AFRICAN DEVELOPMENT BANK NAM/PTTR/2002/01 LANGUAGE : ENGLIH ORIGINAL :ENGLISH APPRAISAL REPORT AUS-ROSH PINAH ROAD PROJECT REPUBLIC OF NAMIBIA INFRASTRUCTURE DEPARTMENT ONIN NORTH, EAST AND SOUTH REGION AUGUST 2002 TABLE OF CONTENTS Page PROJECT INFORMATION SHEET, CURRENCY AND MEASURES, LIST OF ABBREVIATIONS, LIST OF TABLES, LIST OF ANNEXES, BASIC DATA SHEET, EXECUTIVE SUMMARY, PROJECT MATRIX (i-ix) 1. ORIGIN AND HISTORY OF THE PROJECT 1 2. THE TRANSPORT SECTOR 2 2.1 The Transport System 2 2.2 Transport Policy, Planning and Co-ordination 3 2.3 Intervention of Other Donors in the Sector 4 3. THE ROAD SUB-SECTOR 4 3.1 Road Network, Vehicle Fleet and Traffic 4 3.2 Road Transport Industry 5 3.3 Road Administration and Training 6 3.4 Road Planning and Financing 7 3.5 Road Engineering and Construction 9 3.6 Road Maintenance 9 4. THE PROJECT 10 4.1 Project Concept and Rationale 10 4.2 Project Area and Beneficiaries 11 4.3 Strategic Context 12 4.4 Project Objective 13 4.5 Project Description 13 4.6 Environmental and Social Impact 14 4.7 Project Costs 16 4.8 Sources of Finance and Expenditure Schedule 16 5. PROJECT IMPLEMENTATION 18 5.1 Executing Agency 18 5.2 Institutional Arrangements 18 5.3 Supervision and Implementation Schedules 19 5.4 Procurement Arrangements 20 5.5 Disbursement Arrangements 21 5.6 Monitoring and Evaluation 22 5.7 Financial Reporting and Auditing 22 5.8 Aid Co-ordination 22 5.9 Regional Integration 22 6. PROJECT SUSTAINABILITY AND RISKS 23 6.1 Recurrent Costs 23 6.2 Project Sustainability 23 6.3 Critical Risks and Mitigating Measures 23 7. PROJECT BENEFITS 24 7.1 Economic Analysis 24 7.2 Social Impact Analysis 25 7.3 Sensitivity Analysis 26 8. CONCLUSIONS AND RECOMMENDATIONS 26 8.1 Conclusions 26 8.2 Recommendations 27 ---------------------------------------------------------------------------------------------------------------- This report has been prepared by Messrs. A. Rugamba (Principal Transport Engineer), A. Kies (Principal Transport Economist), J.B. Kayongo (Principal Financial Analyst) and W. Soliman (Senior Environmentalist) following an appraisal mission to Namibia in June 2002. Any matters relating to this report may be referred to Mr. G. Mbesherubusa, (Manager, ONIN.3 ext. 4131). ---------------------------------------------------------------------------------------------------------------- i AFRICAN DEVELOPMENT BANK O1 B.P, 1387 ABIDJAN Tel: 20 20 44 44; 20 20 48 48 FAX: (225) 20 22-70-04 PROJECT INFORMATION SHEET DATE: AUGUST 2002 The information given below is intended to provide some guidance to prospective suppliers, contractors, consultants and all persons interested in the procurement of goods, works and services for projects approved by the Board of Directors of the Bank Group. More details and guidance should be obtained from the Executing Agency of the Borrower. 1. COUNTRY - Namibia 2. PROJECT TITLE - Aus-Rosh Pinah Road Project 3. LOCATION - Karas Region 4. BORROWER - The Republic of Namibia 5. EXECUTING AGENCY - Roads Authority of Namibia Private Bag 12030 Ausspannplatz Windhoek, Namibia Tel: 264-61 284 7000 Fax: 264-61 235325 E-mail: [email protected] 6. PROJECT DESCRIPTION - The project consists of: a) Upgrading of 169 km of gravel road to bitumen standards from Aus to Rosh Pinah of a width of 6.8-metre carriageway and 1.5- metre gravel shoulders on either side. b) Consultant services for the supervision of the above civil works; and c) Project audit services. 7. TOTAL COST: - ZAR 339.85 million Foreign - ZAR 255.72 million Local - ZAR 84.13 million ii 8. ADB Loan - ZAR 205.13 million 9. OTHER SOURCES OF FINANCE BADEA - ZAR 98.48 million The Republic of Namibia - ZAR 36.24 million 10. DATE OF APPROVAL - October, 2002 11. EST. STARTING DATE OF PROJECT: Civil Works, August 2003 AND DURATION 27 months 12. PROCUREMENT: International Competitive Bidding (ICB) for the civil works among pre-qualified contractors in accordance with the Bank’s ‘Rules of Procedure for Procurement of Goods and Works’ for Bank funded components. BADEA components would be procured according to their rules of procurement. 