicators (including STI/HIV prevalence/incidence, respiratory disease) in the project area, through direct interaction with various government health agencies need to be gathered. Any information on available preventive Government programs and initiatives in the project area to address the health risks associated with infrastructure development should be collected.
(viii) Analyze the proposed project from the gender perspective and identify mechanisms to ensure women’s and girl’s participation in the project including development of a gender action plan if needed. Identify key gender issues that could be reflected in the RPs and the IPPs.
(ix) Identify and describe the intended beneficiary group using sex-disaggregated demographic data. The team should ensure the collection of baseline data (sex- disaggregated, as feasible) on a range of socioeconomic indicators appropriate for the project with focus on needs, demands, constraints faced by the poor, women and vulnerable groups in the project area in terms of their equitable access to the benefits and opportunities associated with the project.
(x) Quantify the incidence of risks in the affected populations by age, gender, location and identifying options to mitigate them. Analyze likely project impacts on poverty, social and gender through channels of accessibility, affordability, income/employment, safety, access to social services.
(xi) Explore, in consultation with the EA/IA, the opportunities to strengthen the visibility of social/gender-related aspects in the design of the Project through: (a) increased focus on the economic empowerment of women in the project area; and/or (b) mitigation of the health/social-related risks and impacts associated with infrastructure development, etc.
(xii) Propose measures to ensure that the Project is in compliance with national labour laws and international core labour standards. Collect relevant information and data that will inform the engagement of labor, e.g. local labor that can be hired -both men and women- including their level of skills; level of communities' acceptance of women laborers in road construction; communities' level of awareness on social/health risks associated with infrastructure development
(xiii) Identify any necessary mitigation measures and a strategy for implementing them. Identify potential proactive measures, in terms of additional components and design options, which will make it easy for the poor and vulnerable to benefit from the project.
(xiv) In coordination with the economic analysis, design a time-bound benefit monitoring and evaluation program, including monitoring indicators and baseline data, to assess the project benefits to local communities before and after the construction of project. The program should address not only the economic benefits but also poverty reduction impacts and other social benefits such as stability of the region and integration with other parts of the country.
Attachment B 31
(xv) Submit a draft final PSA report to ADB for review and comments.
(xvi) Incorporate comments and finalize the PSA accordingly, then re-submit the revised PSA to ADB. Summarize and submit these PSA findings in the SPRSS Report Form.
(xvii) Conduct a workshop to provide guidance to the EA on Project-related social issues and ADB’s social procedural requirements during Project preparation and implementation.
d. Resettlement and Indigenous People Assessment
23. The consultants will carry out the following tasks. Some tasks may need to be commenced during the feasibility study.
(i) (i) Prepare resettlement plan(s) (RP), indigenous people plan (IPP), and any other required safeguard documentation such as the Environmental and Social Management System for PPP-projects, as necessary, acceptable to the Government and ADB in compliance with the Government’s National Involuntary Resettlement Policy and ADB's Safeguard Policy Statement 2009 (SPS). RP and IPP should be based on 100% census, which covers a complete enumeration of all Affected People (APs) and their affected assets.
(ii) Define categories for impact and eligibility of affected people for compensation and prepare a matrix of entitlements covering compensation and other assistance for all types of impacts to fully replace lost assets, income, and livelihood. Assess whether the compensation standards for all types of assets, crops, and trees are based on replacement value and discuss in detail the valuation methodology used.
(iii) Prepare a comprehensive income and livelihood restoration program, supported by adequate budget, to help APs improve, or at least restore, their incomes and livelihoods. Identify specific measures for the affected poor, ethnic minorities, or other vulnerable households.
(iv) Ensure that (a) the compensation standards are based on replacement value, and (b) the overall resettlement budget is sufficient to implement the resettlement plan based on the proposed entitlements and rehabilitation plans.
(v) Assist Government officials to initiate and expand consultation with the affected communities, local leaders, proponents, and stakeholders who may be opposed to the Project. Prepare a consultation plan for the EA a format for documenting consultation with affected people.
(vi) Assess the capacity of the Government in implementing the proposed RPs and IPP, recommend improvements and actions required before land acquisition, and proposed and deliver necessary training to enable the EA and the Government to implement the RPs and IPP and assess the social and resettlement issues of the follow-on subprojects, if required. The scope of training includes ADB involuntary resettlement safeguards policy principles. The training should specifically focus on the differences between the provisions of the ADB policy and the relevant
32 Attachment B
country laws. Assist EA to (i) prepare a resettlement implementation schedule, (ii) recruit NGO/Agency for RP and IPP implementation (if required), and (iii) recruit consultants for external monitoring and evaluation.
