Central Asia Regional Economic Cooperation Corridors 2, 3, and 5 (Obigarm–Nurobod) Road Project (RRP TAJ 52042)

Project Number: 52042-001 Grant Number: GXXXX 24 October 2019

Tajikistan: Central Asia Regional Economic

Cooperation Corridors 2, 3, and 5

(Obigarm–Nurobod) Road Project

Project Administration Manual

CURRENCY EQUIVALENTS (as of 24 October 2019)

Currency unit – somoni (TJS)

TJS1.00 = $0.1032 $1.00 = TJS9.6958

ABBREVIATIONS ADB – Asian Development Bank CAREC – Central Asia Regional Economic Cooperation CSC – construction supervision consultant EBRD – European Bank for Reconstruction and Development EMP – environment management plan HPP – hydropower plant IEE – initial environmental examination km – kilometer LARP – land acquisition and resettlement plan MOT – Ministry of Transport MOF – Ministry of Finance OFID – OPEC Fund for International Development PAM – project administration manual PMC – project management consultant PIURR – Project Implementation Unit for Roads Rehabilitation

CONTENTS

I. PROJECT DESCRIPTION 1

II. IMPLEMENTATION PLANS 2

A. Outputs 2 B. Project Readiness Activities 2 C. Overall Project Implementation Plan 2

III. PROJECT MANAGEMENT ARRANGEMENTS 4

A. Project Implementation Organizations: Roles and Responsibilities 4 B. Key Persons Involved in Implementation 5 C. Project Organization Structure 6

IV. COSTS AND FINANCING 7

A. Cost Estimates Preparation and Revisions 7 B. Key Assumptions 7 C. Detailed Cost Estimates by Expenditure Category 8 D. Allocation and Withdrawal of Grant Proceeds 8 E. Detailed Cost Estimates by Financier 9 F. Detailed Cost Estimates by Outputs 10 G. Detailed Cost Estimates by Year 11 H. Contract and Disbursement S-Curve 12 I. Fund Flow Diagram 13

V. FINANCIAL MANAGEMENT 13

A. Financial Management Assessment 13 B. Disbursement 14 C. Accounting 15 D. Auditing and Public Disclosure 15

VI. PROCUREMENT AND CONSULTING SERVICES 16

A. Advance Contracting 16 B. Procurement of Goods, Works, and Consulting Services 16 C. Procurement Plan 17 D. Consultant's Terms of Reference 17

VII. SAFEGUARDS 17

VIII. GENDER AND SOCIAL DIMENSIONS 20

IX. PERFORMANCE MONITORING, EVALUATION, REPORTING, AND COMMUNICATION 23

A. Project Design and Monitoring Framework 23 B. Monitoring 24 C. Evaluation 25 D. Reporting 25 E. Stakeholder Communication Strategy 26

X. ANTICORRUPTION POLICY 27

XI. ACCOUNTABILITY MECHANISM 27

XII. RECORD OF CHANGES TO THE PROJECT ADMINISTRATION MANUAL 27

APPENDIXES

APPENDIX 1: PROCUREMENT PLAN 28 APPENDIX 2: DRAFT TERMS OF REFERENCE 31

Project Administration Manual Purpose and Process

1. The project administration manual (PAM) describes the essential administrative and management requirements to implement the project on time, within budget, and in accordance with the policies and procedures of the government and Asian Development Bank (ADB). The PAM should include references to all available templates and instructions either through linkages to relevant URLs or directly incorporated in the PAM.

2. The Ministry of Transport (MOT) of the Republic of Tajikistan—executing agency and Project Implementation Unit for Roads Rehabilitation (PIURR)—implementing agency are wholly responsible for the implementation of ADB-financed projects, as agreed jointly between the recipient and ADB, and in accordance with the policies and procedures of the government and ADB. ADB staff is responsible for supporting implementation including compliance by MOT and PIURR of their obligations and responsibilities for project implementation in accordance with ADB’s policies and procedures.

3. At grant negotiations, the recipient and ADB shall agree to the PAM and ensure consistency with the grant agreement. Such agreement shall be reflected in the minutes of the grant negotiations. In the event of any discrepancy or contradiction between the PAM and the grant agreement, the provisions of the grant agreement shall prevail.

4. After ADB Board approval of the project's report and recommendations of the President (RRP),

changes in implementation arrangements are subject to agreement and approval pursuant to relevant government and ADB administrative procedures (including the Project Administration Instructions) and upon such approval, they will be subsequently incorporated in the PAM.

I. PROJECT DESCRIPTION

1. The project will improve connectivity and safety along the Obigarm–Nurobod road by (i) constructing about 30 kilometers (km) of climate-resilient two-lane highway between Obigarm and Tagikamar and about 30 km of all-weather village access roads, and increasing road safety awareness; (ii) strengthening the institutional capacity of the Ministry of Transport (MOT) on road asset management; and (iii) enhancing women’s access to economic opportunities.1 The project expands efforts of the Asian Development Bank (ADB) and other development partners to upgrade the country’s national highway network along key economic corridors. It will enhance inclusive economic growth and regional connectivity. 2. The road has been divided into three sections: the Obigarm–Tagikamar section is about 30 km long and includes 2 tunnels of 1.6 km and 1.7 km and village access roads (section 1; hereinafter referred to as project roads); (ii) the Tagikamar–Nurobod is about 44 km long and includes 1 tunnel of 2.6 km, 1 long temporary bridge and village access roads (section 2; to be financed by EBRD); and (iii) section 3 includes a 760m long bridge and its approaches (section 3; to be financed by AIIB). 3. The project is aligned with the following impacts: (i) economic growth promoted (Tajikistan National Development Strategy),2 and (ii) infrastructure and economic connectivity improved,3 competitive corridors across the CAREC region established (footnote 3). The project will have the following outcome: connectivity and safety along the Obigarm–Nurobod road improved. 4 A. Outputs

4. Output 1: Project roads constructed, and road safety awareness increased. This output will include the construction of (i) about 30 km of climate-resilient two-lane highway between Obigarm and Tagikamar, (ii) about 30 km of all-weather village access roads that will serve 11 villages.5 The project roads will include safety facilities fitted for the elderly, children, women, and differently abled. This output will also include the development of a gender-sensitive road safety awareness campaign to roadside villages and schools. 5. Output 2: MOT’s institutional capacity on asset management strengthened. This output will include: (i) the development of tailored tolling options and preparation of priority and viable tolling projects; (ii) the development and dissemination of annual statistics and analytics on the road network under MOT’s jurisdiction; and (iii) training of selected MOT and Government Automobile Road Establishment (GUSAD) staff (50% of whom are women) on tunnel operation and management including climate change and disaster risk management. 6. Output 3: Women’s access to economic opportunities enhanced. This output will include: (i) designing and implementing a women’s entrepreneurship program; (ii) training women on business development and financial management; and (iii) facilitating access to the

1 The Asian Development Bank provided transaction technical assistance for the project: ADB. Tajikistan. Preparing

the CAREC Corridors 2, 3, and 5 (Obigarm–Nurobod) Road Project (TA 9530-TAJ). 2 Government of Tajikistan. 2017. National Development Strategy of the Republic of Tajikistan for the Period up to

2030. Dushanbe. 3 ADB. 2017. CAREC 2030, Connecting the Region for Shared and Sustainable Development. Manila; and ADB. 2019.

Central Asia Regional Economic Cooperation Transport Strategy, 2030 (draft). 4 The design and monitoring framework is in Table 10. 5 The highway has been designed to Category III standards while the village access roads will be designed to Category

V standards (Russian road design standard SNiP 2.05.02-85).

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government’s targeted grants for women entrepreneurs. The delivery of this output will involve close coordination with the National Committee of Women and Family Affairs (NCWFA) and local authorities.

II. IMPLEMENTATION PLANS

A. Project Readiness Activities

Table 1: Project Readiness Activities

Indicative Activities

2019 2020

Q2 Q3 Q4 Q1 Q2 Q3 Responsible Unit

Advance contracting actions ✓ PIURR and ADB Government counterpart funds allocation ✓ MOF and MOT Establish project implementation arrangements

✓ MOT, PIURR, and ADB

Approve and disclose safeguard documents ✓ MOT, PIURR, and ADB ADB Board approval ✓ ADB Grant signing ✓ ADB and Recipient Government legal opinion provided ✓ Recipient Grant effectiveness ✓ ADB

ADB = Asian Development Bank, MOF = Ministry of Finance, MOT = Ministry of Transport, Q = quarter, PIURR = Project Implementation Unit for Roads Rehabilitation. Source: Asian Development Bank.

B. Overall Project Implementation Plan

7. Table 2 shows a Gantt chart recording outputs with key implementation activities on a monthly or quarterly basis that is updated annually and submitted to ADB with contract and disbursement projections for the following year.

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Table 2: Overall Project Implementation Plan

Activities 2019 2020 2021 2022 2023 2024 2025 2026

Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

A. DMF

Output 1: Project roads constructed, and road safety awareness increased

1.1 Award civil works and construction supervision contracts by Q1 2020 and complete civil works by Q4 2023

1.2 Conduct road safety awareness campaigns to roadside villages and schools by Q4 2022

Output 2: MOT’s institutional capacity on asset management strengthened

2.1 Develop tailored tolling options and prepare priority and viable tolling projects by Q4 2024

2.2 Develop and disseminate annual road statistics and analytics reports by Q4 2022

2.3 Train selected MOT and GUSAD staff on tunnel operation and management by Q4 2023

Output 3: Women’s access to economic opportunities enhanced

3.1 Design and implement a women’s entrepreneurship program by Q4 2022

3.2 Train women on business development and financial management by Q4 2023

3.2 Facilitate access to the government’s targeted grants for women entrepreneurs by Q4 2023

B. Management Activities

Procurement plan key activities to procure contract packages

Project management consultant selection process

Construction supervision consultant selection process

Environment management plan key activities

Project midterm review

Project completion report

Source: Asian Development Bank.

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III. PROJECT MANAGEMENT ARRANGEMENTS

A. Project Implementation Organizations: Roles and Responsibilities

Table 3: Project Management Roles and Responsibilities Project Implementation Organizations Management Roles and Responsibilities

Executing agency: Ministry of Transport

• Provide overall project oversight;

• Ensure compliance with all covenants of the grant agreement and ADB’s policies, procedures, and guidelines;

• Coordinate with all ministries and agencies involved in the project as appropriate;

• Ensure time provision of counterpart funds for project activities;

• Ensure that the PIURR is adequately staffed and functional during the entire period of project implementation;

• Recruit and supervise consultants and contractors, including approval of contract variations, suspension, and termination of contracts;

• Bid evaluation and contract signing;

• Establish adequate financial management system and submit timely withdrawal applications to ADB;

• Conduct timely financial audits as per agreed timeframe and take recommended actions;

• Collect and retain all supporting and reporting documents, including annual audit reports and financial statements;

• Involve beneficiaries and civil society representatives in all stages of project design and implementation as appropriate;

• Regularly post on MOT website the updated project information documents for public disclosure, including safeguards documents, in consultation with ADB; and

• Ensure project’s post-implementation sustainability and report to ADB on the impacts of the project.

Implementing agency: Project Implementation Unit for Roads Rehabilitation

• Coordinate the day-to-day project implementation activities;

• Finalize bidding documents, manage recruitment of consultants and procurement of contractors, and finalize contract awards;

• Ensure that the day-to-day project implementation activities are comply with safeguards requirements set for the project, including the preparation of Safeguards reports identifying issues and action plans;

• Monitor and evaluate project activities and outputs, including periodic review and preparation of review reports identifying issues and action plans;

• Prepare regular periodic progress reports, and the project completion report, and ensure their timely submission to ADB;

• Assist ADB project review missions; and

• Provide necessary office space, equipment, and facilities

Ministry of Finance • Sign and oversee the implementation of the grant agreement, including its amendments, if any;

• Provide documents and other requirement for grant effectiveness;

• Timely allocate and release counterpart funds;

• Monitor the project implementation and provide appropriate coordination support;

• Provide ADB with details of the authorized staff with specimen signatures for withdrawal applications processing;

• Request extensions of the grant closing date, if any, and

• Process and submit to ADB any request, when required, for reallocating the grant proceeds.

ADB • Assist MOT in recruiting the PMC and CSC

• Assist MOT and PMC in providing timely guidance at each stage of project implementation in accordance with agreed implementation arrangements;

• Review all documents that require ADB approval;

• Conduct inception mission, periodic review mission a mid-term review mission, and a project completion mission.

• Monitor compliance with all grant covenants.

• Monitor compliance with financial audit recommendations;

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Project Implementation Organizations Management Roles and Responsibilities

• Timely process withdrawal applications and release eligible funds;

• Regularly update ADB’s project performance review reports with assistance from MOT; and

• Regularly post on ADB website the updated project information documents for public disclosure, including safeguards documents in accordance with provisions of the ADB Safeguard Policy Statement (2009).

Project Coordination Committee

• Comprised by the Minister or Deputy Minister for Transport (chair), PIURR Executive Director, Obigarm–Nurobod Project Coordinator, authorised representative/s of the Ministry of Finance, State Committee on Investment and State Property Management, municipalities, and of other stakeholders which are affected by the Project.

• Regularly meet with the Government and its agencies, PIURR, four financing agencies, 3 supervision consultants, and 3 civil works contractors, and three project managers for effective coordination; and

• Resolve issues that are relevant to the Project, or to a Project component (technical, safeguards, contractual, health and safety, schedule or any others that could impact on the Project achieving its objectives).

ADB = Asian Development Bank, CSC = construction supervision consultant, PMC = Project management consultant; MOT = Ministry of Transport, PIURR = Project Implementation Unit for Roads Rehabilitation. Source: Asian Development Bank.

B. Key Persons Involved in Implementation

8. The executing agency officer and ADB division director and mission leader are as below: Executing Agency MOT Mr. Khudoyor Zavqibek Khudoyorzoda

Minister of Transport 14 Ayni Street, Dushanbe, Tajikistan

PIURR

Mr. Nurali S. Arabzoda Executive Director Telephone: +992 372 21 20 73 Email address: piurr@bk.ru 14 Ayni Street, Dushanbe, Tajikistan

Asian Development Bank

Transport and Communications Division

Mr. Dong-Soo Pyo Director, Transport and Communications Division Central and West Asia Department Telephone: +63 2 632 6765 Fax: +63 2 636 2428 Email address: dspyo@adb.org 6 ADB Avenue, Mandaluyong City, 1550 Metro Manila, Philippines

Mission Leader Kamel Bouhmad Transport Specialist, Transport and Communications Division Central and West Asia Department Telephone: +63 2 632 4664 Email address: kbouhmad@adb.org

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6 ADB Avenue, Mandaluyong City, 1550 Metro Manila, Philippines

C. Project Organization Structure

9. The MOT will be the executing agency. The PIURR will be the implementing agency. The PIURR will be assisted during project implementation by relevant departments of the MOT, the PMC and CSC, and relevant government agencies. The project outline organization chart and the PIURR organizational structure are shown below.

