Project Data Sheet

Project Data Sheets (PDS) contain summary information on the project or program: Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

PDS Creation Date 27 Jan 2010
PDS Updated as of 21 Mar 2013

Project Name Highlands Region Road Improvement Investment Program - Project 1
Country Papua New Guinea
Project/Program Number 40173-023
Status Approved
Geographical Location Papua New Guinea
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
Sector Transport
Subsector Road transport (non-urban)
Strategic Agendas Inclusive economic growth (IEG)
Drivers of Change Governance and capacity development (GCD)
Gender Equity and Mainstreaming Categories Category 4: No gender elements (NGE)


Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Loan2496Asian Development Fund71,200
Loan2497Asian Development Fund28,800
TOTAL US$ 100,000

Safeguard Categories

For more information about the safeguard categories, please see

Environment B
Involuntary Resettlement B
Indigenous Peoples B

Summary of Environmental and Social Issues

Environmental Aspects
Climate change may lead to higher rainfall, so roadside drainage will need to be carefully designed. Low traffic volumes mean that vehicle emissions will be minimal. All five roads under Project 1 include improvements within the existing road corridor. No road sections are located in or pass through any protected areas or ecologically sensitve environment. The environmental impacts of road during construction and operation have been assessed, and can be mitigated to acceptable levels
Involuntary Resettlement
A resettlement framework has been reviewed by the PNG Government to establish the policies and procedures for payment of compensation or lost or damaged assets. The land acquisition impacts, where they occur, will be minor. There will be no displacement of housing and the affected people will experience only small losses of crops, trees, fences or other secondary structures. Short resettlement plans have been prepared for Project 1 roads and these will be updated based on detailed engneering designs during loan implementation.
Indigenous Peoples
The resettlement framework and plans will address specific actions favorable to indigenous peoples, if necessary, in dealing with the customary land acquisition.

Stakeholder Communication, Participation and Consultation

During Project Design
An extensive program of consultation has taken place. At the inception stage, a stakeholder analysis was carried out to identify the primary and secondary stakeholders; their interests in the proposed project, their perceptions of current problems related to road accessibility, mobility and transport services; and, the resources they could bring to the achievement of the goals and objectives of the project. Meetings have been held at the national level with DOW, Ministry of Transport (MOT), NRA, Department of National Planning and Monitoring (DNPM), Department of Land and Physical Planning (DLPP), Department of Community Development (DCD), National Aids Council (NAC) and National Council of Women (NCW); relevant development partners and international organizations such as Australian Aid for International Development (AusAID), UNDP, UNICEF, WHO, Population Services International (PSI), CAREAustralia); and consultants engaged in ADB, AusAID and other donor-funded projects relevant to the Program. Provincial and district authorities in Enga and Southern Highlands provinces have been actively consulted including provincial and district administrators; national and provincial works departments; provincial community development, health and education advisors; provincial AIDS Councils; and, provincial and district women's networks. Other regional stakeholders that have been met with include civil work contractors, trucking companies and representatives of major development enclaves in the Highlands region, e.g., Porgera JV and Oil Search. These provincial, district and regional stakeholders participated in consultation workshops held in the provinces along with other local stakeholders including representatives of the community sector (local NGOs, health institutions, radio stations, etc.) and the private sector (local business houses, bus/truck drivers, etc.). Along each road section, the views of the local population have been sought through surveys of households, market sellers, trade store owners, road users and vehicle operators, as well a program of community consultations and focus groups with village women.
During Project Implementation
The government through the Dept of Works is coordinating and working closely with other key depts and lined agencies for a smooth implementation of the Project subprojects. The provincial authoirites (provincial governments and administrations) in the Project affected provinces, together with important provincial stakeholders are part of the project steering committee (PSC). The PSC meets every quarter to address and resolve issues related to the Project. The HRMG comprising staff of the DoW and consultants supervise and communicate directly with the contractor and roadside communities to maintain subprojects implementation progress.


