losure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Implementation Status & Results Mozambique Roads and Bridges Management and Maintenance Program - Phase II (P083325) Operation Name: Roads and Bridges Management and Maintenance Program Project Stage: Implementation Seq.No: 13 Status: ARCHIVED Archive : 19-Jan-2014 - Phase II (P083325) Country: Mozambique Approval FY: 2007 Product Line: IBRD/IDA Region: AFRICA Lending Instrument: Adaptable Program Loan Implementing Agency(ies): ROAD FUND (Fundo de Estradas) Key s Board Approval 23-May-2007 Original Closing Planned Mid Term Review 16-Mar-2009 Last Archived ISR 10-Jul-2013 Effectiveness 05-Oct-2007 Revised Closing 31-Dec-2016 Actual Mid Term Review 21-Mar-2009 Project Development Objectives Project Development Objective (from Project Appraisal Document) The primary objective of the overall Roads and Bridges Management and Maintenance Program (RBMMP), is to stimulate growth and contribute to poverty reduction through improved road infrastructure, better sector policies, and enhanced roads sector management. More specifically by (i) improving the coverage and conditions of roads and bridges in the territory of the Recipient; (ii) strengtheningthe Recipient's institutional capacity to manage and administer the road sector; (iii) establishing financing mechanisms for road maintenance; (iv) promoting the use of local resources in roads construction and management; and (v) improving road transport safety. The project development objective of this phase of the APL is to improve access of the population to all-season roads through maintenance, rehabilitation and upgrading of the classified road network. The indicators to assess the achievement of the PDO are (i) the percentage of classified roads in good and fair condition, and (ii) the percentage of the rural population within 2 km of an all-season road. Intermediate outcomes have been defined as follows: (a) improved road sector management capacity; (b) enhanced execution of the road maintenance program; and (c) timely and cost-effective implementation of the IDA financed rehabilitation and upgradingof sections of the National Road N1. Has the Project Development Objective been changed since Board Approval of the Project? Yes Component(s) No Component Name Component Cost OVERHEADS 70.76 MAINTENANCE 266.69 INVESTMENTS 746.85 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Page 1 of 5
Implementation Status Overview The overall implementation performance remains Moderately Satisfactory (MS). The most critical aspects being followed-up were related to delayed progress of emergency works, quality issues relating to Xai-Xai/Chissibuca road and its early resolution, and delay in finalizing claims of Jardim/Benfica are being resolved. The Final Audit Report on Xai-Xai to Chissibuca road was received and discussed together with the contractor and the supervision consultant and the design review Consultant. Since the contractor as well as the consultant had contested the findings of the Audit, the Government of Mozambique (GoM) is deliberating its next course of action, including invoking arbitration proceedings. The emergency works relating to floods of the rainy season of 2011/12 in seven provinces of Mozambique are all completed except for one contract in the Maputo province (R405: Magude-Mahel road) which will be completed in January 2014. All completed works are under defect liability period and completion reports will be submitted to the Bank by December 31, 2013. Regarding the Limpopo floods in January 2013, the road sector initially reported damages to road infrastructure in an amount of about US$170 million, now updated to US$183.75 million, as required for immediate and medium term repair works. The Government had requested IDA for assistance in meeting this challenge. RBMMP was restructured to provide additional financing of US$55.15 million (US$39.4 million from IDA CRW and US$15.75 million from SCF) to meet the Government s request. The GoM approved US$40 million for the Emergency Works which will initially support any ongoing activity until WB funds (US$ 55.15 million) and DfID funds (US$15 million), which will be received through GFDDR, become available. The project currently has a financing gap of US$73.6 million. The immediate emergency works are fully funded. The financing gap is expected to be filled in time for the commencement of implementation of the medium-term rehabilitation works scheduled for mid-2014. The project was approved by IDA Board on Board December 13, 2013. Procurement Management: The overall performance of the implementing agency, based on the findings for procurement and incurred delays, is still rated as Moderately Satisfactory (MS). Disbursement and Financial Management. The FM rating for the project at the end of