ADB = Asian Development Bank, MOF = Ministry of Finance, MOT = Ministry of Transport, OFID = OPEC Fund for International Development, PIURR = Project Implementation Unit for Roads Rehabilitation.

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IV. COSTS AND FINANCING

A. Cost Estimates Preparation and Revisions

10. The cost estimates have been prepared in June 2019 by the project preparatory technical assistance (TA) consultants based on recent and similar priced contracts for consulting services, and civil works. B. Key Assumptions

11. The following key assumptions underpin the cost estimates and financing plan:

(i) Exchange rate: TJS 9.44 = $1.00 (as of 22 July 2019). (ii) Price contingencies based on expected cumulative inflation over the

implementation period are as follows:

Table 4: Escalation Rates for Price Contingency Calculation

Item 2019 2020 2021 2022 2023 2024 Average

Foreign rate of price inflation 1.50% 1.50% 1.60% 1.60% 1.60% 1.60% 1.60%

Domestic rate of price inflation 6.70% 6.20% 6.30% 6.50% 6.50% 6.50% 6.50%

Sources: World Bank Manufacture’s Unit Value index (foreign rate); International Monetary Fund’s Outlook (October 2018) estimates for 2019–2023 (domestic rate).

12. The proposed project is estimated to cost about $178.1 million. The government has requested a grant not exceeding $110 million from ADB’s Special Funds resources (Asian Development Fund) to help finance the project. ADB will finance expenditures in relation to civil works, consulting services, and contingencies. ADB financing includes a $10 million grant allocation from the Asian Development Fund disaster risk reduction financing mechanism.6 This grant will contribute to financing climate adaptation and disaster risk reduction components estimated to cost $15 million. These components comprise (i) extended tunnel portals to avoid expected increasing risks from natural hazards ($7.5 million), (ii) increased retaining walls and mass movement protection to avoid landslides and rockfalls ($6.5 million), and (iii) resizing of ditches to cater for expected increase in extreme precipitations ($1.5 million). ADB will finance about 70% of adaptation costs, totaling $10 million. 13. The government has also requested the Organization of the Petroleum Exporting Countries Fund for International Development (OFID) to provide a loan of $40 million, which will exclusively cofinance the works contract for the construction of the Obigarm–Tagikamar road section. The OFID loan will have a 20-year term including a grace period of 5 years, and an interest rate of 2.25% per annum inclusive of a 1.0% service charge. ADB and OFID will cofinance the civil works of the project as collaborative cofinancing. ADB will not be administering the OFID loan and each cofinancier will manage, in close coordination, its own pro-rata share of disbursements for civil works related payments. 14. In addition, the government has requested a loan of $150 million from the European Bank for Reconstruction and Development (EBRD) and a loan of $40 million from the Asian Infrastructure Investment Bank (AIIB) to help finance the construction of the Tagikamar–Nurobod road section and the long bridge crossing the Vakhsh river, respectively. The EBRD and AIIB cofinancing will be parallel and collaborative, and will not be administered by ADB.

6 ADB. 2016. Supporting Disaster Risk Reduction. Paper prepared for the second ADF 12 replenishment meeting.

Nepal. 24-27 February

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15. The government will contribute $28.1 million to cover taxes and duties, land acquisition and resettlement costs, incremental administrative costs, and financing charges during implementation. ADB and OFID will not finance taxes. The government has agreed to secure all counterpart funds required for the smooth and effective implementation of the project, including any shortfall of funds or cost overrun, and that all such funds are released in a timely manner. C. Detailed Cost Estimates by Expenditure Category

Table 5: Detailed Cost Estimates by Expenditure Category ($ million)

a Includes taxes and duties of $24.8 million to be provided by the government through tax exemption. b In mid-2019 prices as of May 2019. c Physical contingencies computed at 5% for civil works and consulting services. d Price contingencies computed at average of 1.6% on foreign exchange costs and 6.5% on local currency costs;

includes provision for potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate.

e Interest during construction for the Organization of the Petroleum Exporting Countries Fund for International Development loan ($2.4 million) has been computed at 2.25% per year during the project implementation period.

Notes: numbers may not sum precisely because of rounding. Source: Asian Development Bank.

D. Allocation and Withdrawal of Grant Proceeds

Table 6: Allocation and Withdrawal of ADB Grant Proceeds

Number Item*

Total Amount Allocated for ADB Financing ($) Basis for Withdrawal from the Grant

Account Category

1 Works 85,000,000 68% of total expenditure claimed**, ***

2 Services 6,000,000 100% of total expenditure claimed**

3 Unallocated 19,000,000

TOTAL 110,000,000

$ million

Foreign Local Totala

% of Total

Item Exchange Currency Cost Base Cost

A. Investment Costsb

75.0 50.0 147.5 94.8%

4.0 2.0 7.1 4.6%

0.0 0.5 0.5 0.3%

79.0 52.5 155.1 99.7%

B. Recurrent Costs

0.0 0.5 0.5 0.3%

0.0 0.5 0.5 0.3%

79.0 53.0 155.6 100.0%

C. Contingencies

4.0 2.6 7.7 5.0%

3.2 9.2 12.4 8.0%

7.2 11.8 20.1 12.9%

D. Financial Charges During Implementatione

2.4 0.0 2.4 1.5%

2.4 0.0 2.4 1.5%

88.6 64.8 178.1 114.5%

3. Land acquisition and resettlement

Subtotal (D)

Total Project Cost (A+B+C+D)

1. Civil works

2. Consulting services

Subtotal (A)

1. Incremental administrative expenses

Subtotal (B)

Total Base Cost (A+B)

1. Physicalc

2. Priced

Subtotal (C)

1. Interest during construction

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* Subject to the conditions for withdrawal described in paragraph 23. ** Exclusive of taxes and duties imposed within the territory of the Recipient. *** In the event the OFID Loan has not been declared effective prior to the Recipient’s satisfaction of the conditions for

withdrawal described in paragraph 5 of Schedule 2, the basis for withdrawal from the Grant Account for this item of expenditure shall be at 100% of total expenditure claimed until such time as the OFID Loan has been declared effective.

Source: Asian Development Bank.

E. Detailed Cost Estimates by Financier

Table 7: Detailed Cost Estimates by Financier ($ million)

a Includes taxes and duties of $24.8 million to be provided by the government through tax exemption. b In mid-2019 prices as of May 2019. c Physical contingencies computed at 5% for civil works and consulting services. Price contingencies computed at

average of 1.6% on foreign exchange costs and 6.5% on local currency costs; includes provision for potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate.

d Interest during construction for the Organization of the Petroleum Exporting Countries Fund for International Development loan ($2.4 million) has been computed at 2.25% per year during the project implementation period.

Notes: numbers may not sum precisely because of rounding. Source: Asian Development Bank.

Item

Amount% of Cost

CategoryAmount

% of Cost

CategoryAmount

% of Cost

CategoryAmount

Taxes

and

Duties

Grand

Total

A. Investment Costsa

85.0 57.6% 40.0 27.1% 22.5 15.3% 125.0 22.5 147.5

6.0 84.7% - 0.0% 1.1 15.3% 6.0 1.1 7.1

- 0.0% - 0.0% 0.5 100.0% 0.5 - 0.5

91.0 82.8% 40.0 100.0% 24.1 85.6% 131.5 23.6 155.1

B. Recurrent Costs

- 0.0% - 0.0% 0.5 0.0% 0.5 - 0.5

- 0.0% - 0.0% 0.5 0.0% 0.5 - 0.5

91.0 82.8% 40.0 100.0% 24.6 87.3% 132.0 23.6 155.6

C. Contingencies

6.6 84.7% - 0.0% 1.2 4.2% 6.6 1.2 7.7

12.4 100.0% - 0.0% - 0.0% 12.4 - 12.4

19.0 0.0% - 0.0% 1.2 4.2% 19.0 1.2 20.1

D.

- 0.0% - 0.0% 2.4 100.0% 2.4 - 2.4

- 0.0% - 0.0% 2.4 100.0% 2.4 - 2.4

110.0 61.7% 40.0 22.5% 28.1 15.8% 153.4 24.8 178.1

Total Project Cost

(A+B+C+D)

ADB OFID Government

Financial Charges During Implementationd

Total

1. Civil works

2. Consulting services

3. Land acquisition and resettlement

Subtotal (A)

1. Incremental administrative expenses

Subtotal (B)

Total Base Cost (A+B)

1. Physicalb

2. Pricec

Subtotal (C)

1. Interest during construction

Subtotal (D)

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F. Detailed Cost Estimates by Outputs

Table 8: Detailed Cost Estimates by Outputs ($ million)

a Includes taxes and duties of $24.8 million to be provided by the government through tax exemption. b In mid-2019 prices as of May 2019. c Physical contingencies computed at 5% for civil works and consulting services. d Price contingencies computed at average of 1.6% on foreign exchange costs and 6.5% on local currency costs; includes provision for potential

exchange rate fluctuation under the assumption of a purchasing power parity exchange rate. e Interest during construction for the Organization of the Petroleum Exporting Countries Fund for International Development loan ($2.4 million) has been

computed at 2.25% per year during the project implementation period. Notes: numbers may not sum precisely because of rounding. Source: Asian Development Bank.

Item

Total

Costa

Amount

% of Cost

Category Amount

% of Cost

Category Amount

% of Cost

Category

A. Investment Costsb

147.5 147.5 100.0% - - - -

7.1 6.7 94.4% 0.2 2.8% 0.2 2.8%

0.5 0.5 100.0% - - - -

155.1 154.7 99.7% 0.2 0.1% 0.2 0.1%

B. Recurrent Costs

0.5 0.5 100.0% - - - -

0.5 0.5 100.0% - - - -

155.6 155.2 99.7% 0.2 0.1% 0.2 0.1%

C. Contingencies

7.7 7.7 100.0% - - - -

12.4 12.4 100.0% - - - -

20.1 20.1 100.0% - - - -

D. Financial Charges During Implementatione

2.4 2.4 100.0% - - - -

2.4 2.4 100.0% - - - -

178.1 177.7 99.8% 0.2 0.1% 0.2 0.1% Total Project Cost (A+B+C+D)

Subtotal (D)

2. Consulting Services

3. Land Acquisition and Resettlement

Subtotal (A)

1. Incremental administrative expenses

Subtotal (B)

Total Base Cost (A+B)

1. Physicalc

2. Priced

Subtotal (C)

1. Interest during construction

Output 1 Output 2 Output 3

1. Civil Works

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G. Detailed Cost Estimates by Year

Table 9: Detailed Cost Estimates by Year ($ million)

a Includes taxes and duties of $24.8 million to be provided by the government through tax exemption. b In mid-2019 prices as of May 2019. c Physical contingencies computed at 5% for civil works and consulting services. d Price contingencies computed at average of 1.6% on foreign exchange costs and 6.5% on local currency costs; includes provision for

potential exchange rate fluctuation under the assumption of a purchasing power parity exchange rate. e Interest during construction for the Organization of the Petroleum Exporting Countries Fund for International Development loan ($2.4 million)

has been computed at 2.25% per year during the project implementation period. Notes: Numbers may not sum precisely because of rounding. Source: Asian Development Bank estimates.

Item Total Costa 2020 2021 2022 2023 2024

A. Investment Costsb

147.5 22.1 36.9 36.9 36.9 14.8

7.1 1.1 1.8 1.8 1.8 0.6

0.5 0.5 - - - -

155.1 23.7 38.7 38.7 38.7 15.4

B. Recurrent Costs

0.5 0.1 0.1 0.1 0.1 0.1

0.5 0.1 0.1 0.1 0.1 0.1

155.6 23.8 38.8 38.8 38.8 15.5

C. Contingencies

7.7 1.2 1.9 1.9 1.9 0.8

12.4 1.9 3.1 3.1 3.1 1.2

20.1 3.0 5.0 5.0 5.0 2.0

D.

2.4 0.1 0.25 0.5 0.7 0.9

2.4 0.1 0.2 0.5 0.7 0.9

178.1 26.9 44.1 44.3 44.5 18.3

Subtotal (D)

1. Interest during construction

Financial Charges During Implementatione

Total Project Cost (A+B+C+D)

1. Civil Works

2. Consulting Services

3. Land Acquisition and Resettlement

Subtotal (A)

1. Incremental administrative expenses

Subtotal (B)

Total Base Cost (A+B)

1. Physicalc

2. Priced

Subtotal (C)

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H. Contract and Disbursement S-Curve

16. The below graphs show quarterly contract awards and disbursement projections over the life of the project. The S-curves are only for ADB financing. Counterpart funds and OFID financing are not considered. The projection for contract awards includes contingencies.

Source: Asian Development Bank estimates.

Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total

2020 0.00 90.00 0.00 0.00 90.00 0.00 0.00 13.50 0.00 13.50

2021 0.00 0.00 0.00 0.00 0.00 3.30 5.50 6.60 7.70 23.10

2022 0.00 0.00 0.00 0.00 0.00 4.13 6.88 6.88 9.63 27.52

2023 0.00 0.00 20.00 0.00 20.00 4.13 6.88 6.88 9.63 27.52

2024 0.00 0.00 0.00 0.00 0.00 2.48 4.13 4.13 7.62 18.36

Total 110.00 110.00

Contract Awards Disbursements

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I. Fund Flow Diagram

V. FINANCIAL MANAGEMENT

A. Financial Management Assessment

17. The financial management assessment (FMA) was conducted in May 2019 in accordance with ADB’s current technical guidance:

• Guidelines for the Financial Management and Analysis of Projects (issued July 2005).7

• Financial Due Diligence: A Methodology Note (issued January 2009).8

• ADB Financial Management Technical Guidance Note: Financial Management Assessment (issued May 2015).9

18. The assessment process broadly followed the standard FMA Questionnaire (which is part of the ADB Financial Management Technical Guidance Note), covering funds flow arrangements, staffing, accounting and financial reporting systems and procedures, internal and external auditing arrangements, and financial information systems. The assessment process included detailed meetings with the PIURR Finance Manager and relevant MOT officials, review of PIURR’s budgets, financial statements, audit reports, and FMA documents from recent ADB projects. 19. The overall inherent risk has been assessed as substantial, mainly reflecting the substantial country-specific risks related to internal audit which have been based on the PEFA 2017. The overall control risk has been assessed as moderate, mainly reflecting the slow improvement of processes formalization and record keeping practices. The combined risk

7 Available at https://www.adb.org/sites/default/files/institutional-document/31339/financial-governance-

management.pdf. 8 Available at https://www.adb.org/sites/default/files/institutional-document/33540/files/financial-due-diligence.pdf. 9 Available at https://www.adb.org/sites/default/files/page/82468/financial-management-assessment.pdf.