(vii) Assist the EA to develop a computerized database management system for re- cording affected persons (APs) and lost assets. The system should reflect the present impact on APs and accordingly the entitlements for APs. The system should be in place from the beginning of the resettlement survey. Also, develop cadastral mapping of affected plots for construction of new alignments using road inventory map developed under the engineering study.
(viii) Prepare final RPs and IPP taking into account comments from ADB and the Government, and based on 100% census survey. The RPs and IPP should include a record of consultation with APs
(ix) Assist Government officials in expanding consultation, if required, with the affected communities, local leaders, proponents, and stakeholders who may be opposed to the Project.
e. Environmental Studies
24. Based on the findings of the environmental assessment during the feasibility study stage prepare an in depth Environmental Impact Assessment (EIA) or Initial Environmental Examination (IEE) report, and any other required safeguard documentation such as the Environmental and Social Management System for PPP-projects, on the road section selected for further detailed design studies under the project in accordance with the requirements of the Government of Bangladesh and ADB's Safeguard Policy Statement 2009 (SPS). Specifically the consultant will fulfill the following:
(i) In accordance with National Government's Environmental policy and ADB’s Safeguard Policy Statement 2009, review and confirm the environmental classification of the project, and indicate which sections pass through Protected Areas such as National Park (NP), Wildlife Sanctuary (WS), other Sanctuary (S), and reserve forest (RF) if any. From the review, complete the REA checklist and prepare a brief project description including information on length of sections passing through NP, WS, S, or RF areas if any.
(ii) If the project is classified as “A”, draft terms of reference for the EIA study, to be submitted to the Ministry/Agency concerned for approval. After the approval of the TOR for the EIA study, undertake the EIA study and prepare an EIA report.
(iii) If the project is classified as “B”, undertake initial environmental examination (IEE) study and prepare an IEE report including an environment management plan (EMP).
(iv) Ensure that the IEE/EIA be prepared in accordance with the requirements of the Government of Bangladesh and as well as ADB’s SPS 2009.
(v) The study should clearly identify and describe the area of impact, provide an assessment of potential impacts and mitigation measures and involve public consultations with affected people and other relevant stakeholders. It should
Attachment B 33
include a comprehensive and practical Environmental Management Plan (EMP) and clear institutional arrangements for the implementation and monitoring of the EMP.
(vi) In preparing the IEE/EIA the following issues must be investigated:
i) Potential impacts on biodiversity including modified, natural, critical habitat and protected areas and necessary measures to minimize, mitigate and offset impacts.
ii) Potential waste issues including hazardous materials and wastes and appropriate measures for their disposal, treatment and other forms of management.
iii) Potential impacts of climate change and necessary adaptation steps to accommodate climate change impacts into the project design
iv) Greenhouse gas emission levels with and without the project activities and measures that are technically and financially feasible to reduce or off-set project related GHG emissions during project design, construction and operation stages.
v) Occupational Health Safety issues and measures for the construction workers as well as the local communities in and around the project site.
vi) Potential impacts on physical and cultural resources and measures to avoid, minimize or mitigate impacts.
vii) Grievance Redressal Mechanism to address concerns and grievances of the affected people in the course of the project cycle.
(vii) For category A projects in addition to the requirements mentioned under 5 and 6, special emphasis must be given to induced/cumulative impacts of the projects, various alternatives of the project and impacts associated with each alternative. A minimum of two public consultations must be carried out during the early stages of the project and after preparation of the first draft of the EIA. The findings of the EIA must be shared in a form or nature that is accessible and understandable by the affected persons or necessary recommendations and guidelines made for sharing such kind of information at a later stage.
(viii) If information is not clear on any potentially environmentally sensitive issue further detailed studies will be necessary. For example if a category B project involves a potential sensitive issue such as wildlife habitat fragmentation or air pollution, further studies must be carried out to confirm whether the project needs to be upgraded to a category A project or not. Similarly if a project previously categorized as A is later downgraded to a category B, necessary information must be provided to justify the case.
(ix) As part of the IEE/EIA study the institutional set up and capacity of the EA must be assessed for adequacy in meeting the environment safeguard requirements of
34 Attachment B
the National Government as well as ADB. Institutional and capacity needs if any must be identified and planned for with adequate budge provisions.
