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Implementation Completion Report (ICR) Review - Transport Sector


  
1. Project Data:   
ES Date Posted:
09/09/2004   
PROJ ID:
P000393
Appraisal
Actual
Project Name:
Transport Sector
Project Costs(US $M)
 87.6  77.4
Country:
Cameroon
Loan/Credit (US $M)
 60.7  56.4
Sector, Major Sect.:
Central government administration, Roads & highways,
Law and justice and public administration; Transportation
Cofinancing (US $M)
   
L/C Number:
C2869      
   
Board Approval (FY)
  96
Partners involved
 
Closing Date
12/31/2002 12/31/2003
         
Prepared by: Reviewed by: Group Manager: Group:  
Kavita Mathur
Peter Nigel Freeman Alain A. Barbu OEDSG

2. Project Objectives and Components:

a. Objectives
The project was part of a sector investment program, to support the overall transport sector reform program. The objectives of the project were to: (a) support road maintenance, preservation of road assets and road safety;

(b) support the Borrower's progressive retrenchment of road maintenance execution by: (i) promoting the participation of small and medium enterprises, (ii) transferring public equipment rental activities, and (iii) developing the use of labor-based methods; and
(c) revise the Borrower’s institutional framework by: (i) restructuring the Ministry of Public Works (MINTP) and shifting its role in road maintenance from the execution by force account into contracting of works, planning and supervision, (ii) restructuring the Ministry of Transport (MINT) and focusing its role on planning, policy development and the regulation of transport, and (iii) increasing private sector and beneficiary participation in road maintenance and transport management.

b. Components
(a) Execution of a three-year maintenance program for the primary roads in the priority network. During the first year, 915 km (300 km paved, 615 km unpaved) will be rehabilitated or maintained through periodic maintenance. The rehabilitation and periodic maintenance requirement for the second and third year were to be determined as part of the overall road maintenance and rehabilitation program.
(b) Execution of a rural transport infrastructure maintenance program consisting of rehabilitation of 1500 km out of 10,952 km priority network., and involving beneficiaries in the management of rural transport infrastructure.
(c) Construction of two weighing stations, the first on the RN3 at the exit of Douala, and the second on RN1 road between Maltam and Kousseri.
(d) Purchase of data processing supplies and equipment of related offices.
(e) Technical Assistance and consulting services: (i) support restructuring of MINTP and MINT, (ii) execution of a plan to improve road safety, (iii) supervision of civil works, (iv) involving beneficiaries in rural road management, (v) preparation of the action plan to develop the international trucking industry, (vi) detailed engineering studies for the preparation of the subsequent phases of the program, (vii) project audits and implementation completion report.
(f) Training to support MINTP and MINT restructuring, execution of a plan to improve road safety, implementation of the new strategy for rural roads, development of Small and Medium Enterprises (SME) in the road maintenance sector, and to strengthen the Merchant Shipping Department in environmental concerns.
(g) Surveys and seminars, including annual consultation between sector stakeholders, Government and Donors.

c. Comments on Project Cost, Financing and Dates
In December 1999, the credit agreement was amended to include sub-components to cover: (a) the operating cost of the Transport Sector Program coordination Unit, and (b) cost of building offices. The works for building offices was never implemented and this was withdrawn in 2002.

  1. Fluctuations in the CFA/US$/SDR exchange rates caused the final CFA amount to increase by 14%, and in dollar terms to drop by 13%. The total SDR amount was disbursed.
  2. The project closed after one year delay (the ICR does not discuss the reasons).


3. Achievement of Relevant Objectives:

The objective to support road maintenance, preservation of road assets, and road safety was achieved.
  • A Road Fund was set up to provide adequate and sustainable funding for road maintenance and the collection of the road user charge through fuel levy is effective.
  • The physical targets for phase I rehabilitation and periodic maintenance were exceeded.
  • Regarding rural roads, only 258 km out of 1,500 km was funded by the credit. The rest was funded with Highly Indebted Poorest Countries (HIPC) resources.
  • A database to monitor road condition and accidents was set up. However, no real statistical follow-up was supported due to lack of Government funding.

The objective to support the Borrower's progressive retrenchment of road maintenance was achieved. The project promoted the participation of small and medium enterprises (SMEs) in road maintenance. At project closing, more than 200 SMEs operate in the sector compared to less than 50 at the beginning of the project. Progress was made in developing the use of labor-based methods.

The objective to revise the Borrower’s institutional framework was largely achieved.
  • The Ministry of Public Works (MINTP) was restructured to include a specific planning unit and a rural roads unit. Divestiture from road maintenance execution was achieved in 1997 and the role of the staff in road maintenance has shifted from execution by force account to supervision of works. However, the planning, programming, monitoring and contract management capacity of MINTP needs to be strengthened.
  • The Ministry of Transport (MINT) was restructured and is now focussed on planning and policy regulation.
  • An eighteen-month training course on road maintenance management for civil servants, private contractors and consultants was delivered.

4. Significant Outcomes/Impacts:

A Road Fund, managed by a Board with private sector majority, was established.
  • The MINTP has completely withdrawn from road works, which are now being handled by private contractors selected through competitive bidding.
  • An Environmental Protection Unit inside the MINTP was established and a legal and regulatory framework for environmental and resettlement impacts of the transport sector were developed.
  • All the sub-sector specific laws were updated and a Directorate for Planning was created to support the Government in policy formulation and implementation.

  • 5. Significant Shortcomings (include non-compliance with safeguard features):

    The quality at entry was marginally satisfactory: (i) there were shortcomings in technical design; (ii) the risk of delays in procurement were not addressed or mitigated at appraisal; and (iii) inadequate focus on the schedule of implementation.
  • The sustainability of the rural roads is uncertain because the legal framework for decentralization is not in place and the current one does not yet allow councils to take over the maintenance of rural roads.
  • The construction of two weighing stations was not carried out due to lack of resources.
  • The Government counterpart funds were not made available during the last two years of the project.
  • 6. Ratings:ICROED ReviewReason for Disagreement/Comments
    Outcome:
    SatisfactorySatisfactory
    Institutional Dev.:
    SubstantialSubstantial
    Sustainability:
    LikelyLikelyThere are concerns regarding the sustainability of the rural roads because the legal framework for decentralization is not in place and the current one does not yet allow councils to take over the maintenance of rural roads. However, on balance the sustainability is rated "Likely".
    Bank Performance:
    SatisfactorySatisfactory
    Borrower Perf.:
    SatisfactorySatisfactory
    Quality of ICR:
    Satisfactory

    7. Lessons of Broad Applicablity:

    The gradual implementation of reforms requires a sustained dialogue with, and support to the sector as well as the support of various Bank instruments. In Cameroon, the Bank used different lending instruments such as the Technical Assistance Loan (Transport Sector Technical Assistance Project), the Sector Investment Loan (Transport Sector Project), and the Sector Adjust Loan (Structural Adjustment Credit III) (SAC III) to implement reforms.

    8. Audit Recommended?  No

              Why?  

    9. Comments on Quality of ICR:

    The ICR was clearly written and generally well presented. It could have clarified, though, why the project was delayed by 12 months.

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