13. CONSULTING SERVICES REQUIRED AND STAGE OF SELECTION: The consultant services for the supervision of civil works and audit services for the overall project (including ADB components) will be financed by GRN and have already been procured according to GRN procurement rules. iii EQUIVALENTS AND ABBREVIATIONS CURRENCY EQUIVALENTS (June 2002 Exchange Rates) UA 1.0 = U$ 1.26429 UA 1.0 = ZAR 12.6375 UA 1.0 = N$ 12.6375 ZAR 1.0 = N$ 1.0 WEIGHTS AND MEASURES 1.00 metre (m) = 3.281 ft 1.00 kilometre (km) = 0.621 mile 1.00 square kilometre (km2) = 0.386 square mile 1.00 hectare (ha) = 2.471 acres 1.00 kilogramme (kg) = 2.205 lbs 1.00 metric ton (t) = 2,205 lbs FISCAL YEAR = April 1st - March 31st ABBREVIATIONS AADT - Average Annual Daily Traffic ADB - African Development Bank BADEA - Arab Bank for Economic Development in Africa CBR - California Bearing Ratio CEO - Chief Executive Officer DOT - Department of Transport EA - Executing Agency EIRR - Economic Internal Rate of Return EMP - Environnemental Management programme GRN - Government of the Republic of Namibia HDM - Highway Development and Management Model ICB - International Competitive Bidding KfW - Kreditanstalt fur Wiederanfbaw Km - Kilometer Kph - Kilometer Per Hour MET - Ministry of Environment and Tourism MoF - Ministry of Finance MSL - Mean Sea Level MWTC - Ministry of Works, Transport and Communication N$ - Namibia Dollar NDP-2 - Second National Development Plan NPC - National Planning Commission PCR - Project Completion Report PMS - Pavement Management System PSIP - Public Sector Investment Programme RA - Roads Authority RCC - Roads Contractor Company iv RFA - Road Fund Administration RSA - Republic of South Africa RTTA - Road Traffic and Transport Act SADC - Southern African Development Community SATCC - Southern Africa Transport and Communications Commission SIDA - Swedish International Development Agency STD - Sexually Transmitted Diseases UA - Unit of Account URMS - Unsealed Roads Management System US$ - United States Dollar VOC - Vehicle Operating Costs vpd - Vehicles Per Day ZAR - South African Rand LIST OF TABLES Table No Title Page 3.1 Road Sub-sector Investment and Maintenance Expenditure 8 3.2 Five-Year Road Sub-Sector Expenditure Plan 9 4.1 Summary of Project Cost Estimates 16 4.2 Sources of Finance 17 4.3 Sources of Finance by Component 17 4.4 Expenditure Schedule by Source of Finance 18 4.5 Expenditure Schedule by Component 18 5.1 Summary of Procurement Arrangements 20 LIST OF ANNEXES Annex No Title No of Pages 1. Project Location Map 1 2. Organization Structures of DOT and RA 2 3. ADB Group On-going Operations in Namibia 1 4. Environnemental Management Plan (Summary) 2 5. Category of Expenditure 1 6. Implementation Schedule 1 7. Economic Analysis Summary 3 8. List of Annexes in the Project Implementation Document (PID) 1 v Namibia COMPARATIVE SOCIO-ECONOMIC INDICATORS Develo- Develo- Year Namibia Africa ping ped Countries Countries Basic Indicators Area ( '000 Km²) 824 30 061 80 976 54 658 GNI per capita US $ Total Population (millions) 2001 1.8 811.6 4,940.3 1,193.9 2500 Urban Population (% of Total) 2001 30.7 38.0 40.4 76.0 2000 Population Density (per Km²) 2001 2.2 27.0 61.0 21.9 1500 GNI per Capita (US $) 2000 2 050 671 1 250 25 890 1000 Labor Force Participation - Total (%) 2000 39.6 43.1 … … 500 Labor Force Participation - Female (%) 2000 32.4 33.8 … … 0 1 1 1 1 1 1 1 1 2 Gender -Related Development Index Value 9 9 9 9 9 9 9 9 0 1999 0.594 0.476 0.634 0.916 9 9 9 9 9 9 9 9 0 Human Develop. Index (Rank among 174 countries) 1999 111 n.a. n.a. n.a. 2 3 4 5 6 7 8 9 0 Namibia Africa Popul. Living Below $ 1 a Day (% of Population) 1993 34.9 45.0 32.2 … Demographic Indicators Population Growth Rate - Total (%) 2001 1.8 2.4 1.5 0.2 Population Growth Rate - Urban (%) 2001 3.0 4.1 2.9 0.5 Population < 15 years (%) 2001 43.6 42.4 32.4 18.0 Population >= 65 years (%) 2001 3.8 3.3 5.1 14.3 Population Growth Rate (%) Dependency Ratio (%) 2001 89.4 85.5 61.1 48.3 3.0 Sex Ratio (per 100 female) 2001 71.4 73.9 103.3 94.7 2.5 Female Population 15-49 years (% of total population) 2001 23.0 23.6 26.9 25.4 Life Expectancy at Birth - Total (years) 2001 36.6 52.5 64.5 75.7 2.0 Life Expectancy at Birth - Female (years) 2001 44.3 53.5 66.3 79.3 1.5 Crude Birth Rate (per 1,000) 2001 35.1 37.3 23.4 10.9 1.0 Crude Death Rate (per 1,000) 2001 17.8 14.0 8.4 10.3 0.5 Infant Mortality Rate (per 1,000) 2001 67.6 79.6 57.6 8.9 0.0 Child Mortality Rate (per 1,000) 1 1 1 1 1 1 1 2 2 2001 124.7 116.3 79.8 10.2 9 9 9 9 9 9 9 0 0 9 9 9 9 9 9 9 0 0 Maternal Mortality Rate (per 100,000) 1998 230 641 491 13 3 4 5 6 7 8 9 0 1 Total Fertility Rate (per woman) 2001 5.0 5.1 2.8 1.6 Namibia Africa Women Using Contraception (%) 1997 5.6 … 56.0 70.0 Health & Nutrition Indicators Physicians (per 100,000 people) 1998 29 37 78 287 Nurses (per 100,000 people) 1997 168 106 98 782 Life Expectancy at Birth (Years) Births attended by Trained Health Personnel (%) 1998 44 38 58 99 Access to Safe Water (% of Population) 2000 77 60 72 100 71 Access to Health Services (% of Population) 1999 59 62 80 100 61 Access to Sanitation (% of Population) 2000 41 60 44 100 51 Percent.