Document of I r70 /

The World Bank v /C ,*R o2 3 6 .4£- //V

FOR OFFICIAL USE ONLY

1lCROFICHE COPY

2eport No. 9135-IN Type: (SAR) Report No. 9135-IN

3ENTCHIKOU/ X81469 / E10005/ AS4

STAFF APPRAISAL REPORT

INDIA

SECOND NATIONAL HIGHWAY PROJECT

APRIL 14, 1992

ture Operations Division

try DepartmentRegional Office

restricted distribution and may be ued by recipents only in the perfornance of

Its contents may not otherwise be disclosed without World Bank authorizatlor.

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CURRENCY EQUIVALENTS(As of January 27, 1992)

Currency Unit - Rupee (Rs)Rs 1.00 - Paise 100US$ 1.00 - Rs 25.89

SYSTEM OF WEIGHTS AND MEASURES: METRIC

Metric British/US system

1 meter (m) 3.281 feet1 square meter (m2) 10.764 square faet1 cubic meter (m2) 35.315 cubic feet1 kilometer (km) 0.621 mile1 square kilometer (km2) 0.386 square mile1 metric ton 2,205 pounds

ACRONYMS AND ABBREVIATIONS

ADB - Asian Development BankADGR - Additional Director General, RoadsADGB - Additional Director General, BridgesCE - Chief EngineerCMF - Contract Management FrameworkCRRI - Central Road Research InstituteDEA - Department of Economic Affairs (Ministry of Fi-

nance)DGRD - Director General, Road DevelopmentDGTD - Directorate General of Technical DevelopmentEE - Executive EngineerGDP - Gross Domestic ProductGOI - Government of IndiaHDM - Highway Design and Maintenance ModelIRC - Indian Roads CongressMOST - Ministry of Surface TransportMOU - Memorandum of UnderstandingNITHE - National Institute for Training Highway EngineersPIC - Project Implementation CellPWD - Public Works DepartmentSE - Superintending EngineerSOE - Statement of ExpenditureTA - Technical AssistanceUNDP - United Nations Development ProgramVFM/RUC - Vehicle Fleet Modernization/Road User Charges Study

FISCAL YEAR

April 1 - March 31

INDIA FOR OFFICAuL USE ONLY

SECOND NATIONAL HIGHWAY PROJECT

STAFF APPRAISAL REPORT

TABLE OF CONTENTS

Loan/Credit and Project Summary . . . . . . . . . . . . . . . . . . . . .iii

1. The Transport Sector .... . . . . . . . . . . . . . . . . . ... 1A. Economic Setting and The Transport Sector . . . . . . . . . . . 1B. Transport Planning and Coordination . . . . . . . . . . . . . . 2C. Transport Investments .... . . . . . . . . . . . . . . . . . 3D. Transport Pricing and Taxation . . . . . . . . . . . . . . . . . 5

2. The Roads Subsector . .. . . . . . . . . . . . . . . . . . . . . . . 6A. The Road Network .... . . . . . . . . . . . . . . . . . . . . 6B. The National Highway System ... . . . . . . . . . . . . . . . 7

Administration . . . . . . . . . . . . . . . . . . . . . . . 7Finar.cing . . . . . . . . . . . . . . . . . . . . . . . . . . 8Maintenance . . . . . . . . . . . . . . . . . . . . . . . . . 9Engineering .... . . . . . . . . . . . . . . . . . . . . . 10Construction/Contracting/Contract Administration . . . . . . 10

C. Intercity Road Traffic ..................... 11D. Road Safety . . . . . . . . . . . . . . . . . . . . . . . . . . 12E. Training . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12F. Research and Development . . . . . . . . . . . . . . . . . . . . 12G. Highway Planning . . . . . . . . . . . . . . . . . . . . . . . . 13H. The Road Transport Industry . . . . . . . . . . . . . . . . . . 14

The Vehicle Fleet .... . . . . . . . . . . . . . . . . 14Vehicle Utilization and Traffic Growth Rates . . . . . . . . 16

I. Barnk Involvement and Lessons Learned in Highways ... . . . . . 17

3. The Project . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19A. Background and Objectives . . . . . . . . . . . . . . . . . . . 19B. Project Description . . . . . . . . . . . . . . . . . . . . . . 20

Part A Road Modernization Works . . . . . . . . . . . . . . . 21(i) Civil Works .... . . . . . . . . . . . . . . 21(ii) Network Monitoring and Management . . . . . . . . . 22(iii) Institutional Str^~ngthening. . . . . . . . . . . . 22

Part B Bridge Reconstructicr ..... . . . . . . . . . .... 25(i) Civil Works . . . . . . . . . . . . . . . . . . . 25

C. Project Costs and Financing .... . . . . . . . . . . . . . . 25D. Project Implementation . . . . . . . . . . . . . . . . . . . . . 26E. Implementation Schedule .... . . . . . . . ...... . . . 28F. Procurement .... . . . . . . ....... . . . . . . . . . 28G. Disbursements . . . . . . . . . . . . . . . . . . . . . . . . . 30H. Reporting and Auditing .... . . . . . . . . . . . . . . . . . 31I. Environmental Impact .... . . . . . . . . . . . . . . . . . . 32

This document has a restricted distribution and may be us^d by recipients only in the performanceof their official duties. Its contents may not otherwise be disclosed without World Bank authorization.

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4. Economic Evaluation 34A. Assessment of Roads Modernization Component . 34B. Assessment of Orissa Bridges Component .36C. Project Risks .38

5. Agreements and Recommendations .39

Annexes 1.1 Expenditures under the Seventh Plan 1985-90 . .41

2.1 Capital and Maintenance Expenditures on Roads .422.2 Registered Motor Vehicles .432.3 Production of Motor Vehicles .44

3.1 Road Modernization Works .453.2 Equipme'.t Procurement .493.3 Terms of Reference for the TA to MOST .503.4 Project Costs, Financing and Disbursement Sche-

dule .543.5 Contract Management Framework . 693.6 Terms of Reference for the Supervision Consul-

tants .743.7 Project Implementation Schedule .783.8 Project Organization Chart .793.9 Supervision Plan .80

4.1 Economic Evaluation .82

5.1 Selected Documents in the Project File .96

MAP: IBRD 23764

Tables

Project Cost. vFinancing Plan. vEstimated Disbursements .vi

1.1: Average Yearly Growth of Traffic. 11.2: Transport Investments. 31.3: Modal Shares in Total Investments. 42.1: The Road Network. 62.2: Villages Connected to the Road Network. 72.3: Maintenance Allocations .102.4: Vehicle Fleet Growth Rates .142.5: Road Traffic Growth Rates. 163.1: Project Cost Summary .263.2: Financing Plan .263.3: Amounts and Methods of Procurement .293.4: Allocation and Disbursement .314.1: Economic Evaluation of Part A .364.2: ERR Sensitivity to Cost Increases .364.3: Economic Evaluation of Part B .37

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FOR OFFICIAL USE ONLY

INDIA

SECOND NATIONAL HIGHWAY PROJECT

LOAN/CREDIT AND PROJECT SUMMARY

Borrower India, acting by its President.

Amount IBRD - US$153.0 million equivalentIDA - SDR116.2 million (US$ 153 million equivalent)

Terms IBRD: Twenty years, including a five-year grace period, at theBank's standard variable interest rate.

IDA: Standard, with 35 years maturity.

Objectives The objectives of the project are to (i) modernize key sectionsof the national highway network; (ii) promote improvements in:road engineering and construction; network management; and con-tract management; and (iii) to reconstruct selected flood dam-aged bridges in the State of Orissa.

Project The proposed project includes: Part (i) modernization of sixDescrip- sections, about 290 km, of heavily trafficked and congested na-tion tional highways in Haryana, Madhya Pradesh, Maharashtra, Orissa,

Punjab and West Bengal; (ii) equipment for monitoring and man-agement of the national highway network; (iii) institutionalstrengthening including (a) training of MOST/PWD staff for workssupervision; (b) technical assistance to MOST; and (iv) studiesto prepare follow-up projects; and Part B reconstruction of sixbridges in Ganjam District in Orissa.

Project Benefits will accrue mainly from savings in vehicle operatingBenefits costs, reduced congestion (resulting in increased speeds), and

concomitant savings in travel times. The competitiveness oftruck and bus transport in India is expected to ensure that theproject benefits are eventually passed on to consumers. Theproject will encourage the use of more sophisticated road con-struction techniques, and the use of supervision consultantswithin a new contract management framework, which will improvethe efficiency with which the roadworks will be carried out andtheir quality and durability.

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Project Project implementation risks are associated with delars in pro-Risks curement and contract management. To minimize these risks the

project was reduced to six road sections in as many states, anda new approach to contract management was designed. Reconstruc-ting the flood damaged bridges in Orissa may also present imple-mentation problems but designs have been standardized and pro-curement was held to only two contracts to minimize risks.

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Project Cost Local Foreign Total

(US$ million)A. Rgad, Modteraization1. Haryana 42.9 24.2 67.22. Madhya Pradesh 26.0 13.8 39.83. Maharashtra 31.5 17.7 49.24. Orissa 39.3 21.2 60.65. Punjab 23.0 12.9 35.96. West Bengal 22.2 12.5 34.7Sub-Total 184.9 102.4 287.4

B. Netwk. Montrg. & Hangmt. 0.1 1.2 1.4C. Institutional Strengtheninb1. Training 3.1 2.1 5.22. TA 0.5 1.0 1.5Sub-Total 3.5 3.1 6.6

D. Preinvestment Studies 1.5 4.1 5.6E. Orissa Bridges 9.7 4.8 14.5

Total Base Co-t 199.8 115.6 315.4

Physia2 Contingencies 16.7 10.5 i7.2Price Contingencies -5.6 48.3 42.7

Total Project Costl 210.9 174.4 385.3

1/ Local costs (US$210.9 million equivalent) includeUS$46.6 million equivalent in taxes and duties financedby Government.

(Some totals do not add up due to rounding).

Financing Local Foreign TotalPlan (US$ million)

0OI 79.3 - 79.3IBRD 65.8 87.2 153.0IDA 65.8 87.2 153.0

Total 210.9 174.4 385.3

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Zstimated Fiscal 1993 1994 1995 1996 1997 1998 1999 2000 2001Disbsmts. Year --- - - - -- - - --- ....(US$ mln)

Annual 11.2 13.3 27.7 47.1 58.5 64.0 62.6 24.1 1.5

Cumltv 11.2 24.5 48.2 95.3 153.8 217.8 280.4 304.5 306.0

Economic The ERRs of subprojects range from 37X to 62X. The overallRate of Re- ERR for the project excseds 40X.turnMap IBRD 23764

This project was appraised in May 1990 by a mission led by Mr.J. Bentchikou (Sr. Highway Engineer) and comprising Messrs. Schulz (Sr.Transport Economist) and Nawathe, Mulligan, Vales, Mac Farlane and Caullier(consultants). The report was revised and updated in February 1992 byMessrs. Schulz, Cittati (Sr. Highway Engineer) and Vijayaverl (consultant).Peer reviewers were Ms. Johansen and Messr3. Henriod and Faiz. Secretarialassistance in the preparation of the report was provided by Medas. Scott,Harrald and Mean3. Project processing was supervised by Messrs. McCarthy,Chief, Transport and Energy Division, and by Mr. Panfil, Chief, Infrastruc-ture Division, India Country Department. Mr. Heinz Vergin was the Directorof the India Country Department.

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INDIA

SECOND NATIONAL EHGHWAY PROJECT

1. THE TRANSPORT SECTOR

A. Economic Setting and The Transaort Sector

1.1 India is a large and populous country with a low income: it spans3.3 million km2 and contains about 850 million people. Its economy is dominatedby agriculture, which employs more than two-thirds of the labor force and gener-ates about one-third of the country's GDP. The services and industry sectorsemploy the remainder of the labor force, and account, in about equal proportions,for the remainder of GDP. GDP growth averaged about 2.7X in the 1970s, and about4.51 in the 1980s. Real per capita income is about US$350, equal to the averagein sub-Sahara Africa.

1.2 India's transportation system is extensive and diversified. It in-cludes about 1,600,000 km of roads, 62,600 route-km of railways, 11 major and 139intermediate and minor ports, 14 major airports (6 of which handle internationalflights), 7,000 km of pipelines and 14,500 km of inland waterways of which 5,200can accommodate motorized vessels.

1.3 Freight and passenger traffic have been increasir.g steadily since the1950s. Average growth rates for all traffic are shown in Table 1.1.

Table 1.1: Average Yearly Growth ofTraffic

1950-72 1973-80 1981-87

Freight 5.51 2,8X 4.91Traffic

Passenger 3.71 6.61 2.81TrafficSource: Plamins Coission

1.4 Historically, India has relied on its extensive rail network to meetmost of its transport needs. The Indian railway system is the world's secondlargest under one administration, it employs 1.8 million people. The system isrun fairly efficiently and has a satisfactory financial performance. Its esti-mated traffic in 1990 was 230 billion ton-km of freight and 280 billion pas-senger-km. The railways are heavy users of government investment funds. Theyreceived an estimated Rs 164 billion during the Seventh Plan (1985-1990).

1.5 Although the railway retains a dominant position in the long distancehauling of bulk commodities, the share of road transport has increased consider-ably since the 1950s. .n the early 1950s, the railways carried an estimated 901of freight and 741 of passenger traffic moving in the country. In 1990, itcarried 501 of freight and 201 of passengers. The Planning Commission hasestimated that by the year 2000, traffic on the railways will have doubled since

1986/87, while traffic on the rcads may have increased three- to fourfold. Thegrowing importance of road transport is now recognized in India but budgetaryallocations for roads have not followed suit The roads subsector is reviewedin detail in Chapter II.

1.6 The ports' throughput was about 40 million tons in the early 1960sand 146 million tons in 1989. This increase in port traffic has not been ac:-om-panied by a parallel improvement in facilities or productivity. As a result,most ports in India are congested. Principal cargoes include crude oil andpetroleum products, iron-ore, coal, fertilizers, raw-materials, and generalcargo.

1.7 In 1950, India accounted for 2X of world exports and 6X of the lessdeveloped countries exports. By 1980, these figures were 0.41 and 1.4X respec-tively. When the industry-based growth strategy was launched in 1955, India wasthe 10th largest industrial power in the world. Twenty yaars later it ranked20th. India's foreign trade grew significantly in the mid-80s, as a result ofsome modest liberalization and increased attention to export promotion. Thishappened despite limitations in port draft, inadequate container handling facili-ties, and cumbersome procedures. The Government of India (GOI) now intends tomodernize the maritime system and speed up cargo handling at ports, especiallyof containers. However, change has been slow.

B. TransDort Planning and Coordination

1.8 The government is heavily involved in the transport sector. It ownsall the infrastructure, and the railways, major airlines, inter-city bus compa-nies, and all but a few shipping companies. What it doesn't own, the governmentalso strictly regulates: private trucking the few private road passenger servic-es there are, and private shipping.

1.9 The transport sector is controlled by various ministries. Roads,ports, and shipping are under the Ministry of Surfar.- Transport (MOST). Railwaysare under the Ministry of Railways. Civil aviation, is under the Ministry ofCivil Aviation. Pipelines, are under the Ministry of Petroleum & Natural Gas.Responsibility for some activities is shared by central and state governments,but the states generally, have direct jurisdiction over services provided uithinthe states.