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assessment remains substantial. The PIURR has agreed to implement the financial management action plan in Table 9 to address key risks and deficiencies identified.

Table 9: Financial Management Action Plan

Key risks identified Risk-mitigation measures Staff and/or personnel

responsible Timeline

Departure of existing staff could be a major problem as the salaries in the PIU are not sufficient to attract experienced 1C accounting system users (M)

Prepare a manual for the use of the 1C accounting software.

PIURR and PMC’s financial management specialist

By Q2 2020

Inadequate internal controls in the financial management function result in inaccurate accounting and reporting relating to the project (M)

Develop and implement a comprehensive operation and accounting manual for the PIURR, with job descriptions and responsibilities for each major position.

PIURR and PMCSC’s financial management specialist

By Q2 2020

Lack of supervision by MOT’s internal audit (M)

Bring the PIURR within the scope of MOT’s internal audit process, in consultation with MOT and MOF.

MOF, MOT, and PIURR Entire duration of the project

ADB = Asian Development Bank, PIURR = Project Implementation Unit for Roads Rehabilitation, PMCSC = project management and contract supervision consultant (under Loan 3451-TAJ) Source: Asian Development Bank.

B. Disbursement

1. Disbursement Arrangements for ADB

20. The grant proceeds will be disbursed in accordance with ADB’s Loan Disbursement Handbook (2017, as amended from time to time),10 and detailed arrangements agreed upon between the government and ADB. Online training for project staff on disbursement policies and procedures is available.11 Project staff are encouraged to avail of this training to help ensure efficient disbursement and fiduciary control.

21. Direct Payment and Reimbursement Procedure. Disbursements from the grant will be generally through direct payment procedure where ADB makes direct payment to supplier, contractor, or consultant on the basis of a withdrawal application, in accordance with the Loan Disbursement Handbook. No imprest account will be established under the project. The minimum value per withdrawal application is set in accordance with ADB's Loan Disbursement Handbook (2017, as amended from time to time). Individual payments below this amount will be paid by the MOT and subsequently reimbursed from ADB, unless otherwise accepted by ADB.

22. Before the submission of the first withdrawal application, the Recipient should submit to ADB sufficient evidence of the authority of the person(s) who will sign the withdrawal applications on behalf of the government, together with the authenticated specimen signatures of each authorized person. The MOT, assisted by the PMC, will be responsible for (i) preparing disbursement projections, (ii) requesting budgetary allocations for counterpart funds and other necessary approvals from the MOF and ADB, (iii) collecting and maintaining supporting documents, and (iv) preparing and sending withdrawal applications to ADB.

10 The handbook is available electronically from the ADB website (http://www.adb.org/documents/ loan-disbursement-

handbook. 11 Disbursement eLearning. http://wpqr4.adb.org/disbursement_elearning

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23. Conditions for disbursement: (i) an appropriate legislation, decree and/or resolution duly enacted to provide effective and enforceable exemption from taxes, duties and similar mandatory payments that accrue on project expenditures in Tajikistan (including, without limitation, for consulting services) or the government’s allocation of budgetary funds to MOT sufficient to bear the cost of such taxes, duties and similar mandatory payments; and (ii) government’s allocation of adequate funds and resources to MOT for the implementation of the land acquisition and resettlement plan for the project (only for the Works category).

2. Disbursement Arrangements for Counterpart Fund

24. Government financing covers taxes and duties exemptions, land acquisition and resettlement costs, incremental administrative expenses, and financing charges during implementation and will be carried out in accordance with regulations of the Republic of Tajikistan relevant to co-financing arrangements made with multilateral financing organizations. MOT will open and maintain a separate account for government counterpart funds.

C. Accounting

25. The PIURR will maintain, or cause to be maintained, separate books and records by funding source for all expenditures incurred on the project following cash-based accounting following the International Public Sector Accounting Standards (IPSAS). The PIURR will prepare project financial statements in accordance with the government's accounting laws and regulations, which are consistent with international accounting principles and practices. D. Auditing and Public Disclosure

26. The PIURR will cause the detailed project financial statements to be audited in accordance with accounting principles acceptable to ADB, by an independent auditor acceptable to ADB. The audited project financial statements together with the auditor’s opinion will be presented in the English language to ADB within six months from the end of the fiscal year by the PIURR. 27. The audit report for the project financial statements will include a management letter and auditor’s opinions, which cover (i) whether the project financial statements present an accurate and fair view or are presented fairly, in all material respects, in accordance with the applicable financial reporting standards; (ii) whether the proceeds of the grant were used only for the purpose(s) of the project; and (iii) whether the recipient or executing agency was in compliance with the financial covenants contained in the legal agreement (where applicable). 28. Compliance with financial reporting and auditing requirements will be monitored by review missions and during normal program supervision, and followed up regularly with all concerned, including the external auditor. 29. The government, MOT, and PIURR have been made aware of ADB’s approach to delayed submission, and the requirements for satisfactory and acceptable quality of the audited project financial statements.12 ADB reserves the right to require a change in the auditor (in a manner

12 ADB’s approach and procedures regarding delayed submission of audited project financial statements:

(i) When audited project financial statements are not received by the due date, ADB will write to the executing agency advising that (a) the audit documents are overdue; and (b) if they are not received within the next 6 months, requests for new contract awards and disbursement such as new replenishment of advance accounts, processing of new reimbursement, and issuance of new commitment letters will not be processed.

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consistent with the constitution of the recipient), or for additional support to be provided to the auditor, if the audits required are not conducted in a manner satisfactory to ADB, or if the audits are substantially delayed. ADB reserves the right to verify the project's financial accounts to confirm that the share of ADB’s financing is used in accordance with ADB’s policies and procedures. 30. Public disclosure of the audited project financial statements, including the auditor’s opinion on the project financial statements, will be guided by ADB’s Access to Information Policy (2019).13 After the review, ADB will disclose the audited project financial statements and the opinion of the auditors on the project financial statements no later than 14 days of ADB’s confirmation of their acceptability by posting them on ADB’s website. The management letter, additional auditor’s opinions, and audited entity financial statements will not be disclosed.14

VI. PROCUREMENT AND CONSULTING SERVICES

A. Advance Contracting

31. All advance contracting will be undertaken in conformity with the new procurement framework as set out in ADB’s Procurement Policy for the procurement of goods, works, consulting services and non-consulting services (2017) and the Procurement Regulations for ADB Borrowers (2017).15 The issuance of invitations to bid and consulting services recruitment notices under advance contracting will be subject to ADB approval. The government has been advised that advance contracting does not commit ADB to finance the project. 32. Advance contracting. Advance contracting will be undertaken for the civil works contract and all consulting services contracts to facilitate project implementation. The bidding documents and consultants’ TOR of these packages will be prepared by PIURR and reviewed by ADB before web posting. Under advance contracting, PIURR can complete the consultant selection process entirely and the bidding process up to contract awards. 33. Retroactive financing. There will be no retroactive financing under the project. B. Procurement of Goods, Works, and Consulting Services

34. The procurement of the works and the selection of consultant services will follow the new procurement framework as set out in ADB’s Procurement Policy for the procurement of goods, works, consulting services and non-consulting services (2017) and the Procurement Regulations for ADB Borrowers (2017). Open competitive bidding will be adopted for procurement and recruitment activities.

(ii) When audited project financial statements are not received within 6 months after the due date, ADB will withhold

processing of requests for new contract awards and disbursement such as new replenishment of advance accounts, processing of new reimbursement, and issuance of new commitment letters. ADB will (a) inform the executing agency of ADB’s actions; and (b) advise that the grant may be suspended if the audit documents are not received within the next 6 months.

(iii) When audited project financial statements are not received within 12 months after the due date, ADB may suspend the grant.

13 Access to Information Policy 2018: https://www.adb.org/documents/access-information-policy A 14 This type of information would generally fall under access to information policy exceptions to disclosure. ADB. 2018.

Access to Information Policy. Paragraph 17(viii) and/or 17(ix). 15 Available at: http://www.adb.org/documents/procurement-regulations-adb-borrowers

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35. Open competitive bidding procedures will be used for all contracts procured under the project. Procurement of the civil works contract will follow the single-stage two-envelope bidding procedure. Consultants will be selected and engaged using the quality- and cost-based selection method and the individual consultant selection method, where applicable. There will be no procurement of goods. C. Procurement Plan

36. An 18-month procurement plan indicating threshold and review procedures, works, and consulting service contract packages and national competitive bidding guidelines is in Appendix 1. D. Consultant's Terms of Reference

37. The MOT will engage international and national consultants for the following services: (i) project management, (ii) construction supervision, (iii) project manager, and (iv) financial audit. The draft terms of reference for the project management consultant (PMC) and the construction supervision consultant (CSC) are in Appendix 2. 38. An estimated 998 person-months (116 international and 882 national) of consulting services are required for the PMC contract, while the CSC contract will have an estimated 112 person-months (42 international and 70 national) of consulting services input. Both the PMC and CSC will be engaged using the quality- and cost-based selection (QCBS) method with a standard quality–cost ratio of 90:10 and submission of full technical proposals.

VII. SAFEGUARDS

39. ADB's Safeguard Policy Statement (SPS, 2009) will apply to the project. 1. 40. Environment (category A). The PIURR has prepared an environmental impact assessment and an environmental management plan (EMP), which was disclosed on the ADB and MOT websites on 19 July 2019. The main anticipated site-specific impacts during construction include air and surface water pollution, noise and vibration, soil erosion, soil material disposal, loss or degradation of natural habitat, occupational health and safety, relocation of utilities, and traffic disruption. The relative short-term nature of these impacts mean that generally impacts will not be significant if the EMP is implemented correctly. During operation phase, the main anticipated residual impacts include those to notable specifies, from noise and to the overall landscape. Adequate mitigation measures and monitoring requirements have been included in the EMP and will be implemented through the civil works contract and monitored through the CSC and PMC contracts. The EMP will be updated into a site-specific EMP by the works contractor, which will include a number of site and topic specific EMPs. No physical works will be allowed prior to approval of the SEMP by the CSC and PIURR. An impact assessment was also conducted for the village access roads and included in the EIA.

41. The resources required and responsibilities for the implementation of environmental safeguards are as follows:

(i) The MOT shall ensure that the preparation, design, construction, implementation, operation and decommissioning of the project and all project facilities comply with (a) all applicable national laws and regulations relating to environment, health and

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safety; (b) the Environmental Safeguards; and (c) all measures and requirements set forth in the EIA, the EMP, and any corrective or preventive actions set forth in a Safeguards Monitoring Report;

(ii) The Works Contractor is responsible for preparing a site-specific EMP that reflects

its understanding and commitment to address environmental issues. The works contractor is also responsible for the day-to-day implementation of the EMP and compliance at all times with the requirements of both the EIA and EMP.

(iii) The CSC is tasked with specific responsibility to ensure environmental safeguards

compliance of civil works, with particular emphasis on the monitoring of implementation of the EMP through the works contractor’s site-specific EMP and related aspects of the project. The CSC will include national and international environmental specialists, who will be responsible for supervising the contractor’s environmental performance, coordinating the public consultations and project grievance redress mechanism (GRM), and reporting to the PIURR management for submission to MOT and ADB through the periodic project progress reports and annual environment monitoring reports; and

(iv) An environmental monitoring specialist (EMS) will be engaged by the PIURR and

will have responsibility for day-to-day supervision of the EMP implementation, and provision of required reports. The specific responsibilities of the EMS include:

(a) Liaise with the Works Contractor, CSC and MOT to ensure adherence to

the EIA, EMP and LARP, and adequate implementation of related activities;

(b) Undertake internal supervision of the EMP implementation and report regularly to the PIURR on progress made and envisaged action plans; and

(c) Conduct consultation meetings with local stakeholders as required, informing them of imminent construction works, updating them on the latest project development activities, GRM, etc.

42. Involuntary resettlement (category B). The project is classified as category B for involuntary resettlement impacts. The MOT shall ensure that land acquisition, resettlement and all other activities under the project are carried out in full compliance with all applicable laws and regulations of Tajikistan, ADB’s SPS, and the land acquisition and resettlement plan (LARP). 43. MOT shall ensure that:

(i) the finalized and updated LARP shall be disclosed to affected persons in accordance with the ADB’s SPS and ADB’s Access to Information Policy (2019);

(ii) all land and rights of way required by the project shall be acquired and made available in a timely manner; and

(iii) no physical displacement or economic displacement shall occur and no road section or part of a road section is handed over to the civil works contractor until: (a) the LARP is updated, finalized, and endorsed by the EA/IA and approved by ADB; (b) compensation at full replacement cost has been paid to displaced persons in accordance with the updated and finalized resettlement plan for relevant project components or sections that are ready to be constructed; (c) other entitlements listed in the updated and finalized resettlement plan have been provided to displaced persons; and (d) land acquisition and resettlement plan

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implementation report is submitted to ADB and determined as satisfactory. Any new land acquisition and resettlement (LAR) impacts identified during implementation or due to change in project scope will require a new land acquisition and resettlement plan. The additional plan should be prepared following ADB’s SPS and its required guidelines.

(iv) design and implementation of all project components comply with (a) all applicable national laws and regulations relating to Involuntary Resettlement; (b) the requirements of ADB’s Involuntary Resettlement Safeguards; and (c) all measures and requirements set forth in the LARP, the LARP addendum and/or social due diligence report (if any), and any corrective or preventive actions set forth in a Safeguards Monitoring Report(s).

(v) PIURR will be responsible for implementation and monitoring of LARP activities and preparation of LARP implementation Compliance Report and Semi-annual social monitoring reports. The Project Management Consultant (PMC) will include national and international resettlement specialists who will provide overall support and capacity building to MOT and PIURR in social safeguards implementation, monitoring and reporting.