(x) The EIA/IEE report including EMPs must be prepared and revised to incorporate feedback from all relevant stakeholders including the EA, ADB, affected persons and others. Prior to finalization, draft reports should be submitted to DCA and ADB for review.
Attachment B 35
4. Reports, Time Schedule, and Payment
25. The consulting services will be implemented over thirty-three (33) calendar months from the commencement date. The following reports, in the English language, will be submitted by the consultant to the Government (25 copies) and ADB (3 copies), including CD-ROM.
Table 1: Report delivery and payment schedule
Cumulative Submission Deadline Payment Ceiling (no. of months after (% of Total Report Description/Technical Accomplishments the commencement Remuneration + date) Out–of–Pocket Expenses ) Inception Report Description of proposed methodology, works and staffing schedules; comments on the ToR for this variation and comment and observation on issues 3.00 10% which may have technical or financial implications or which may affect the progress of the works
Draft F/S Report (a) summary of activities, (b) documentation of data analyses, and recommendations developed under the terms of reference, (c) stakeholder assessment (social and environments data); IEE’s, (d) assessment of the effectiveness of the activities 9.00 40% undertaken, (e) conclusion, (f) recommendation for the PPP-scheme to be used and (g) recommendation for the route alignment option for detailed design. Final F/S Report Revised F/S report incorporating the comments. 15.00 ( or 4 weeks after 50% receiving comments, whichever is later) Draft Final Covers the design services with: (a) summary of Report (including activities; (b) documentation of all data, analyses, the detail design) and recommendation developed under the terms of reference; (c) Land Acquisition Documents and IPP including drawings; (d) complete set of engineering 27.00 90% drawings; (e) BOQ for the engineering design and all related cost such as land acquisition, RP, IPP and EMP implementation, etc. ; (f) Procurement Plan; (g) support PPP bidding process; and (h) any other necessary documents Final Report Revised final report incorporating the comments. 33.00 ( or 8 weeks after 100% receiving comments, whichever is later)
36 Attachment B
5. Estimated Consultant Inputs
26. For the Engineering Consultant contract package, the assignment will be carried out over period of thirty-three (33) months from the date of commencement and will require about 115 person–months of international inputs and 390 person–months of domestic inputs. It is anticipated that the consultant’s staffing inputs will generally be as set bellow.
Table 2: Staffing schedule – International Experts
Experience and Qualifications Input Expert in relevant field (Person Months) Team Leader/Senior Highway 20 years with Bachelor Degree in 24 months Engineer (International) Engineering and Post Graduate Qualifications
Senior Pavement/Material Engineer 15 years with Bachelor Degree and Post 6 months (International) Graduate Qualifications Senior Bridge Engineer 15 years with Bachelor Degree and Post 12 months (International) Graduate Qualifications Senior Geotechnical/Material 15 years with Bachelor Degree and Post 6 months Engineer (International) Graduate Qualifications Senior Hydrologist/River Training 15 years with Bachelor Degree and Post 6 months Specialist (International) Graduate Qualifications Transport Economist (International) 15 years with Bachelor Degree and Post 6 months Graduate Qualifications
Road Safety Specialist (International) 15 years with Bachelor Degree and Post 6 months Graduate Qualifications Social/Resettlement Specialist 15 years with Bachelor Degree and Post 3 months (International) Graduate Qualifications
Environmental Specialist 15 years with Bachelor Degree and Post 3 months (International) Graduate Qualifications
Asset Management Specialist 15 years with Bachelor Degree and Post 6 months (International) Graduate Qualifications Contract/Procurement Specialist 15 years with Bachelor Degree and Post 6 months (International) Graduate Qualifications PPP Financial Analysis Specialist 15 years with Bachelor Degree and Post 6 months (International) Graduate Qualifications GIS Specialist/Surveyor 15 years with Bachelor Degree and Post 16 months (International) Graduate Qualifications PPP Contract Specialist 15 years with Bachelor Degree and Post 9 months (International) Graduate Qualifications
Attachment B 37
Table 3: Staffing schedule – Local Experts