1.10 Under this highly centralized and tightly controlled regime, compris-ing complex regulations and licensing, economic control and investment planningare fundamental to the healthy development of the sector. Both functions are theresponsibility of the Planning Commission, which defines the policy framework andthe control mechanisms. In consultation with other Central Ministries, particu-larly Finance, and with the state governments, the Planning commission alsoallocates budgetary funds among the transport modes. This allocation is madeonce every five years, when the five-year Plan is defined, and then again whenthe yearly budgetary appropriations are made. Coordination among the differentmodes is handled by the Coordinazing Committee of tha Secretaries of SurfaceTransport, Railways and Civil Aviation, and the Transport Development Council.However, coordination, as currently practiced, is insufficient for such a cen-tralized regime and the matter has been the subject of frequent exchanges betweenthe Bank and the GOI.

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1.11 Many of the .sues affecting the planning and coordination in thetransport sector relate to the country's macro-economic management policies.These include centralized planning and tight regulation; government-administeredprices; direct government investments; and managed demand. Concerns raised aboutthe course Wf developments in the transport sector under this regime, promptedthe Planning Commission to establish in October 1985 a Steering Committee onTransport Planning. The Committee's report, Perspective Plannlng for TrarsportDevelopment, recommended, among many other suggestions, that the government buildup road capacity, especially in high density corridors, through direct invest-ments, and that it adopt more, specific regulations to guide the provision ofservices. In *ther words, it advocated to continue to rely on the existingcentral-control system. This broad approach cannot be addressed readily withinthe context of a sectoral and sub-sectoral dialogue alone. Nevertheless, adialogue has been advanced in the context of the Vehicle Fleet Modernization/RoadUser Charges (VFM/RUC) Study carried out under the ongoing First National HighwayProject, because the recommendations of the study are expected to be implementedunder the proposed project (para. 2.40). This dialogue is expected to be en-hanced by the discussion of the sector work on Road Planning and Budgeting andthe road transport strategy being prepared in parallel with the proposed project.The sectoral dialogue will also be advanced through the discussion of the TndianRailways corporate plan in the context of the Bank's proposed loan to fundrailway modeinization, and a parallel railway strategy currently being prepared.

C. TransRort Investments

1.12 Transport investments are an important part (between 10% and 25%) ofoverall public investment in India. However, the share of transport in actualexpenditures has declined over the years. This is shown in Table 1.2.

Table 1.2: Transport Investments(Billions of 1971 Rs)

TransPlan Period Rail Roadsl Ports2 Ship- Avia- Total X of

ping tion TotlFirst 1951-56 1.00 0.68 0.13 0.09 0.10 2.00 22Second 1956-61 2.85 0.96 0.13 0.21 0.19 4.34 23Third 1961-66 4.11 1.45 0.31 0.12 0.16 6.15 23Annual 1966-69 1.98 1.41 0.24 0.12 0.26 4.01 15Fourth 1969-74 1.67 1.77 0.47 0.28 0.32 4.51 16Fifth 1974-78 2.31 2.37 0.57 0.54 0.32 6.11 14Sixth 1900-85 4.13 3.20 0.763 0.59 8.68 12Seventh 1985-90 6.52 3.80 0.79 0.44 0.40 11.95 12

/ Includes road transport.2.1 Includes waterways.i./ Ports and Shipping together.Source: Planning Coaiission

1.13 Within the transport sector, modal shares have varied considerably.As shown in Table 1.3, the railways have received the bulk of available resourcesdespite their declining share of traffic.

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Table 1,3: Modal Sha:rs(% of Total Transport Expenditure)

Plan Rail Roads' Ports2 Ship- Aviationping

1951-56 First 50.0 3'4.8 6.5 4.5 5.01956-61 Second 65.7 22.1 3.0 4.8 4.41961-66 Third 66.8 23.6 5.0 2.0 2.61966-69 Annuals 49.4 35.1 .0 3.0 6.51969-74 Fourth 37.0 39.3 10.4 6.2 7.11974-78 Fifth 37.8 38.8 9.4 8.8 5.21980-85 Sixth 47.6 36.9 8.73 6.S1985-90 SeveiLh 53.7 29.0 6.! 3.9 6.5I/ Includes road transport.2/ Incl.des waterways.j/ Ports and Shipping togetherSource: Planing Comssion

1.14 Annex 1.1, Expenditures under The Sevanth Plan, 1985-90, shows theexpected and actual sectoral expenditures during the Plan. Expenditures endedup being somewhat higher than planned because of a growing concern for the poorcondition of the infrastructure The largest supplement went to civil aviation(1751). Additional supplements went to shipping (381), rail (33X), and roads(22%)X

1.15 Funding and the modal distribution are determined by the PlanningCommission weighing Plan priorities, and, most importantly, framing recommenda-tion& of Government Departments within available resources. Invariably, however,funding levels do not reflect economic priorities but short-term objectiveswithin each mode. Official long-term decision making criteria for the sectorwere defined as (i) removing bottlenecks; (ii) increasing capacity; (iii) con-serving energy; (iv) completion of ongoing works; (v) maximizing asset utiliza'tion; and (vi) promoting rural development. For the Seventh Plan (1985-1990)four additional criteria were added: (vii) modernizing the railways; (viii) in-creasing container handling capacity at major ports; (ix) intensifying the ruralroads construction program; and (x) removing deficiencies in the national highwaysystem. None of these objectiven have been fully achieved, and on completion ofthe Seventh Plan major shortcomings still persist.

1.16 For a long time the transport system has been affseted not only byunder-itivestment but by rapid grcwth in traffic. These two conditions combinedhave produced a system in which:

(a) the national highways are in pcor condition and not suitableto carry present traffic volumes;

(b) the railways, despite performance improvements, cannot meethe demand to move all long-distance bulk commodity trafficoffered, especially coai;

(c) the ports have outdated equipment and antiquated managementpractices; and

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(d) air transport is congested, unresponsive to modern demands,and relatively unsafe.

l.O7 Because of the many problems in the transport sector, the country'splanners will be confronted with difficult choices in the short to medium term.These choices invariably will be affected by the country's acute shortage offunds for investment and recurrent expenditures. Thus, planners may have toforego some of their long-term goals for shorter term sector management objec-tives. These objectives include: (i) increasing capacity through improvementsin operational efficiency; (ii) investing in rehabilitation and maintenance;(iii) completing projects with high economic returns; (iv) improving the quality,and thus prolonging the life, of infrastructure works; (v) strengthening contractmanagement and supervision; (vi) modernizing designs and specifications andimproving construction techniques; and (vii) improving the business environmentfor contractors. The proposed project has been designed to meet many of theseobjectives.

1.18 In addition, the government should consider divesting itself ofmoney-losing transport undertakings, especially passenger services that can beprovided more efficiently by the private sector. Also, increased reliance on themarket rather than on the Plan to provide the price signals to guide investmentdecisions and improve services, should figure prominently in any future sectoragenda.

D. Transport Pricing and Taxation

1.19 Although government economists generally recognize the need to pricetransport services in line with economic cost, the prices of publicly providedservices continue to be regulated, administered, and largely subsidized. Al-though managing prices in India is notoriously difficult because there is noreliable information on costs, it continues to be practiced. This appliesespecially to passenger services, the haulage of food grains and fertilizers, andthe provision of port services. Management of railway prices has improved inrecent years, largely due to the recommendations of the Rail Tariff Enquiry Com-mittee. But .itill, as a result of managing prices, Indian Railways' net revenues(after allowance for the replacement of assets and interest on debt) have fluctu-ated between negative and positive, though for the last five years the averagehas been positive. As in the railways, there is room for improving the pricingof road, aviation and port services.

1.20 The scope for improving road pricing was reviewed under the VFM/RUCstudy. This study took into account the relationship between charges levied ondifferent classes of vehicles, vehicle usage, and fleet composition. The studyconcluded that road users paid about 3.5 times what the government puts intoroads, that the structure of user charges is inadequate because it supports theuse of inefficient vehicles and does not penalize different vehicles for thedamage they inflict on the roads. The study also concluded that user charges arelevied through inefficient means, such as sales and excise taxes, instead of, forexample, fuel taxes.

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2. THE ROADS SUBSECTOR

A. The Roads Network

2.1 Roads in India are divided into three functional classes: (i) the primaxvsystem of national highways; (ii) the secondary system of state highways andmajor district roads; and (iii) the tertiary system comprising other districtroads and village roads. National highways fall under the jurisdiction of thecentral government, which covers expenditures for their construction, mainte-nance, and improvement. The central government also finances part of the laborcomponent of village road construction and maintenance. All other roads are theresponsibility of state authorities and are funded by them. In addition, thereare rural roads administered by local authorities, project roads administered bytechnical Departments (Agriculture for example), and urban roads administered bymunicipal corporations. The total length of roads is shown in Table 2.1.

2.2 The national highways connect state capitals to one another and tomajor ports, industrial hubs, tourist centers, and adjoining countries. Theymeet strategic needs. State roads connect state capitals with important citiesin the state and with the national highway network. District roads traverse thedistricts, connect production areas and markets, and connect district centerswith state or national highways and the railways. Village roads connect villagesto the nearest district road, state road, national highway or to the railway.

Table 2.1: The Road Network(1985 km)

Unsurfaced Surfaced GrandCategory Gravel Cement Bitumi- Total Total

Con- nouscrete

Primary' 110 900 170 31,450 32,520 32,630Secondary2 3,260 5,190 790 87,800 93,780 97,040Tertiary3 124,890 95,710 360 242,250 338,320 463,210Subtotal 128,260 101,800 1,320 361,500 464,620 592,880

(21.61) (17.22) (0.2X) (61.0X) (1001)

Rural 527,340 127,580 550 38,290 166,420 693,760Project 179,260 15,890 410 6,700 23,000 202,260Urban 38,640 23,710 7,370 62,710 93,790 132,430Subtotal 745,240 167,180 8,330 107,700 283,210 1,028,450

Total 873,500 268,980 9,650 469,200 747,830 1,621.330(36.02) (1.3x) (62.7x) (1002)

(54X) (46%) (1002)

2/ national highways,/ state and district roads

.J/ other district and village roadsSource: Miniatry of Surface Transport

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2.3 The length of the road network has expanded almost fourfold since1950, from 0.4 millioz- km to 1.6 million km in 1985. This growth is principallyin the tertiary network, the result of the special emphasis placed on linkingvillages with the network and with the railways. Under the Minimum Needs Programthe central government decided that by 1990 all villages with a population of1,500 people or more, and 50% of villages with a population between 1,000-1,500should be served by an all-weather road. Actual achievements are shown in Table2.2.

Table 2.2: Villages Connected to the Road Network

Total Villages Villages connec- Balance stillNo. of connected ted at end of to be connected

villages (1/4/1985) 7th PlanPopulation No. X No. X

> 1,500 69,082 49,495 60,334 87 8,748 131,000-1,500 60,243 28,732 42,544 71 17,699 29< 1,000 462,352 142,020 166,311 36 296,041 64

Total 591,677 220,247 269,189 45 322,488 55

B. The National Hizhwav System

2.4 The national highways are the primary road network in the country.There are 33,630 km of national highways -- about 2% of the total road length.They carry an estimated 35% of total road traffic. The national highway systemhas many deficiencies: it is generally congested, and it has missing links andbridges, one-lane sections, substandard pavements, and weak and narrow culverts.These deficiencies were identified as part of the studies carried out in prepara-tion of the Eight Plan (1990-95). The studies estimated the cost of removing thedeficiencies at about Rs 113 billion in 1989 (about US$6 billion).

Administration

2.5 The Constitution makes the Union responsible for national highways,and the National Highways Act (NHA) (1956) assigns MOST the task of looking aftertheir construction and maintenance. However, construction and maintenance arecarried out by the states' Public Works Departments (PWDs) or the Border RoadsDevelopment Board, as agents of MOST. The National Highway Rules issued underthe NHA in 1957 govern the MOST-PWD agency arrangements. Most of the adminis-trative functions, including contracting the works and managing the contracts,are carried out also by the state PWDs. For this they receive an agency fee of9X of the cost of the works, a quality control fee of 1X, and a staff complementfee of 1.5% ("work-charged establishment"). However, the agency arrangements areweak and since no one effectively assumes responsibility for making decisions,matters are referred back and forth between MOST and the PWDs and between theirtechnical establishments and political superstructures within the states, causingdelays at every step.

2.6 The Bank has reviewed the agency arrangements and recommended thatthe central government and the states strengthen their relationship by establish-

ing a more formal connection between them. MOST agreed and the National HighwayRules 1957 will be reviewed and revised under the project to make the relation-ship more effective. In the view of the Bank, the revisions should be aimed atreinforcing central control over bidding documents, acceptance of tenders,termination of contracts, as well as strengthening the withholding of paymentsclauses for slow or substandard work. In addition, enhanced enforcement mecha-nisms should be enacted.

2.7 To partly address shortcomings in the present system, Parliamentcreated the National Highway Authority in 1988. This entity was given thepotentially sweeping mandate to take over all the national highways as well asany future national expressway system. A reassessment of the Authority's roleis under way. The Bank's own evaluation shows that the Authority's role is bestlimited to planning, building, and managing the national expressways system.This would be an independent system that is still in the conceptual stages. Itwould require innovative planning, design, financing, construction and adminis-trative methods to get under way and the National Highway Authority would be wellplaced to take a fresh independent approach.

Financing

2.8 All capital and maintenance expenditures for the national highwaysare financed by the central government. Annual allocations for capital expendi-tures (Plan expenditures) are budgeted within the framework of the Five-YearPlan. Current expenditures (non-plan expenditures), principally maintenanceallocations, are decided annually subject to overall resource constraints. Witha fixed amount of labor that must be paid for, the effect of 'Adget cuts on thepurchase of materials is usually disproportionate to the magnitude of the cuts(see Annex 2.1 Capital and Maintenance Expenditures on Roads).

2.9 Allocations for national highways have not been sufficient to allowfor proper maintenance or modernization of the system. In the face of this pastneglect the Eighth Plan Working Group on Roads proposed a fourfold increase innational highway spending (from about Rs 14.8 billion under the 7th Plan to Rs60.7 billion) during the plan period (1990-1995). This large increase is unreal-istic for three reasons. First, the funds required are not available; whilesector generated funds might suffice to sustain these expenditures, they areconsidered general revenue and, thus, charzieled to many non-highway uses.Second, even if the funds were made available, the road construction industrydoes not have the capacity to carry out the work implied by those figures. Andthird, MOST and the PWDs do not have the capacity to administer and control suchvolumes of spending.

2.10 Under the proposed project steps are being taken to improve MOST andPWD capacity to handle more and larger projects, and the business environment for:he highway contracting industry would be 'mproved. The funding shortcoming wasaddressed by Parliament in 1988 when it changed the accrual formula for theCentral Road Fund. The Fund draws its revenue from customs and excise duties ongasoline. Since its croation in 1929 the Fund drew only 3.5 paise (cents) of allthe duties imposed and this remained unchanged over the years. In 1988, Parlia-ment raised the rate to 5X of the duties imposed, which would increase Fundaccruals from about Rs 100 million to Rs 1,500 million per year thus channellingconsiderable additional resources to roads. However, the implementing arrange-ments needed to effect the change have not been put in place yet.