44. The PIURR has prepared a land acquisition and resettlement plan (LARP), which was disclosed on the ADB and MOT websites in August 2019. The census carried out during project preparation identified 62 households (502 people) that will be affected directly by land acquisition for the project. Nine households with 68 people will experience severe impact on their livelihoods. These include four households losing their residential buildings, one household losing more than 10% of its productive agricultural land, three petrol station workers losing their employment, and one business losing its main building and operating business. A total of 29 households have been classified vulnerable. All affected people will receive adequate compensation in accordance with the provisions included in the LARP. The village access roads (typically 5-m wide) will be designed to the extent possible on their existing alignments to have minimal resettlement impacts. An impact assessment was conducted for the village access roads based on a preliminary design, and was included in the LARP. When the detailed design is finalized, a LARP addendum will be prepared, approved, and implemented prior to displacing affected people and commencing the works. 46. Grievance Redress Mechanism. MOT shall ensure (i) efficient grievance redress mechanisms (GRM) are in place and functional prior to starting LARP implementation and contractor’s mobilization to assist affected persons resolve queries and complaints, if any, in a timely manner; (ii) all complaints are registered, investigated and resolved in a manner consistent with the provisions of GRM as agreed in ADB approved LARP, (iii) the complainants/aggrieved persons are kept informed about status of their grievances and remedies available to them; and (iv) adequate staff and resources are available for supervising and monitoring the implementation progress of the LARP. 47. Information Disclosure. MOT shall ensure that LARP and monitoring reports are disclosed by (i) uploading the draft and ADB approved final LARP on MOT/PIU and ADB websites, (ii) providing hard copies of approved LARP in the offices of PMC, sub district and district offices, and with village heads; (iii) translating and providing to the affected community the executive summary of ADB approved resettlement plan, bearing information on project impacts, asset valuation, entitlements, compensation budget, and institutional arrangements. 48. Consultations were carried out during LARP preparation, however, for continued information sharing, MOT/PIU shall ensure that (i) the resettlement staff of the PIU with support

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from PMSC conduct additional consultations during updating and implementation of the LARP; (ii) the displaced persons are informed about (a) resettlement impacts, asset valuation, entitlements and compensation payment modalities with time lines, (b) rehabilitation and income restoration measures suggested for the project displaced persons, and (c) GRM put in place with status of redress of grievances; and (iii) liaison is maintained with affected persons and community, and consultation meetings are held regularly with surrounding communities and project displaced persons including women and vulnerable groups to share project related information during project implementation period. 49. Indigenous Peoples. The project is classified as category C for Indigenous peoples impacts in accordance with ADB’s SPS. MOT shall ensure that during implementation there are no impacts on indigenous peoples within the meaning of ADB’s SPS (2009). 50. Prohibited investment activities. Pursuant to ADB’s Safeguard Policy Statement (2009), ADB funds may not be applied to the activities described on the ADB Prohibited Investment Activities List set forth at Appendix 5 of the SPS (2009).

VIII. GENDER AND SOCIAL DIMENSIONS

51. Gender. The project is categorized effective gender mainstreaming. The project will address the gender issues identified during project preparation, which included enhancing connectivity of the villages through all-weather village access roads, increasing road safety features and awareness, and enhancing women’s access to job and training opportunities. A gender action plan (GAP) was prepared in consultation with project beneficiaries and government officials. 16 The GAP will include activities supporting (i) gender-responsive and socially inclusive design features across all infrastructure built under the project, (ii) affirmative measures to enhance women’s access to economic opportunities, and (iii) sex-disaggregated

monitoring and reporting of project progress and achievements. The following is the project’s GAP.

GENDER ACTION PLAN

Activity Indicators/Targets Responsibility Timeframe

Outcome: Connectivity and safety along the Obigarm–Nurobod road improved

Disaggregate data on parties involved in road accidents

MOT’s database on road accidents disaggregated by sex, age, and type of road user (i.e. driver, passenger, pedestrian)

MOT Q1 2020– Q4 2025

Output 1: Project roads constructed, and road safety awareness increased

1.1 Install EWCD-friendly facilities along the project roads

1.1a. Project roads included at least two roadside bazaars and separate toilets for male and women with diaper changing facilities (2018 baseline: not applicable)

1.1b. EWCD-friendly facilities installed along the project roads including pedestrian crossings, road lighting, and bus stops where needed (2018 baseline: not applicable)

PIURR, CSC, and works contractors

Q1 2020– Q2 2024

1.2 Conduct road safety awareness campaigns to roadside villages

1.2a. Baseline study for the road safety awareness campaign included sex-disaggregated information on road accidents, travel patterns, and overall local knowledge on road safety (2018 baseline: not applicable)

PIURR and PMC Q1 2021– Q4 2023

16 Gender Action Plan (accessible from the list of linked documents in Appendix 2).

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Activity Indicators/Targets Responsibility Timeframe

1.2b. Road safety awareness campaign developed and included gender-sensitive features (2018 baseline: not applicable)

1.2c. At least 70% of roadside village residents (50% of whom are women), have increased awareness on road safety (2018 baseline: 0%)

1.2d. Road safety awareness campaign materials (e.g., brochures, posters, signages) used gender sensitive language and messages (2018 baseline: not applicable)

Output 2: MOT’s institutional capacity on asset management strengthened

2.1 Report on gender achievements in annual progress reports

2.1a. Sex-disaggregated data collected and reported in MOT’s annual road statistics and analytics reports (2018 baseline: not applicable)

2.1b. Progress of GAP implementation reported in project annual progress reports (2018 baseline: not applicable)

MOT and PMC Q1 2021– Q2 2024

2.2 Include women staff in technical trainings

2.2a. Training needs assessment and materials developed and included gender-sensitive features (2018 baseline: not applicable)

2.2b. At least 20 MOT and GUSAD staff, including 50% women, have increased knowledge and skills on operation and maintenance of tunnels, including climate change and disaster risk management (2018 baseline: not applicable

MOT and PMC Q1 2021– Q4 2024

Output 3: Women’s access to economic opportunities enhanced

3.1 Design and implement a women’s entrepreneurship program

3.1a. Market scoping study and skills needs assessment developed to identify potential business and livelihood opportunities for women (2018 baseline: not applicable)

3.1b. Women’s entrepreneurship program developed, based on the skills needs assessment, and included possible list of participants and selection criteria

3.1c. At least 75 women trained, and 50 women gained and reported knowledge and skills on business development in relevant areas such as handicrafts, farming, and catering (2018 baseline: 0)

PIURR and PMC Q1 2021– Q4 2024

3.2 Facilitate access of women entrepreneurs to governmental grants

3.2a. Memorandum of understanding or equivalent signed with the NCWFA and local authorities for allocation of grants to the project area (2018 baseline: not applicable)

3.2b. At least 20 women entrepreneurs submitted grants applicants to the program selection committee (2018 baseline: 0)

3.2c. At least 10 women from the project area received government grant for women entrepreneurs (2018 baseline: 0)

NCWFA, PIURR and PMC

Q1 2021– Q4 2024

CSC = construction supervision consultant, EWCD = elderly, women, children, and differently abled, GAP = gender action plan, GUSAD = Government Automobile Road Establishment, MOT = Ministry of Transport, NCWFA = National Committee of Women and Family Affairs, O&M = operation and maintenance, PIURR = project implementation unit for roads rehabilitation, PMC = project management consultant.

52. The PMC team will include a gender specialist who will assist PIURR in implementing and monitoring the GAP. The PIURR and PMC will also include sex-disaggregated information and indicators when reporting on the project performance and consultations. The Recipient, through MOT, will further ensure that the principles of ADB's Policy on Gender and Development (1998) are followed during implementation of the Project, including, but not limited to, (a) equal pay to men and women for same type of work; (b) enabling working conditions for women workers; and

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(c) taking all necessary actions to encourage women living in the project area to participate in planning and implementing project activities. 53. Labor Standards, Health and Safety. The Beneficiary, through MOT, will ensure that the core labor standards and the Beneficiary’s applicable laws and regulations are complied with during project implementation. The Beneficiary, through MOT, will include specific provisions in the bidding documents and contracts financed by ADB under the project requiring that the contractors, among other things, (a) comply with the Beneficiary’s applicable labor law and regulations and incorporate applicable workplace occupational safety norms; (b) do not use child labor; (c) do not discriminate workers in respect of employment and occupation; (d) do not use forced labor; (e) allow freedom of association and effectively recognize the right to collective bargaining; and (f) disseminate, or engage appropriate service providers to disseminate, information on the risks of sexually transmitted diseases, including HIV/AIDS, to the employees of contractors engaged under the project and to members of the local communities surrounding the project area, particularly women.

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IX. PERFORMANCE MONITORING, EVALUATION, REPORTING, AND COMMUNICATION

A. Project Design and Monitoring Framework

Table 10: Design and Monitoring Framework Impacts the Project is Aligned with Economic growth promoted (Tajikistan National Development Strategy)a

Infrastructure and economic connectivity improved (CAREC 2030)b Competitive corridors across the CAREC region established (CAREC Transport Strategy 2030)c

Results Chain

Performance Indicators with Targets and Baselines

Data Sources and Reporting Mechanisms

Risks

Outcome Connectivity and safety along the Obigarm–Nurobod road improved

By 2025: a. Average daily vehicle-km

reached 84,500 in the first full year of operation of the project road (2018 baseline: 57,700)

b. Road traffic deaths and injuries per 100 million vehicle-km of travel on the project road reduced by 25% (2018 baseline: 3.6)c

a. Project final report

from PMC

b. Annual statistics on road accidents from MOT

Lack of coordination to facilitate and manage the interfacing of road construction

Outputs 1. Project roads

constructed, and road safety awareness increased

By 2024: 1a. About 30 km of climate-resilient

two-lane highway constructed between Obigarm to Tagikamar (2018 baseline: 0)d,e

1b. About 30 km of all-weather village access roads constructed (2018 baseline: 0)d,e

1c. At least 70% of roadside village residents (50% of whom are women), have increased awareness on road safety (2018 baseline: 0)c

1a–1b. Project final report

from PMC 1c. Road safety reports

from PMC

Insufficient allocation of funds to maintain the project roads and facilities__________

2. MOT’s institutional capacity on asset management strengthened

By 2024: 2a. Tailored tolling options

developed and two priority and viable tolling projects prepared (2018 baseline: 0)

2b. Annual road statistics and analytics reports developed and disseminated (2018 baseline: 0)c

2c. At least 20 MOT and GUSAD staff, including 50% women, have increased knowledge and skills on operation and maintenance of tunnels, including climate change and disaster risk management (2018 baseline: 0)c

2a. Project final report from

PMC 2b. Annual statistical report

from MOT 2c. Survey of training

participants

3. Women’s access to economic opportunities enhanced

By 2024: 3a. Women’s entrepreneurship

program designed and implemented (2018 baseline: 0)

3b. At least 50 women gained knowledge and skills on business development and financial management (2018 baseline: 0)

3a. Project final report from PMC

3b. Survey of training

participants

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3c. At least 10 women from the project area received government grant for women entrepreneurs (2018 baseline: 0)

3c. Project final report from PMC

Key Activities with Milestones 1. Project roads constructed, and road safety awareness increased 1.1 Award civil works and construction supervision contracts by Q1 2020 and complete civil works by Q4 2023 1.2 Conduct road safety awareness campaigns to roadside villages and schools by Q4 2022 2. MOT’s institutional capacity on asset management strengthened 2.1 Develop tailored tolling options and prepare priority and viable tolling projects by Q4 2024 2.2 Develop and disseminate annual road statistics and analytics reports by Q4 2022 2.3 Train selected MOT and GUSAD staff on tunnel operation and management by Q4 2023 3. Women’s access to economic opportunities enhanced 3.1 Design and implement a women’s entrepreneurship program by Q4 2022 3.2 Train women on business development and financial management by Q4 2023 3.3 Facilitate access to government grants for women entrepreneurs by Q4 2023

Inputs Asian Development Bank: $110.0 million (Asian Development Fund grant) OPEC Fund for International Development: $40.0 million (loan) Government of Tajikistan: $28.1 million

Assumptions for Partner Financing European Bank for Reconstruction and Development: $150 million (loan), about 45 km of climate-resilient two-lane highway constructed between Tagikamar and Nurobod Asian Infrastructure Investment Bank: $40 million (loan), two-lane highway bridge about 760 m long constructed to cross the Vakhsh River

ADB = Asian Development Bank, CAREC = Central Asia Regional Economic Cooperation, GUSAD = Government Automobile Road Establishment, km = kilometer, m = meter, MOT = Ministry of Transport, PMC = project management consultant, Q = quarter. a Government of Tajikistan. 2017. National Development Strategy of the Republic of Tajikistan for the Period up to

2030. Dushanbe. b ADB. 2017. CAREC 2030, Connecting the Region for Shared and Sustainable Development. Manila; and c ADB. 2019. Central Asia Regional Economic Cooperation Transport Strategy, 2030 (draft). d Data to be disaggregated by sex. e Includes provision and installation of features and facilities suitable for elderly, women, children, and differently abled

people. Contributions to the ADB Results Framework: To be determined. Source: Asian Development Bank.

B. Monitoring

54. Project performance monitoring. The MOT will establish, assisted by the PMC, a project performance monitoring system using the targets, indicators, assumptions, and risks included in the project design and monitoring framework. Disaggregated baseline data for output and outcome indicators will be gathered within three months of the date of grant effectiveness. Disaggregated data for outcome and outputs indicators will be updated and reported annually through the MOT’s annual progress reports. The CSC and PMC monthly reports will also provide information necessary to update ADB's project performance reporting system.17 Data for output indicators will be collected and analyzed during the project implementation period while data for outcome indicators will be collected and analyzed up to three years after the project completion.

55. Compliance monitoring. Compliance for all project covenants will be jointly monitored by MOT and ADB through quarterly updates provided by the PIURR with assistance from the PMC. The PIURR will submit to ADB a summary status report on the covenants with an explanation and time-bound actions on partly or non-complied covenants. ADB’s Tajikistan

17 ADB's project performance reporting system is available at

http://www.adb.org/Documents/Slideshows/PPMS/default.asp?p=evaltool

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Resident Mission will monitor compliance through quarterly review meetings with MOT. Monitoring will also be undertaken during project review missions. 56. Environment safeguards monitoring. With the assistance of the PMC’s environment specialists, the PIURR shall submit to ADB semi-annual environmental reports for the project within one month of the close of each half of the calendar year. The report will include a status of the progress of environmental measures in the EIA and EMP, problems encountered, and remedial measures taken. 57. Social safeguards monitoring. With the assistance of the PMC’s social safeguards specialists, the PIURR shall submit to ADB semi-annual social monitoring reports for the project within one month of the close of each half of the calendar year during the LARP implementation phase. The report will include a status of the progress of social safeguards measures in the LARP, problems encountered, and remedial measures taken. With the assistance of the PMC’s social safeguards specialists, the PIURR shall submit to ADB the LARP completion report once all activities, measures and requirements set forth in the LARP (and LARP addendum, if any) are duly completed. 58. Gender and social dimensions monitoring. With assistance of the PMC’s, the PIURR will prepare annual progress reports that include sex-disaggregated information on (i) employment and pay; (ii) crash and fatality rate; (iii) people attending training, awareness, and capacity building activities; and (iv) affected people attending consultations on social and environment impacts. The project design and monitoring framework and project annual progress reports will be the main monitoring tools for poverty and social dimensions. The PIU and PMC will collect data through surveys and consultations in liaison with the project stakeholders and relevant government bodies. C. Evaluation

59. Following grant effectiveness, review missions including site visits will be fielded every six months to review project progress and provide guidance on project implementation. After two years of project implementation, a mid-term review mission will be fielded to review project progress and make adjustments, as appropriate, to facilitate project implementation and ensure successful project completion. The review missions will address policy, institutional, administrative, organizational, technical, environmental, social, economic, financial, and other relevant factors that may have an impact on project performance and project continuing viability. 60. Project Completion Report (PCR). Within six months of physical completion of the project, the MOT will submit a PCR to ADB.18

Subsequently, ADB will field a PCR mission to review and finalize the PCR. D. Reporting

61. The MOT, with the PMC’s assistance, will provide ADB with (i) brief monthly progress reports, (ii) quarterly progress reports in a format consistent with ADB's project performance reporting system; (iii) consolidated annual reports including (a) progress achieved by output as measured through the indicator's performance targets, (b) key implementation issues and solutions, (c) an updated procurement plan, (d) an updated implementation plan for the next

18 Project completion report format is available at: http://www.adb.org/Consulting/consultants-toolkits/PCR-Public-

Sector-Landscape.rar.

