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44058-013: Kathmandu Sustainable Urban Transport Project

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44058-013: Kathmandu Sustainable Urban Transport Project Completion Report Project Number: 44058-013 Loan Number: 2656 Grant Numbers: 0212, 0239 June 2020 Nepal: Kathmandu Sustainable Urban Transport Project This document is being disclosed to the public in accordance with ADB’s Access to Information Policy. CURRENCY EQUIVALENTS Currency unit – Nepalese Rupees (NRe/NRs) At Appraisal At Project Completion 14 April 2010 30 June 2018 NRe1.00 = $0.013 $0.009 $1.00 = NRs71.53 NRs109.85 ABBREVIATIONS ADB – Asian Development Bank AQM – air quality monitoring BLR – Bishnumati Link Road CPS – country partnership strategy DMF – design and monitoring framework DOE – Department of Environment DOR – Department of Roads DOTM – Department of Transport and Management DSC – Design and supervision consultant DSY – Digo Sarbajanik Yatayat EIRR – economic internal rate of return EMP – environmental management plan FNNTE – Federation of Nepalese National Transport Entrepreneurs GEF – Global Environment Facility GESI AP – gender equality and social inclusion action plan GRM – grievance redress mechanism HLPCC – high-level policy coordination committee ITS – intelligent traffic system JICA – intelligent traffic system KM – kilometer KMC – Kathmandu Municipal Corporation KSUTP – Kathmandu Sustainable Urban Transport Project MWCSW – Ministry of Women, Children, and Social Welfare MOSTE – Ministry of Science, Technology, and Environment MOU – memorandum of understanding MPIT – Ministry of Physical Infrastructure and Transport MTPD – Metropolitan Transport Police Division PSC – project steering committee PIU – project implementation unit PMCO – project management and coordination office PMCBC – project management and capacity building consultant PPP – public–private partnership PWD – person with disabilities TDF – Town Development Fund UTS urban transport system NOTES (i) The fiscal year (FY) of the Government of Nepal and Ministry of Physical Infrastructure and Transport ends on 15 July. “FY” before a calendar year denotes the year in which the fiscal year ends, e.g., FY2020 ends on 15 July 2020. (ii) In this report, “$” refers to United States dollars. Vice-President Shixin Chen, Operations 1 Director General Kenichi Yokoyama, South Asia Department (SARD) Director Mukhtor Khamudkhanov, Nepal Resident Mission (NRM), SARD Team leader Naresh Pradhan, Senior Project Officer (Transport), NRM, SARD Team member{s} Deewas Khadka, Associate Financial Management Officer, NRM, SARD Sujan Raj Regmi, Project Analyst, NRM, SARD Deepak B. Singh, Senior Environment Officer, NRM, SARD Suman Subba, Senior Social Development Officer (Gender), NRM, SARD Laxmi P. Subedi, Senior Social Development Officer (Safeguards), NRM, SARD In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or another status of any territory or area. CONTENTS BASIC DATA i I. PROJECT DESCRIPTION 1 II. DESIGN AND IMPLEMENTATION 1 A. Project Design and Formulation 1 B. Project Outputs 2 C. Project Costs and Financing 5 D. Disbursements 5 E. Project Schedule 6 F. Implementation Arrangements 6 G. Consultant Recruitment and Procurement 7 H. Gender Equity 7 I. Safeguards 8 J. Monitoring and Reporting 9 III. EVALUATION OF PERFORMANCE 10 A. Relevance 10 B. Effectiveness 11 C. Efficiency 11 D. Sustainability 12 E. Development Impact 12 F. Performance of the Borrower and the Executing Agency 13 G. Performance of Cofinancier 13 H. Performance of the Asian Development Bank 13 I. Overall Assessment 14 IV. ISSUES, LESSONS, AND RECOMMENDATIONS 14 A. Issues and Lessons 14 B. Recommendations 15 APPENDIXES 1. Design and Monitoring Framework 16 2. Project Cost at Appraisal and Actual 21 3. Project Cost by Financier 22 4. Disbursement of ADB Loan and Grant Proceeds 24 5. Contract Awards of ADB Loan and Grant Proceeds 25 6. Project Implementation Schedule 26 7. Implementation of Gender Equality and Social Inclusion Action Plan and Achievements 27 8. Status of Grant and Loan Covenants 35 9. Economic Analysis 43 10. Financial Analysis of Pilot Route Operation 47 BASIC DATA A. Loan Identification 1. Country Nepal 2. Loan number and financing source 2656, Concessional OCR 0212, Asian Development Fund 0239, Global Environment Facility 3. Project title Kathmandu Sustainable Urban Transport Project 4. Borrower Government of Nepal 5. Executing agency Ministry of Physical Infrastructure and Transport 6. Amount of loan and grant $22.52 million [ADB Loan $10.00 million (SDR6.89 million), ADB Grant $10.00 million, GEF Grant $2.52 million] 7. Financing modality Project loan and grant B. Loan/Grant Data 1. Appraisal – Date started 2656: 29 March 2010 0212: 29 March 2010 0239: 29 March 2010 – Date