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2.11 Upgrading and maintaining the improved network will require substan-tially more resources than those generated in the CRF. As mentioned previously,road users generate about 3.5 times the amount governments, central and state,invest or spend back on the system. However, to date, governments have not beenprepared to steer the sector generated revenues back to roads, and the funds areused for general purposes. In the short run to improve the situation, better usehas to be made of the available funds and existing road network. Savings can bemade in the execution of road works (by planning and building roads better) andthrough a more efficient use of the system. Both will avoid premature congestionand more construction can be had per rupee budgeted. Also, resources could bemobilized by reducing the road user charge collection costs, and by shifting tosimpler, more direct and efficient tax instruments.

2.12 The difficulties of financing road investments have enhanced theattractiveness of v.sing tolls to pay for the needed expansion and modernization.Tolls are already used in a limited way in India -- to recoup investment costson major bridges. In general, it is preferable to use tolls only on congestedfacilities, because tolls could encourage a less than optimal use of scarcefacilities, and because usually, cheaper, more efficient ways of financing theinvestments can be found. Because of the lack of resources, governments in Indiaare seriously examining ways to increase private participation in the provisionof infrastructure. Financing issues will be the subject of discussion betweenthe Bank and the government in the context of future sector work.

Maintenance

2.13 In 1968, a technical group in MOST developed maintenance standardsand a funding norm that considers the impacts of labor and local materials,traffic, and rainfall. For national highways, the norm in 1989 was aboutRs 40,000 per km (about US$2,500) for a two-lane road. This is sufficient tocover routine and periodic maintenance. In practice, however, funding has notfollowed the norm. Allocations have been inadequate as shown in Table 2.3.

2.14 These shortfalls, together with the difficulties in financing roadexpenditures make it imperative to improve the use of available funds. Theongoing States' Road Project is attempting to do this through a computer-basedPavement Management System to be introduced in Bihar, Maharashtra, Rajasthan andUttar Pradesh. The Gujarat Rural Roads Project is providing a similar system toGujarat, and parallel systems are being developed in Andhra Pradesh and TamilNadu under a technical assistance grant from the Asian Development Bank (ADB).In a forthcoming project, ADB will provide grant funds to develop a similarsystem for the national highways. The use of pavement (maintenance) managementsystems increases the impact of expenditures by allowing fund allocations andmaintenance decisions for particular roads to be based on need rather than norms.

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Table 2.3 Maintenance Allocations(Rs million)

Amount Re- Actual Amount of Percentagequired per Allo- Shortfall Shortfall

norm cation

1980-81 555.5 370.0 185.5 33.41981-82 555.5 470.0 85.5 15.41982-83 600.0 510.0 90.0 15.01983-84 719.0 610.0 109.0 15.21984-85 1,083.0 750.0 333.0 30.81985-86 1,168.2 900.0 268.2 23.01986-87 1,767.8 942.5 825.3 46.71987-88 1,772.4 990.3 782.1 44.11988-89 1,980.0 1,423.6 556.4 28.11989-90 2,219.0 1,455.0 764.0 34.4Source: Ministry of Surface Transport

Engineering

2.15 Standards for road design and materials specifications used in Indiaare published by the Indian Roads Congress (IRC). Although pavement designs arebased on the number of 18,000 lb (8,200 kg) equivalent axles, in line with proce-dures recommended by the U.K. Transport and Road Research Laboratory, somestandards are of uneven caliber. Similarly, some specifications need to bebrought up to date and modernized. The proposed project includes technicalassistance for this purpose (Training Program; para 3.15).

2.16 MOST is responsible for the design of the national highways. Howev-er, it delegates this responsibility to state PWDs, retaining for itself only asupervisory role. The PWDs, in turn, use mostly their own engineers to preparethe designs. Consultants are taken on for the more complex works only. As aresult, in earlier Bank projects unreasonable designs, deviations from theprinted standard, inaccurate topographic surveys and faulty quantity estimateshave been found, sometimes after the works were contracted. These shortcomingslead to contractual difficulties, delays, and poor outcomes. Most of thesedeficiencies stem from inadequate supervision of the design work. To avoid theseproblems in future projects, the proposed project includes the provision oftechnical assistance for the detailed review of designs and specifications ofworks to be included in Bank projects.

Construction/Contracting/Contract Administration

2.17 Road and bridge works are normally carried out by contract. However,there is a serious shortage of capable contractors in India. The First NationalHighway Project tried to overcome this problem by attempting to attract interna-tional contractors. This was the first road project in India to make extensiveuse of international competitive bidding, and contract packages were designedlarge enough to be attractive to foreign participation. However, the responsefrom international contracting firms, and from the larger Indian contractors, wasdisappointing (para. 2.50).

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2.18 This lack of interest can be attributed in part to the distortedbusiness environment in India. In particular the trade regime makes working inIndia particularly difficult for foreigners, but also the larger national con-tractors. For example, importation of construction equipment is restricted toprotect labor-intensive, but inefficient, construction methods.

2.19 Several measures could be taken to develop a more competitive con-tracting industry and encourage the participation of the larger local as well asforeign firms. These include: (i) the use of larger size contracts instead ofthe split in slices approach; (ii) simplified administrative arrangements forimRorting eOuiDment. and spare parts and for repatriating foreign exchange; (iii)the use of competent and experienced consultants to supervise contracts; and (iv)the use of more rigorous pregualification procedures to exclude marginal firms.Other potential improvements include less bureaucratic hassle, more transparencyon import duties and taxes, and easier mechanisms to pay foreigners in foreigncurrency.

2.20 A more permanent solution to the lack of contractors needs to befound. To this end, a study of the construction industry is being carried outwith ADB financing, but under terms of reference agreed jointly by the govern-ment, the Bank and ADB. The Bank is regularly kept informed of progress andinvolved in the review of the reports.

2.21 Given the limited ability of MOST and the PWDs to manage project con-tracts effectively, a new system to handle contracts will be established underthe project. The field organization for each road work (comprising one or morecontracts) will be led by an experienced, independent international consultant.The consultant will be appointed "Engineer" and will represent the PWD in theadministratior. of the contract(s). The relationships between the consultant, PWDand MOST, and their respective powers, duties and accountability are defined inthe niew Contract Management Framework (paras 3.33 to 3.38).

C. Intercitv Road Traffic

2.22 The majority of intercity road traffic takes place on either nationalor state roads. These roads are only 2% and 6%, respectively, of the total roadnetwork, but they carry an estimated 35% and 40% of total road traffic in thecountry. On these roads, fast- and slow-moving vehicles are not segregated, andboth face each other, as well as innumerable other obstacles. These includespeed breakers (often unmarked) installed at the whim of local residents, securi-ty barriers, excise collection barriers, business encroachments on the roadway,as well as human activities such as drying rice, bricks and cow-dung on theroadway. This mix of traffic and road obstacles increases friction and reducesspeeds, constrains flows, reduces road capacity and increases the number andseverity of accidents. It also increases wear and tear on vehicles, and causeshigher than necessary fuel and lubricant consumption.

2.23 In particular, the reduced capacity of the roadway causes congestion,which in turn, requires earlier and larger expansion works. MOST and the statesshould take steps to segregate traffic more effectively, and to remove obstaclesand encroachments. These steps range from the simple enforcement of existingregulations on rights of way, to policing the use of roads and highways. Theproposed project will address the problem by providing paved shoulders for

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slower moving vehicles and pedestrians. However, clearly, a larger effort isnecessary on the part of governments.

D. Road Safety

2.24 Road safety in India is poor and deteriorating. In 1980, there were153,000 accidents, in which 24,600 people were killed and 109,000 people wereinjured. In 1988, there were 215,000 accidents, in which 49,100 people werekilled and 206,000 were injured. Between 1980 and 1989, road accidents increasedby 4.3X per year and road fatalities increased by 9.0X per year.

2.25 In 1983 a Road Safety Committee set up by the Ministry of Transportrecomended several steps to improve road safety. These steps included thecreation of a National Safety Fund paralleled by national, state, and districtRoad Safety Councils; the enforcement of vehicle design, inspection and use stan-dards; the enforcement of stricter driver training and licensing; the improvementof road engineering standards; and offering education programs. Some of theserecommendations have been implemented. In 1987, a National Road Safety Councilwas set up, and some states created State Councils. In 1988 the Motor VehicleAct was modified to improve safety provision in it. The Highway Patrol, whichhad been established earlier and subsequently disbanded, has been reinstated,albeit on a provisional pilot basis. But, while the Councils were expected tobecome the promoters of a comprehensive road safety program, little has happenedand the National Transportation Safety Board which oversaw safety in all modes,was disbanded in 1990. In all, the impact of these rather piecemeal efforts hasbeen limited.

2.26 Under the First National Highway Project, MOST was to prepare actionplans to implement the recommendations of the 1983 Road Safety Committee.However, no comprehensive time-bound action plan has been prepared and no safetyimprovements have been implemented. Also, the Ministry was to set in motion aroad safety program and procure equipment to improve vehicle, driver and roadsafety. The equipment is still in the process of being procured.

E. Trainiag

2.27 Engineering colleges and institutes provide the road sector with anadequate number of engineering graduates. In addition, the Highway Training Ins-titute provides training courses to fresh entrants and conducts refresher coursesand specialized courses for in-service engineers. Less frequently, highwayengineers receive training abroad --mostly UNDP and Colombo Plan sponsoredprograms. Under the First National Highway Project, several engineers receivedtraining in various subjects. However, a major gap still exists in the areas ofcontract administration and supervision. The proposed project makes specialprovision under the training component to correct this deficiency (Para. 3.22).

F. Research and Development

2.28 Research and Development is an important way to meet the challengesof modernization and :echnological improvement. The need for research has beenrecognized for decades. As a result of the joint effort of the Indian RoadsCongress, the Council for Scientific and Industrial Research, and MOST, theCentral Road Research Institute (CRRI) was established in 1952.

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2.29 CRRI has made significant theoretical contributions to the develop-ment of roads in India', but much of the work duplicates fundamental researchconducted elsewhere outside the country. In the view of the Bank, CRRI shouldplace less emphasis on fundamental research and stress more the adaptation ofproven techniques and specifications to Indian conditions and materials. More-over, since much CRRI work is done in isolation from actual roadworks, verylittle of the work finds its way to practical use in India. A concerted effortshould be made to translate CRRI developments into practical knowledge and,conversely to relay back to CRRI work-site experiences.

2.30 Given CRRI's shortcomings and the clear need to promote research anddevelopment, the Perspective Planning Committee of the Planning Commission recom-mended setting up a separate Research and Development department within MOST,modelled after the Research and Development Office of the Federal Highway Admin-istration in the US. Although this recommendation might have merits, it wouldcreate an unnecessary and costly duplication of research and development work inIndia.

C. Highway Planning

2.31 Planning the national highway system is the responsibility of theRoads Wing of MOST. There is a 20-Year long-term development Plan prepared bya conference of chief engineers; there is a 5-Year Plan that coincides with thefive-year planning cycle of the country; and within the latter there are AnnualPlans. MOST leads the chief engineer's conference, plays a key role in determin-ing the content of the 5-Year Plan, and has a ruling influance over the AnnualPlans.

2.32 The leading principle of all 20-Year Plans has been to preserveIndia's rural character and have consequently placed the highest priority onextending the roads network to villages. The 1981-2001 Plan expects tc have allvillages with 500 or more inhabitants (over 450,000 of them) served by an allweather road by the year 2000. In addition, the Plan calls for the creation ofa grid of highways not more than 100 km apart. In this grid, all major trafficcorridors would be expressways; all state capitals would be joined to one anotherand to major ports, industrial hubs and tourist centers by national highways; andall district headquarters and sub-divisional headquarters would be linked toindustrial, commercial and tourism centers by state roads.

2.33 Given the funding limitations described earlier, road planning inIndia can no longer be determined by physical connectivity criteria. Clearly,if traffic is to be moved around the country effectively, the emphasis in identi-fying and setting priorities for future investments must be placed on economicefficiency. This requires improving MOST's planning capability, building an ade-

.1/ Among these contributions are: the development of quantitative relation-ships between user costs and traffic; an approach to transportation plan-ning for large urban centers; an assessment of road transport needs forthe year 2000; a traffic simulation model for interurban roads; a roaduser behavior study; an improved method of driver evaluation; a ruralroads planning, design and low cost construction mothod; a survey of lo-cally available construction materials for roads; and an axle load spec-trum survey on national highways.

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quate database, strengthening planning techniques, monitoring road condition andusage, and training staff. Some steps in this direction have been taken already.MOST has a computerized traffic data collection system. An inventory of nationalhighway condition is being prepared. HDM III is being used to assess highwayinvestments. A highway planning manual for field use is being prepared. And acomputer-based pavement management system for the national highways is to bedeveloped with ADB assistance (para. 2.14). Yet, much more needs to be done.To assist MOST in the identification of future actions, the Bank is carrying out,in parallel with the proposed project, a review of road planning and budgetingpractices and mechanisms.

H. The Road Transport Industry

2.34 India has no comprehensive information system on the road transportindustry or its activities. The size of the industry and the volume of itsactivities are estimated using data on the vehicle fleet and by making assump-tions about vehicle utilization.

The Vehicle Fleet

2.35 There are 16.5 million registered vehicles in India. Of these, 65%are two-wheelers, 14X passenger cars, 7% trucks, and 2% buses (see Annex 2.2,Registered Motor Vehicles). Table 2.4 shows that the annual rate of growth inthe number of vehicles has been strong, particularly during the 1980s. This wasthe result of the strong economy and consequent strong demand for vehicles in theearly 1980s.

Table 2.4: Vehicle Fleet(Average Annual Growth Rate)

Vehicle Type 1961-71 1971-81 1981-89Two wheelers 20.6% 15.9% 19.7%Cars & Taxies 8.2% 5.1% 9.4%Trucks 7.4% 4.4% 10.1%Buses 5.1% 5.1% 8.4%Othe;s 15.0% 17.4% 11.9%Overall 10.9% 10.7% 15.6%

2.36 The automotive industry in India is monopolistic, highly protected,and inward-looking -- all factors that stifle technological progress. Commercialvehicles being produced in India (Annex 2.3, Production of Motor Vehicles) use30 to 40 years old designs that are now obsolete. They have overwhelmingly onlytwo axles, high tare weights, low power-to-weight ratios, high-speed high-wearingengines, inefficient and highly polluting combustion chambers and manifolds,inappropriate transmissions, unsafe brakes and uiisafe suspensions that, inaddition, damage the roads. Ninety percent of road freight is moved on thesetrucks, which are then overloaded. The damage these trucks inflict on the roadsis very high, significantly more than that caused by vehicles with more axles,which have a better load distribution. But, production of these 2-axle vehiclesis favored by the comparatively low taxation placed on them vis-a-vis largertrucks, and, because of its protection, the industry has made no effort tomodernize and diversify.

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2.37 In the VFM/RUC study it was estimated that if the share of interdis-trict freight carried by 2-axle trucks were to decrease from the present 97X to751 by early next century, the economy would save, on this account alone, aboutRs 18 billion per year, or 23X of the cost of that traffic.