26

12 months; and (iv) a PCR within six months of physical completion of the project.

E. Stakeholder Communication Strategy

62. The project will follow ADB’s Public Communication Policy and its guidelines on the disclosure and exchange of information. Broader consultations will be carried out with key project stakeholders on relevant requirements pertaining to ADB safeguards, stakeholder communication, and grievance redress procedures. Relevant project stakeholders and beneficiaries will be provided with adequate written information and communication materials in Tajik on the project relevant matters. The PIURR will maintain a tracking system to record consultation activities and provision of project information, while registering concerns and/or complaints received and monitoring follow-up actions. The stakeholder communication strategy is summarized in Table 11.

Table 11: Stakeholder Communication Strategy Project Document

Means of Communication Responsible Frequency Audience

Project data sheet ADB’s website ADB Initial project data sheet posted on the website no later than 2 weeks after approval of the concept paper; updated at least twice a year

General public

Environmental Impact Assessment (EIA)

ADB’s website; information documents; consultations

ADB and MOT

Draft EIA posted on the website before project approval; and the final version no later than 2 weeks of receipt by ADB

General public; project-affected people in particular

Land Acquisition and Resettlement Plan (LARP)

ADB’s website; MOT’s website and/or local newspaper; information pamphlet; and consultations

ADB and MOT

Draft LARP posted on the website before project approval; and the final/updated version no later than 2 weeks of receipt by ADB

General public; project-affected people in particular

Report and Recommendation of the President (RRP)

ADB’s website ADB Posted on the website at the same time it is circulated to the Board for approval, subject to the concurrence of the government

General public

Legal agreement ADB’s website ADB Posted on the website no later than 2 weeks from their signing, after removing any information falling within exceptions at the time of the negotiations

General public

Project Administration Manual (PAM)

ADB’s website ADB Posted on the website at the same time it is circulated to the Board for approval, subject to the concurrence of the government

General public

Social and environmental safeguards monitoring reports

ADB’s website; MOT’s website; and consultations

ADB and MOT

Routinely disclosed, no specific requirements

General public; project-affected people in particular

Project Performance Management System

MOT’s website MOT Routinely disclosed, no specific requirements

General public; project-affected people in particular

Major change in scope

ADB’s website ADB Within 2 weeks of approval of the change

General public

Audited project financial

ADB’s website ADB Within 30 days of receipt General public

27

Project Document

Means of Communication Responsible Frequency Audience

statements and the auditors’ report

Completion reports

ADB’s website ADB Within 2 weeks of circulation to the Board for information

General public

Evaluation reports ADB’s website ADB Within 2 weeks of circulation to Management and the Board

General public

X. ANTICORRUPTION POLICY

63. ADB reserves the right to investigate, directly or through its agents, any violations of the Anticorruption Policy relating to the project.19 All contracts financed by ADB shall include provisions specifying the right of ADB to audit and examine the records and accounts of the executing agency and all project contractors, suppliers, consultants, and other service providers. Individuals and/or entities on ADB’s anticorruption debarment list are ineligible to participate in ADB-financed activity and may not be awarded any contracts under the project.20 64. To support these efforts, relevant provisions are included in the grant agreement and the bidding documents for the project.

XI. ACCOUNTABILITY MECHANISM

65. People who are, or may in the future be, adversely affected by the project may submit complaints to ADB’s Accountability Mechanism. The Accountability Mechanism provides an independent forum and process whereby people adversely affected by ADB-assisted projects can voice, and seek a resolution of their problems, as well as report alleged violations of ADB’s operational policies and procedures. Before submitting a complaint to the Accountability Mechanism, affected people should make an effort in good faith to solve their problems by working with the concerned ADB operations department. Only after doing that, and if they are still dissatisfied, should they approach the Accountability Mechanism.21

XII. RECORD OF CHANGES TO THE PROJECT ADMINISTRATION MANUAL

66. All revisions and/or updates during the course of implementation should be retained in this section to provide a chronological history of changes to implemented arrangements recorded in the PAM, including revision to contract awards and disbursement s-curves.

Version Creation/Revision Date Description of Changes

1.0 10 June 2019 Document creation

1.1 13 July 2019 FMA, DMF, and GAP sections.

1.2 28 August 2019 TOR of CSC and PMC

1.3 9 October 2019 Grant negotiations

1.4 17 October 2019 Finalization for submission to the Board

1.5 24 October 2019 DMF

19 Anticorruption Policy: http://www.adb.org/Documents/Policies/Anticorruption-Integrity/Policies-Strategies.pdf 20 ADB's Integrity Office web site: http://www.adb.org/integrity/unit.asp 21 Accountability Mechanism. http://www.adb.org/Accountability-Mechanism/default.asp.

28 Appendix 1

PROCUREMENT PLAN

Basic Data Project Name: Central Asia Regional Economic Cooperation Corridors 2, 3, and 5 (Obigarm–Nurobod) Road

Project

Project Number: 52042-001 Approval Number:

Country: Tajikistan Executing Agency:

Ministry of Transport

Project Procurement Classification: Category B Implementing Agency: Project Implementation Unit for Roads Rehabilitation

Project Procurement Risk: Medium

Project Financing Amount: US$178,100,000 ADB Financing: US$110,000,000 Cofinancing (ADB Administered): Non-ADB Financing: US$68,100,000

Project Closing Date: 30 December 2024

Date of First Procurement Plan: 10 June 2019 Date of this Procurement Plan: 9 October 2019

Procurement Plan Duration (in months): 18 Advance Contracting: Yes e-GP: No

A. Methods, Thresholds, Review and 18-Month Procurement Plan

1. Procurement and Consulting Methods

Except as the Asian Development Bank (ADB) may otherwise agree, the following process thresholds shall apply to procurement of goods and works.

Procurement of Goods and Works

Method Comments Open Competitive Bidding (OCB) for Works Prior review

Consulting Services Method Comments

Least-Cost Selection for Consulting Firm Prior review Quality- and Cost-Based Selection for Consulting Firm Prior review Competitive for Individual Consultant Prior review

2. Goods and Works Contracts Estimated to Cost $1 Million or More

The following table lists goods and works contracts for which the procurement activity is either ongoing or expected to commence within the next 18 months.

Package Number General Description

Estimated Value

Procurement Method

Review (Prior/ Post)

Bidding Procedure

Advertisement Date (quarter/year) Comments

ONRP/CW/ CP-01

Construction of Obigarm to Tagikamar Road Section from Km 0+000 to Km 30+217

$125,000,000 OCB Prior 1S2E Q3 / 2019 Prequalification of Bidders: No

Domestic Preference Applicable: No

Advance Contracting: Yes Bidding Document: Large Works

Appendix 1 29

Package Number General Description

Estimated Value

Procurement Method

Review (Prior/ Post)

Bidding Procedure

Advertisement Date (quarter/year) Comments

Eligibility: Universal Rebidding: No

3. Consulting Services Contracts Estimated to Cost $100,000 or More

The following table lists consulting services contracts for which the recruitment activity is either ongoing or expected to commence within the next 18 months.

Package Number General Description Estimated Value

Recruitment Method

Review (Prior/ Post)

Advertisement Date (quarter/year)

Type of Proposal Comments

ONRP/QCBS/CS-01

Construction Supervision Consultant

$5,000,000

QCBS Prior Q3 / 2019 FTP Assignment: International Quality-Cost Ratio: 90:10 Advance Contracting: Yes

ONRP/QCBS/CS-02

Project Management Consultant

$850,000

QCBS Prior Q3 / 2019 FTP Assignment: International Quality-Cost Ratio: 90:10 Advance Contracting: Yes

4. Goods and Works Contracts Estimated to Cost Less than $1 Million and

Consulting Services Contracts Less than $100,000 (Smaller Value Contracts)

The following table lists smaller-value goods, works and consulting services contracts for which the activity is either ongoing or expected to commence within the next 18 months.

Goods and Works

Package

Number

General

Description

Estimated

Value

Number of

Contracts

Procurement

Method

Review (Prior/ Post)

Bidding

Procedure

Advertisement

Date (quarter/year)

Comments

None

Consulting Services

Package Number

General Description

Estimated Value

Number of Contracts

Recruitment Method

Review (Prior/ Post)

Advertisement Date

(quarter/year)

Type of Proposal

Comments

ONRP/ICS-01

Project Manager

$75,000 N/A ICS Prior Q3 / 2019 BTP Type: Individual Assignment: National

Expertise: Civil Engineer

Advance Contracting: Yes

ONRP/Audit Financial Auditor

$75,000 N/A LCS Prior N/A BTP Block audit for all ADB-financed projects; the grant will partly finance payment to auditor

30 Appendix 1

B. Indicative List of Packages Required Under the Project

The following table provides an indicative list of goods, works and consulting services contracts over the life of the project, other than those mentioned in previous sections (i.e., those expected beyond the current period).

Goods and Works

Package

Number

General Description

Estimated

Value

(cumulative)

Estimated

Number of

Contracts

Procurement

Method Review

(Prior/Post) Bidding

Procedure

Comments

None

Consulting Services

Package

Number

General Description

Estimated

Value

(cumulative)

Estimated

Number of

Contracts

Recruitment

Method Review

(Prior/Post) Type of

Proposal

Comments

C. List of Awarded and On-going, and Completed Contracts

The following tables list the awarded and on-going contracts, and completed contracts.

1. Awarded and Ongoing Contracts

Package

Number

General

Description

Estimated

Value

Awarded

Contract

Value

Procurement

Method

Advertisement Date

(quarter/year)

Date of ADB

Approval of

Contract Award

Comments

None

Consulting Services

Package

Number

General

Description

Estimated

Value

Awarded

Contract

Value

Recruitment

Method

Advertisement Date

(quarter/year)

Date of

ADB

Approval of

Contract

Award

Comments

None

Goods and Works

Appendix 2 31

DRAFT TERMS OF REFERENCE

CS-01 CONTRACT: CONSTRUCTION SUPERVISION CONSULTANT

I. THE PROJECT

1. The project’s detailed design has been prepared for the Ministry of Transport (MOT) by national consultants financed by the Government. The design has been reviewed and amended with the assistance of international review consultants under ADB financing, who also prepared procurement, economic analysis, safeguards and other documents in compliance with ADB’s guidelines and policies. 2. It is anticipated that the project will be implemented through three civil works contracts, one each to be financed by Asian Development Bank (ADB), the OPEC Fund for International Development (OFID), the European Bank for Reconstruction and Development (EBRD), and the Asian Infrastructure Investment Bank (AIIB). These Terms of Reference (TOR) apply to the ADB-financed contract, Section 1 of the project, from km 0+000 to km 30+217. 3. The Executing Agency for the project will be MOT and the Implementing Agency will be MOT’s Project Implementation Unit for Roads Rehabilitation (PIURR). MOT will be the Employer for all the civil works contracts and the Client for the Construction Supervision Consultant (CSC) contract to which these TOR apply. 4. The ADB-financed Section 1 will be implemented through one civil works contract, which includes 6 bridges, 2 tunnels to be constructed using a drill and blast methodology, 27 km of main alignment road works, and about 30 km of community access roads. MOT with assistance of PIURR will procure this contract, under the open competitive bidding procedures of Procurement Regulations for ADB Borrowers, with the intention it be ready to award by March 2020 (CW-01). Separately and in parallel MOT with assistance of PIURR will procure the other two contracts under EBRD and AIIB procurement procedures respectively. The ADB-financed civil works contract will be based on the FIDIC Conditions of Contract Multilateral Development Bank Harmonized Edition June 2010 (“Pink Book”). It is MOT with assistance of PIURR’s intention that the ADB and EBRD parts of the project be completed not later than July 2023, reflecting the present schedule for the existing road to be inundated by the rising hydropower project reservoir in November 2023. 5. MOT with assistance pf PIURR will select the CSC, in accordance with the procedures set out in ADB’s procurement Policy and Regulations (2017, as amended from time to time).1 Consultant selection will be based on quality and cost criteria, with a quality: cost ratio of 90:10. The resulting contract will be time-based. Also, separately and in parallel, MOT with assistance of PIURR will procure the other two consulting services contracts under EBRD and AIIB procurement procedures, respectively.