Expert Experience and Qualifications Input in relevant field (Person Months) Deputy Team Leader/Highway 10 years(HW Design) with BSc in 36 months Engineer (Local) Engineering and Post Graduate Qualifications Highway Design Engineers (Local, 3 8 years with BSc in Engineering 60 months Positions) Bridge/Structure Engineers (Local, 2 10 years(Bridge Design) with BSc in 40 months Positions) Engineering, Professional membership and Post Graduate Qualifications Traffic Engineer (Local, 2 Positions) 10 years with BSc in Engineering and 12 months Post Graduate Qualifications Procurement Specialist (Local, 1 10 years with BSc in Engineering and 16 months Position) Post Graduate Qualifications Quantity Surveyor (Local, 1 Position) 8 years with BSc in QS 20 months Geotechnical Engineer (Local, 1 10 years with BSc in Engineering and 16 months Position) Post Graduate Qualifications Material Engineer (Local, 1 Position) 8 years with BSc in Engineering 20 months Pavement Engineer (Local, 2 10 years with BSc in Engineering 20 months Positions) River Training Engineers/ 10 years with BSc in Engineering 12 months Hydrologists (Local, 1 Position) Surveyors (Local, 3 Positions) 8 years with BSc 45 months Environmental Specialist ( Local, 2 10 years with Bachelor Degree and Post 16 month Positions) Graduate Qualifications Sociologist (Local, 2 Positions) 10 years with Bachelor Degree and Post 20 months Graduate Qualifications Asset Management Specialist (Local, 10 years with BSc in Engineering and 12 months 1 Position) Post Graduate Qualifications Traffic Modeller (Local, 1 Position) 10 years with BSc in Engineering and 9 months Post Graduate Qualifications GIS Operators (Local, 1 Position) 8 years with BSc 36 months
38 Attachment C
TERMS OF REFERENCE Transaction Advisor
1. The EA seeks the services of a qualified firm to act as a Financial Transaction Advisory Consultant (the Consultant) for preparing pre-qualification and bid documents for the Concession Agreement, the Concession Agreement itself and for support of the EA during the bidding process. The consultant shall base his services on the findings of the engineering design consultant appointed by the EA under the same TA loan and on relevant rules, regulations, guidelines and standard documents of the Government for PPP projects.
2. The bid process, bid document and the concession agreement shall be in line with applicable rules, regulations, standard documents and guidelines of ADB, especially ADB's Procurement Guidelines (2010, as amended from time to time) and ADB’s Safeguard Policy Statement 2009 (SPS), should partial financing of the ensuing investment project by ADB be requested by the Government.
3. The outline TOR and the scope of the consultancy services for this assignment are as specified below, but not limited to the following:
(i) The Consultant shall be responsible for preparing the Concession Agreement and for bringing out any special feature or requirement of the Project referred to in the Concession Agreement or the engineering design under preparation under a separate contract by the EA.
(ii) The Consultant shall also participate in the pre-bid conferences with the Bidders of the Project and assist the EA in clarifying the financial aspects arising from the Bid Documents.
(iii) The Consultant shall make available the Financial Expert and other Key Personnel to attend and participate in meetings, conferences and discussions with the EA and shall otherwise advise on and assist the EA in the diverse commercial issues that may arise from time to time.
(iv) The Consultant shall be responsible for review of the financial parameters and examination of the viability of the Project. The Consultant will also render advisory services for conducting the bid process and will assist in the preparation of bidding documents and in conducting the bidding process for selection of the concessionaire for the project. The Consultant shall also maintain, update and disseminate the necessary data and information related to the Project and the bid process. During interaction with the bidders and stakeholders, the Consultant shall assist the EA in responding to all queries satisfactorily and within the specified time. The Consultant shall render advisory services up to the signing of the Concession Agreement.
(v) The Consultant shall assist in preparing the pre-qualification (PQ) document for project-specific purposes. The Consultant shall also assist the EA in the pre- qualification process. The EA intends to pre-qualify and short-list bidders on the basis of the response to the pre-qualification document.
(vi) The Consultant shall assist in preparing the Bid Documents including the draft Concession Agreement based on the standard documents prepared by the PPP
Attachment C 39
cell in the Prime Minister’s Office of the Government of Bangladesh, other applicable rules and regulations of the Government and the EA and international best practice. For this purpose, he shall work closely with the EA and its engineering design consultants. Bid documents would include the draft Concession Agreement and the Feasibility Report. Bids to be submitted by the bidders shall be based on the aforesaid bid documents. The bid document and the concession agreement shall be in line with applicable rules, regulations and guidelines of ADB, should partial financing of the ensuing investment project by ADB be requested by the Government.
(vii) The Consultant shall assist the EA in the bid process for selection of the Concessionaire from among the Bidders and till the signing of the Concession Agreement. This will primarily relate to participation in pre-bid meetings and answering questions or issuing clarifications with the approval of the EA. The Consultant shall also assist the EA in engaging with the bidders on different aspects of the Project such as its assets, the process of the transaction, the Revenue Model and the structure of the Project. It will also assist the EA in preparing internal notes and projections for securing governmental approvals, if any.