2.38 In 1982, the gove.inment liberalized regulations governing domes-tic/foreign joint-ventures for the production of automobiles and light commercialvehicles. The goals of this liberalization were to upgrade technology, increasefuel efficiency, and meet a growing demand for lower priced vehicles. Sincethen, many collaborative agreements have been entered into, and there is now somecompetition in this segmert of the market. The production of light commercialvehicles (gross vehicle weight of less than 6 tons) has increased considerably.Light trucks now account for over half the trucks produced in India, comparedwith less than one-third in the 1970s.

2.39 Competition in the production of medium and heavy commercial vehiclesis still limited. Initially there were four companies in this segment of themarket --TELCO, Ashok Leyland, Premier Automobiles, and Hindustan Motors. Thelast two closed in the early 1970s. In 1983, Hindustan Motors reentered themarket in collaboration with Isuzu, and Simpsons (Madras) teamed up with Ford(UK) to produce medium-sized commercial vehicles. However, the market forheavier vehicles is still dominated by TELCO (701) and Ashok Leyland (301).

2.40 There is much concern in the Bank about the need to modernize thefleet of commercial vehicles and encourage the use of multi-axle trucks. TheVFM/RUC study completed under the first National Highways Project offere. severalconclusions regarding these coLlcerns. First, it concluded that the efficiencyof the road transport industry is as inhibited by a lack of competition in themanufacture of trucks as by regulatory constraints. Second, the study noted thatthe failure to enforce axle load limits has favored the use of inappropriatevehicLes. Third, it determined that the structure of road user charges inequi-tably distributes the burden of road damage among different types of vehicles.Fourth, the study found that the inadequate infrastructure itself, inhibited theuse of better vehicles.

2.41 Agreement has been reached with the government onri the need to imple-ment the recommendations of the study. However, the government has been slow inputting together an Action Plan. An Inter-ministerial Committee was set up byMOST to assess the conclusions of the study, and the Committee, in turn, appoint-ed two Working Groups to draft specific implementable actions (one on taxationand financial issues, the other on issues dealing with the vehicle fleet). TheWorking Groups reported back to MOST in February 1991 and a Plan of Action isbeing prepared.

2.42 In the view of the Bank, the Action Plan should contain the followingelements:

(i) removal of import restrictions on commercial vehicles, inorder to encourage the domestic industry to produce bettercommercial vehicles;

(i;) removal of production ceilings imposed on individual manufac-turers;

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(iii) provision of incentives for enhanced foreign collaboration inthe production of heavier commercial vehicles (particularlytrucks and buses);

(iv) redistribu*.'on of the burden of user charges to reflect closerthe dama8e vehicles inflict on the roads; this should help tomodernize the vehicle fleet and mobilize resources to moder-nize the network;

(v) removal of cumbersome sales taxes, excise levies and octroicharges collected at road blocka, and their replacement withmore efficient taxes for example on fuel; this would increasethe speed of the system, help to make better use of the exist-ing road capacity, and improve taw collection rates; and

(vi) removal of the restrictive territorial, commodity and otherregulatory controls on operator licensing.

2.43 The government's commitment to prepare by December 31, 1992 an ActionPlan based on (i) the VFM/RUC Study and on (ii) the Bank's report on PolicyIssues on Road Transport in India (Report No. 8057-IN, October 1989), was con-firmed at negotiations; also confirmed was the government's determination toimplement the Plan thereafter.

Vehicle Utilizatien and Traffic Growth Rates

2.44 The two most thorough estimates of vehicle utilization were made bythe Ministry of Surface Transport in 1987 (MOST 87) and the Planning Commissionin 1988 (PC 88). The two studies differ considerably in their estimates oftraffic volumes. However, they suggest similar average growth rates over thepast 35 years (Table 2.5 below).

Table 2.5: Road Traffic(Average Annual Growth Rate)

Passenger Traffic Freight TrafficPeriod MOST 87 PC 88 MOST 87 PC 88

1950 to 1960 9.9 10.1 10.7 11.01960 to 1970 9.7 10.0 11.1 12.91970 to 1980 9.7 10.0 7.3 5.61980 to 1984 8.6 8.0 11.0 13.21950 to 1984 9.6 9.8 9.8 1 .2

5oureC: rLmming CsOM1auian

2.45 These growth rates are consistent with traffic growth rat3s me,su-c!.on selected road sections. The Planning Commission's two all-India traffic Iur-veys carried out at major traffic corridors in 1978/79 and 1986/87 recordeJaverage annual growth rates of 13.2X for truck traffic and MC3T recorded ratesof 11.7X for the same traffic from 1978/79 to 1984/85.

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2.46 Using various scenarios for GNP growth, industrial growth, andprobable demographic changes, the Planning Commission estimated demand for railand road transport for the year 20002. The lowest estimate was obtained witha 51 GNP growth rate and the largest estimate with a 121 industrial growth rate.Independently, the VFM/PUC study'a best estimate was similar to the PC's lowerestimate. According to both studies, freight and passenger traffic carried byroad is likely to increase three to four times by the year 2000. Therefore,traffic growth rates of 121 to 15X per year are to be expected. These resultsonly highlight the need for the prcposed proiect, and magnify the importance ofthe continued dialogue between the government and the Bank on secto! and projectmanagement issues.

I. Bank Involvement and Lessons Learned in Highwavs

2.47 The Bank's involvement in India's transport sector dates back to1949. Since then, the Bank has extended: twelve loans and nine credits ao therailways, totalling over US$2.3 billicn; four loans and two credits for ports andthe shipping industry, totalling US$410 million; and two loans and two creditsfor roads, totalling over US$500 million.

2.48 The Bank's experience with roads in India is modest and the resultshave been mixed. The Bihar Rural Roads Project (Cr. 1072-IN, SDR 26.7 million,19M0) close- In June 1988 and had a less than satisfactory outcome. Poor plan-ning, construction and supervision practices; the unavailability of Bank staffto attend to the project at crucial times; and the absence of subsequent mainte-nance of the roads contributed to the results.

2.49 The National Highwav Project (Ln. 2534-IN, US$200 million, 1985) wasa milestone. It was the first project in which Indian authorities acceptedinternational competitive bidding as a regular procurement procedure. However,the response from international contractors as well as from larger IndiAn con-tractors was disappointing. Only three foreign firms were awarded work con-tracts, all as minority partners in joint-ventures with local contractors, andtwo have since defaulted. However, the remaining joint-venture is working welland its performance has become a model for other contractors to follow. Largeparastatal firms were awarded many contracts under the project, but all exceptone have performed poorly. As a result of poor contractor performance, a totalof US$37 million has been canceled from the loan. Overall, project progress hastrailed far behind schedule.

2.50 Implementation of the Gujarat Rural Roads ?roject (Cr. 1757-IN,SDR 101 million, 1987) was initially slow also, mostly due to budgetary problems.In addition, the state PWD did not have the capacity to effectively managecontractors, who were under-equipped. Howaver, after a slow start, a new admin-istration in Gujarat placed high priority on the project and positive resultsemerged quickly. The project bas since performed well and all the works havebeen contracted. The original project is now expected to be completed accordingto the original closing date.

2 Perspective Planning for Transport Development, 1988.

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2.51 The State Roads Proiect (Lr. 2994/Cr. 1995-IN, US$250 million, 1988)was designed to associate the Bank directly with the state PWDs (also the Agentsfor the execution or national highways work), and to addresses openly the. super-vision problems en'cuntered in the National Highways and the Gujarat pr,ojects.The project became effe:tive in March 1989 and is now concluding the procurementphase. It, howevor, has encountered many difficulties partly stemming from theweak road construction industry, partly from the lack of interest by foreigncontractors, and mostly from cumbersome and protracted negotiations with the PWDson procedures.

2.52 While many of the problems in Bank projects have stemmed from MOST'sand the PWD's limited capacity to manage and implement their projects, alsocontributing are inadequate enSineering (para. 2.16), poor performance of con-tractors (para. 2.17 to 2.20), and strained relationship between MOST and PWD's,resulting in difficult decisions being postponed rather than faced (paras. 2.5and 2.6). Consequently, under the proposed project, a range of capacity-buildingmeasures would be implemented both to improve contract management and to addressthe various problems affecting implementation of projects. These measures in-clude: the provision of a Contract Management Framework (CMF)(para. 3.33 to3.37), which integrates a streamlined decision making structure In the states andat MOST with supervision of works by international consultants; provision oftechnical assistance for detailed review of designs and specifications of roadprojects (paras. 3.26 and 3.27); and rigorous criteria for prequalification ofcontractors, combined with larger contract packages, in order to attract andselect large and experienced contractors of international le¶Tel (para. 3.40 and3.47). Measures have also been taken to avoid the delays and other problems thathampered implementation of previous projects, including agreement on a revisedset of bidding documents, with specific provisions to facilitate and speed-upimport of construction equipment, settlement of contractual claims and paymentof advances and interim certifications to contractors.

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3. THE PROJECT

A. Background and Objectives

3.1 The project was identified in March 1986. The government's proposalincluded twelve high priority sections of national ! ghways in eleven states.The sections had been considered for construction under the Seventh Plan, and thestates had already initiated preparation of the feasibility studies and thepreliminary engineering. Local consultants had carried out substantive parts ofthe studies and some PWDs had decided to do the studies with their own personnel.As a result of using various preparers, the quality of subproject preparation wasuneven, prompting a number of comments from MOST and the Bank.

3.2 The revisions requested by MOST and the Bank were accomplished, andthe project was appraised based on the revised feasibility studies and therevised preliminary engineering. The appraisal mission reexamined the size ofthe project in the light of the Bank's earlier experiences with highway projectsin India, and the improvements in project implementation capacity that wereexpected. As a result, the mission and OI agreed to reduce the number of sec-tions to six.

3.3 During the visit of a high level Bank mission to the state of Orissain June 1991, requests were made fcr the Bank to assist in reconstructing sixflood damaged bridges in the Ganjam District of that state. After extensiveconsultations it was concluded thac their inclusion as a component in thisproject was the most immediate and eApeditious way to reconstruct the bridges.Accordingly, during negotiations bridges were included in the project.

3.4 The objectives of tha pr-'Ject are to:

(i, modernize key iecr.ns of the national highway network;

(ii) promote improveuen - in:

- road engineec.ng and construction;- network manpee,ent;- contract management; and

(iii) assist the state of Orissa in the reconstruction of flooddamaged bridges.

3.5 The project will help to widen six highly congested sections ofnational highways to four-lane capacity and will allow traffic to continue togrow on them. To better control the execution of the civil works the projectwill pioneer the use of a new contract management framework based on the used ofqualified consultants for the supervision of contract performance. The frameworkmay, in turn, become a model to be followed in subsequent projects. The projectalso wil'l improve the business environment for the road construction industry byproviding for larger contracts and for stricter prequalification requirements.To facilitate construction, foreign contractors. should they decide to bid forthe works, will be allowed to import their own eqAipment. For all such equipmentto be imported, MOST has agreed to issue "essentiality" certifications within two

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months of having received fully detailed applications. To make the system moretransparent, bidding documents have been agreed which, among other things,clearly will indicate the import duties and taxes, if any, that would apply.Through training and special workshops MOST will ensure that the relevant staffassigned to deal with the contracts under the project are fully conversant withcurrently agreed procedures, as well as procedures to make foreign currencypayments.

3.6 It is expected that the project will help to transfer to Indiaimproved technologies and know-how. This would be achieved by (a) the use ofupdated design standards and construction speclfications, combined with theenforcement of modern quality control procedures; (b) the equipment-intensiveengineering and construction of the road works to comply economically and effi-ciently with (a) above; (c) the encouraged use of Joint-ventures between forelgnand local consulting and contracting firms; (d) the use of supervision consul-tants experienced with the equipment-intensive technology; and (e) the traLningof MOST/PWD staff.

B. Proiect Description

3.7 The proposed project includes:

Part A

(i) modernizing six sections of national highways (civil works and su-pervision) comprising about 290 km in length, in the states of Hary-ana, Madhya Pradesh, Maharashtra, Orissa, Punjab and West Bengal;

(ii) equipment for monitoring and managing the national highway network;

(iii) institutional strengthening including:

a. fellowships and training in the supervision of roadworks for professional and field staff;

b. technical assistance to MOST; and

c. studies to prepare follow-up projects.

Part B

(Lv) reconstructLon of sLx flood damaged brLdges Ln the state of OrLssa.

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Part A of the Proiset - RoAd Modernization Works

(i) Civil Works

3.8 The works involve widening six existing two-lane sections of nationalhighways to four-lanes as follows:

State Highway No. from (ki) to (km)

Haryana NH-1 Karnal (132.6) Ambala (212.1)Madhya Pradesh NH-3 Indore Bypass

NH-3 Indore (574.0) Dewas (591.6)Maharashtra NH-8 Manor (439.0) Bassein Creek (497. 0)Orissa NH-5 Bhubaneshwar (0.0) Jagatpur (27.8)Punjab NH-1 Ambala (212.1) Sirhind (252.1)West Bengal NH-2 Brakar Bridge (438.6) Ranigunj (474.)

3.9 The project roads are narrow, have narrow shoulders and rough pave-ments. They support unusually high traffic of both motorized and non-motorizedvehicles. The project will make the existing pavement of the sections a uniform7 i, strengthen it with an overlay, add a 2.5 m shoulder (of which 1.5 m will bepaved for use by non-motorized traffic and other slow-moving vehicles), add a 4.4i curbed median, and add two new lanes of pavement of the same standard. Theproject will also widen the existing drainage structures and bridges. Thisproject element also includes supervision of all civil works by internationalconsultants.

3.10 Traffic interruptions will be minimized by constructing the two newlanes first. As a special case, the Indore bypass in Madhya Pradesh will be atotally new construction along a new alignment (Annex 3.1, Road ModernizationWorks).

3.11 Typical Cross-Section. Following current practice in India, MOSTproposed a median design consisting of a 5 meter-wide raised median with highcurbs on both sides. However, the high curbs on the edge of the fast lanes arenormally considered hazardous to fast vehicles and, in addition, reduce theeffective width of the fast lanes. International practice for divided highwaysin non-urban areas, is to use a non-curbed median, an open invert drainage anda safety barrier in the center, flanked by two paved fast shoulders. The govern-ment agreed to use the international standard only on the Indore bypass. As acompromise, MOST agreed to build all other four-laning sections with a 4.4 meter-wide raised median with high curbs on both sides, and a 25 cm hard shoulderbetween the fast lane and the curb (to increase safety and restore the effectivewidth lost due to the curbs).

3.12 However, in order to monitor the safety benefits of the internation-ally accepted design, MOST agreed to use the international standard on two (of

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twelve) four-laning projects sanctioned in the 1991-92 budget, outside of theproject. The sections are expected to be contracted in 1992 and are as follows:

in Haryana km 35.0 to km 70.0 of NH 10 (Delhi-Hissar Rd.), andin Maharashtra km 43.0 to km 61.6 of NH 4 (Puns-Bombay Rd.)

3.13 MOST intends to pave the Indore bypass in Madhya Pradesh with cement-concrete, part of an experiment to reintroduce the cement technology in thecountry. However, soil along the line of the bypass is black cotton soil, whichhas a low bearing capacity and is expansive, and thus not particularly apt forthis type of construction. The Bank has requested a detailed techno-engineeringreport on the proposal, including: a detailed geotechnical profile of the align-ment showing the depth of the black cotton soil, a specific study of the expan-sion ratios of the black cotton soil found along the line, a comparison of thecost of building the cement concrete pavement vis-a-vis constructing a flexiblepavement, and all relevant expert opinions. The report will be thoroughly exam-ined before the proposal is financed.