April 2013 remains Moderately Satisfactory (MS). There was a significant delay in submitting of the 2012 Financial Audit report, which was received on October 29, 2013. The auditor has expressed an unqualified opinion to the report. Since October 2013, several instances of political tension have been reported. The uncertain situation is affecting progress of consultancy services in the North of Inhambane province (122 km of Pambara-Rio Save road) Sofala province (109 km of Rio Save-Muxungue road). The affected consultants have reported to the Road Agency who is yet to decide how the prevailing political situation will be mitigated and reflected in the ongoing contracts. On the other hand, the client has confirmed that Limpopo Emergency Works will not be affected by the political situation. Locations Country First Administrative Division Location Planned Actual Mozambique Provincia de Inhambane Zandamela Mozambique Provincia de Gaza Xai-Xai Mozambique Provincia de Inhambane Nhachengue Mozambique Provincia de Inhambane Massinga Mozambique Maputo Provincia de Maputo Mozambique Provincia de Inhambane Provincia de Inhambane Mozambique Provincia de Gaza Provincia de Gaza Page 2 of 5
Country First Administrative Division Location Planned Actual Mozambique Provincia de Gaza Chongoene Mozambique Maputo Benfica Mozambique Provincia de Inhambane Chissibuca Mozambique Maputo Jardim Mozambique Provincia de Zambezia Zambezi Valley Results Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Roads in good and fair condition as a share of Percentage Value 64.00 72.00 72.00 total classified roads 28-Jun-2007 31-Dec-2012 31-Dec-2013 Refers to National classified network Size of the total classified network Kilometers Supplemental Value 0.00 102.00 102.00 Share of rural population with access to an allseason road Intermediate Results Indicators Percentage Value 30.00 32.70 43.20 30-Jun-2007 Suppl value estimated based on 6.26 million people having access in 2009. 31-Dec-2012 31-Dec-2013 Target revised while restructuring in 2012 Indicator Name Core Unit of Measure Baseline Current End Target Policy for the management of unclassified Text Value no policy Policy adopted roads adopted and implementation plan 01-Jul-2006 20-Mar-2009 01-Jul-2011 prepared and new roads act approved and implemented Roads rehabilitated, Non-rural Kilometers Value 70.00 102.00 102.00 28-Jun-2007 07-Dec-2011 Massinga-Nchachengue was financed by Portugal. As a consequence, IDA-funded Page 3 of 5
rehabilitated road length will be limited to 102 km, not 160 km as initially planned. New Roads Act approved and implemented Text Value No Yes 01-Jul-2006 20-Apr-2011 Road Act approved in April and started to be implemented in September 2011. Annual execution of maintenance achieved Percentage Value 136.00 100.00 01-Jul-2006 07-Dec-2011 2012 plan completed 136% (85% for paved road and 210% for unpaved road) Paved roads Percentage Value 0.00 85.00 100.00 01-Jul-2006 31-Dec-2012 31-Dec-2013 Breakdown Unpaved roads Percentage Value 0.00 210.00 100.00 Breakdown 01-Jul-2006 31-Dec-2012 31-Dec-2012 Data on Financial Performance (as of 17-Dec-2013) Financial Agreement(s) Key s Project Ln/Cr/Tf Status Approval Signing Effectiveness Original Closing Revised Closing P083325 IDA-43080 Effective 23-May-2007 09-Jul-2007 05-Oct-2007 31-Dec-2013 P083325 IDA-48920 Effective 07-Apr-2011 28-Jun-2011 27-Sep-2011 31-Dec-2012 31-Dec-2013 P083325 IDA-53460 Not Effective 13-Dec-2013 31-Dec-2016 31-Dec-2016 P083325 IDA-H9040 Not Effective 13-Dec-2013 31-Dec-2016 31-Dec-2016 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P083325 IDA-43080 Effective XDR 66.10 65.82 0.28 65.82 0.00 100.00 P083325 IDA-48920 Effective XDR 26.30 26.30 0.00 20.03 6.27 76.00 P083325 IDA-53460 Not Effective XDR 2.10 2.10 0.00 0.00 2.10 0.00 P083325 IDA-H9040 Not Effective XDR 23.70 23.70 0.00 0.00 23.70 0.00 Disbursement Graph Page 4 of 5
Key Decisions Regarding Implementation 1. Restructuring of RBMMP 2: IDA Board approved the RBMMP 2 additional financing on December 13, 2013. The IDA grant and credit as well as PPCR grant and loan shall be made effective no later than April 21, 2014 2. The client to finalize an Action Plan to implement the recommendations of the Final Audit Report of the Xai-Xai to Chissibuca Road by December 20, 2013. 3. Finalize the pending claims on Jardim-Benfica road by January 17, 2013. 4. Agree with the Client the management of the ongoing contracts that are affected by the political situation (deemed political force majeure) by December 20, 2013. Restructuring History Level two Approved on 06-Dec-2012 Related Projects P114880-Roads and Bridges Management and Maintenance Program - Phase II Additional Financing, P146402-Mozambique Roads and Bridges Management and Maintenance Project Phase 2 - Additional Financing Page 5 of 5