AFRICAN DEVELOPMENT FUND TRANS-SAHARA HIGHWAY (TSH) PROJECT COUNTRY : MULTINATIONAL (ALGERIA/NIGER/CHAD) PROJECT APPRAISAL REPORT OITC DEPARTMENT November 2013 Translated Document TABLE OF CONTENTS 1 STRATEGIC THRUST AND RATIONALE ............................................................................ 1 1.1 Project Linkages with Country and Regional Strategies and Objectives ................................................. 1 1.2 Rationale for Bank Involvement ............................................................................................................ 1 1.3 Aid Coordination ...................................................................................................................................... 2 2 PROJECT DESCRIPTION ..................................................................................................... 3 2.1 Project Objectives and Components ......................................................................................................... 3 2.2 Technical Solutions Adopted and Alternatives Explored ......................................................................... 5 2.3 Project Type .............................................................................................................................................. 6 2.4 Estimated Project Cost and Financing Arrangements ............................................................................... 7 2.5 Project Areas and Beneficiaries ................................................................................................................ 8 2.6 Participatory Approach to Project Identification, Design and Implementation ...................................... 10 2.7 Consideration of Bank Group Experience and Lessons Learnt from Project Design ............................. 10 2.8 Key Performance Indicators .................................................................................................................... 11 3 PROJECT FEASIBILITY ..................................................................................................... 11 3.1 Economic and Financial Performance..................................................................................................... 11 4 IMPLEMENTATION ............................................................................................................ 14 4.1 Implementation Arrangements ................................................................................................................ 14 4.2 Monitoring/Evaluation ............................................................................................................................ 17 4.3 Governance ............................................................................................................................................. 18 4.4 Sustainability........................................................................................................................................... 18 4.5 Risk Management ................................................................................................................................... 19 4.6 Knowledge Building ............................................................................................................................... 20 5 LEGAL FRAMEWORK ....................................................................................................... 20 5.1 Legal Instrument ..................................................................................................................................... 20 5.2 Conditions Related to Bank Intervention ................................................................................................ 20 5.3 Compliance with Bank Policies .............................................................................................................. 21 6 RECOMMENDATION ............................................................................................................ 21 LIST OF TABLES No. TITLE Page Table 2.1 - Project Components .......................................................................................................................................................................... 3 Table 2.2 - Alternative Solutions Explored and Reasons for Rejection .............................................................................................................. 6 Table 2.3 - Consolidated Cost Estimates by Component ................................................................................................................................... 6 Table 2.4 - Estimated Costs by Components and Country .................................................................................................................................. 8 Table 2.5 - Sources of Financing by Country ..................................................................................................................................................... 7 Table 2.6 - Consolidated Costs by Expenditure Categories ................................................................................................................................ 8 Table 2.7 - Allocation of ADF Financing ........................................................................................................................................................... 8 Table 3.1 - Summary of Economic Analysis .................................................................................................................................................... 11 Table 3.2 - Table of the Costs of the Environmental and Social Management Plan Consolidated Cost Estimates by Component .............................................................................................................................................. …..11 APPENDIX I: COMPARATIVE SOCIO-ECONOMIC INDICATORS APPENDIX II: TABLES OF BANK PORTFOLIO APPENDIX III: MAJOR RELATED PROJECTS FINANCED BY THE BANK AND OTHER DEVELOPMENT PARTNERS APPENDIX IV: MAP OF PROJECT AREA ANNEXES: MAJOR ARGUMENTS IN SUPPORT OF THE REPORT Currency Equivalents May 2013 UA 1 = USD 1.50900 UA 1 = EUR 1. 15437 UA 1 = CFAF 757 .21708 UA 1 = DZD 118.448 Fiscal Year 1 January - 31 December Weights and Measures 1 metric tonne = 2,204 pounds 1 metre (m) = 3.28 feet 1 millimetre (mm) = 0.03937 inch 1 kilometre (km) = 0.62 mile 1 hectare (ha) = 2.471 acres Acronyms and Abbreviations AADT Annual Average Daily Traffic AfDB African Development Bank t ADF African Development Fund AFD French Development Agency AMU Arab Maghreb Union BADEA Arab Bank for Economic Development in Africa BC Bituminous Concrete BDEAC Development Bank of Central African States BOAD/WADB West African Development Bank BTP Construction and Public Works CAFER Autonomous Road Maintenance Financing Fund CBD Competitive bidding documents CEMAC Economic and Monetary Community of Central Africa CFAF Franc of the Financial Cooperation in Africa CLRT Trans-Saharan Road Liaison Committee CSCP Transport Project Monitoring and Coordination Unit in Chad CSP Country Strategy Paper CTS Blood Transfusion Centre DGGT Directorate General for Public Works DGR Directorate General for Roads DGTP Directorate General for Major Works DTS Trans-Sahara Backbone DZD Algerian Dinar EBID ECOWAS Bank for Investment and Development ECCAS Economic Community of Central Africa States ECOWAS Economic Community of West African States ERR Economic Rate of Return EU European Union FER Road Maintenance Fund FSF Fragile States Facility ICT Information and Communications Technology IDB Islamic Development Bank INS National Institute of Statistics INSEED National Institute for Statistics, Economic and Demographic Studies JCP Juxtaposed Checkpoint JTC Joint Technical Committee KFAED Kuwait Fund for Arab Economic Development LTS Long-Term Strategy of the African Development Bank MEQ Ministry of Equipment MIEP Ministry of Infrastructure and Transport MTP Ministry of Public Works NEPAD New Partnership for Africa’s Economic Development NFSP National Food Security Programme NPV Net Present Value OFID OPEC Fund for International Development PDES Economic and Social Development Plan PIA Project Impact Area PIDA Programme for Infrastructure Development in Africa PND National Development Plan (Chad) PNDT National Transport Development Plan (Algeria) RISP Regional Integration Strategy Paper SFD Saudi Fund for Development SNRS National Road Safety Strategy SNT National Transport Strategy STD Sexually Transmitted Diseases STI Sexually Transmitted Infections TFPC Technical and Financial Partners' Committee TSH Trans-Sahara Highway UA Unit of Account USD United States Dollar Veh/D Vehicles per day VOC Vehicle operating cost WAEMU West African Economic and Monetary Union WB World Bank ii PROJECT INFORMATION SHEET Client Information Donees/Borrowers : Republic of Niger and Republic of Chad Project : Multinational Trans-Sahara Highway (TSH) Project Location : Tilaberi and Agadez Regions in Niger; Hadjer Lamis, Lake and Kanem Regions in Chad; and Tamanrasset Wilaya in Algeria Executing Agencies : (i) Ministry of Infrastructure and Transport (MIT) in Chad, acting through the Directorate General for Roads (DGR) (ii) Ministry of Equipment (MEQ) in Niger, acting through the Directorate General for Major Works (DGGT) (iii) Ministry of Public Works (DPW) in Algeria, acting through the Directorate General for Roads (DGR) (iv) General Secretariat of the Trans-Sahara Highway Liaison Committee (CLRT), for the overall cross-cutting project coordination. 1. Financing Plan