(ii) Equipment for Network Monitoring and Management

3.14 MOST and the state PWDs will monitor the condition of the roads andmanage the national highway network. To help in this activity the project in-cludes procuring the equipment listed in Annex 3.2, Road Monitoring Equipment.

(iii) Institutional Strengthening

a. Fellowships and Training

3.15 Fellowships and training in the supervision of road works will beprovided for professionals and field staff of MOST and state PWDs. This projectcomponent includes the construction and furnishing of a training center in Delhi.

3.16 The training program will focus on the following elements:I

i. management and administration of civil works contracts supervised byconsultants; the role and responsibilities of government officers,consultants and contractors; general conditions of World Bank SampleBidding Documents; quality control and quality assurance; measure-ment of quantities and payments;

ii. planning and programming of highway projects; identification, pre-liminary engineering, economic feasibility, final engineering, bid-ding documents;

iii. procurement of consulting services and civil works under World Bankfinanced projects;

iv. equipment-intensive road construction and modernization;

v. management of road networks; highway inventory; pavement managementsystems; equipment management; and

vi. production and use of pavement materials and binders; use of localmaterials.

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3.17 It is estimated that about 10 staff from MOST and 280 staff from thestate PWDs will be trained. The PWD personnel will include supervisors, assis-tant engineers, executive engineers, and superintending engineers. All 290 staffwill be trained in India for about 1.5 months. Preparation of the trainingprogram, courses, and the initial presentations will require the input of consul-tants. However, subsequent courses will be carried out by NITHE, with the assis-tance of domestic and foreign experts identified during the preparation of theprogram.

3.18 In addition, 40 engineers will receive a months training abroad onequipment-intensive road modernization and construction works. The study tourwill consisting mostly of field visits.

3.19 The foreign exchange element of the training program will be mini-mized as much as practicable, by bringing foreign experts to India instead ofsending trainees abroad. The government agreed with the training program asdescribed above.

b. Technical Assistance

3.20 The project will finance a team of highly qualified and experiencedexperts to provide limited technical assistance (TA) to MOST. The experts willprovide guidance in:

i. developing the detailed training program, its implementation andmonitoring;

ii. developing improved technical guidelines and manuals;

iii. ensuring technical consistency among subprojects; and

iv. identifying road sections for a follow-up project, and monitoringand coordinating the preparation of pre-investment studies.

3.21 The TA will total 226 staff-months, including 67 staff-months ofexpatriate assistance. This limited assistance will go a long way towardsimproving the weakest areas of road building in India. The TA is an integralpart of the proposed project to enable achievement of project objectives. Thedetails of the TA are discussed below. (Terms of Reference are in Annex 3.3).Agreement on the role of the consultants in implementing the institutionalstrengthening program was confirmed at negotiations.

3.22 The Training Program: The TA team will assist MOST in preparing andimplementing the detailed training program (Fellowship and Training, above). Theprogram would identify and schedule all training courses, including their loca-tions, faculty, trainees, etc. However, no training program can be preparedfully in advance, and some changes will be necessary. The role of the TA teamis to assist MOST with the changes, particularly if they involve foreign expertsand field visits abroad. The resources provided for this purpose are minimal andwill only be used if necessary.

3.23 Improving Technical Guidelines and Manuals: IRC standards aregenerally adequate and reflect Indian experience. However, weak areas where

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current Indian practice could benefit from international experience have beenidentified. The TA consultants will assist MOST in carrying out studies toimprove guidelines and manuals in these areas as follows:

i. guidelines for quality assurance;

ii. manuals for bridge work, with particular reference to reinforced andpre-stressed concrete bridges;

iii. manuals for the design and construction of pile foundations forbridges;

iv. guidelines for the design and constructlon of incremental launchingand precasting of continuous structures;

v. manuals to specify bituminous layers, overlays for pavement streng-thening, and to maintain the quality of bituminous materials;

vi. manuals to design pavement layers stabilized with hydraulic binderssuch as cement, lime, fly-ash, blast furnace slag, and lean cementconcrete;

vii. manuals on safety in road design;

viii. development of a bridge management system; and

ix. study of the relationship between the Central government and thestates in implementing national highway projects.

3.24 Most of the TA work will involve adapting well-known and well-testedinternational practices, standards and techniques to Indian conditions. Thiswill be more cost-effective and will bring earlier results than research.

3.25 Technical ConsistencX of the Civil Works: When required, short-termexperts will be called upon to assist MOST in the supervision of the civil works.These experts will assist in trouble shooting and ensuring consistency among thecivil works components. Agreement on the role of the short term experts inensuring technical consistency of the civil works was confirmed at negotiations.

3.26 Pre-investment Review: The TA team will review possible high priori-ty highway projects and identify those suitable for follow-up. Agreement on thiswas confirmed at negotiations.

c. Studies

3.27 The project includes a review of high priority road links with a viewto preparing the pre-investment studies, the detailed engineering and the biddingdocuments for sections likely to be included in future Bank financed projects.The studies are tentatively estimated to cost about 1.52 of US$400 million worthof road works, or US$6 million. About one-fourth of this total will be foreignexchange for expatriate consulting services. Agreement was confirmed at negotia-tions on the preparation of the pre-investment studies.

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Part B of the Prolect - Bridme Reconstruction

3.28 The project includes reconstructien of six bridges in the CanjamDistrict of the state of Orissa. A cyclone in November 1990 washed away three,and damaged the other three bridges, as follows:

on Road No. over river near length(m) condition

SH-17 Ghodahada Maulabhanja 126.6 washed outMDR-62 Jorau Sorada 168.8 washed outSH-7 Rushikulia Aska 253.2 washed outSH-7 Ghodahada Hinjili 126.6 damagedMDR-68 Mahanadi Aska 317.6 damagedSH-7 Loharkhandi Bhanjanagar 84.4 damaged

3.29 The design of the new structures has been standardized to use identi-cal 42.2 meter spans made of pre-stressed concrete and well foundations. Exceptfor the Loharkandi bridge, which will be relocated, tle new bridges will be ata higher level on the same site, or just beside the old bridges. Land acquisi-tion is minimal and no one needs to be relocated or resettled because of theconstruction.

C. Project Costs and Financing

3.30 Project cost estimates are based on detailed engineering data com-pleted shortly before negotiations. They are summarized in Table 3.1 (nextpage). Total project costs are estimated to be US$385.3 million equivalent, 451in foreign exchange and 551 in local currency (including 121 taxes). Costestimates are based on July 1991 prices. They include 10X physical contingenciesand price contingencies of 3.9Z per year for the foreign component, and thefollowing price contingencies for local cost: 10.81 for 1991, 8.01 fo. 1992,6.61 for 1993, 6.11 for 1994, 5.61 for 1995, 5.51 for 1996 and thereafter.

3.31 Civil works estimates include the cost of office, laboratory build-ings and residential quarters construction or rental, and the purchase or rentalof inspection vehicles. The cost of the supervision consultant is estimated tobe about 8.51 of the value of civil works. This includes salaries and benefitsof PWD staff seconded to the supervision consultants, but does not included thecost of accommodations or inspection vehicles. On all national highway works thestate PWD receives an 11.51 agency fee (para 2.5) which is part of the local costand is not financed by the loan/credit.

3.32 The financing plan is in Table 3.2. The project will be financed bythe Bank ($306.0 million equivalent) and GOI (US$79.3 million equivalent). Bankfinancing covers 901 of project costs net of taxes (see also Annex 3.4, ProjectCosts, Financing and Disbursement Schedule).

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Table 3.1: Project Cost Summary

Rs million US$ million

Local Foreign Total Local Foreign TotalA. Road Hodernization1. Haryana 913.1 631.5 1,544.5 42.9 24.2 67.22. Hadhya Pradesh 556.5 359.3 915.8 26.0 13.8 39.83. Maharashtra 669.6 462.5 1,132.1 31.5 17.7 49.24. Orissa 839.0 553.9 1,392.9 39.3 21.2 60.65. Punjab 489.6 337.2 826.8 23.0 12.9 35.96. West Bengal 471.3 325.7 797.0 22.2 12.5 34.7

Sub-Total 3,939.1 2,670.1 6,609.1 184.9 102.4 287.4B. Road Honitoring

Eguipment 2.4 29.0 31.4 0.1 1.2 1.4C. Institutional Strengthening1. Training 67.9 50.7 118.7 3.1 2.1 5.22. Tech. Asstce. 9.9 23.7 33.5 0.5 1.0 1.5

Sub-Total 77.8 74.4 152.2 3.5 3.1 6.6

D. Pre-InvestmentStudies 28.5 100.0 128.6 1.5 4.1 5.6

E. Orissa Bridges 201.0 131.6 332.6 9.7 4.8 14.5

Total Base Cost 4,248.8 3,005.1 7,253.9 199.8 115.6 315.4

Phys Contingencies 384.3 241.9 626.1 16.7 10.5 27.2Prce Contingencies 2,150.1 2,370.6 4,520.7 -5.6 48.3 42.7

Total Project Cost 6,783.1 5,617.6 12,400.7 210.9 174.4 385.3

Table 3.2: Financing Plan(US$ million)

Local Foreign TotalGOI 79.3 - 79.3IBRD 65.8 87.2 153.0IDA 65.8 87.2 153.0Total 210.9 174.4 385.3

D. Project IMolementation

3.33 Contract Management Framework Experience with the first highwayproject shows that particular attention needs to be paid to minimizing implemen-tation difficulties. To address this concern a contract management framework(CHF) which integrates a streamlined decision making structure in the states andat MOST, with supervision of works by international consultants, was designed(Annex 3.5, Contract Management Framework). The framework spells out the dutiesand responsibilities of state PWD and HOST officials and those of the consultant.

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The CMF, particularly the systematic use of international consultants for thesupervision of all civil works, was agreed at negotiations.

3.34 The project will be implemented by MOST's Director General, RoadsDevelopment (DGRD). To monitor implementation of the project, the DOGRD will setup within MOST a Project Implementation Cell (PIC), using existing staff. ThePIC will report to the Additional Director General Roads (ADGR) on issues relat-ing to roads, and to the Additional Director General Bridges (ADGB) on issuesabout bridges. The PIC will consult with the Chief Engineers in MOST for thesupervision and monitoring of project implementation.

3.35 The state governments will execute the project as HOST's agents. Forthis purpose, each state will establish a project implementation unit to managethe subproject within the state. It will be headed by a Chief Engineer (CE) andwill be staffed with appropriate professional and support personnel. The CE willbe the Employer in all contracts signed and financed under the project. The CEwill define the objectives of each subproject, ensure efficient procurement, andmake sure that the subproject is executed within the defined objectives. StatePWD Superintending Engineers (SEs) will act on behalf of, and report directly tothe Chief Engineer. The SE will be the Employer's Representative in all projectcontracts. The CE, or the SE, will have the authority to give instructions tothe supervision consultant within the limits defined in the CMF. This authoritywill include the approval of some variation orders proposed by the consultants.

3.36 In the longer term, the owner/agent relationship between MOST and thestates will be strengthened to become a firmer contractual relationship for theimplementation of national highway projects. For this purpose the NationalHighway Rules 1957 will be reviewed and revised in particular with regard totheir enforceability (see Para. 2.6).

3.37 The Suoervision Consultant. Supervision of the civil works will becarried out by qualified international consultants with proven satisfactoryexperience in implementing works of similar size and nature as those in theproject. It is likely that foreign consultants will joint-venture with domesticfirms as provided for in the CMF. The supervision consultant will be appointedthe Englneer for all project civil works contracts. The Engineer will administerthe contract(s) and ensure that all of its clauses are respected. The Engineerwill make the measurements and control quality. The Engineer also will makeengineering decisions whenever required during the implementation of the con-tract(s). However, when the engineering decisions require additional work orhave financial consequences, the Engineer will have to obtain prior approval fromthe Employer (Annex 3.6, Terms of Reference for the Supervision Consultants).

3.38 For each subproject MOST will issue a Financial Sanction (FS). TheFS shall be issued before bidding documents are sold to the prequalified contrac-tors. The FS will be based on detailed cost estimates prepared by the statePWDs, following approved specifications and current market rates for modern,equipment-intensive construction techniques as required under the project. Thecost estimates will take into account the larger size of the works contracts, andthe strict enforcement of specifications for materials, and of work quality.Price contingencies will be committed when contracts are signed, but theiramounts will be disbursed in accordance with the escalation formulas in therespective contracts. Thus, price contingencies will be additional to the FS.If, during the course of implementing the project, DGRD estimates that more will

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be spent, or need to be committed, than the limit permitted by the FS (net of

prlie escalation), then a new FS will be prepared and approved by MOST.

8. Iplme ntation Schedule

3.39 The Project Implementation Schedule in in Annex 3.7. The GeneralPrequalification Notice was published in Deyelopment Business on July 16, 1990.Contractor prequalificatlon for the road works was completed by the MOST and the

PWDs on January 28, 1992, and is now under Bank review. A long list of qualiiedsupervision and technical assistance consultants was prepared by MOST. Terms ofReference for supervising consultants have been agreed and the letter of invita-tion will be issued in July 1992. Procurement of consultants services for TA and

pre-investment studies will start immediately after credit effectiveness to be

concluded by July 1993. Detailed engineering and bidding documents are on hand,

and tenders are expected to be called in Oct, 1992, after the financial sanctions

have been issued; contracts are expected to be awarded in July, 1993.

F. Procurement

Hethods

3.40 The modernization works will be procured under international competi-tive bidding (ICB) rules, from prequalified contractors. Domestic contractorswill be given a 7.5X preference in bidding for the civil works. The works weredivided into contracts ranging in size from about US$5.5 million to US$47 mil-

lion. If less than four international contractors prequalify in the uppercontract-sizo brackets, HOST/PWD (with the Bank's approval) would increase thenumber of contracts in order to redu^e their average size. If more than fourcontractors prequalify, then the number of ICB contracts will be about 14 and the

bulk of the project will be procured using larger contracts.

3.41 Contracts will be let in a slice-and-package arrangement. This is,all contracts for a subproject in a state will be tendered simultaneously andcontractors would bid for one or more contracts (to form a package), up to their

prequalifled limit.

3.42 Civil works for the NITHE building in Delhi, including its furnish-ing, and the rail overpasses or underpasses, estimated to cost the equivalent ofUS$5.0 million or less per contract, up to an aggregate amount equivalent toUS$36.6 million, and the Orissa bridges, estimated to cost US$18.1 million, willbe procured under local competitive bidding (LCB) procedures. The rail overpass-es are traditionally procured through Indian Railways. The Orissa bridges willbe tendered in two packages: one for the Joraa and the Loharkandi bridges, theother for the remaining four.

3.43 Consultants for civil works supervision, training, technical assis-

tance and studLes will be selected following the Bank's guidelines for the use

of consultants.