Project Rationale and Linkage to Country/Regional Strategy

Development Impact

Project Outcome

Description of Outcome
Progress Towards Outcome
The EA is supported by the consultants and continues to implement improvements to 115kms of road length. Road improvement works are expected to be completed in early 2015 and transfered over the National Road Authority who will implement the maintenance works. The EA and PNRM are working together to engage the National Road Safety Council to undertake road safety awareness including surveys and analysis of accident data. Award expected in Q4 2014.

Outputs and Implementation Progress

Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues)
Two contract with total road length of 115kms (Laiagam-Porgera and Mendi-Kandep) signed on 09 February 2012 and under construction. Yet to start. To be assessed after road improvements. Yes. Approx. 4.6% of HCRN awarded and commenced implementation in Y2012. NTDP (2011-2020) Approved and launched in July 2013.
Status of Development Objectives
Status of Operation / Construction
Material Changes

Business Opportunities

Date of First Listing 2008 Nov 10
Consulting Services
Consulting services will be required for Investment Program implementation support and capacity development. Key tasks include (i) design of road improvement works; (ii) preparation of bid documents, procurement support, and supervision of road improvement and long-term maintenance contracts; (iii) Investment Program performance management; (iv) preparation of subsequent projects; (v) capacity development; and (vi) socio economic monitoring. The capacity development component will involve the strengthening of HRMG, establishment of PIU in NRA, financial/road maintenance contracting/road user charges for NRA, and road safety for NRSC. Project 1 will require a total of 1,266 person-months (362 international and 904 national) of services from consulting firms. Additional consulting services, if necessary, will be procured under subsequent projects. The consulting services will be financed from the ADB loans. DOW will select and engage the consultants in accordance with ADB's Guidelines on the Use of Consultants (2007, as amended from time to time) using the quality- and cost-based selection method.
All ADB-financed procurement for goods and services will be carried out in accordance with ADB's Procurement Guidelines (2007, as amended from time to time). International competitive bidding procedures will be followed for all contracts over $3 million for civil works and $0.5 million for goods. National competitive bidding will be used for contracts under these thresholds. Shopping can be used for goods with contract values lower than $100,000, as appropriate. Contracts have been packaged to attract international contractors as well as promote the national contractors.
Procurement and Consulting Notices


Concept Clearance 13 Jun 2008
Fact-finding 16 Jun 2008 to 30 Jun 2008
Management Review Meeting 15 Aug 2008
Approval 22 Dec 2008


Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Loan 2496 22 Dec 2008 19 Feb 2009 18 May 2009 30 Jun 2013 29 Jun 2015
Loan 2497 22 Dec 2008 19 Feb 2009 18 May 2009 30 Jun 2013 29 Jun 2015


Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
20 Dec 2014 Loan 2496 66,374 0 92.00%
20 Dec 2014 Loan 2497 25,878 0 89.00%
Cumulative Disbursements
20 Dec 2014 Loan 2496 42,937 0 60.00%
20 Dec 2014 Loan 2497 23,007 0 79.00%

Status of Covenants

Covenants are categorized under the following categories—audited accounts, safeguards, social, sector, financial, economic, and others. Covenant compliance is rated by category by applying the following criteria: (i) Satisfactory—all covenants in the category are being complied with, with a maximum of one exception allowed, (ii) Partly Satisfactory—a maximum of two covenants in the category are not being complied with, (iii) Unsatisfactory—three or more covenants in the category are not being complied with. As per the 2011 Public Communications Policy, covenant compliance ratings for Project Financial Statements apply only to projects whose invitation for negotiation falls after 2 April 2012.

Approval No. Category
Sector Social Financial Economic Others Safeguards Project Financial Statements
Loan 2496 Satisfactory Satisfactory Satisfactory Satisfactory Satisfactory
Loan 2497 Satisfactory Satisfactory Satisfactory Satisfactory Satisfactory

Contacts and Update Details

Responsible ADB Officer Muhammad Amir Ingratubun (
Responsible ADB Department Pacific Department
Responsible ADB Divisions Papua New Guinea Resident Mission
Executing Agencies Department of Works
Joel Luma


Project Website
List of Project Documents