II. SCOPE OF WORK AND REQUIRED OUTPUTS

6. The consulting services will comprise the following tasks and associated deliverables:

1 https://www.adb.org/sites/default/files/institutional-document/367151/procurement-regulations-adb-borrowers.pdf

32 Appendix 2

Task 1 Contract Supervision Task 2 Environmental Support and Monitoring Task 3 Communications, Road Safety, and Gender

TASK 1 Contract Supervision 7. The CSC will supervise the civil works contractor. Tasks will include the following:

(i) administering the civil works contract as the Engineer, and undertaking the duties of the Engineer, as defined in the civil works contract;

(ii) checking the contractor’s securities compliance with the contract and tracking their validity;

(iii) ensuring that the contractor’s insurances are in line with the contract and tracking their validity;

(iv) based on the project designs, identifying all public utilities that are to be relocated and provide the Employer with schedules of these for its interaction with the relevant utility agencies to arrange for the affected utilities’ relocation from the project-affected area of the right-of-way;

(v) prior to the commencement of construction, around the middle of the contract period, and again 3 months prior to the completion of the works, carrying out road safety audits of the project road, and as necessary instructing the contractor to amend completed works or undertake additional works to comply with the findings of the audits;

(vi) ensuring that the contractor’s topographical surveys for, working drawings, as-built drawings and measurement purposes comply with the requirements of the specifications;

(vii) for the village access roads part of the contract scope, (a) direct the contractor to carry out appropriate topographical surveys and geotechnical investigations and, on the basis of these and the CSC’s own site assessments, prepare designs for the access roads based on the typical details provided in the contract drawings; (b) undertake land acquisition and resettlement impact surveys as required (taking into account that the roads’ alignments are to follow existing road alignments and are to be developed to avoid the need to acquire land or impact on communities adjacent to the road to the extent possible), and (c) provide the contractor with drawings on the basis of which the contractor will construct the access roads; (c) undertake land acquisition and resettlement (LAR) impact minimization surveys under the guidance of PMC’s resettlement specialists (taking into account that the roads’ alignments are to follow existing road alignments and are to be developed to avoid the need to acquire land or impact on communities adjacent to the road to the extent possible);

(viii) checking and approving the contractor’s method statements, working drawings, and programs for both temporary and permanent works;

(ix) developing a comprehensive system of inspection checking and recording to ensure compliance of all works with contract requirements;

(x) developing measurement and payment systems; establishing a monitoring system for costs to date, and costs to completion; providing a system for the preparation of interim and final payment certificates; providing advice on the evaluation of claims and extensions of time; providing advice on the preparation of variation orders, and for monitoring variation orders; establishing a claims monitoring, evaluation and reporting system; and assisting and advising the Employer on all matters pertaining to the contract including disputes;

Appendix 2 33

(xi) providing day-to-day supervision and inspection of works on site; maintaining by the supervision staff of a site diary covering all contractors’ activities, and recording site conditions;

(xii) prior to commencement of works, approving the contractor’s method statements and working drawings including occupational health and safety plans, traffic management and traffic control arrangements, proposed public and private haul and access routes, tunnel spoil disposal plans, together with the contractor’s arrangements for maintenance and reinstatement of the same, borrow locations, working areas, materials stockpile areas, materials preparation, and processing areas, etc.;

(xiii) reviewing, commenting upon, and accepting the contractor’s quality assurance plans and procedures; assisting the contractor with establishing on-site and laboratory-based quality control, testing, and reporting procedures for all construction, workmanship, and materials; supervising the contractor in implementation of their approved quality assurance plans;

(xiv) prior to the commencement of construction, approving the contractor’s Construction Health and Safety Plan, and during construction ensure that the contractor complies with the requirements of the plan;

(xv) commenting on and ultimately approving the contractor’s Site Specific Environmental Management Plans (SSEMPs), and, thereafter, monitoring and reporting compliance with these plans

(xvi) monitoring the contractor’s program and cost to completion and providing advice to the Employer on procedures necessary to complete the works within the time and cost stated in the contract;

(xvii) preparing reports and providing assistance, as necessary and as required, to the Employer and the Disputes Board if appointed and during any subsequent arbitration procedures;

(xviii) conducting monthly Contract Site Meetings to be attended by representatives of the Employer and the contractor and preparing the minutes of such meetings and circulating them among the participants and thereafter including them in the monthly progress reports;

(xix) attending and making presentations at progress coordination meetings and similar progress reviews;

(xx) providing the Employer with complete records and assisting the contractor with providing “As Built” drawings for the contract; certifying completion and taking over of part or all of the works;

(xxi) preparing Final Payment Certificates, Taking Over Certificates, and Performance Certificates, to the timing of, and as required by, the contract, and advising the Employer on the release of all contractor’s securities and retentions; and

(xxii) preparing a completion report for the ADB-financed part of the project in accordance with ADB’s format and content for such reports. This will require among others (a) conducting a baseline survey prior to construction commencing and final survey of the project road, to include an assessment of classified traffic volumes, average speeds, number and severity of accidents, International Roughness Index and pavement condition on the existing road, (b) conducting a baseline and final survey of freight transport and public transport costs on the completed project road (all parts), and (c) carrying out an economic analyses of the completed project road (all parts).

34 Appendix 2

TASK 2 Environmental Support and Monitoring 8. The CSC will ensure the implementation of the Project’s Environmental Management Plan (EMP), which is part of the Project’s Environmental Impact Assessment (EIA), and also part of the contract documentation. The specific tasks will include the following:

Prior to commencement of the works:

(i) organize a training program for MOT and PIURR staff on how the environmental aspects of the project will be monitored, giving emphasis on SSEMP evaluation; compliance monitoring of construction activities and preparation of corresponding reports; supervision responsibilities and interaction with the contractor; and documentation, resolution and reporting of non-compliance issues and complaints;

(ii) design and implement an ambient environmental monitoring program for air quality, water quality, and noise, and ensure that the pre-construction baseline monitoring program has been implemented and the report is finalized prior to commencement of construction;

(iii) provide guidance to the PIURR’s environment specialist on the environmental aspects of the project with emphasis on compliance monitoring and reporting;

(iv) assist the PIURR with establishing and operating the grievance redress mechanism, including creating a grievance chart (format to be agreed with the PIURR) which is to be updated on a weekly basis;

(v) evaluate the environmental aspects of the contractor’s method statements and working drawings and recommend corrective actions needed, if any, to ensure compliance with the project’s environmental requirements;

(vi) review the contractor’s SSEMPs and all topic specific (such as tunnel spoil and other waste) and site (such as construction camp) specific EMPs ; recommend modifications to these documents to be compliant with: (a) the environmental requirements of the construction contracts as reflected in the EMPs, and (b) the conditions of environmental approvals of the Government, if required.;

(vii) develop the compliance monitoring system to be used during the construction period for monitoring the contractor’s performance relative to environmental requirements, including the preparation of: (a) monitoring and corrective action forms and checklists, (b) inspection procedures, and (c) documentation procedures;

(viii) conduct orientation sessions with the contractor on the compliance monitoring system to be used, notification of non-compliance, and the process of requiring the contractor to implement corrective measures when necessary; and

(ix) provide guidance to the contractor on how its SSEMPs will be implemented including the: (a) requirements for each mitigation measure, and (b) implementation schedule of each mitigation measure taking into consideration the general requirement that no specific construction activity will be approved to be commenced if the associated mitigation measures for such activity are not ready before work commences.

Appendix 2 35

During implementation of the works:

(i) supervise the implementation of the SSEMP, the Project EMP and other relevant topic and site specific EMPs;

(ii) undertake all ambient environmental monitoring (water quality, air quality, and noise levels), by independent third party environmental monitoring contractors as appropriate;

(iii) evaluate the contractor's submitted works activities and schedules relative to the requirements of the approved SSEMPs;

(iv) undertake monthly inspections, monitoring and reporting of construction sites and all construction-related facilities (workers' camps, asphalt batching plants, concrete batching plants, borrow pits, disposal sites for tunnel and other spoil and unsuitable materials, equipment maintenance areas, fuel and materials storage sites, project-specific quarries and crushers, etc.) to assess the contractor’s compliance with the SSEMPs and the Project EMP.

(v) require the contractor to update its SSEMP when necessary; (vi) monitor the contractor's compliance with health and safety requirements of the

project as stipulated in the contract documents and their approved health and safety plans, and require the contractor to provide an updated plan when necessary;

(vii) record non-conformance cases, inform the contractor of improvements needed, respond to contractor’s proposals, prepare corrective action plans for the contractor, and monitor their implementation;

(viii) assess and approve use of temporary construction areas identified during construction such as camps, laydown areas, access roads, etc;

(ix) include environmental monitoring in monthly monitoring reports for submission to the PIURR; and

(x) draft semi-annual environmental safeguard monitoring reports, as required by ADB.

Upon completion of the works:

(i) prepare a report on the project's environmental compliance performance, including lessons learned that may help MOT and the PIURR in their environmental monitoring of future projects. The report will be an input to the overall project completion report.

9. The CSC’s International Environment Specialist (IES) will undertake the initial monthly monitoring, working with the National Environmental Specialist (NES). Subsequent monthly monitoring will be carried out by the NES. The IES will undertake semi-annual monitoring and report preparation working with the NES. The required semi-annual report environmental report will be based on the results of monthly monitoring. The IES, with assistance from the NES, will design and conduct an environmental management capacity building and training program for MOT and PIURR staff. TASK 3 Communications, Road Safety, and Gender 10. Project Communications Plan. The CSC will develop and implement a Project Communications Plan. The plan will include:

36 Appendix 2

(i) Project Website. The CSC will develop a project website in English and Russian and help the PIURR set it up and maintain it, either as part of MOT’s website, or as a stand-alone website. The website is to include information about the project, disclosure requirements, links to key public documents, as well as information regarding the bidding process, bidders, contract awards, use of funds disbursed under the project, and physical progress. The project will follow ADB’s Public Communication Policy and its guidelines on the disclosure and exchange of information. The website will also present aspects of the parts of the project financed by EBRD and AIIB, to the extent their policies provide for this.

(ii) Public Relations. The CSC will prepare a project presentation leaflet in English and Russian, record positive and negative local media coverage about the ADB-financed part of the project, and draft press releases on project progress.

(iii) Stakeholder Relations. The CSC will assist the PIURR with holding stakeholder outreach meetings in the project area to update local communities with project progress. Specific communications materials will be provided to community members in Tajik/Russian and other languages as appropriate, describing the project, relevant governing ADB policies and procedures, benefit entitlements (for affected people), grievance redress mechanism, HIV/AIDs, safe working conditions, etc. A basic tracking system will be maintained to record consultation activities, the provision of project information, to register concerns and/or complaints received, and to track follow-up action.

(iv) Road user information. The CSC will ensure that clear and updated information is provided to road users about current and future disruptions caused by the works.

11. Road Safety Awareness Program. The CSC will design road safety awareness campaigns for communities living along the ADB-financed part of the project road, and provide these to the PIURR for dissemination to the CSCs or equivalents for EBRD and AIIB financed parts of the project. The CSC will subcontract the implementation of the campaigns to a local consultant or non-governmental organization and assist it with developing the capacity to undertake this task. The CSC will ensure that at least 50% of community road safety facilitators for these campaigns are women. 12. HIV/AIDs and Human Trafficking Awareness Program. The civil works contractor will be required to design a gender-sensitive HIV/Aids and Human Trafficking Awareness program, for the CSC’s review and approval. The contractor will subcontract the implementation of the campaigns to a local consultant or non-governmental organization. The CSC will facilitate and monitor implementation of the programs. 13. Gender and Equal Opportunity. For the ADB-financed part of the project the CSC will design, manage and monitor activities related to strengthening/ safeguarding equality of opportunity, and ensure that these are implemented and monitored using appropriate resources and indicators, including but not limited to the following:

(i) Designate specific persons to monitor gender in project implementation. (ii) Set time frames for gender reporting and comprehensive formats in which the

reports should be done. (iii) Have both qualitative and quantitative indicators for assessing change and

effectiveness of gender integration into project performance. (iv) Involve all key stakeholders in improvement planning and evaluation processes,

particularly women. (v) Involve external partners in gender in improvement planning and evaluation

Appendix 2 37

processes and ensure that they understand the policies and the outcomes sought.

14. Project completion report.

III. CSC Personnel

15. The indicative staffing requirements for the CSC services are presented in Tables 1 and 2 below. Qualifications and Term of Reference for each of the key staff are provided in Annex 2. The personnel inputs reflect the likely contract period, 40 months, and the likely defects notification period, 24 months. In preparing their staffing schedules consultants are to reflect the weather conditions in the project area that may limit what works can be undertaken for a significant period during the winter months. Once a consultant has been selected, and the contractor’s work program has been approved, the staffing may be adjusted accordingly.

Table 1: International Personnel

Ref Position PM

Key staff

1. Team Leader/Contract Management Specialist/Highway Engineer 36

2. Senior Bridge Engineer 6

3. Senior Tunnel Engineer 32

4. Senior Tunnel Systems Engineer – Electrical, Mechanical, Safety 12

5. Senior Geotechnical Engineer 6

6. Senior Geological Engineer/Geologist 6

7. Senior Occupational Health and Safety Specialist 4

8. Senior Road Safety Engineer 2

9. Senior Materials/Pavement Engineer 6

10. Senior Environmental Specialist 6

Total 116

Table 2: National Personnel

Ref Position PM

Key staff

1. Deputy Team Leader/Highway Engineer 40

2. Resident Engineer 36

3. Tunnel Engineer 36

4. Bridge Engineer 36

5. Structural Engineer – Buildings and Facilities 24

6. Electrical Engineer 36

7. Geological Engineer/Geologist 36

8. Occupational Health and Safety Specialist 36

9. Materials Engineer 36

10. Survey Engineers – 2 positions (1 full time, 1 intermittent) 54

11. QA/QS Engineer 40

12. Environmental Specialist 36

Total – Key Staff 446

Non-Key staff

1. Site Engineers/Inspectors (6 positions – 2 road 2 bridges 2 tunnels) 216

2. Office engineer 40

3. Laboratory Technicians (2 positions) 72

38 Appendix 2

4. CAD Specialist 36

5. Translator/Interpreter (2 positions) 72

Total – Non-Key Staff 436

Total National Staff 882

16. Curricula vitae must be provided with consultants’ proposals for all key positions. Proposal evaluation will be based on all international positions (Table 1), and for national personnel nominated for key national positions (Table 2) identified above as key staff. The remaining national staff will be discussed and agreed with the selected consultant during contract negotiations or during implementation, and replacements may be requested at that time. Home office support as required will be provided though a provisional sum included for this purpose in the contract. Administrative and clerical support personnel are to be provided as required, and the cost of these is to be clearly included in the consultants’ cost proposals. 17. The civil works contract will include provision for provision and operation of the CSC’s site offices, residential accommodation including meals, office equipment, laboratories with technicians, equipment, vehicles with drivers, survey technical support with survey equipment, and other support as required. See Sections V and VII below for relevant information. MOT will provide the CSC with office accommodation in Dushanbe. IV. Reporting Requirements

18. Table 3 sets out the CSC reporting requirements. All reports will be submitted in English in hard copy to the PIURR and ADB (5 copies and 2 copies respectively) and in electronic form as PDF files through an appropriate large file transfer application. The PIURR and ADB will agree on suitable formats for the progress reports prior to the submission of the first such report.

Table 3: Reporting Requirements Report Content Submission date

Inception Report Report will contain a detailed work program, a brief description of the updated work methods proposed for carrying out the services in accordance with the Terms of Reference. The report will also identify any major issues and problems likely to be encountered.

4 weeks after commencement of services

Monthly Reports Monthly Report to summarize the progress of the ADB-financed part of the project, the work accomplished, any problems encountered during the month, environmental and resettlement status, a work plan for the next month, and minutes of site meetings. The report will present progress information in graphical form, relative to the contractors’ approved contract schedules.