3.44 Road monitoring equipment (US$1.5 million) will be procured throughICB. A domestic preference of 15X or the corresponding import duty, whicheverIs lems, will be applied in comparing bids for the equipment; however, no localmanufacturers are expected to bid. Furniture for the NITHE training centerbuilding will be procured under LCB (US$0.3 million). Equipment to carry out the

29

consulting contracts will be included in the consultant's contracts as a reim-bursable expense (US$0.8 million). Consulting services, fellowships and training(US$32.8 million) will be procured in accordance with the Bank's guidelines forthe use of consultants. Land (US$4.2 million) will be acquired directly by MOST,and the project administration fees due to PWDs (US$7.3 million) will be paid byforce account, neither is reimbursable.

3.45 Equipment contracts worth more than US$500,000 and all civil workscontracts subject to prequalification will be reviewed in advance by the Bank.These items represent more than 95X of the total value of all procurement andapply to about 25 packages. Procurement arrangements are summarized in Table 3.3(next page).

Table 3.3: Amounts and Method of Procurement(US$ million)

Category ICB LCB Other TotalCivil Works 282.3 54.4 0.0 336.7

(225.6) (43.4) (0.0) (269.0)Equipment, furniture 1.5 0.3 0.0 1.8

(1.4) (0.3) (0.0) (1.7)Consulting services 0.0 0.0 33.6 33.6

(0.0) (0.0) (33.5) (33.5)Fellowship & training 0.0 0.0 1.8 1.8

(0.0) (0.0) (1.8) (1.8)Land Acquisition 0.0 0.0 4.21 4.2

(0.0) (0.0) (0.0) (0.0)Project Administration 0.0 0.0 7.32 7.3

(0.0) (0.0) (0.0) (0.0)Total 283.8 54.7 46.1 385.3

(227.0) (43.7) (34.6) (306.0)Figures in parentheses are the amounts financed by IBRD and IDA./ Direct procurement of the government2/ Force account procurement by the government

3.46 Before the Bank issues its "no-objection" to the award of civil workscontracts, an official certification will be required from MOST to the effectthat all lands necessary to carry out the civil works are effectively in thepossession of MOST/PWDs, and that the removal of all utilities in the way of thcconstruction works has been effectively completed.

Prequalification

3.47 Prequalification of contractors for ICB works was carried out by MOSTin one single call and no contract packaging was indicated at that stage.Contractors were invited to show their strength and have set the limit of theircapability. ADGR chaired the Committee, made up of CEs from MOST and the states,

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which evaluated the submissions following the criteria defined in the prequalifi-cation invitation. The evaluation process was completed in January, 1992 and of90 applicants 31 were prequalified as follows:

for contracts up to: for contracts over:Rs 250 million Rs 400 million Rs 500 million Rs 500 million

Nos. 8 Nos. 2 Nos. 7 Nos. 14

Bid Procedures

3.48 Bidding documents will be sold to the prequalified contractors, pre-bid meetings will be conducted, and the PWD SE will receive the bids. The bidswill be opened in public. The PWD CE will chair the bid evaluation committee.The PWD CE will have power to accept: the lowest evaluated bid, provided that thebid is unconditional, and that the prescribed procedure has been followed.Contracts will be signed by the PWD SE.

Importation of Equipment

3.49 The full selection of road construction equipment needed for theproject is not available in India. Experience shows that domestic and foreigncontractors working on equipment-intensive road projects need to import equipmentand that the administrative procedures to obtain import licenses are long andcumbersome. Securing clearance from the Directorate General of Technical Devel-opment (DGTD) has been the main cause of delays because they request contractorsto demonstrate that Indian-made equipment cannot be substituted for importedequipment.

3.50 The procedure has now been changed. DGTD clearance is no longerrequired if the administrative ministry (MOST in this case) certifies that theequipment is essential. It was agreed that MOST would issue "essentiality"certificates for all equipment to be imported by contractors within two monthsof receiving a fully detailed requests. It was also agreed that this would bestated in the bidding documents. Along the same line, provision has been madein the bidding documents to allow foreigTn contractors duty-free temporary impor-tation of equipment required for execution of the contract.

F. Disbursements

3.51 Disbursements will be made as shown in Table 3.4 (next page) and inAnnex 3.4. The Bank will not disburse against direct taxes, land acquisition orthe agency fee due the states. The project is expected to be completed byDecember 31, 2000 and closed on June 30, 2001. This is in line with the 8.5-yeardisbursement profile for transport projects in India.

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Table 3.4: Allocation and Disbursement of the Loan/Credit(US$ million)

Category Description Amount Percentage

1 Civil Works' 240.0 80X2 Equipment, furniture 2.2 100l Foreign

1001 Local ex-factory751 Other local

3 Consulting Services, 32.2 lOCXFellowship and Training

4 Unallocated 30.6TOTAL 306.0

1/ Excluding supervision consultants, which are in category 3.

3.52 Full documentation will be required for disbursements against allexpenditures on civil works and consulting services. Full documentation willalso be required for expenditures on equipment and fellowships and for trainingunder contracts valued more than US$200,000. For all other expenditures,IBRD/IDA will disburse against statements of expenditure (SOE). SOEs will beprepared as follows:

i. each participating PWD will summarize monthly project expenses underheadings compatible with the project cost tables and prepare a SOEwithin five working days of the end of each month; and

ii. the PIC will certify the SOEs and forward them, within ten days ofthe end of each month, to GOI for processing a reimbursement claimfrom the Special Account.

3.53 In order to facilitate timely payment of project expenditures, aSpecial Account will be established in the Reserve Bank of India. The accountwill be established in US$ currency with an authorized allocation of US$11million. This is the estimated Bank's share of four months expenditures.Replenishment of the Special Account will be made quarterly, or when the accountis drawn down to about 50% of its initial deposit, whichever occurs first.

G. ReDorting and Auditing

3.54 MOST will prepare quarterly progress reports in a format acceptableto the Bank. These reports will indicate progress made, problems exacountered,remedial steps required and proposed future activities. The last of thesereports will be the Project Completion Report. It will be issued no later thansix months after physical completion of the works. It will include, in particu-lar, a detailed account of final project costs and disbursements, general charac-teristics of project execution and benefits, the degree to which project objec-tives were achieved, and a government and a Bank performance of their respectiveobligations. The format and content of the progress reports was agreed atnegotiations.

3.55 Separate records and accounts will be maintained for all projectexpenditures. These records will identify all project transactions on an on-going basis and show separately the corresponding IBRD/IBRD financing. All

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supporting documentation will be retained for audit and review by the Bank.Annual project accounts will be prepared by MOST,'PWDs in a format approved theBank. These accounts will summarize:

i. actual versus planned enpenditures for each year;ii. actual versus planrad expenditures to date;iii. project expenditures financed by IBRD; andiv. project expenditures financed by GOI.

3.56 In addition, project accounts will list separately expendituresreimbursed under SOEs and expenditures reimbursed through withdrawal applicationssubmitted directly to the Bank.

3.57 Supporting documents for SOEs will be available for supervisionmissions and auditors. These documents will be retained by MOST/state PWD forone year after Bank receipt of the audit report for the fiscal year in which thelast withdrawal from the Loan account was made.

3.58 An independent auditor, acceptable to the Bank, will audit theproject accounts each year. The audit will employ principles acceptable to theBank and will cover the Special Account, the financial statements and the SOEs.It has been established that the Comptroller and Auditor General of India, whoreports to Parliament through the Public Account Committee, is irependent andacceptable to the Bank. The audit reports on project accounts will be puttogether by the PIC and wlll be submitted to the Bank no later than nine monthsafter the end of the corresponding fiscal year. The PIC will be the point ofcontact for the Bank an all issues pertaining to project accounts and audits.

H. Environmental Impact

3.59 Wlth the exception of the Indore bypass, the civil works are withinthe existing right-of -way. However, limited land acquisition was necessary andsome people had to be resettled because of the construction. A resettlementspecialist reviewed the land acquisition and the resettlement procedures used ineach state. The review revealed that the acquisitions had been done long ago,that most plots acquired were small, and that about 650 households had beenaffected. This did not include people trespassing on the right-of-way, who havebeen, or will be evicted on short notice without compensation. Since the acqui-sitions had trken place long ago, at a time when the PWDs were not informed ofthe Bank's po. cy on involuntary resettlement, it was agreed with the GO not topursue the fate of the 650 households.

3.60 However, the government was requested to identify more specificallythe lands acquired, or to be acquired after January 1, 1991, and to individual-ized people (on those lands) who had, or would have thair livelihoods signifi-cantly affected by their loss of property and assets. Following establishedstate policies and procedures, specific actions to rescore those people's liveli-hood to their pre-project standard of living were requested. The governments ofall six states have taken such necessary actions which are considered satisfacto-ry to the Bank.

3.61 The Orissa bridges will be built at the same sites, or right next tothe old ones. No additional land is necessary and no one will be dislodged bytheir -onstruction.

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3.62 The project has a clearly beneficial environmental impact: by reduc-ing congestion and improving accessibility it contributes to cutting vehicleemissions, and improve the quality of life. Due to the use of a better cross-section, flatter side slopes and of wider paved shoulders, the project may havesome additional environmental benefits: improved vehicular and pedestrian safety,reduced soil damage and less soil erosion. A potentially adverse impact is theunstructured development that usually occurs along road improvements in India.The Bank has requested governments to take concerted actions to prevent thesedevelopments, especially along the now Indore by-pass.

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4. ECONOMIC EVALUATION

A. Ansessment of the Roads Modernization Component (Part A of the Project)

4.1 The economic returns of modernizing the six road links in the projectwere estimated by comparing the total costs to the economy of the no-improvement(base) case with those of the improvement alternative. Both options were mod-elled with the assistance of the HDM. The pattern of evolution of costs in thebase case is well mapped. It involves a continuation of current maintenancepractices (at increasing costs because of increasing traffic volumes), increasedcongestion and, therefore, decreased vehicle speeds. Expansion of the roads'capacity is inevitable, because none of the links in the project would be ableto handle the expected increases in traffic in their current condition. If thelinks were left without improvement, congestion would increase and traffic wouldgradually stop growing. This situation cannot be simulated well in HDM, butmanipulation of the variables produced a minimum estimate of the high congestionsituation. Avoiding the enormous cost of preventing the growth of traffic wouldonly increese the benefits and therefore the rate of return of the improvementalternatives.

4.2 The evolution of the improvement alternative, widening to four lanes,including the construction costs and a more intensive maintenance strategy, ismodelled in turn. The difference in total costs, year-by-year, between the basecase and the improvement alternative yields a stream of net benefits whichreflects principally the avoidance of congestion, the internal rate of return wasestimated for this stream of benefits.

4.3 For analytical purposes each link in the proposed project was brokendown into relatively homogenous sections, according to their physical charac-teristics such as roughness. The parameters used to define the sections includeterrain, climate, geometry, subgrade and surface type and road condition. Theparameters used are in the HDM-III Input Data Tables placed in the Project File.Average traffic volumes by type of vehicle for each link are shown in Annex 4.1,Economic Evaluation. The rates of traffic growth were estimated based on thelikely growth of the area of influence of each link for local traffic, and onnational parameters for through traffic. Passenger vehicle volumes were pro-jected from the average estimated rates of growth in income and population(weighted equally). Freight traffic was projected using the average estimatedrates of growth of agricultural, industrial, and mining production (all weigk.tedequally). Traffic growth rates were calculated in five-year intervals withdecreasing traffic elasticities. The elasticities were estimated by the IndianPlanning Commission in Perspective Planning for Transport Development,. Trafficgrowth rates for each vehicle type on each link are presented in the HDM-IIIInput Tables placed in the Project File.

I/ The elasticities estimated by the Plannir,g Commission are trafficelasticities with respect to GNP and urban and rural population growth (thesewere used to estimate passenger vehicle growth rates), and elasticities withrespect to national industrial production (used to estimate the growth of trucktraffic).

35 -

Beefits

4.4 The proposed project will modernize and expand to four-lanes heavilycongested two-lane sections of the national highway network. The project's mainbenefits will be savings in vehicle operating costs, reduced congestion, and in-creased speeds. The competitiveness of the road transport industry in India isexpected to ensure that project benefits, which will accrue directly to users butprincipally to transport operators, are eventually passed on to consumers. Lowertransport costs should manifest themselves in lower distribution costs andeventually in lower, and/or more competitive tradable goods market prices.

4.5 The proposed project should yield considerable institutional bene-fits, especially to the Government. The project will promote the use of better,more modern, equipment-intensive road construction techniques. It also willemploy consultants to supervise the civil works within a new contract managementframework. The technical and managerial innovations incorporated in the projectshould improve the efficiency of road works, and their quality and durability.Also, under the project, management of the MOST investment program will be im-proved. All these actions are expected to generate lifetime cost savings ratherthan one-off benefits.

Costs

4.6 Construction costs were estimated for each link. The costs varyconsiderably from one to the next depending on terrain, physical characteristics,and the condition of the existing road. Financial construction cost estimatesinclude all taxes, land acquisition to supplement the right-of-way, resettlementcosts, costs of supervision, and physical and price contingencies. Unit mainte-nance costs were estimated for three activities: routine maintenance, potholepatching, and surface resealing. These costs were assumed to be the same regard-less of what part of the country the link is located in. Vehicle fleet charac-teristics, vehicle maintenance-labor, crew costs, and passenger and cargo in-transit costs have also been assumed to be the same nationwide. The input dataprintout in the Project File shows the values used for these parameters.

4.7 Financial costs were converted to border prices by netting out alltaxes and transfers, and by using the 0.8 standard conversion factor for India.Economic costs do not include price contingencies as they are given in constant1989 Indian rupees. The roadworks were estimated to have a useful life of 15years after completion. The period of analysis is 1991 to 2010, assuming con-struction commences in 1991.

Economic Rates of Return

4.8 The economic rates of return for each of the road sections are inAnnex 4.1, and they are summarized in Table 4.1. The overall rate of return forPart A of the project exceeds 40%. This is well above the 12% reference rateused by the Planning Commission in its economic analysis of projects. All roadsections in Part A have rates of return over 35%. Part A of the project is,therefore, amply justified and of high priority.

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Table 4.1: Economic Evaluation of Part A

Road Section EconomicState From To Costs ERR

Haryana Karnal Ambala 688.5 41.5Madhya Pradesh Indore Bypass 326.8 53.7

Indore Dewas 161.7 37.7Maharashtra Manor Bassein Creekl 579.1 43.3Orissa Bhubaneshwar Jagatpur2 738.3 37.6Punjab Ambala Sirhind 429.5 62.2West Bengal Barakar Bridge Ranigunj3 462.7 49.3Project 3,386.6 45.2

1/ Including the Bassein Creek bridge2/ Including the Mahanadi bridgel Excludes the Barakar bridge, which is in Bihar state.

4.9 The best estimate of the rates of return as shown above was testedagainst possible increases in construction costs. Cost increases are the highestrisk-event of the project (see below, Project Risks); however, even a 1001increase in costs would still produce acceptable rates of return as shown below.

Table 4.2: ERR Sensltivity to Cost Increases

Best Increase in Costs ofEstimate

Road Section ERR 10 50X 100l

Karnal to Ambala 41.5 39.3 33.0 27.7Indore By-pass 53.7 50.2 40.6 33.4Indore to Dewas 37.7 35.7 29.5 24.3Manor to Bassein Creek 43.3 42.0 37.7 33.7Bhubaneshwar to Jagatpur 37.6 35.4 29.2 24.1Ambala to Sirhind 62.2 59.3 50.7 43.5Barakar Bridge to Ranigunj 49.3 46.9 39.6 33.5

B. Assessment of the Orissa Bridges Component (Part B of the Project)

4.10 The project includes the reconstruction of six bridges in Orissa.Three were damaged and three were washed away by cyclonic floods in November1990. Where the bridges were was ed away traffic is being forced to use longdetours and where the bridges are still passable load restrictions have beenimposed.