(viii) The EA intends to select the preferred bidder on the basis of the Proposals received from pre-qualified bidders. The Consultant shall also assist the EA in evaluating the financial proposals and in engaging with the selected bidder till execution of the Concession Agreement.
(ix) The Consultant shall provide legal advisory services as required and any other advice and assistance as may be necessary and incidental to the Services and as may be requested by the EA in respect of the Project, including but not limited to attending meetings, conferences and discussions with the EA, and shall otherwise advise on and assist the EA in the diverse commercial issues that may arise from time to time. The Consultant shall be responsible primarily for providing advice relating to financial and legal issues arising from or during the course of the bidding process and the documents relating thereto.
4. The consulting services will be provided by an international consulting firm in the nature of intermittent services as required till the Completion of Services. The Consulting Services will be provided over a period of thirty-three months from July 2012 to March 2015. The Consulting Team will consist of an international Team Leader cum financial advisor (Input 3 person- months) with experience in PPP-infrastructure projects of similar nature and extent, an international legal advisor (Input 2 person-months) and a national deputy team leader (Input 10 person-months) with experience in financial transaction with international contractors and the legal system for PPP-related contracts in Bangladesh.
40 Attachment D
TERMS OF REFERENCE Safeguard Implementation Component
1. The Consultants will assist the Executing Agency (EA) in implementing the Resettlement Plan (RP), Indigenous People Plan (IPP) and other relevant social mitigation plans (estimated duration of services: 10 National Consultants at 240 person-months). The Consultants will:
(i) Assist the EAs and Deputy Commissioner for land acquisition. (ii) Develop resettlement and rehabilitation (R&R) information campaigns and community participation. (iii) Assist Displaced Persons (DP), especially from indigenous people, vulnerable groups, in resettlement and rehabilitation, including redressing grievances, and coordination with local authorities and other relevant institutions. (iv) Calculate detailed costs of all land acquisition, income restoration and resettlement components. (v) Update the database of DPs and their entitlements for implementation and monitoring purposes. (vi) Monitor and evaluate progress and achievement of resettlement objectives.
2. The administrative responsibilities of the Consultants will include:
(i) Working in coordination with the dedicated Resettlement and Rehabilitation Officers (RO) and Executive Engineers in the respective District level Implementation Cells. (ii) The Consultants shall help to promote good working relationships between the DPs and the PEAS, particularly the RO. This will be achieved through regular meetings with both the RO and the DPs. Meetings with the RO will be held at least fortnightly, and meetings with the DPs will be held monthly, during the entire duration of the assignment. The consultants shall document all meetings and decisions taken. (iii) Preparing monthly action plans with targets in consultation with the RO. (iv) Assisting the RO in carrying out the implementation of the RP/IPP. (v) Updating the database of DPs and their entitlements. (vi) In consultation with the DPs, preparing micro-level plans indicating the categories of entitlement, alternative livelihood options, and relevant institutions for obtaining additional training and support. Women's perceptions are important to be incorporated in the development of these plans. (vii) Reporting to the RO on a monthly and quarterly basis. The report should include physical and financial progress, both in quantitative and qualitative terms. The report should prominently feature the problems and issues addressed and tackled with the DPs and the solutions found. The report should have a separate chapter on women's issues, their problems and what has been done (within the framework of the RP/IPP) to ensure their participation in decision-making as well as the options made available to them to access economic opportunities, marketing and credit. The report should clearly indicate the number of field visits made by the NGO/Agency staff and the outcome of consultations with people.
3. Identification of DPs and verification of database from RAP:
(i) The NGO/Agency shall establish rapport with DPs, consult with and provide information to them about the respective entitlements as proposed under the
Attachment D 41
RP/IPP, and distribute identity cards to the eligible DPs. The identity card should include a photograph of the DP, the extent of loss suffered due to the Project, and the choice of the DP with regard to the mode of compensation and assistance. (ii) During the identification and verification of the eligible DP from RAP, the Consultants shall ensure that each of the DP are contacted and consulted either in groups or individually. The Consultants shall ensure consultation with women from the PAP families especially from women headed households. (iii) Participatory methods should be adopted in assessing the needs of the DP, especially with regard to the vulnerable groups of DP. The methods of contact may include village level meetings, gender participation through group’s interactions, and individual meetings and interactions. (iv) The Consultants shall verify the information already contained in the RP/IPP and make suitable changes if required. Verification shall include actual measurement of the extent of total property loss/damage, and valuation of the loss/damage/affect along with the RO. The Consultants shall display the list of eligible DPs in prominent public places like villages, local administrative offices, schools, and the District Headquarters.
