BOSNIA AND HERZEGOVINA THE FEDERATION OF BOSNIA AND HERZEGOVINA JP Autoceste FBiH d.o.o. Mostar PROJECT PROGRESS REPORT As of 30th September, 2019 Project: CONSTRUCTION OF MOTORWAYS IN THE FEDERATION OF B&H “This document has been produced with the financial assistance of the European Western Balkans Joint Fund under the Western Balkans Investment Framework. The views expressed herein are those of JP Autoceste FBiH and can therefore in no way be taken to reflect the official opinion of the Contributor to the European Western Balkans Joint Fund or the EIB, as co-manager of the European Western Balkans Joint Fund.” Mostar, October 2019 CONTENTS: 1. INTRODUCTION ............................................................................................................ 3 Project description ........................................................................................................................... 3 2. LOAN AGREEMENTS ................................................................................................... 5 3. PROCUREMENT PLAN ................................................................................................. 7 4. GRANT APPLICATIONS ..............................................................................................10 5. PREPARATORY ACTIVITIES FOR CONSTRUCTION PROJECTSError! Bookmark not defined. 5.1. Section Putnikovo Brdo - Medakovo ......................................... Error! Bookmark not defined.3 5.2. Section Medakovo - Ozimice ..................................................... Error! Bookmark not defined.3 5.3. Section Ozimice - Poprikuše ..................................................... Error! Bookmark not defined.4 5.4. Section Poprikuše - Nemila ....................................................... Error! Bookmark not defined.4 5.5. Section Northern Border of the municipality Zenica (Nemila) - Zenica North (D. Gračanica) Error! Bookmark not defined.5 5,5.1. Subsection Nemila - Vranduk ................................................. Error! Bookmark not defined.5 5.6. Section Tarčin - Konjic ............................................................... Error! Bookmark not defined. 5.6.1. Subsection: Tarčin - Ivan: LOT 1 and LOT 2 ........................... Error! Bookmark not defined. 5.6.2. Subsection: Ivan - Ovčari ...................................................................................................... 17 5.6.3. Subsection: Ovčari - Konjic- (entrance to the tunnel) Prenj ................................................... 17 5.7. Section Tunnel Prenj ................................................................................................................. 18 5.8. Section Tunnel Prenj - Mostar North ......................................................................................... 18 5.9. Section Mostar North - Mostar South ........................................................................................ 19 5.10. Section Mostar South - Buna .................................................................................................. 19 5.10.1. Subsection Mostar South - Tunnel Kvanj ............................................................................. 19 5.10.2. Subsection Tunnel Kvanj - Buna .......................................................................................... 20 6. CONSTRUCTION PROJECTS .....................................................................................21 6.1. Section Svilaj - Odžak, I section ................................................................................................ 21 6.2. Subsection Drivuša - Klopče ..................................................................................................... 23 6.3. Subsection Klopče - Donja Gračanica ...................................................................................... 24 6.4. Subsection Donja Gračanica (Zenica North) - Tunnela Zenica ................................................ 27 6.5. Subsection Vranduk - Ponirak ................................................................................................... 28 6.6. Subsection Ponirak - Vraca ....................................................................................................... 29 6.7. Section Buna - Počitelj .............................................................................................................. 29 6.8. Section Počitelj - Zvirovići ......................................................................................................... 31 6.8.1. LOT 1 Crossing Počitelj - beginning of the Počitelj Bridge and end of Počitelj Bridge- crossing Zvirovići…………………………………………………………………………………………………31 6.8.2. LOT 2 Bridge “Počitelj” ........................................................................................................... 31 7. FINANCIAL POSITION .................................................................................................33 7.1. Section: Svilaj - Odžak .............................................................................................................. 33 7.2. Subsection: Drivuša - Klopče .................................................................................................... 34 7.3. Subsection: Klopče - Donja Gračanica ..................................................................................... 34 7.4. Subsection Donja Gračanica (Zenica North) - Tunnela Zenica ................................................ 36 7.5. Subsection Ponirak - Vraca ....................................................................................................... 36 7.6. Section: Buna - Počitelj ............................................................................................................. 37 7.7. Section Počitelj - Zvirovići ......................................................................................................... 38 7.7.1. LOT 1 Crossing Počitelj - beginning of the Počitelj Bridge and end of Počitelj Bridge- crossing Zvirovići…………………………………………………………………………………………………38 8. ENVIRONMENTAL IMPACT .........................................................................................39 Appendix 1 ..........................................................................................................................40 Progress of construction works on 30th June, 2019 .........................................................40 1. Section: Svilaj - Odžak ................................................................................................................. 41 2. LOT 1: Subsection: Drivuša - Klopče ........................................................................................... 43 3. LOT 2: Subsection: Klopče - Donja Gračanica ............................................................................ 45 4. LOT 3: Subsection: Donja Gračanica (Zenica North) - Tunnela Zenica ...................................... 47 5. Section Buna - Počitelj ................................................................................................................. 48 2 1. INTRODUCTION Public company Motorways of Federation of Bosnia and Herzegovina ltd. Mostar (hereinafter called: JP Autoceste FBiH) was established by the Law on Roads of the Federation of Bosnia and Herzegovina on 1st January, 2011. The activity of the JP Autoceste FBiH is defined by the Law on roads of the Federation of BH, on the basis of which the JP Autoceste FBiH became the holder and the implementer of the realization of very complex and important project for the construction of highway on part of the international Corridor Vc, which connects Eastern and Central Europe with the Mediterranean coast. The legal framework for the Company other than the Law on roads is also defined with Law on the motorway on Corridor Vc, the Law on Enterprises and the Law on Public Companies in the Federation, and other regulations in Bosnia and Herzegovina. Project description At the second Pan-European Conference on Transport, held in Crete in 1994, the European Union has defined the priorities of the Union in the field of infrastructure and transport corridors to the east, until 2015. At the third Pan-European Conference held in Helsinki in 1997, the number of corridors was increased to ten and some changes were made. One of those changes was the introduction of Corridor Vc (Budapest - Osijek - Sarajevo - Ploče) in the basic European transport network. Corridor Vc is multimodal road corridor that connects Hungary (Budapest) to Croatia (Port of Ploče), via Osijek (Croatia) and Sarajevo (Bosnia and Herzegovina), it is also the largest project of transport infrastructure in Bosnia and Herzegovina with a total length of about 340 km. The construction of the highway Corridor Vc enhances connectivity of BiH with neighboring countries and enhances the potential for economic development. The project has strong support from the Government of the Federation of Bosnia and Herzegovina, and is expected to enable Bosnia and Herzegovina better integration with the European economic and social structures. Corridor Vc in Bosnia and Herzegovina consists of four main sections (in official documents named as "Lots"), as follows: • Lot 1: Svilaj on The Sava River (connection to Corridor X) - Doboj South; • Lot 2: Doboj South - Sarajevo South (Tarčin); • Lot 3: Sarajevo South (Tarčin) - Mostar; • Lot 4: Mostar North - Bijača on the southern border with Croatia. So far there have been constructed and open to traffic 92 km of the motorway on Corridor Vc referring to the following