Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) Second Karnataka State Highway Improvement (P107649) SOUTH ASIA | India | Transport & ICT Global Practice | IBRD/IDA | Specific Investment Loan | FY 2011 | Seq No: 12 | ARCHIVED on 03-Jun-2016 | ISR23754 | Implementing Agencies: Karnataka Road Development Corporation Limited Key Dates Key Project Dates Bank Approval Date:24-Mar-2011 Effectiveness Date:19-Jul-2011 Planned Mid Term Review Date:11-Nov-2013 Actual Mid-Term Review Date:04-Dec-2013 Original Closing Date:31-Dec-2016 Revised Closing Date:28-Dec-2018 Project Development Objectives Project Development Objective (from Project Appraisal Document) To accelerate the development of the Core Road Network through leveraging public sector outlays with private sector financing and improving the institutional effectiveness of the road sector agencies to deliver effective and safe roads to users. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Component 1: Road Improvement Works (IBRD: US$294 million, GOK: US$106 million, Developer: US$239 million):(Cost $638.82 M) Component 2: Highway Financing Modernization: (IBRD:US$38 million; GOK: US$42 million; Developers/Financial Institutions: US$200 mil lion):(Cost $280.03 M) Component 3: Road Safety Improvement (IBRD: US$7.3 million; GOK: US$1.9 million):(Cost $9.21 M) Component 4: Road Sector Policy and Institutional Development. (IBRD: US$6.5 million; GOK: US$1.7 million).:(Cost $8.17 M) Project Management (This is not a formal component):(Cost $6.11 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Unsatisfactory  Moderately Satisfactory Overall Implementation Progress (IP)  Moderately Satisfactory  Moderately Satisfactory 6/3/2016 Page 1 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) Overall Risk Rating  Substantial  Substantial Implementation Status and Key Decisions This Implementation Status Report is based on the observations of the Implementation Support Mission during January 3-12, 2016 and the recent restructuring of the project. The Project Development Objective (PDO): Accelerate the development of the Core Road Network (CRN) through leveraging public sector outlays with private sector financing, and improving the institutional capacity of the road sector agencies to deliver effective and safe CRN to users. Implementation Progress: Since the last supervision mission in June 2014, the project made notable progress across all major components, i.e., (a) ongoing item-rate contracts and the two DBFOMT (Design-Build-Finance-Operate-Maintain-Transfer) concessions; (b) mobilization of 3 new item-rate contracts and award of 5 co-financing packages; (c) 30% progress in civil works on Safe Corridor Demo Project; and (d) advancement in quite a few institutional strengthening activities including ISO certification for Environment management and Training. Development Objective: Following the recent restrucuring of the projectto give effect to inter alia, extension of the loan closing date by about two years, that is, to December 28, 2018; and reallocation of loan proceeds across expenditure categories, as has been requested by the implementing agency (Government Karnataka, GoK) and recommended by the Ministry of Finance, Government of India.Following upon this extension, the project will have adequate time - as well as the requisite loan support - to complete all the balance activities as envisaged under the project within the revised loan closing date. Accordingly, the rating for the achievement of PDO has been revised upwards to Moderately Satisfactory. 6/3/2016 Page 2 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  Moderate  Moderate Macroeconomic  --  Low  Low Sector Strategies and Policies  --  Moderate  Moderate Technical Design of Project or Program  --  Substantial  Substantial Institutional Capacity for Implementation and Sustainability  --  Moderate  Moderate Fiduciary  --  Moderate  Moderate Environment and Social  --  Substantial  Substantial Stakeholders  --  Moderate  Moderate 6/3/2016 Page 3 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) Other  --  --  -- Overall  --  Substantial  Substantial Results Project Development Objective Indicators PHINDPDOTBL  Achievement by GOK in generating at least US$400 million in new private sector capital for CRN improvement and management by end-of-project (EOP). (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 200.00 295.00 295.00 400.00 Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDPDOTBL  15% reduction in Vehicle Operating costs and 25% reduction in Travel Time Cost on project corridors by EOP (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target VOC: $0.26 VOC:$0.20 Value -- -- TT: $0.074 TT: $0.06 Date -- -- -- 28-Dec-2018 PHINDPDOTBL  30% reduction in road accident related fatalities on safe corridor pilots by EOP (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 31.00 -- -- 22.00 Date 15-Feb-2011 -- -- 28-Dec-2018 PHINDPDOTBL  Roads in good and fair condition as a share of total classified roads (Percentage, Core) Baseline Actual (Previous) Actual (Current) End Target Value 50.00 57.00 57.00 65.00 Date -- 01-Aug-2011 01-Aug-2011 28-Dec-2018 6/3/2016 Page 4 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) PHINDPDOTBL  Size of the total classified network (Kilometers, Core Supplement) Baseline Actual (Previous) Actual (Current) End Target Value 19735.00 19735.00 19735.00 19735.00 Overall Comments Intermediate Results Indicators PHINDIRITBL  Completion of upgrading and widening of about 534 km. through item rate contracts (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 248.00 248.00 534.00 Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDIRITBL  Completion of upgrading, widening of about 301 km. through DBFOMT (Annuity) Concessions (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 127.00 127.00 301.00 Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDIRITBL  Environmental Management - (a) implementation of EMP as agreed (b) ISO 14001 certification obtained for operational units (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target (a) Implementation of (a) Implementation of EMP is being carried EMP is being carried out. out. PIU certified and 1 field Value 0 (b) ISO certification (b) ISO certification division completed: completed: certified Y3: PIU HQ Certified Y3: PIU HQ Certified Y4: 1 field division Y4: 1 field division certified certified 6/3/2016 Page 5 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) Current Status: Current Status: Certification completed Certification completed in all targeted offices in all targeted offices Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 31-Dec-2016 PHINDIRITBL  KRDCL generates additional road user revenues and commits them for mobilizing debt financing(via securitization) and/or making payment for PPP transactions (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Y5: KRDCL issues debt or develops PPP transactions backed by toll Value Passing of Tolling Policy -- -- revenues Y7: Tolling started on selected roads Date 24-Mar-2011 -- -- 28-Dec-2018 PHINDIRITBL  Completion of upgrading widening and O&M of 363 km through co-financing arrangement (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Y5: Co- financing Y4: DPR Completed Y4: DPR Completed arrangement Value Screening commenced Y4: Transaction Y4: Transaction Adviser established; Adviser engaged engaged Y7: Construction completed Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 6/3/2016 Page 6 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) PHINDIRITBL  Effective implementation of Safe Corridor (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Y5:Multi-sector intervention implementation started; Y6: Multi-sector Lead Agency Established: Y1: Consultant Y1: Consultant services intervention Value pilot corridor identified services procured procured completed; and Y7: Minimum 3 star rating achieved through iRAP investigation Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDIRITBL  Satisfactory implementation of agreed action plan for institutional development and governance improvement (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Y6: Studies Completed; and Recommended actions taken; IDSAP and GAAP Y4: Key consultant Y4: Key consultant and Value Endorsed services procured services procured Y7: Assessment of IDSAP and GAAP results made Date 24-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDIRITBL  Roads constructed, non-rural (Kilometers, Core) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 375.00 375.00 1198.00 Date 31-Mar-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 6/3/2016 Page 7 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) PHINDIRITBL  Land acquisition and resettlement implementation (a) land acquisition completed (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 56.00 56.00 100.00 Date 24-Feb-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDIRITBL  LA and Resettlement Implementation- (b) Key R&R assistance provided (alternative housing and livelihood support) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 42.00 42.00 100.00 Date 24-Feb-2011 12-Jan-2016 12-Jan-2016 28-Dec-2018 PHINDIRITBL  LA and Resettlement Implementation (c) Improve the living standards (measured % PAFs with increase/restored income in real terms) (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 -- -- 80.00 Date 24-Feb-2011 -- -- 28-Dec-2018 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P107649 IBRD-80220 Effective USD 350.00 350.00 0.00 125.91 224.09 36% P107649 TF-92428 Closed USD 0.44 0.18 0.26 0.18 0.00 100% Key Dates (by loan) 6/3/2016 Page 8 of 9 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Second Karnataka State Highway Improvement (P107649) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P107649 IBRD-80220 Effective 24-Mar-2011 30-May-2011 19-Jul-2011 31-Dec-2016 28-Dec-2018 P107649 TF-92428 Closed 09-Jul-2008 09-Jul-2008 17-Jul-2008 29-Jun-2010 31-Dec-2010 Cumulative Disbursements Restructuring History Level 2 Approved on 23-May-2016 Related Project(s) There are no related projects. 6/3/2016 Page 9 of 9 Public Disclosure Copy