Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) Sustainable Croatian Railways in Europe (P147499) EUROPE AND CENTRAL ASIA | Croatia | Transport & Digital Development Global Practice | IBRD/IDA | Investment Project Financing | FY 2015 | Seq No: 4 | ARCHIVED on 19-Jan-2018 | ISR29778 | Implementing Agencies: Republic of Croatia, HZ Infrastructure, Ministry of Sea, Transport and Infrastructure, HZ Cargo, HZ Passenger Transport Key Dates Key Project Dates Bank Approval Date:30-Apr-2015 Effectiveness Date:04-Aug-2015 Planned Mid Term Review Date:30-May-2018 Actual Mid-Term Review Date:-- Original Closing Date:31-May-2020 Revised Closing Date:31-May-2020 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Project Development Objective (PDO) is to improve the operational efficiency and the financial sustainability of the public railway sector in Croatia. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Project Coordination and Sector Policy Support:(Cost $2.90 M) Support to HZ Passenger Transport Restructuring:(Cost $58.70 M) Support to HZ Cargo Restructuring:(Cost $53.40 M) Support to HZ Infrastructure Restructuring and Enabling Investment to Increase the System Efficiency:(Cost $85.80 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Satisfactory  Moderately Satisfactory Overall Implementation Progress (IP)  Moderately Satisfactory  Moderately Unsatisfactory Overall Risk Rating  Substantial  Substantial 1/19/2018 Page 1 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) Implementation Status and Key Decisions The overall project implementation has slowed down in the course of 2017. The project disbursement stands at 36 percent and is related to financing of retrenchment, rehabilitation of rolling stock and selected infrastructure investments. From a project management standpoint, activities are progressively being procured, but overall companies restructuring has not progressed as expected. Traffic decline is bigger than anticipated on passengers and HZ CARGO has been losing market shares to competition in spite of a very positive environment. The Ministry of Transport and the government have announced that they will effectively start sector reform in 2018, which should translate into the start of key reform actions in HZI and HZP and in the completion of the passenger service contract for HZP 1/19/2018 Page 2 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) 1/19/2018 Page 3 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) 1/19/2018 Page 4 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) 1/19/2018 Page 5 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) Risks Systematic Operations Risk-rating Tool 1/19/2018 Page 6 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  Substantial  Substantial  Substantial Macroeconomic  Substantial  Substantial  Substantial Sector Strategies and Policies  Moderate  Moderate  Moderate Technical Design of Project or Program  Moderate  Moderate  Moderate Institutional Capacity for Implementation and Sustainability  Substantial  Substantial  Substantial Fiduciary  Moderate  Moderate  Moderate Environment and Social  Substantial  Substantial  Moderate Stakeholders  Substantial  Substantial  Substantial Other  Moderate  Moderate  Moderate Overall  Substantial  Substantial  Substantial Results Project Development Objective Indicators PHINDPDOTBL  Prioritized railway sector development and infrastructure maintenance program developed (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Dec-2014 14-Jun-2016 25-Dec-2017 31-Dec-2019 PHINDPDOTBL  HZP operating expenses per train-km (in HRK) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 45.00 29.10 43.10 41.10 Date 31-Dec-2014 31-Oct-2016 30-Oct-2017 31-Dec-2019 Comments Current value based on data submitted by HZP in November 2017 1/19/2018 Page 7 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) PHINDPDOTBL  HZC working ratio (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.67 1.10 1.06 0.94 Date 31-Dec-2014 31-Oct-2016 31-Dec-2016 30-Sep-2019 PHINDPDOTBL  Number of annual train-km operated per HZI employee (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 4,032.00 3,274.00 3,263.00 3,828.00 Date 31-Dec-2014 31-Dec-2015 30-Dec-2016 31-Dec-2019 Overall Comments Intermediate Results Indicators PHINDIRITBL  Number of Project Beneficiaries including women beneficiaries (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target 110 000 110 000 including women, 110 000 including 110 000 including Value including 50% women, 