Within 21 days after the end of each month

Annual Reports Annual reports to present the overall status of all aspects of the ADB-financed part of the project to include:

Within 2 months after the end of the contract year to which the report refers

Appendix 2 39

progress achieved by project outputs measured against the targets of the design and monitoring framework, updated procurement plan, compliance with grant covenants, etc.

Environmental Safeguards Monitoring Reports

Environmental monitoring report to include status of compliance with the project SEMP, records of related activities, status of grievance redress mechanism, issues and solutions, and results of environmental baselines and monitoring.

Within 15 days after the end of each 6-month reporting period

Draft Completion Report

The report will be based on the standard ADB format for project completion reports and will provide additional information relevant to the overall project implementation.

Not later than 3 months prior to completion of the civil works contract.

Final Project Report

This report will update the draft report with contract completion information, and will reflect comments provided on the draft completion report

Not later than 3 months after completion of the civil works contract.

V. Location of Services

19. It is anticipated that for the duration of the project the locations for the CSC establishments will be as follows:

(i) Project Management, for the team leader and for office-based personnel – CSC office in Dushanbe.

(ii) Site Team – principal location in Obigarm or the contractor’s compound, to be decided, with a sub-office between Tunnels 1 and 2.

VI. Schedule

20. The civil works contract period will be 40 months from the commencement date. The commencement date is anticipated to be in early 2020. The Defects notification period will be 24 months. The contract completion date, will be around July 2023. This date is critical since, based on the Hydropower Project reservoir impounding schedule, the existing highway will be inundated by November 2023. VII. Support, Counterpart Personnel and Information

A. Services and facilities to be made available to the CSC

21. The following facilities will be provided through the civil works contract at no cost to the CSC:

(i) Field offices for the CSC field team. The offices will be fully furnished, maintained and serviced, including all office equipment, computers, software and printers, all consumables, and security;

40 Appendix 2

(ii) materials testing laboratories, fully equipped, serviced and maintained, including equipment for field and laboratory testings, computers, software and printers and all consumables, and with appropriate technical personnel; and

(iii) Fully maintained vehicles, with drivers.

22. The CSC will provide any other required support services and facilities through its contract.

B. Counterpart personnel to be assigned by MOT and the PIURR to the CSC 23. The PIURR will provide counterpart staff to work with the CSC. The counterpart staff are to be trained by the CSC to gain hands-on experience in all aspects of project management and contract supervision. The counterpart staff will not work as members of the CSC team for delivering the services and they will be paid salaries by the Government. The cost of these counterpart staff will not be included in the Consultant’s proposal and subsequent contract agreement.

C. Reports and Information

24. The PIURR will provide all relevant existing reports and available documents to the CSC during the implementation of the services. The PIURR will assist with facilitating access by the CSC to other government agencies for communications, collecting of relevant information, data, documents, etc. and other activities required for the services. Annexes:

1. Project maps

2. Position Terms of Reference and Qualifications

Appendix 2 41

ANNEX 2 QUALIFICATIONS AND TERMS OF REFERENCE

FOR CONSULTANT’S KEY PERSONNEL

International Consultants (Terms of Reference Table 1) 1. Team Leader/Contract Management Specialist/Highway Engineer: Professionally qualified civil engineer, preferably with 20 years’ experience in projects similar to the project including hard rock tunneling and major bridge works, implemented under FIDIC or similar contracts, and 10 years’ experience as a project manager. The team leader will be responsible to MOT as the Employer, for the successful implementation of the project, and for managing the CSC team. The team leader will also assist the PIURR as required with matters related to the project, including, providing responses to ADB’s requests, and preparing for ADB missions.

2. Senior Bridge Engineer: Professionally qualified civil engineer, preferably with 10 years’ experience in projects with involving the construction of major bridges and concrete structures such as retaining walls similar to the project bridges, reviewing contractor’s method statements and working drawings, etc. The Senior Bridge Engineer will be responsible to the Team Leader for all activities related to the project’s bridge and other structural works.

3. Senior Tunnel Engineer: Professionally qualified civil engineer, preferably with 10 years’ experience in projects similar to the project, to include tunnels constructed using NATM drill and blast /methodologies. The Senior Tunnel Engineer will be responsible to the Team Leader for all activities related to the construction of the project’s tunnels. 4. Senior Tunnel Systems Engineer: Professionally qualified electrical or mechanical engineer or equivalent, preferably with 10 years’ experience in projects similar to the project. The specialist will be responsible for overseeing all activities related to the project’s tunnel electrical, mechanical, communications, emergency systems, and related works. The Senior Tunnel Engineer will be responsible to the Team Leader for all activities related to project tunnels electrical, mechanical, and other systems. 5. Senior Geotechnical Engineer: Professionally qualified civil engineer, preferably with 10 years’ experience in projects similar to the project, to include geotechnical conditions similar to those existing in the project area, and major excavations and tunnels constructed through rock. The Senior Geotechnical Engineer will be responsible to the Team Leader for all activities related to the geotechnical aspects of the project. 6. Senior Geological Engineer/Geologist: Professionally qualified civil engineer with a major in geology or a professionally qualified geologist, preferably with 10 years’ experience in projects similar to the project, to include geological conditions similar to those existing in the project area, and major excavations and tunnels constructed through rock. The Senior Geological Engineer/Geologist will be responsible to the Team Leader for all activities related to the geological aspects of the project. 7. Senior Occupational Health and Safety Specialist: Professionally qualified specialist in all health and safety aspects of major civil works construction, including tunnels, bridgeworks, and road works involving the use of explosives, preferably with 10 years of experience with projects similar to the project. The specialist will be responsible to the Team Leader for ensuring that all aspects of the project comply with the health and safety provisions of the project’s civil works contracts, and with relevant national laws and regulations.

42 Appendix 2

8. Senior Road Safety Engineer: Professionally qualified civil engineer or equivalent, preferably with 10 years of experience with road safety audits, assessments, and providing advice to governments and other with ensuring internationally-accepted road safety facilities are incorporated into road sector projects. The specialist will be responsible to the Team Leader for all road safety aspects of the project and also, when available, for working with the PIURR to improve its capacity for road safety activities across the national road network. 9. Senior Materials/Pavement Engineer: Professionally qualified civil engineer, or equivalent, preferably with 15 years’ experience as a materials engineer in climatic and geotechnical conditions similar to Tajikistan, and with relevant experience in the design of road pavements similar to those to be provided on the project road. The Materials/Pavement Engineer will be responsible to the Team Leader for all investigation, testing, and reporting related to materials to be used on the project, including oversight of contractors’ laboratories, site testing activities, review and approval of concrete and asphalt mix designs, finalizing pavement designs based on as-constructed road formation characteristics, etc., and for the work of the CSC’s materials team. 10. Senior Environmental Specialist: Professionally qualified BSc. or equivalent in environment or related field with preferably 15 years’ experience in environmental management and monitoring. The specialist will have prepared or assisted in the preparation of at least 3 environmental impact assessments or equivalents for infrastructure projects financed by ADB or similar agencies. The specialist will be responsible to the Team Leader for all environmental aspects of the project, including ensuring that the project’s environmental management plan is implemented effectively. National Consultants – Key Staff (Terms of Reference Table 2) 11. Deputy Team Leader/Highway Engineer: Professionally qualified civil engineer, or equivalent, preferably with 15 years’ experience in road construction, of which preferably 10 years should be spent on site in the administration and supervision of road and bridge works. Experience with tunnel works would be an advantage. The Deputy Team Leader will be responsible to the Team Leader for the effective implementation of the project, for overall management of the national consultant team members, and for facilitating the relationship between the CSC and the PIURR. 12. Resident Engineer: Professionally qualified civil engineer, or equivalent, preferably with at least 10 years’ experience in road and bridge construction, of which preferably 5 years should have been on road and bridge works contracts. Experience with tunnel works would be an advantage.

13. Tunnel Engineer: Professionally qualified civil engineer, or equivalent, preferably with 10 years’ experience in major infrastructure construction, of which preferably 5 years should have involved substantial tunnel works. The Tunnel Engineer will be responsible to the Senior Tunnel Engineer for all tunnel-related aspects of the works. 14. Bridge Engineer: Professionally qualified civil engineer, or equivalent, preferably 10 years’ experience in bridge design and supervision of major bridge construction. The Bridge Engineer will be responsible to the Senior Bridge Engineer for all bridge-related aspects of the works.

Appendix 2 43

15. Structural Engineer – Buildings and Facilities: Professionally qualified civil engineer, or equivalent, preferably with 10 years’ experience in the design and construction of building similar to the buildings to be constructed on the project, in particular the permanent control and operations buildings at the tunnel portals. The Structural Engineer will be responsible to the Team Leader for all building-related aspects of the works.

16. Electrical Engineer: Professionally qualified electrical engineer, or equivalent, preferably with 10 years’ experience in the design and installation of electrical, communications, and similar systems in major infrastructure facilities, preferably including tunnels, and buildings similar to the buildings to be constructed on the project, in particular the permanent control and operations buildings at the tunnel portals. The Electrical Engineer will be responsible to the Senior Tunnel Engineer for all relevant aspects of the works. 17. Geological Engineer/Geologist: Professionally qualified civil engineer with a major in geology or a professionally qualified geologist, preferably with 10 years’ experience in projects similar to the project, including tunnelling, to include geological conditions similar to those existing in the project area. The Geological Engineer/Geologist will be responsible to the Senior Geological Engineer/Geologist for all activities related to the geological aspects of the project.

18. Occupational Health and Safety Specialist: Civil engineer or similar expertise, with experience in all health and safety aspects of major civil works construction, including tunnels, bridgeworks, and road works involving the use of explosives, preferably with 10 years of experience with projects similar to the project. The specialist will be responsible to the Senior Occupational Health and Safety Specialist for ensuring that all aspects of the project comply with the health and safety provisions of the project’s civil works contracts, and with relevant Tajikistan laws and regulations.

19. Materials Engineer: Professionally qualified civil engineer, or equivalent, with preferably 10 years’ experience, including preferably 5 years for the testing of road pavements and construction materials, concrete materials, and others as required. The Materials Engineer will be responsible to the Senior Materials Engineer for all aspects of the project’s materials testing and quality control.

20. Survey Engineers: Professionally qualified survey engineers/surveyors, or equivalent, with preferably 10 years in the setting out and measuring major infrastructure projects, including preferably 5 years for road projects involving major bridges and tunnels. The Survey Engineers will be responsible to the Team Leader for all survey-related tasks on the project. 21. QA/QS Engineer: Professionally qualified civil engineer, or equivalent, with preferably 10 years’ experience and having extensive computer skills, to be responsible to the Team Leader for managing contracts record keeping, contract payment systems, contract cost projections, and all similar tasks for the project’s contracts.

22. Environmental Specialist: Professionally qualified BSc in environment or related field or equivalent qualification with preferably 7 years of relevant experience. The Specialists will work with the Senior Environmental Specialist in environmental management and monitoring of the project to ensure compliance with the environmental aspects of the project.

44 Appendix 2

National Consultants – Non-Key Staff (Terms of Reference Table 2) 23. Site Engineers/Inspectors: Preferably BSc. or equivalent qualification in engineering or a related field, and preferably with a basic range of construction-related experience, including earthworks, site testing, concrete structures and bitumen-based surfacing. Experience with tunnel construction would be an advantage. 24. Office Engineer: Preferably BSc. or equivalent qualification in engineering or a related field, and preferably with a basic range of experience including computer operations relevant to the project’s activities. Actual inputs to be aligned with project requirements and contractors’ work schedules. 25. Laboratory Technicians: Preferably BSc. or equivalent qualification in a technical discipline or related field, and preferably with a basic range of experience to cover materials testing for road and structural works.

26. CAD Specialist: Preferably BSc. or equivalent qualification in engineering or a related field with at least 5 years’ experience in CAD system operation for road and structural design works.

27. Translator/Interpreter: Professionally qualified Russian/English translator, with a least 5 years of relevant experience.

Appendix 2 45

DRAFT TERMS OF REFERENCE

CS-02 CONTRACT: PROJECT MANAGEMENT CONSULTANT

I. THE PROJECT

1. The project will construct a bypass of the existing Highway M41 about 80 km long between Obigarm and Nurobod. The bypass is necessitated by the imminent inundation of the existing highway by the Rogun Hydropower Project reservoir. The hydropower project is under construction and it is anticipated that the existing highway will be closed by November 2023. See project location map at Annex 1. 2. The project’s detailed design has been prepared for the Ministry of Transport of the Republic of Tajikistan (MOT) by national consultants financed by the Government. The design has been reviewed and amended with the assistance of international review consultants under ADB financing, who also prepared procurement, economic analysis, safeguards and other documents in compliance with ADB’s guidelines and policies. 3. It is anticipated that the project will be implemented through three civil works contracts, one each to be financed by the Asian Development Bank (ADB), the OPEC for International Development (OFID), the European Bank for Reconstruction and Development (EBRD), and the Asian Infrastructure Investment Bank (AIIB). 4. The Executing Agency for the project will be MOT and the Implementing Agency will be Project Implementation Unit for Roads Rehabilitation (PIURR). MOT will be the Employer for all the civil works contracts and the Client for the project’s consulting services contracts, including the Project Management Consultant (PMC) contract to which these Terms of Reference (TOR) apply. This contract will be for providing coordination and support services to MOT and the PIURR for the ADB-financed part of the project, in close coordination with the PMCs or equivalents for the other parts of the project. 5. The ADB-financed part of the project will be implemented through one civil works contract, which includes 6 bridges, 2 tunnels of total length about 3.5 km, 27 km of main alignment road works, and about 30 km of community access roads. MOT with assistance pf PIURR will procure this contract, under the open competitive bidding procedures of Procurement Regulations for ADB Borrowers, with the intention it be ready to award by March 2020 (CW-01). Separately and in parallel MOT will procure the other two contracts under EBRD and AIIB procurement procedures respectively and will also select PMCs and supervision consultants for the contracts. The ADB-financed civil works contract will be based on the FIDIC Conditions of Contract Multilateral Development Bank Harmonized Edition June 2010 (“Pink Book”). It is MOT with assistance of PIURR that the ADB and EBRD parts of the project be completed not later than July 2023, reflecting the present schedule for the existing road to be inundated in November 2023 by the rising water level in the hydropower project reservoir. 6. MOT with assistance of PIURR will select the PMC in accordance with the procedures set out in ADB’s procurement Policy and Regulations (2017, as amended from time to time).1 Consultant selection will be based on quality and cost criteria, with a quality: cost ratio of 90:10. The resulting contract will be time-based.