Benefits

4.11 The main benefit of reconstructing the washed away bridges is thepaving in vehicle operating cost of avoiding the long detours. For the damagedbridges the main benefits are avoided repair cost, and the increasing maintenance

- 37 -

cost of keeping the bridges in use; two of them (over the Godahada and Loharkandirivers on SH-7) were built in the 1860s, the other (over the Mahanadi river onMDR-68) in 1928. Should the bridges collapse there would be considerable disrup-tion to the region, and long detours would be necessary to bypass the area.

Costs

4.12 The designs of all the bridges were standardized on 42.2 meter spansand well foundations are to be used in an effort to reduce construction costs byadapting construction methods to techniques well known in India. Constructioncost estimates include the cost of the substructure, the superstructure andapproaches where necessary, some minimal land expropriation costs for the bridgeover the Loharkandi at Bhanjanagar, the cost of surveys, soil investigations, andworks supervision. Financial costs include in addition all taxes and physicaland price contingencies.

4.13 Maintenance costs for the bridges were estimated and assumed to bethe same regardless of where the bridge is located. Vehicle fleet characteris-tics, vehicle maintenance-labor, crew costs, and passenger and cargo in-transitcosts have also been assumed to be the same throughout the state of Orissa.

4.14 Financial costs were converted to border prices by netting out alltaxes and transfers, and by using the 0.8 standard conversion factor for India.Economic costs do not include price contingencies as they are given in constant1991 Indian rupees.

Economic Rates of Return

4.15 The Works Department of the Government of Orissa estimated theeconomic rates of return for the bridges, they are summarized in Table 4.2 andthe detailed calculations are in various volumes in the project file. The me-thodology followed by the PWD is IRC's prescribed manner of preparing economicanalysis of projects in India, which has been accepted by the Bank in the past.All bridges have rates of return higher than 47X. The overall average rate ofreturn for Part B of the project exceeds 80X. This is well above the 12X refe-rence rate used by the Planning Commission in its economic analysis of projects.Part B of the project is, therefore, well justified and of high priority.

Table 4.3: Economic Evaluation of Part B

Orissa BridgesEconomic

on Road No. over river near length Costs ERR(_) (Rs mln) X

SH-17 Ghodahada Naulabhanja 126.6 33.1 99.0MDR-62 Jorau Sorada 168.8 38.6 47.0SH-7 Rushikulia Aska 253.2 61.2 62.0SH-7 Chodahada Hinjili 126.6 34.9 105.0MDR-68 Mahanadi Aska 317.6 62.6 116.0SH-7 Loharkhandi Bhanjanagar 84.4 35.8 65.0

38 -

C. Project Risks

4.16 Procurement and implementation delays could increase project costsand prevent project benefits from evolving as expected. Construction delayscould result from inadequate project management and supervision, insufficientnumber of, and inferior contractor capabilities, or both. To minimize theserisks, the size of the project was reduced from the original request for eleven,to six subprojects. It was reasoned that a smaller project would be more manage-able and would allow for a smoother introduction of the technical innovationsincorporated in it. Contract packaging, the rather detailed implementationschedule, and the contract manageme framework introduced in the project are alldesigned to reduce implementation problems and thus, the risk of delays.

4.17 Implementation risks on the reconstruction of the bridges in Orissaare expected to be minimized by the use of standardized designs and by slicingthe works into only two packages.

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5. AGREEMENTS AND RECOMMENDATION

.1 Agreements were reached on the following Government commitments:

(i) to formulate, by December 31, 1992, in consultation with the Bank,an Action Plan regarding the implementation of the recommendationsarising from the Vehlcle Fleet Iodernization/Road User ChargesStudy, and to implement said Action Plan thereafter (para 2.43);

(ii) to establish an agreed Contract Management Framework, which shallinclude, inter alia, use of qualified consultants with internationalexperience for supervision of construction of all civil works pro-cured in accordance with ICB procedures (para 3.33 to 3.37);

(iii) to keep separate records and accounts for the project (para 3.55);

(iv) to have the project accounts, the Special Accounts and Statement ofExpenditures for each fiscal year audited according to standardsacceptable to the Bank, and to have such audit reports submitted tothe Bank within nine months from the end of each such year (para3.58);

(v) to ensure that in respect of import of equipment by contractors forcivil works under the Project, no further indigenous clearance willbe required after the essentiality certificate is issued by MOST(para 3.50); and

(vi) to ensure that the Project States shall implement an agreed reset-tlement plan in a timely manner, for the purpose of resettlement offamilies displaced from the land acquired for the purpose of Part Aand Part B of the Project. (para 3.60).

,2 Understandings were reached on:

(i) the use of the internationally accepted cross-section for dividedhighways in non-urban areas in two four-laning projects sanctionedin the 1991-92 MOST budget, in addition to one of the subprojectsunder this project (paras. 3.11 and 3.12);

(ii) the content of the training program (paras. 3.16 and 3.19);

(iii) the role of the TA team and short-term experts in implementing thetraining program (paras 3.21 and 3.22); in developing improved stan-dards and manuals (para 3.23); in ensuring technical consistency ofthe civil works (para 3.25); and carrying out the pre-investmentreviews (para 3.26);

(iv) the preparation by consultants of pre-investment studies, of de-tailed engineering and bidding documents for highway works to beincluded in a follow-up project (para 3.27);

S

40

(v) the issuance by MOST of suentlelalty certlflcates necessary forimport of equipment for road works withln two months of the detailedrequest, and mention of this commitment in the bidding documents(para 3.50); and

(vi) the format and content of the quarterly progress reports (para3.54).

5.3 Recome ndatio On the basis of the above agreements, the proposedproject constitutes a suitable basis for a Bank loan of US$153 million equivalentto India for 20 years, including five years grace, at the Bank's standard varl-able interest rate and an IDA credit of SDR 116.2 million (US$153 million equiva-lent) to India on standard IDA terms with 35 years maturity.

- 41 -

Annex 1.1

INDIA

SECOND NATIONAL HIGHWAY PROJECT

EXPENDITURES UNDER THE SEVENTH PLAN, 1985-90

Planned Actual Expenditures(Rs billion)

1985-90 1985- 1986- 1987- 1988- 1989- Total86 87 88 89 90

Railways 123.35 19.42 26.97 34.19 38.50 44.50 163.58

Roads 51.94 9.46 10.96 11.61 13.59 16.16 61.78of which:National 8.91 2.04 2.66 2.96 3.75 4.10 15.51HighwaysOther Cen- 1.14 0.34 0.33 0.30 0.36 0.42 1.75tralSchemesMinimum 17.29 2.53 2.90 3.0 3.18 3.55 15.16Needs ?ro-gramState 24.60 4.50 5.07 5.36 6.32 8.09 29.34Roads

Road Tran- 19.90 3.85 4.54 4.65 4.52 4.21 21.77sportPorts 12.31 2.03 2.48 2.82 5.19 4.85 17.37Shipping 8.27 2.11 1.58 1.25 2.98 3.52 11.44Civil Avi- 7.58 2.91 4.10 4.47 4.50 4.80 20.78*tionInland 2.26 0.27 0.29 0.35 0.57 0.88 2.36WaterOthers 0.30 0.06 0.07 0.06 0.16 0.22 0.57

Total 226.06 40.11 50.99 59.40 70.01 79.14 299.65

Source: Planning Commission

- 42

Annex 2.1

INDIA

SECOND NATIONAL HIGHWAY PROJECT

CAPITAL AND MAINTENANCE EXPENDITURES ON ROADS

Expenditures Maintenance(Rs 1970 million) as a X of

Year Capital Maintenance Total Total

1970-71 218.1 152.5 370.6 41.31972-73 682.5 144.4 826.6 17.51974-75 343.9 112.7 456.6 24.71976-77 381.2 132.4 513.6 25.81978-79 433.8 150.2 584.0 25.71980-81 336.6 143.2 479.8 29.81981-82 388.7 159.6 548.3 29.11982-83 433.8 189.4 623.2 30.41983-84 405.9 204.0 609.9 33.41984-85 441.7 239.6 681.3 35.21985-86 577.4 291.0 868.4 33.51986-87 714.7 306.5 1,021.2 30.01987-88 801.3 295.0 1,096.3 26.91988-89 881.2 375.2 1,256.4 29.91989-90 886.5 340.0 1,226.5 27.7Source:Ministry of Surface Transport

- 43 -

Annex 2.2INDIA

SECOND NATIONAL HIGHWAY PROJECT

REGISTERED MOTOR VEHICLES

(Thousands as of March 31)

Year All Two Cars, Buses Trucks OthersVehicles Wheelers Jeeps &

Taxis

1951 306 27 159 34 82 4

1956 426 41 203 47 119 16

1961 665 88 310 57 168 42

1966 1,099 226 456 73 259 85

1971 1,865 579 682 94 343 170

1976 2,700 1,057 779 115 351 398

1981 5,173 2,528 1,117 154 527 847

1986 10,481 6,264 1,710 228 878 1,401

1987 14,434 9,083 2,079 269 1,054 1,999

1988 12,347 7,658 1,895 247 967 1,580

1989 16,488 10,685 2,289 293 1,140 2,086Source: Ministry of Surface Transport

44 -

Annex 2.3INDIA

SECOND NATIONAL HIGHWAY PROJECi

PRODUCTION OF MOTOR VEHICLES

(Number of vehicles)

Tyo Je" Case Co_reoieal Tho Wheeelr Motor Sub- Three griTehbole. Cycle Total Wheel- Treactors

scooter Moped ers

1970 933* $3205 40972 58392 11667 42960 113047 4229 11937

1971 11053 38304 41854 *7201 14113 39770 121064 6146 17111

1972 12569 2526 38703 64831 24671 47561 137063 9790 19946

1972 13971 39937 44909 76062 23312 48862 150256 11336 23557

1974 10015 36008 41874 85682 29575 54085 169342 12646 28746

1973 6171 23075 43034 101763 36195 69739 207697 12233 32376

1976 6847 31610 46761 151309 38094 73158 262561 18866 36450

1977 9594 25109 41702 160295 39084 67019 266398 18317 34627

1976 11010 34366 53470 168033 45113 86704 299850 19151 53399

1979 12290 29235 59696 152951 66919 87013 306883 16947 60190

1960 1505 30536 68311 209943 106073 101586 417602 26519 67105

1961 17029 42106 89752 202684 185424 110195 4991C3 24833 82516

19U 19660 42674 90246 250727 212562 129999 593288 30585 67579

1993 21660 *5090 87365 273850 329079 156254 759183 37656 71543

1964 22246 64013 94660 297303 376994 175283 849580 41836 78867

1965 26676 102456 99703 422307 455298 248001 1125606 49267 78258

19" 27783 115285 93551 588063 449792 314716 1352571 53078 74711Source: M nistry of Surface Transport

Second Notiomal Highway Proj ROAD MODERNIZATION WORKS - Coot A Trffic Annex 3.1ORISSA MADHYA PRADES MARASHTRANH NHS NHS NHS NHS NH3 NH3 NM NH8 NU NHR NH&Eb_mt RodWo Brdges R.O.B Total Road Work Bypas Toal Rood Weda Brdge RLU B Told

Fmo N.m B'eawW NA B'neswar Doww klaor N Dewa Mae. NA NA MuseTo Nam, Jaep NA Jagapr [ador lade. S Idor6 S BDa. Cdk NA NA Da.CskFrom km 0.000 0.000 S73.000 590.600 573.000 439.000 489.630 439.000To km 27.800 27.800 590.600 12.600 12.600 497.000 489.680 497.000Type of Wode 4-lalg Bridges R.O.B Total 4-lang Bypa ToWl 4-lmg Bridge ILU.B ToalRoad L_t km 27.800 0 0 27.800 19.000 31.400 50.0 58.000 0 0 53.000Bridge Loath 3968 1S 3983 1190 14 12014Coot i. hae (C) Rs Pa 459.406 390.362 1.200 350.965 182.699 369.860 552.559 495.383 173.00 25.000 693.353Dafe of Cost Jun49 J1m-9 Jun-89 Jun-99 Ju-9 Jua-9 Jn-9 Jung- he9 Ju-39 Jun-39Co~t&m Rs .1. 16.525 NA NA 30.610 9.616 11.779 10.963 8.541 NA NA 11.955Cot2 paved Rs 930 NA NA 1.723 526 686 623 533 NA NA 747Cost/=3 ddW Rs 1,653 NA NA 3,062 961 1.561 I.24 789 NA NA 1.104Cod/im2 Stnedo Rs NA 8,543 .,451 18,351 NA NA 50.543 NA 13.86 285906 47,781F.Ex. n # of C X 33.00% 33.00% 33.00% 33.001 33.00% 33.00% 33.00D 33.u0% 33.00S 33.00% 33.OOSTmxm m X of C % 15.00% 15.00% 15.00% 15.00 15.00% 15.00% 15.00S 15.00% IS.0S I5.00% 15.00I_dA_ ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~tacost Rs sk 38.160 0 0 38.160 12.500 24.500 37.000 0.302 0 0 0.3CRAs S Of C S *.3% 0.0% 0.0% 4.5 6.5S 6.6% 6.7 0o2% 0.0s 0.0% 0.1Dot Dat Jy-90 NA NA may-9 Marc-90 OCI-" NA NA

Cost Rs al 36.752 31.229 0.000 67.951 14.616 29.589 44.205 39.631 13.840 2.000 S5.471As S of C X 5.0% 8.0% 0.0% 8.0 8.0% 8.0% 5.09 3.0% 3.0S 5.0% 8.011Poject Mm.(PA) ICoat Rs min 16.079 13.663 0.150 29.754 6.394 12.945 19.340 17.338 6.055 3.125 26.518A S %oC S 3.5% 3.5% 12.5% 3.59 3.5% 3.5% 3.5% 3S% 3.S% 12.S% 3}

Total -oot Rs a 550.398 435.254 1.350 986.893 216.209 436.8Q4 653.103 553.154 I92.395 30.125 776.174(ad. LA. Sup._ PA)(Emd.R. $1-Rs.16.1 USS Sa } 34.144 S27.001 S0.084 S61.222 S13.412 S27.103 $40.51S S34.315 811.966 S1.369 S43.1SOTrfam Appraimd CoAmplcti0s Appraisal CompWtio- Apprail Co _IdiDate 1915 2030 1955 2010 1989 20102 Whodes per day vehiles 7,219 59,906 1.667 24,111 740 4.7S9Cars per day vchlks 2,335 13,194 1,988 21,599 4,771 26,069Buses per day vehicls 1,212 5,019 1.735 12.339 282 1,136Trucks per day vehices 2,943 14,706 2,800 16,340 ,.720 43,977

