Ministry of Public Works and Transport Integrated Urban Environmental Management in the Tonle Sap Basin Project QUARTERLY PROGRESS REPORT No. 8 01 October to 31 December 2018 ANNUAL REPORT 2018 January 2019 Consulting Services for Project Management and Implementation Support (PMIS, Package 1) Integrated Urban Environmental Management in the Tonle Sap Basin Project (IUEMTSBP) ADB LoanNo.3311-CAM (SF) / 8295-CAM (SCF) / Grant 0454-CAM--Contract No. PMU/MPWT/IUEMTSP/QCBS/16/001 Integrated Urban Environmental Management in the Tonle Sap Basin (IUEMTB) Project QPR 8, Annual Report 2018 INTEGRATED URBAN ENVIRONMENTAL MANAGEMENT IN THE TONLE SAP BASIN PROJECT QUARTERLY PROGRESS REPORT NO.8 01 OCTOBER – 31 DECEMBER, 2018 ANNUAL REPORT 2018 TABLE OF CONTENTS TABLE OF CONTENTS ........................................................................................................................................................I LIST OF TABLES AND FIGURES ..........................................................................................................................................II LIST OF ANNEXES ............................................................................................................................................................ III ABBREVIATIONS....................................................................................................................................................... IV 1 EXECUTIVE SUMMARY ............................................................................................................................................ 1 1.1 BACKGROUND .............................................................................................................................................................. 1 1.2 OVERALL PROJECT PROGRESS ........................................................................................................................................... 1 1.3 CONSULTANT SERVICES ................................................................................................................................................... 3 1.4 TARGETS FOR THE NEXT QUARTER ...................................................................................................................................... 3 2 PROJECT BACKGROUND .......................................................................................................................................... 4 2.1 BACKGROUND .............................................................................................................................................................. 4 2.2 PROJECT BASIC DATA ..................................................................................................................................................... 4 3 DOCUMENT ............................................................................................................................................................ 4 3.1 ADB REVIEW MISSIONS ................................................................................................................................................. 5 3.2 COMPLIANCE WITH ACTIONS AGREED DURING THE SPECIAL PROJECT ADMINISTRATION MISSION ..................................................... 6 4 FINANCING AND FUND UTILIZATION ....................................................................................................................... 9 4.2 FUND UTILIZATION ......................................................................................................................................................... 9 4.3 S CURVES FOR CONTRACT AWARDS AND DISBURSEMENTS ...................................................................................................... 12 4.4 PROCUREMENT PLAN ................................................................................................................................................... 13 5 IMPLEMENTATION PROGRESS .............................................................................................................................. 14 5.1 STATUS OF PROJECT IMPLEMENTATION AND REVISED PROJECT IMPLEMENTATION SCHEDULE ....................................................... 14 5.2 KAMPONG CHHNANG URBAN ENVIRONMENTAL IMPROVEMENTS ........................................................................................... 15 5.2.1 Flood Protection Embankment ...................................................................................................................... 15 5.2.2 Improved Solid Waste management .............................................................................................................. 17 5.3 PURSAT URBAN ENVIRONMENTAL IMPROVEMENTS ............................................................................................................. 18 5.3.1 Improvement Drainage in Pursat Town and Waste Water Treatment ........................................................... 18 5.3.2 Improved Solid Waste management .............................................................................................................. 19 5.4 INSTITUTIONAL DEVELOPMENT ....................................................................................................................................... 20 5.5 TARIFF STRUCTURE TARIFF SETTING AND SUBSIDY METHODOLOGY ......................................................................................... 21 5.6 PUBLIC PRIVATE PARTNERSHIP DEVELOPMENT ................................................................................................................... 22 6 PROJECT MANAGEMENT ARRANGEMENTS ........................................................................................................... 27 6.1 PROJECT MANAGEMENT UNIT (PMU) AND PROJECT IMPLEMENTATION UNITS (PIU) ................................................................ 27 6.2 PROJECT IMPLEMENTATION AND MANAGEMENT SUPPORT (PMIS) CONSULTANT ...................................................................... 27 6.2.1 Contract variations ........................................................................................................................................ 27 6.2.2 Utilization Consultants’ Inputs ....................................................................................................................... 28 7 SAFEGUARDS ........................................................................................................................................................ 29 7.1 ENVIRONMENTAL SAFEGUARD MONITORING ..................................................................................................................... 29 7.2 MONITORING OF THE IMPLEMENTATION OF THE RESETTLEMENT AND COMPENSATION PLANS ...................................................... 29 7.3 SOCIAL SAFEGUARDS .................................................................................................................................................... 30 7.3.1 The indigenous peoples ................................................................................................................................. 30 7.3.2 Grievance Redress Mechanism (GRM). .......................................................................................................... 30 7.3.3 Gender Action Plan ........................................................................................................................................ 30 KECC in JV with NIRAS and associated with KCC Page i Integrated Urban Environmental Management in the Tonle Sap Basin (IUEMTB) Project QPR 8, Annual Report 2018 8 PROJECT PERFORMANCE ...................................................................................................................................... 31 9 LOAN COVENANTS ................................................................................................................................................ 34 9.1 SCHED 5, PARA 3: ROADMAP FOR ESTABLISHING URBAN SERVICE UNITS: WITHIN 12 MONTHS OF THE EFFECTIVE DATE ................... 34 9.2 SCHED 5, PARA 10; LAND ACQUISITION AND INVOLUNTARY RESETTLEMENT, KAMPONG CHHNANG EMBANKMENT .......................... 35 10 ASSESSMENT OF VALIDITY OF KEY ASSUMPTIONS AND RISKS ............................................................................... 37 11 TARGETS FOR THE NEXT QUARTER ........................................................................................................................ 39 LIST OF TABLES AND FIGURES Table 2-1 : Details of ADB Missions ....................................................................................................................... 5 Table 2-2 : Follow-up Actions and the Status of their Compliance .......................................................................... 6 Table 2-5: Consolidated Status of Loan and Grant Proceeds ............................................................................... 10 Table 2-7: Grant Utilization ................................................................................................................................... 10 Table 2-6: Consolidated Loan Utilization .............................................................................................................. 11 Figure 4-1: L3311/L8295/G0454-CAM: Project to Date (PTD) Contract Award and (PTD) Disbursement based on revised contract award and disbursement plans ................................................................................................... 12 Table 2-8: Procurement