1 https://www.adb.org/sites/default/files/institutional-document/367151/procurement-regulations-adb-borrowers.pdf

46 Appendix 2

I. SCOPE OF WORK AND REQUIRED OUTPUTS

7. The consulting services will comprise the following tasks and associated deliverables.

Task 1: Project Management support to MOT and the PIURR

8. The consultant’s scope of work will include the following activities, and others as required to assist MOT and the PIURR with completing the project, and in particular the ADB-financed part of it, to its intended scope, quality and schedule.

(i) Assist MOT and PIURR with finalizing the civil works contract, if not already completed;

(ii) Provide secretariat support for the Project Coordination Committee (PCC) that will be established to ensure that the various parts of the overall project are coordinated across their financiers, PMC and supervision consultants, civil works contractors, safeguards specialists, and others as necessary, this support to include preparing documentation, presentations, and logistical arrangements for PCC meetings, preparing and finalizing minutes of the meetings, and providing the minutes to the meeting participants once cleared by MOT/PIURR;

(iii) Assist MOT/PIURR with preparations for missions from the project financiers; (iv) Assist MOT/PIURR with responding to requests for reports, information and other

materials from other Government agencies; (v) Maintain close coordination with the equivalent PMCs for the EBRD and AIIB parts

of the project, specifically assisting MOT/PIURR with resolving differences in technical and contractual standards, safeguards aspects, and other aspects of the separately-financed civil works contracts to ensure that the completed project presents a consistent completed result regardless of which financier was responsible for each of the project parts;

(vi) Assist MOT/PIURR with setting up and maintaining a project website that will provide public access to project progress reports to the extent appropriate, and other matters that highlight the project’s activities and achievements;

(vii) Review the supervision consultant’s progress reports and provide MOT/PIURR with summaries of actions required to address issues that the reports highlight;

(viii) Provide on-the-job training to MOT/PIURR staff as necessary including onsite training in contract supervision and management.

Task 2: A Tolling Assessment for selected roads

(i) Assess with the relevant agencies of MOT the country’s major road network with

the objective of identifying road sections that might be suitable for tolling; (ii) Review existing laws and regulations that may be relevant for introduce tolls on

existing roads; (iii) Prepare an options assessment for MOT and other relevant government agencies,

to include the Ministry of Finance, setting out the most appropriate approach for establishing tolls on the identified roads;

(iv) Based on the responses to the options assessment, prepare a concept for tolling one or two suitable roads, to reflect approach, for example public sector or private

Appendix 2 47

sector concession, possible toll rates, physical infrastructure requirements, institutional financial management and accounting, and other relevant aspects.

(v) Prepare draft final and final reports summarizing the work undertaken, and setting out an action plan for moving at least one of the toll roads to implementation.

TASK 3 Gender and Resettlement Monitoring 9. The PMC’s social management tasks will cover:

(i) Involuntary Resettlement Management (ii) Gender Development and Monitoring

10. Involuntary Resettlement Management. To the extent that the project’s land and resettlement plan has not been fully implemented at the time of civil works contract commencement, the PMC will support the PIURR with:

(i) Updating the project resettlement plan for the Lot 1 section of the project in accordance with Government and ADB requirements prior to commencement of construction in a section of the road including: (a) guiding and supporting the planning and implementation of the detailed measurement surveys, if not already completed, (b) updating the socio-economic surveys, if required, (c) guiding and supporting the updated replacement cost surveys to ensure that compensation rates are based on replacement cost at time of compensation, (d) supporting the preparation of detailed relocation and income restoration strategies, in consultation with affected households, civil society and relevant Government agencies, (e) ensuring meaningful consultation and participation of affected households, civil society stakeholders, community-based organizations, and relevant government agencies in the planning and implementation of the resettlement plan, (f) supporting the PIURR and relevant Government agencies to ensure appropriate disclosure of the resettlement plan, and (g) preparing and supporting the PIURR in the finalization of the updated resettlement plan to the stage where it is endorsed by the Government and receives ADB concurrence.

(ii) providing the PIURR with detailed schedules and allocation of responsibilities for demolition or relocation of structures, compensation, and assistance to affected households, and monitoring their implementation to ensure that the notice to commence to the civil works contractor for a specific section of the project road cannot proceed until the PIURR confirms in writing that payment has been fully disbursed to the displaced and/or affected people, and rehabilitation measures are in place, already compensated or assisted displaced people have cleared the area, and the area is free of any encumbrances;

(iii) preparing updates and supplementary resettlement plans in accordance with the Government and ADB’s requirements to cover any changes in the scope of works covered by the resettlement plan;

(iv) conducting social due diligence and LAR assessment for the village access roads component of the project based on the final detailed design/topographical data provided by CSC and preparing social due diligence report (SDDR) or supplementary resettlement plan (whichever is relevant) in accordance with the Government and ADB’s requirements;

(v) monitoring of implementation of the resettlement plan and income restoration activities, and reporting on a quarterly basis;

48 Appendix 2

(vi) recommending corrective actions on non-compliance issues, and reporting on their implementation;

(vii) preparing Semi-Annual Monitoring Reports and LARP Compliance Reports; and (viii) supporting the PIURR and relevant Government agencies to establish an effective

grievance redress mechanism; and providing capacity building training on project social safeguards requirements, implementation arrangements and monitoring requirements;

(ix) developing a basic tracking system will be maintained to record consultation activities, the provision of project information, to register concerns and/or complaints received, and to track follow-up action.

11. Gender development and monitoring. The PMC will design, manage and monitor activities related to strengthening/ safeguarding project’s gender aspects, and ensure that these are implemented and monitored using appropriate resources and indicators, including but not limited to the following:

(i) Designate specific persons to monitor gender in project implementation; (ii) Ensure quality and timely implementation of the project gender action plan (GAP); (iii) Set time frames for gender reporting and comprehensive formats in which the reports

should be prepared; (iv) Have both qualitative and quantitative indicators for assessing change and

effectiveness of gender integration into PIURR/ project performance; (v) Involve all key stakeholders in improvement planning and evaluation processes,

particularly women; (vi) Involve external partners in gender in improvement planning and evaluation processes

and ensure that they understand the policies and the outcomes sought; (vii) Conduct training needs assessments, develop gender-sensitive training materials, and

ensure that women staff in MOT and GUSADs are included in technical trainings; (viii) Carry out a market scoping study and a skill needs assessment to identify potential

business and livelihood opportunities for women in the project area; (ix) Design and help implement a women’s entrepreneurship program including relevant

list of participants and selection criteria for possible beneficiaries; (x) Help review and select grant applications of women entrepreneurs to governmental

grants in cooperation with the National Committee of Women and Family Affairs.

II. PMC Personnel

12. The indicative staffing requirements for the PMC services are presented in Tables 1 and 2 below. Qualifications and Term of Reference for each of the key staff are provided in Annex 2. The personnel inputs reflect the likely civil works contract period, which is 40 months.

Table 1: International Personnel

Ref Position PM

Key staff

1. Team Leader/Project Management Specialist 36

2. Toll Specialist 3

3. Senior Resettlement Specialist 3

Total 42

Appendix 2 49

Table 2: National Personnel

Ref Position PM

Key staff

1. Project Coordinator 36

2. Environmental Specialist – Monitoring 6

3. Resettlement Specialist – Monitoring 4

4. Gender Specialist 12

5. Translator 12

Total – key staff 70

13. Curricula vitae must be provided with consultants’ proposals for all key positions. Proposal evaluation will be based on all international positions (Table 1), and for national personnel nominated for key national positions (Table 2) identified above as key staff. Home office support as required will be provided though a provisional sum included for this purpose in the contract. Administrative and clerical support personnel are to be provided as required, and the cost of these is to be clearly included in the consultants’ cost proposals. III. Reporting Requirements

14. Table 3 sets out the PM reporting requirements. All reports will be submitted in English in hard copy to the PIURR and ADB (5 copies and 2 copies respectively) and in electronic form as PDF files through an appropriate large file transfer application. The PIURR and ADB will agree on suitable formats for the progress reports prior to the submission of the first such report.

Table 3: Reporting Requirements Report Content Submission date

Inception Report Report will contain a detailed work program, a brief description of the updated work methods proposed for carrying out the services in accordance with the Terms of Reference. The report will also identify any major issues and problems likely to be encountered.

4 weeks after commencement of services

Monthly Reports Brief reports setting activities during the reporting month, anticipated activities for subsequent months, problems encountered, and solutions proposed

Within 21 days after the end of each month

Toll Study Options An options report reflecting the above TOR requirements

Within 2 months of the commencement of the services

Toll Study Final Report

A final report setting all activities undertaken, and presenting an action plan for introducing tolls on at least one of the identified road sections

Within 3 months of the commencement of the services

Social Safeguards Monitoring Reports

Social safeguards monitoring report to include status of compliance with resettlement plans, records of social and resettlement activities, status of

Within 15 days after the end of each 6-month reporting period

50 Appendix 2

grievance redress mechanism, and issues and solutions.

LARP Compliance Report

Final status of compliance, summary records of activities, grievance redress mechanism and monitoring results with reference to baselines.

Not later than 3 months after the completion of all civil works (for environmental reports), not later than 3 months after the completion of all resettlement activities (for resettlement reports).

Road Safety Audit Reports

Detailed findings and recommendations of the road safety audits

Within 90 days of commencement of construction, around the middle of the contract period, and not later than 3 months prior to completion of the civil works contracts (pre-opening audit)

Gender Monitoring Reports

Gender monitoring report to include status of gender action plan implementation, records of main activities and achievements, and issues and solutions.

Within 15 days after the end of each 6-month reporting period.

Completion Report A brief report at the completion of the services setting out the principle activities undertaken and achievements.

Not later than 1 month after the completion of the services.

IV. Location of Services

15. For the duration of the services the location for the PMC will be in the MOT’s office in Dushanbe. The PMC will visit the project sites, and other areas of the country, as and when required. V. Schedule

16. It is anticipated that the project’s civil works contracts will be awarded in early 2020. The PMC services will commence around the same time and will continue for approximately 40 months. VI. Support, Counterpart Personnel and Information

A. Services and facilities to be made available to the PMC

17. MOT will provide the PMC with an office with basic furniture in Dushanbe. The PMC will be responsible for additional furniture, computer equipment, consumables, and for hiring vehicles with drivers when required. Consultants will include the cost for these in their proposals.

Appendix 2 51

B. Counterpart personnel to be assigned by MOT and the PIURR to the PMC 18. The PIURR will provide counterpart staff to work with the PMC. The counterpart staff will not work as members of the PMC team for delivering the services and they will be paid salaries by the Government. The cost of these counterpart staff will not be included in the Consultant’s proposal and subsequent contract agreement.

C. Reports and Information

19. The PIURR will provide all relevant existing reports and available documents to the PMC during the implementation of the services. The PIURR will assist with facilitating access by the PMC to other government agencies for communications, collecting of relevant information, data, documents, etc. and other activities required for the services. Annexes:

1. Project map 2. Position Terms of Reference and Qualifications

52 Appendix 2

ANNEX 2 QUALIFICATIONS AND TERMS OF REFERENCE

FOR CONSULTANT’S KEY PERSONNEL

International Consultants (Terms of Reference Table 1) 1. Team Leader/Project Management Specialist: Professionally qualified civil engineer, preferably with 20 years’ experience in projects similar to the project including hard rock tunnelling and major bridge works, implemented under FIDIC or similar contracts, 10 years’ experience as a project manager, and preferably with several years’ experience assisting governments with implementing major infrastructure projects in physical and institutional environments similar to those prevailing in Tajikistan. The team leader will be responsible to MOT/PIURR for undertaking the project management tasks as set out in the Terms of Reference, and for managing the PMC team.

2. Toll Specialist: Professionally qualified civil engineer, preferably with 15 years’ experience in assisting governments with developing tolling operations on road networks. Experience with both public sector and private sector/concession toll systems would be preferred, in institutional environments similar to those prevailing in Tajikistan. The Toll Specialist will be responsible to the Team Leader for the successful delivery of the toll aspect of the PMC services.

3. Senior Resettlement Specialist: Qualified BSc. or equivalent in social development or related field, with preferably 10 years’ experience in resettlement management, implementation of social safeguards, gender and complaints resolution. The specialist should have prepared or assisted in the preparation of at least 3 resettlement plans for infrastructure projects and have been engaged in preferably 3 similar projects in resettlement monitoring and implementation of social safeguards. The specialist will be responsible to the Team Leader with all resettlement aspects of the project, including assisting with the selection of village access road alignments to minimize land and resettlement impacts, preparing resettlement plan updates if required, and monitoring and reporting on compliance with the project’s resettlement plan.

National Consultants – Key Staff (Terms of Reference Table 2) 4. Project Coordinator: Professionally qualified civil engineer, or equivalent, preferably with 15 years’ experience in government agencies involved with major infrastructure investments and operations. Experience working at a senior level in a relevant government agency would be desirable, as would a strong understanding of government management, financial and regulatory systems relevant to the project. The Project Coordinator will be responsible to the Team Leader and will also work closely with the PIURR staff responsible for overseeing the project, and in particular the ADB-financed part of the project. 5. Environmental Specialist – Monitoring: Professionally qualified BSc in environment or related field or equivalent qualification with preferably 7 years of relevant experience. The Environmental Specialist will be responsible to the Team Leader for reviewing and requirement improvements to as appropriate environmental monitoring reports prepared by the ADB-financed part of the project’s supervision consultant’s environmental specialist and also for working closely with the environmental specialists in the PMC teams for the other parts of the project. 6. Resettlement Specialist – Monitoring: Professionally qualified BSc or equivalent in social development or related field, with preferably 5 years’ relevant experience. The Resettlement Specialist will be responsible to the Team Leader in (i) preparing resettlement

Appendix 2 53

monitoring reports for PIURR, (ii) assisting the Senior Resettlement Specialist in preparing safeguards-related documents as required, and (iii) reviewing and requiring improvements to as appropriate resettlement monitoring reports prepared by the ADB-financed part of the project’s supervision consultant’s resettlement/social development specialist and also for working closely with the equivalent specialists in the PMC teams for the other parts of the project. 7. Gender Specialist: Professionally qualified BSc or equivalent in gender studies, anthropology, social development or related field, with preferably 5 years’ relevant experience. The specialist will be responsible to the Team Leader for ensuring the timely and quality implementation of the gender action plan and all other aspects of the project’s social development tasks. The Specialist should demonstrate experience in mainstreaming gender and inclusive social development in project designs, implementation, monitoring and reporting. The Specialist should further demonstrate ability to engage closely with women and project stakeholders (government, affected people, communities…). The Specialist will also work closely with the equivalent specialists in the PMC teams for the other parts of the project.

8. Translator: Professionally qualified English/Russian translator with 10 years of relevant experience, preferably with some of the experience gained though large-scale infrastructure operations similar to the project.