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 07 May 2010
PDS Updated as of 17 Dec 2014

Project Name Transport Sector Development Project
Country Solomon Islands
Project/Program Number 41171-022
Status Approved
Geographical Location Solomon Islands
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 Transport policies and institutional development
Strategic Agendas Environmentally sustainable growth (ESG)
Inclusive economic growth (IEG)
Drivers of Change Gender equity and mainstreaming (GEM)
Governance and capacity development (GCD)
Partnerships (PAR)
Gender Equity and Mainstreaming Categories Category 2: Effective gender mainstreaming (EGM)

Financing

Type/Modality of Assistance Approval Number Source of Funding Approved Amount (thousand)
Grant0243Asian Development Fund12,000
Technical Assistance7715Japan Fund for Poverty Reduction800
Counterpart 12,500
TOTAL US$ 25,300

Safeguard Categories

For more information about the safeguard categories, please see http://www.adb.org/site/safeguards/safeguard-categories

Environment B
Involuntary Resettlement B
Indigenous Peoples C

Summary of Environmental and Social Issues

Environmental Aspects
Given the subprojects prioritized in the NTP, civil works are not likely to result in any significant adverse environmental impact, and potential environmental impacts can be adequately mitigated and monitored. An environmental assessment and review framework presents the general anticipated environmental impacts of the sector project, selection criteria, and environmental procedures for future subprojects. An initial environmental examination incorporating an environmental management and monitoring plan was prepared for each of the two sample subprojects for road and airstrip rehabilitation. The project is classified as environment category B.
Involuntary Resettlement
The project is not expected to entail significant resettlement impacts, as anticipated subprojects will involve existing infrastructure and rehabilitation works can be undertaken within the existing right-of-way or on land owned by the government. While the sample subprojects studied do not require land acquisition, some subsequent subprojects or activities may involve minor land acquisition and resettlement impacts, which can be identified only during implementation. If such impacts are identified, the government will prepare resettlement plans for such subprojects according to the resettlement framework for the project. The project s involuntary resettlement classification is category B.
Indigenous Peoples
Melanesians are the native people of Solomon Islands and comprise the vast majority of the population. The project is not expected to have any negative impact on indigenous peoples. While a separate indigenous peoples plan is not needed, all project components or subprojects will be implemented in a culturally appropriate and participatory manner to meet the needs of the population. The project s indigenous peoples classification is category C.

Stakeholder Communication, Participation and Consultation

During Project Design
ADB consulted with the Solomon Islands Government and development partners, including AusAID, European Commission, JICA, New Zealand Ministry of Foreign Affairs and Trade, and World Bank, to develop project design during the implementation of a project preparatory technical assistance and a fact-finding mission. PPTA team visited two sample subproject areas (i.e., St. Martin Road in Honiara and Gizo airstrip) and consulted with peoples in the areas to analyze environment, and poverty and social issues.
During Project Implementation

Description

The project will improve access to socioeconomic opportunities by rehabilitating and maintaining land, sea, and air transport infrastructure. Solomon Islands has been offered significant parallel grant cofinancing from the governments of Australia and New Zealand but has insufficient capacity to plan and implement the necessary civil works. The project will therefore strengthen transport sector institutions by establishing a central project implementation unit (CPIU) to reform the government's institutional structure, implement civil works, and conduct technical and managerial capacity development. In doing so, the project will prepare an environment for a comprehensive transport sector-based approach based on long-term partnerships, sector coordination, and reliance on government systems. Through close cooperation with other development partners, the project will support the government in efficiently implementing all externally funded assistance to the transport sector.

Project Rationale and Linkage to Country/Regional Strategy

The economy is at a disadvantage given the dispersed population, limited resources, and relatively high cost of providing remote communities with the infrastructure and basic services to stimulate productivity gains. The urban rural divide is increasing between the population living in and around the capital city of Honiara and the majority of the population living in rural communities on outer islands. The weak and poorly maintained transport infrastructure constrains economic growth and limits its inclusiveness. Improved transport infrastructure is expected to strengthen growth, improve access to basic social services in rural areas, build rural economies, and increase geographic equity.

Development Impact

The people of Solomon Islands have improved access to socioeconomic opportunities.

Project Outcome

Description of Outcome
MID provides sustainable transport infrastructure.
Progress Towards Outcome
Project implementation progress is estimated at 78%. Outcome is mainly on target.

Outputs and Implementation Progress

Description of Project Outputs
The central project implementation unit (CPIU) provides efficient and effective project implementation and management. Transport infrastructure prioritized in the National Transport Plan (NTP) is rehabilitated and maintained. MID's technical and managerial capacity is sufficient.
Status of Implementation Progress (Outputs, Activities, and Issues)
1. In 2013, 89% of planned investment of SBD263 million in 2011-2012 NTFapproved work plan; remains on target in 2014. 2. Roads: By end Sep 2014 and based on 2014 work plan: Machine-based, 3 contracts at tendering, 5 contracts planned. LBES, 54 contracts at tendering, 8 contracts planned. 3. Targets have been achieved.
Status of Development Objectives
Status of Operation / Construction
Material Changes

Business Opportunities

Date of First Listing 2011 Jan 25
Consulting Services
The CPIU will be responsible for design and day-to-day implementation, financial management, monitoring and evaluation, and development and implementation of training. The CPIU will be established by mobilizing international and national consultants to support MID's existing technical and managerial capacity. Consulting firms will be retained for these services, in accordance with ADB's Guidelines on the Use of Consultants (2010, as amended from time to time). Throughout project implementation, international consultants will be tasked to strengthen the capacity of the CPIU through coaching and on-the-job training of government professional and technical staff and national consultants. Outline terms of reference are in the PAM. Procurement and disbursement for the services will follow ADB's policy and guidelines.
Procurement
Procurement and disbursement for civil works and formal training programs to be financed by other development partners will follow government systems. MID will procure a number of packages for civil works and formal training programs through the government's procurement procedure, including central tender board, ministerial tender board, and accountable officer procedures. CPIU will assist MID in procuring and administering contracts. ADB's Safeguard Policy Statement (2009) will apply to all civil works. The implementation arrangements are summarized in the Project Administration Manual.
Procurement and Consulting Notices
http://www.adb.org/projects/41171-022/business-opportunities

Timetable

Concept Clearance 11 Aug 2010
Fact-finding 12 Aug 2010 to 27 Aug 2010
Management Review Meeting 21 Sep 2010
Approval 15 Dec 2010

Milestones

Approval No. Approval Signing Effectivity Closing
Original Revised Actual
Grant 0243 15 Dec 2010 06 Apr 2011 05 Jul 2011 31 Jul 2016

Utilization

Date Approval Number ADB (US$ thousand) Others (US$ thousand) Net Percentage
Cumulative Contract Awards
25 Dec 2014 Grant 0243 11,184 0 93.00%
Cumulative Disbursements
25 Dec 2014 Grant 0243 9,319 0 78.00%

TA Amount (US$ thousand)

Approval Number Approved Amount Revised Amount Total Commitment Uncommitted Balance Total Disbursement Undisbursed Balance

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
Grant 0243 Satisfactory Satisfactory Satisfactory Satisfactory

Contacts and Update Details

Responsible ADB Officer Rishi Ram Adhar (radhar@adb.org)
Responsible ADB Department Pacific Department
Responsible ADB Divisions Pacific Liaison and Coordination Office in Sydney, Australia
Executing Agencies Ministry of Infrastructure Development

Links

Project Website http://www.adb.org/projects/41171-022/main
List of Project Documents http://www.adb.org/projects/41171-022/documents