50% women, 50% women, 50% Date 31-Dec-2014 14-Jun-2016 29-Dec-2017 31-Dec-2019 1/19/2018 Page 8 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) PHINDIRITBL  Percentage of assets with resolved legal titles (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 0.00 Date 31-Dec-2014 30-Dec-2016 29-Dec-2017 31-Dec-2019 Comments value still 0 as asset management assignment still not started PHINDIRITBL  Number of HZP staff retrenched (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 161.00 568.00 729.00 Date 31-Dec-2014 30-Dec-2016 29-Nov-2017 31-Dec-2019 Comments value of 2016 to which 50 retrenched for the year added PHINDIRITBL  Number of HZP rolling stock rehabilitated (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 137.00 105.00 Date 31-Dec-2014 14-Jun-2016 29-Nov-2017 31-Dec-2019 1/19/2018 Page 9 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) PHINDIRITBL  DMUs and diesel locomotives (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 7.00 17.00 Date 31-Dec-2014 14-Jun-2016 29-Nov-2017 31-Dec-2019 PHINDIRITBL  EMUs and electric locomotives (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 3.00 6.00 Date 31-Dec-2014 14-Jun-2016 29-Nov-2017 31-Dec-2019 PHINDIRITBL  Passenger wagons (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 55.00 82.00 Date 31-Dec-2014 14-Jun-2016 29-Nov-2017 31-Dec-2019 PHINDIRITBL  HZP commercial revenues per employee (in HRK) (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.30 0.41 0.24 0.30 Date 31-Dec-2014 14-Jun-2016 30-Dec-2016 31-Dec-2019 Comments value for previous period probably incorrect 1/19/2018 Page 10 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) PHINDIRITBL  Number of HZC staff retrenched (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 410.00 714.00 771.00 Date 31-Dec-2014 31-Dec-2016 31-Oct-2017 31-Dec-2019 PHINDIRITBL  Number of HZC rolling stock rehabilitated (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 1.00 2,820.00 Date 31-Dec-2014 14-Jun-2016 30-Oct-2017 30-Sep-2019 Comments value for locos only. wagon number much lower than anticipated - need to reformulate targets during restructuring PHINDIRITBL  Wagons (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 0.00 2,772.00 Date 31-Dec-2014 14-Jun-2016 30-Oct-2017 31-Dec-2019 PHINDIRITBL  Locomotives (Number, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 4.00 48.00 Date 27-Feb-2015 14-Jun-2016 30-Oct-2017 31-Dec-2019 1/19/2018 Page 11 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) PHINDIRITBL  Number of HZI staff retrenched (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 1,029.00 890.00 1,097.00 Date 31-Dec-2014 14-Jun-2016 30-Dec-2016 31-Dec-2019 Comments need to correct the value over time as wrong value in the previous ISRs PHINDIRITBL  Cumulated number of kms of line sections rehabilitated or improved (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 0.00 169.00 338.00 Date 31-Dec-2014 -- 30-Dec-2016 30-Sep-2019 Comments need to modify the indicator post restructuring PHINDIRITBL  Fatalities per 10 million train-km (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 10.00 -- 9.00 7.00 Date 31-Dec-2014 -- 31-Oct-2017 31-Dec-2019 1/19/2018 Page 12 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) PHINDIRITBL  Million train-km per track-km (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 9,965.00 9,874.00 8,000.00 10,170.00 Date 31-Dec-2014 14-Jun-2016 30-Dec-2016 31-Dec-2019 PHINDIRITBL  Project-supported organization(s) publish reports on inputs and effect of consultation on project including gender disaggregated impacts (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value N N N Y Date 31-Dec-2014 -- 30-Jan-2017 31-Dec-2019 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P147499 IBRD-85000 Effective USD 88.65 88.65 0.00 27.47 60.69 31% P147499 IBRD-85010 Effective USD 48.20 48.20 0.00 15.89 32.39 33% P147499 IBRD-85020 Effective USD 46.50 46.50 0.00 26.38 19.77 57% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P147499 IBRD-85000 Effective 30-Apr-2015 06-May-2015 04-Aug-2015 31-May-2020 31-May-2020 P147499 IBRD-85010 Effective 30-Apr-2015 06-May-2015 04-Aug-2015 31-May-2020 31-May-2020 P147499 IBRD-85020 Effective 30-Apr-2015 06-May-2015 04-Aug-2015 31-May-2020 31-May-2020 1/19/2018 Page 13 of 14 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Sustainable Croatian Railways in Europe (P147499) Cumulative Disbursements Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 1/19/2018 Page 14 of 14 Public Disclosure Copy