4. Counseling the entitled persons:
(i) The Consultants shall explain to the DPs the provisions of the policy and the entitlements under the RP/IPP. This shall include communication to the roadside squatters and encroachers about the need for their removal, the timeframe for their removal and their entitlements. (ii) The Consultants shall disseminate information to the DPs on the possible consequences of the Project on the communities' livelihood systems and the alternatives available to them.
5. For disbursing the Resettlement Assistance:
(i) The Consultants shall assist the EA in ensuring a smooth transition (during the part or full relocation of the DPs), helping the DPs to take salvaged materials and shift. In close consultation with the DPs, the Consultants shall inform the RO about the shifting dates agreed with the DPs in writing and the arrangements desired by the DPs with respect to their entitlements. (ii) The Consultants shall assist the DPs in opening bank accounts explaining the implications, the rules and the obligations of a joint account and how s/he can access the resources s/he is entitled to. (iii) The Consultants shall ensure proper utilization of the R&R budget available for the package. (iv) The Consultants shall ensure that economic investment options be available to DPs to restore their losses of land and other productive assets. The Consultants shall advise the RO to disburse the entitlements to the eligible persons/families in a manner that is transparent, and shall report to the PEAS on the level of transparency achieved in the project.
42 Attachment D
6. Accompanying and Representing the DPs at the Grievance Committee Meetings
(i) The Consultants shall nominate a suitable staff member to be a member of the Grievance Redress Committees (GRCs) for the respective contract packages. (ii) The Consultants shall help the DPs in filling the grievance application and also in clearing their doubts about the required procedures. (iii) The Consultants shall record the grievance and bring it to the notice of the GRCs within seven days of receipt of the grievance from the DPs. It shall submit a draft resolution with respect to the particular grievance of the DP, suggesting multiple solutions, if possible, and deliberate on the same in the GRC meeting through the NGO/Agency representative in the GRC. (iv) The Consultants shall accompany the DPs to the GRC meeting on the decided date, help the AP to express his/her grievance in a formal manner if requested by the GRC and again inform the DPs of the decisions taken by the GRC within 3 days of receiving a decision from the GRC. (The time frame for the GRC to take a decision is 15 days).
7. Assisting eligible DPs to take advantage of the existing Government Housing and Employment Schemes
(i) Establish linkages with the district administration to ensure that the DPs are benefited from the schemes available and those they are entitled to. The Consultants shall focus on the vulnerable DPs’ income restoration. The Consultants shall maintain a detailed record of such facilitation. (ii) Identify, design and conduct training programs on alternative methods of livelihood restoration using local skills and resources.
8, Inter-Agency Linkages for Income Restoration and other R&R Services
(i) The Consultants shall be responsible for establishing linkages with financial institutions to assist the DPs to access credit, if possible. (ii) Training institutes to impart skills and management training for enterprise creation and development. (iii) Coordinate with the EA/ IA field level officers to facilitate consultation on rehabilitation of borrow areas.
9. Recommending Improvement of R&R Services
(i) Recommend and suggest techniques and methods for improvement of services extended by the concerned government departments and other agencies and committees in disbursement/extension of R&R services in the Project. (ii) Discuss, with the EA on contingency management and other improvement of R&R services, within the Project period.
10. Conduct HIV/AIDS and Human trafficking awareness campaign, implement gender action plan (if any) and other social mitigation plans at Project influenced areas as per feasibility and detailed design study for the project.
Attachment E 43
Detailed cost estimate for the consulting services under the TA loan ($ million)
Total Item Cost A. Asian Development Bank 1. Consultants a. Remuneration and per diem i. International consultants 3.00 ii. National consultants 2.50 b. International and local travel 0.15 c. Reports and communications 0.05 2. Equipment 0.25 3. Workshops, Training, seminars, and conferences 0.05 4. Surveys, Studies, Support for safeguard implementation 2.00 5. Miscellaneous administration and support costs 0.50 6. Contingencies 1.00 7. Incremental and administration cost 0.25 8. Interest during Implementation 0.25 Subtotal (A) 10.00
B. Government of Bangladesh 1. Office accommodation and transport 0.50 2. Remuneration and per diem of counterpart staff 0.75 3. Taxes and duties 1.25 Subtotal (B) 2.50 Total 12.50 Source: Asian Development Bank estimates.