completed 2656: 14 April 2010 0212: 14 April 2010 0239: 14 April 2010 2. Loan/grant negotiations – Date started 2656: 14 June 2010 0212: 14 June 2010 0239: 14 June 2010 – Date completed 2656: 15 June 2010 0212: 15 June 2010 0239: 15 June 2010 3. Date of Board approval 2656: 22 July 2010 0212: 22 July 2010 0239: 30 November 2010 4. Date of the loan/grant agreement 2656: 26 October 2010 0212: 26 October 2010 0239: 22 July 2011 5. Date of loan/grant effectiveness – In loan/grant agreement 2656: 24 January 2011 0212: 24 January 2011 0239: 20 October 2011 – Actual 2656: 5 January 2011 0212: 5 January 2011 0239: 7 November 2011 ii – Number of extensions 2656: None 0212: None 0239: None 6. Project completion date – Appraisal 2656: 31 December 2014 0212: 31 December 2014 0239: 31 December 2014 – Actual 2656: 31 December 2017 0212: 30 June 2018 0239: 30 June 2018 7. Loan/grant closing date – In loan/grant agreement 2656: 30 June 2015 0212: 30 June 2015 0239: 30 June 2015 – Actual 2656: 31 December 2017 0212: 30 June 2018 0239: 30 June 2018 – Number of extensions 2656: 2 0212: 3 0239: 3 8. Financial closing date – Actual 11 December 2019 9. Terms of loan – Interest rate 1% per annum during the grace period and 1.5% after that – Maturity (number of years) 32 – Grace period (number of years) 8 10. Terms of relending (if any) Not applicable – Interest rate – Maturity (number of years) – Grace period (number of years) – Second-step borrower 11. Disbursements a. Dates 2656 Initial Disbursement Final Disbursement Time Interval 5 July 2011 23 August 2018 85 months Effective Date Actual Closing Date Time Interval 5 January 2011 11 December 2019 107 months 0212 Initial Disbursement Final Disbursement Time Interval 6 October 2011 31 July 2018 82 months Effective Date Actual Closing Date Time Interval 5 January 2011 11 July 2019 102 months iii 0239 Initial Disbursement Final Disbursement Time Interval 7 March 2017 31 July 2018 17 months Effective Date Actual Closing Date Time Interval 7 November 2011 11 July 2019 92 months b. Amount ($ ‘000) Increased Canceled Last Original during during Revised Amount Undisbursed Allocation Implementation Implementation Allocation Disbursed Balance Category (1) (2) (3) (4=1+2–3) (5) (6 = 4–5) Civil Works 8,397.80 - 4,316.57 4,081.23 3,588.36 492.87 Vehicles and 1,935.00 - 1,163.36 771.64 489.25 282.39 Equipment Consulting 3,823.30 - - 3,823.30 3,524.72 298.58 Services TDF (Grants to 3,800.00 - - 3,800.00 863.37 2,936.32 purchase Electric Vehicles and Equipment) Training and 316.40 - 15.26 301.14 15.78 285.34 Capacity Building Studies and 862.00 30.00 - 892.00 930.77 (38.77) Surveys Advocacy 186.10 - - 186.10 48.63 137.50 Project 175.20 156.88 - 332.08 325.73 6.35 Management Lease of Land 16.40 - - 16.40 - 16.40 for Terminals Unallocated 2,919.80 - 2,750.73 169.07 - 169.06 Interest During 88.00 - 1.51 86.48 86.48 Construction Total 22,520.00 186.88 8,247.44 14,459.44 9,873.10 4,586.35 Amount (SDR ‘000): 2656 Increased Canceled Last Original during during Revised Amount Undisbursed Allocation Implementation Implementation Allocation Disbursed Balance Category (1) (2) (3) (4=1+2–3) (5) (6 = 4–5) Civil Works 5,782.00 - (3,288.87) 2,493.13 2,493.13 0 iv Vehicles and 386.00 - (287.42) 98.58 98.58 0 Equipment Unallocated 657.00 - (657.00) - - 0 Interest During 61.00 - 61.00 61.00 0 Construction Total 6,886.00 - (4,233.29) 2,652.70 2,652.70 0 Amount ($ ‘000): 0212 & 0239 Increased Canceled Last Original during during Revised Amount Undisbursed Allocation Implementation Implementation Allocation Disbursed Balance Category (1) (2) (3) (4=1+2–3) (5) (6 = 4–5) Vehicles and 1,375.00 - 800.00 575.00 346.78 228.22 Equipment Consulting 3,823.30 - - 3,823.30 3,524.72 298.58 Services TDF (Grants to 3,800.00 - - 3,800.00 863.37 2,936.62 purchase Electric Vehicles and Equipment) Training and 316.40 - 15.26 301.14 15.79 285.34 Capacity Building Studies and 862.00 30.00 - 892.00 930.79 (38.79) Surveys Advocacy 186.10 - - 186.10 48.60 137.50 Project 175.20 156.88 - 332.08 325.73 6.35 Management Lease of Land 16.40 - - 16.40 - 16.40 for Terminals Unallocated 1,965.60 - 1,871.62 93.97 - 93.97 Total 12,520.00 186.88 2,686.88 10,020.00 6,055.80 3,964.20 C. Project Data 1. Project cost ($‘000) Cost Appraisal Estimate Actual Foreign exchange cost 11,399.40 4,639.20 Local currency cost 19,020.60 7,740.80 Total 30,420.00 12,380.80 v 2. Financing plan ($’000) Cost Appraisal Estimate Actual Implementation cost Borrower financed 7,900 2,507.71 ADB financed 20,000 8,851.40 Other external financing - GEF 2,520 1,021.69 Total implementation cost 30,420 12,380.80 Interest during construction costs Borrower financed 0 0 ADB financed 88 86.48 Other external financing 0 0 Total interest during construction cost 88 86.48 3.
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