Central Asian Railways Telecommunications Inception Report March 2002 Published March 2002 Copyright 2002 by Tacis services, European Commission. All rights reserved. Enquiries concerning reproduction to be sent to The Tacis Information Office European Commission, Aarlenstraat 88 1/06 Rue d’Arlon, B-1040 Brussels This report has been prepared by Italferr S.p.A.. The findings, conclusions and interpretations expressed in this document are those of Italferr S.p.A. alone and should in no way be taken to reflect the policies or opinions of the European Commission. REPORT COVER PAGE Project Title: Central Asian Railways Telecommunications Project Number: 01-0166 Countries: Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan EC Consultant Name: ITALFERR S.p.A. Project Office Address: Akhunbabaeva ul, 15 Tashkent, 700047, Uzbekistan Tel: +998.71.1330652 Fax: +998.71.1330652 Head Office Address: via Marsala, 53/67 – 00185 Rome – Italy Tel: +39.06.49752385 Fax: +39.06.49752209 E-mail: [email protected] Contact Person: Guido Paolucci Signature: Date of report: 14 March 2002 Reporting period: January – March 2002 Authors of report: Project Team EC Monitoring team [name] [signature] [date] EC Delegation [name] [signature] [date] EC TACIS Programme [task manager] [name] [signature] [date] This project is financed by the European Union‘s Tacis Programme, which provides grant finance for know-how to foster the development of market economies and democratic societies in the New Independent States and Mongolia. Central Asian Railways Telecommunications Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan Inception Report 1 TABLE OF CONTENTS 1. INTRODUCTION ...................................................................................................................................... 3 1.1. FUNDAMENTALS .................................................................................................................................. 3 1.1.1. The Project: a Traceca Initiative ................................................................................................ 3 1.1.2. Contractual Background and Project Start-up ........................................................................... 5 1.2. INCEPTION MISSION............................................................................................................................. 5 1.3. STRUCTURE OF INCEPTION REPORT ..................................................................................................... 6 1.4. ACKNOWLEDGEMENTS......................................................................................................................... 7 2. PROJECT SYNOPSIS ............................................................................................................................. 8 2.1. RATIONALE ......................................................................................................................................... 8 2.2. OBJECTIVES........................................................................................................................................ 8 2.3. EXPECTED RESULTS............................................................................................................................ 9 2.4. PROJECT STARTING DATE ................................................................................................................... 9 2.5. PROJECT DURATION ............................................................................................................................ 9 2.6. PROJECT BUDGET ............................................................................................................................... 9 3. REVISION OF PROJECT ACTIVITIES AND WORK SCHEDULE ........................................................ 10 3.1. TIMETABLE OF ACTIVITIES AFTER INCEPTION PHASE............................................................................ 10 3.2. METHODOLOGICAL CONSIDERATIONS ................................................................................................. 11 3.3. MANNING SCHEDULE AFTER INCEPTION PHASE................................................................................... 13 3.4. PROJECT MANAGEMENT .................................................................................................................... 13 3.4.1. Coordination with Counterpart Agencies ................................................................................. 13 3.4.2. Project Management at site/Backstopping/Liaison.................................................................. 13 4. PROJECT IMPLEMENTATION.............................................................................................................. 14 4.1. SET-UP OF PROJECT OFFICE ............................................................................................................. 14 4.2. OBSTACLES ENCOUNTERED DURING THE INCEPTION PHASE................................................................. 14 4.2.1. VAT exemption and other problems ....................................................................................... 15 4.3. RISKS ............................................................................................................................................... 15 5. PRELIMINARY ASSESSMENT OF OVERALL PROJECT ENVIRONMENT ........................................ 17 5.1. MACRO-ECONOMIC PROJECT FRAMEWORK ........................................................................................ 17 5.1.1. Greater Project Area: Transition Progress, Economic Performance, Business Climate......... 17 5.2. GREATER PROJECT AREA: OVERALL RAILWAY TRANSPORT AND COMMUNICATIONS SECTOR CONDITIONS............................................................................................................................................. 23 5.2.1. General .................................................................................................................................... 23 5.2.2. Railway infrastructures in Kazakhstan..................................................................................... 24 5.2.3. Railway infrastructures in Kyrgyzstan...................................................................................... 30 5.2.4. Railway infrastructures in Tajikistan ........................................................................................ 34 5.2.5. Railway infrastructures in Turkmenistan.................................................................................. 38 5.2.6. Railway infrastructures in Uzbekistan...................................................................................... 41 5.2.7. Railway telecommunications systems in Kazakhstan ............................................................. 47 5.2.8. Railway telecommunications systems in Kyrgyzstan .............................................................. 47 5.2.9. Railway telecommunications systems in Tajikistan................................................................. 50 5.2.10. Railway telecommunications systems in Turkmenistan ........................................................ 53 5.2.11. Railway telecommunications systems in Uzbekistan ............................................................ 56 This project is financed by the European Union‘s Tacis Programme, which provides grant finance for know-how to foster the development of market economies and democratic societies in the New Independent States and Mongolia. Central Asian Railways Telecommunications Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan Inception Report 2 5.2.12. Railway signalling systems in Kazakhstan ............................................................................ 59 5.2.13. Railway signalling systems in Kyrgyzstan ............................................................................. 60 5.2.14. Railway signalling systems in Tajikistan................................................................................ 61 5.2.15. Railway signalling systems in Turkmenistan ......................................................................... 61 5.2.16. Railway signalling systems in Uzbekistan ............................................................................. 62 5.3. RAILWAY IMPROVEMENT PROJECTS OF RELEVANCE............................................................................ 63 5.3.1. Donors Support in Cental Asia in railway field......................................................................... 63 6. PROCUREMENT AND CONTRACT PACKAGES PREPARATION...................................................... 66 6.1. BIDDING PROCEDURES/PREPARATION OF BIDDING DOCUMENTS ........................................................... 66 6.1.1. International Competitive Bidding (ADB) ................................................................................. 66 6.1.2. Other Forms of Procurement (International Shopping, Direct Purchase) - ADB..................... 68 6.2. EBRD PROCUREMENT POLICIES AND RULES...................................................................................... 69 6.3. BIDDING (OR TENDER) DOCUMENTS ................................................................................................... 71 6.3.1. Notes for Preparing the Technical Specifications.................................................................... 72 6.4. DIAGRAMS OF IMPLEMENTATION OF PROCUREMENT PROCESSES (METHODOLOGY)................................ 73 ANNEX I: List of Entities and Persons met ANNEX II: Detailed