Page 1 of 4

Secad Noiml Hqway Projoct ROAD MODERNI7ATION VWORKS - Ce Dd Annex 3.1Slam ORISSA MADHYA PRADESH MAHARASHTRAEaemmt Road Woads Bridgi R.O.B Tota POd Works BypuM Tota Road We&* Bridge RLU3 B ToWaINSTALLATWCost Re Im 0.650 0 0 0.650 0.430 0 0.430 1.3t3 0 * 0 1.383EUURTH (E)Vol. oof e 3 1,282,315 0 0 1,282,315 723,457 1,746,0S1 2,469,538 1.743,031 0 0 1.743,031Cost of E Rs nla 96.696 0 0 96.696 30.S05 9S.510 129.315 111.000 0 0 111.000Vdme of Elk. .3 46.126 NA NA 46,126 36,077 55,606 48.999 30,052 NA NA 30.052Cost of MlE Rs 3.478.273 NA NA 3,478,273 1.621,316 3,137.261 2.565.774 1,913,793 NA NA 1,913.793Cost of E/d Rs 75.4 NA NA 75.A 42.6 56.4 52.4 63.7 NA NA 63.7Totad Paved Surfis m2 493,75S 0 0 493,755 347,593 539,480 887.073 928.817 0 0 928,817Of WVAc: PavmaAt m2 355.500 0 0 355,.00 271,433 446.720 713,153 765,993 0 0 765,993

Shoulud. .2 46,880 0 0 46.850 56,360 92.760 149.120 162.34 0 0 162.,24Service Rd m2 91,375 0 0 91,375 19.S00 0 19.w0 0 0 0 0

SurfaceAm m2 17,761 NA NA 17.761 138294 17.181 17.601 16.014 NA NA 16,014PAVEMENT (_)Totdl VOlue_ 3 277,915 0 0 .,1 *1s1 190,130 236,971 427,101 628,136 0 0 623,136Of Which: Subbae .3 67.375 0 0 67.375 82,933 27,704 110.642 211.424 0 0 211.424

Bae d3 125,355 a 0 125.355 63,511 0 63.511 294.274 0 0 294,274CC .3 0 0 0 0 0 207,412 207,412 0 0 0 0 aDBM m3 67.310 0 0 67,310 31,203 0 31,203 91,S13 0 0 91.313AC d3 17,875 0 0 17,875 11,352 0 11,352 30.625 0 0 30,625 oMix meal m3 2.99S 0 0 2,995 1,126 1.855 2,981 3,256 0 0 3.256

Cost of Pavmmt Rs .1. 170.930 0 0 170.930 67.914 182.440 250.354 277.000 0 0 m.000Veham Of rrm m3 9,997 NA NA 9,997 10.007 7.547 8.474 10,830 NA NA 10.330Codt of PAm Rs hd* 6.149 NA NA 6.149 3.574 5.810 4.967 4.776 NA NA 4.776Cot of Plm3 Rs 615 NA NA 615 357 770 566 441 NA NA 441DRAINAGE & CULVERTScost Rs mln 56.314 0 0 56.314 3.458 16.390 19.348 29.000 , 0 0 29.000STRUCTURES (S)Minor Bridges Numb; 4 0 1 5 2 7 9 10 0 1 11Major Bridges Number 05 0 5 1 0 1 0 5 0 5Total Legth m 90 3,968 15 4,073 265 117 382 160 1,190 14 1.364

Minor Bridge m 90 0 15 105 45 117 162 160 0 14 174MajorBridge m 0 3.968 0 3.968 220 0 220 0 1.190 0 1,190

Totdl Surface m2 855 44.145 142 45,142 4,640 2,220 6.860 1.920 12,495 97 14,512Minor Bridges m2 855 0 142 997 680 2,220 2.900 1,920 0 97 2,017Major Bridges m2 0 44,145 0 44,145 3,960 0 3.960 0 12.495 0 12,495

Cost of Strctuc Rs mln 30.070 390.362 1.200 421.632 44.200 21.300 65.500 16.000 173.000 25.000 214.000LAWh of S/km m 3.2 NA NA 146.5 13.9 3.7 7.6 2.1 NA NA 23.5Coot of S /km R mln 1.082 NA NA 15.167 2.326 0.673 1.300 0.276 NA NA 3.690Coat of Sl/m of S Rs 334.111 98,378 80,000 103,519 166.792 182,051 171,46 100.000 145,337 1,760,563 156,37Coot of S 1m2 of S Rs 35.170 8.343 8,451 9,340 9.526 9.595 9.548 83333 13.346 258,906 14,747MARKINGS, SIGNS lcMISC.COot Rs .1. 104.746 0 0 104.746 35.892 51.220 87.112 61.000 0 0 61.000

Page 2 of 4

ROAD MODERNIZATION WORKS - Cos & Taffic Annex 3.1HARYANA PUNJAB WEST BENGAL GRAND mi MalNHI NHI NHI NHI NHI NHI NH2 NH2 NH2 TOTAL (Stat) (SW.)Rood Works R.O.d Toal Road Works R.O.B Total Road Works R.O.B Total

Karnal NA Ka.ml Ambala Ambala Barakar BarkarAmbel NA Amba Sirhind Sirbind RInigunj Ram%wj132.675 132.675 212.230 212.200 438.600 438.600212.200 212.200 252.250 252.250 474.000 474.000

4-laning R.O.B TOWc: 4-lning R.O.B TOt 4-laning R.O.B Total AB79.525 0 79.525 40.050 0 40.050 35.400 0 35.400 291.175 27.8CO 79.5255S 51 23 23 171 171 5432.390 0 3983796.090 29.150 825.240 501.000 12.120 513.120 527.035 27.160 554.195 3989.465 S13.110 850.968Jun-39 Ju-8k9 Jun-8 Jun-89 Jun-89 Jun-89 Mar-90 Mar-90 Mr-90 J - .9 Mar-90

10.011 NA 10.377 12.909 NA 12.812 14.888 NA 15.655 13.701 10.377 30.610513 NA 537 688 NA 705 711 NA 747 750 537 1,7231,079 NA 1,119 1,161 NA 1,189 1,234 NA 1,297 1,359 1,104 3,062NA 62,420 35,589 NA 64,468 32,134 NA 14,352 109.978 36,036 16851 109,97833.00% 33.00% 33.00 33.00% 33.00% 33.00 33.00% 33.00% 33.00% 33.00% 33.00 33.00 a15.00% 15.00% 15.00 15.00% 15.00% 15.00 1z.00;% 15.00% 35.00 15.00% 15.00 15.00 p

0 0 0 2.000 0 2.000 0.392 0 0.392 78.354 0.000 38.1600.0% 0.0% 0.0 0.4% 0.0% 1.4 0.1% 0.0% 0.1% 2.0% 0.0 6.7NA NA NA Dec-90 NA Sp-90 NA

63.687 2.332 66.019 40.080 0.970 41.050 42.163 2.173 44.336 319.061 41.050 67.9818.0% 8.0% 3.0 8.0% 3.0% 8.0 8.0% 8.0% 8.0 3.0% 8.0 8.0

27.863 3.644 31.507 17.535 1.515 19.050 18.446 3.395 21.841 148.040 19.050 31.5073.5% 12.5% 3.39 3.5% 12.5% 3.7? 3.5% 12.5% 3.9% 3.79 3.5 3.99887.640 35.126 922.766 560.615 14.605 575.220 588.036 32.728 620.764 4534.920 575.220 986.893t55.065 t2.179 $57.244 $34.778 $0.906 t35.684 t36.479 S2.030 S38.09 S281.323 $35.684 t61.222

Appraisl Coydplcti Appraisa Compldion Appaisa Completion1990 2010 1988 2010 1988 2010

2,112 10,372 1,107 9,678 3,187 22,7153,806 22,326 2,301 17,633 1,941 12,1401,214 5,205 590 3,125 1,093 4,9154,245 14-S94 3,525 22,840 4.070 13,255

Page 3 of 4

ROAD MODERNIZATION WORKS - Cot Dtags Annex 3.1HARYANA PUNJAB WMSN BENGAL minMaRood WY.h R.O.B Total Road Works R.O.B Toal Road Works R.O.B TOl

16.200 0 16.200 17.8I0 0 17.800 6.239 0 6.239 42.702 * 0.430 17.800

2.261,410 0 2.261,410 960.920 0 960,920 1,870,782 0 1,8708782 10_587W996 960,920 2,469,5335850 0 5S.540 38.750 0 38.750 129.391 0 129.391 563.692 38.7S0 129.3912J,436 NA 2J,436 23.993 NA 23,993 52,847 NA 52,t47 36.363 23,993 52.847736,121 NA 736,121 967,541 NA 967,541 3,655,113 NA 3,655,113 1.935,922 736,121 3,655,11325.9 NA 25.9 40.3 NA 40.3 69.2 NA 69.2 53.2 25.87 75.4071.537.756 0 1,537,756 728,039 0 728,039 741,430 0 741,430 5.316.,7 493,755 1,537,7561,1t4,050 0 1.184,050 s89,5s0 0 589,S00 589,565 0 589,565 4.202,761 355,500 1.184.050244,708 0 244,708 120,000 0 120.000 136.580 0 136,.50 860.112 46,U0 244.708106,998 0 106,998 18.539 0 18,539 15,28S 0 15,285 253.997 0 103,99819.337 NA 19,337 18,178 NA 18.178 20,944 NA 20.944 13,260 16,014 20.944

737,549 0 737,549 431,560 0 431.560 427,150 0 427,150 2,935.662 277,915 7,549323.980 0 323,980 205,000 0 205,000 215.450 0 215,450 1,133.871 67,375 323,960221,923 0 221,923 145,100 0 145,100 130.600 0 130,6W0 980,763 63,511 294.2740 0 0 0 0 0 0 0 0 207,412 0 207,412144,284 0 144.2U4 58.600 0 58,600 58.600 0 S.600 4SI,10 31.203 144.28447,362 0 47,362 22.500 0 22,500 22,500 0 22,500 152,214 11,352 47.3620 0 0 360 0 360 0 0 0 9,592 0 3,256326.640 0 326.640 184.520 0 184.520 283.310 0 283.310 1,493 171 3279,274 NA 9.274 10,776 NA 10,776 12,066 NA 12,066 10.082 8,474 12.0664.107 NA 4.107 4.607 NA 4.607 8.003 NA J.003 5.127 4 J443 NA 443 428 NA 428 663 NA 663 Soo 42 663

15.900 0 15.900 21.140 0 21.140 22.039 0 22.039 114.241 15.900 56.314

49 3 52 21 1 22 10 0 10 109 5 526 0 6 7 0 7 1 2 3 27 1 72,329 S 2.380 1,101 23 1,124 251 171 422 9,745 382 4,0731,376 51 1,427 341 23 364 ISS 0 1SS 2.38 205 1,427953 0 953 760 0 760 95 171 267 7,35 220 3.96822.721 467 23,188 15,780 188 15.9c8 3,147 1,892 5.039 110,709 5,039 45,14212,667 467 13.134 6,076 I1 6.264 1,864 0 1,864 27,175 997 13.13410,054 0 10,054 9,705 0 9,705 1,2S2 1,892 3,175 83,533 3,17S 44,145270.750 29.150 299.900 190.310 12.120 202.430 33.400 27.160 60.560 1,264 61 42229.3 NA 29.9 27.5 NA 28.1 7.1 NA 11.9 33 8 1473.405 NA 3.771 4.752 NA 5.054 0.944 NA 1.711 4 1 IS116,252 571,569 126.008 172,852 526,957 180,098 133,223 158,589 143,518 129,709 103,519 180,09111,916 62,420 12.933 12,060 64,468 12,677 10,614 14,352 12,018 11,418 9,340 14,747

106.060 0 108.060 48.480 0 48.480 52.656 0 52.656 462.054 48.480 108.060

Page 4 of 4

- 49 -

Annex 3.2

INDIA

SECOND NATIONAL HIGHWAY PROJECT

EQUIPMENT PROCUREMENT

Description of Equipment No. of CostsUnits (US$)

High Speed Road Monitor/Analyzer 1 440,000

Automatic Vehicle Counting and 10 80,000Classification Equipment

Weigh-in-Motion Equipment 2 100,000

Mobile Bridge Inspection Unit 3 630,000

Microprocessor-based TRRL 2 150,000Bump Integrator

Total 1,400,000

- 50 -

Annex 3.3

INDIA

SECOND NATIONAL HIGHWAY PROJECT

TERMS OF REFERENCE FOR THE TA TO MOST

3.3.1 A Technical Assistance (TA) team of highly qualified and experiencedexperts will assist MOST in the following key essential technical actions:

(a) develop a detailed training program and assist in its imple-mentation and monitoring;

(b) develop improved technical guidelines and manuals;

(c) ensure technical consistency between the subprojects; and

(d) identify road sections for a follnw-up project, then monitorand coordinate the preparation of corresponding pre-investmentStudies.

3.3.2 The TA totals 226 staff-month (including 67 staff-month of expatri-ate). This limited work on these issues will go a long way in improving theweakest points of current Indian road building technology.

Training

3.3.3 The first task of the TA team will be to assist MOST in assessing thetraining needs of MOST and PWD engineers and supervisors (including mechanics andequipment operators), to define the number and qualification of the personnel tobe trained and to prepare a detailed training program. The training program willfocus on the following elements:

(a) management and administration of civil works contracts supervised byconsultants; respective role and responsibilities of GovernmentOfficers, consultants and contractors; the general conditions of theWorld Bank Sample Bidding Document; quality control and qualityassurance; measurement of quantities and payments;

(b) planning and programming of highway projects; identification, pre-liminary engineering, economic feasibility, final engineering, bid-ding documents;

(c) procurement of consulting services and civil works under World Bankfinanced projects;

(d) introduction of equipment-intensive road modernization;

(e) management of a road network; highway inventory; pavement managementsystem; equipment management;

- 51 -

(f) production and use of pavement materials and binders; use of localmaterials.

3.3.4 It is estimated that about 10 MOST professionals and 280 state PWDpersonnel (supervisors, assistant engineers, executive engineers and supervisingengineers) will participate in the training program. These 290 staff will betrained in India for about 1.5 months. The preparation of the training program,the courses, and the initial presentations will require consultants' inputs.Subsequent presentations will be carried out by NITHE, with the assistance ofdomestic and foreign experts identified during the preparation of the trainingprogram. Thereafter, 40 trainees will receive additional training abroad ofabout 1 month consisting mostly of field visits of equipment-intensive roadmodernization works.

3.3.5 The training program will emphasize practice and field work andinclude field visits in India and abroad. The foreign exchange element of thetraining program will be minimized by bringing foreign experts to teach shortcourses in India rather than sending trainees abroad.

3.3.6 The detailed training program will identify and schedule all trainingcourses, with their locations, faculty, trainees, etc.. Thereafter, the consul-tants will assist NITHE, as well as other central or state training agencies inimplementing the training program, making prompt implementation adjustments, inparticular on matters concerning foreign experts and field visits abroad andmonitoring its execution. They will in particular ensure that the supervisionconsultants properly implement the on-the-job training and technology transferaspects of their terms of reference. The consultant will identify the mostsuitable foreign experts, when corresponding expertise is not available in Indiafor teaching training courses. It is estimated that a senior expatriate trainingexpert will be used for about 6 s-m of his time. The training needs assessmentwill require 3 s-m of expatriate training expert and 12 s-m of local trainingexpert.

Improved Technical Guidelines and Manuals

3.3.7 In general, IRC standards are adequate and reflect the Indian experi-ence, however, there are some weak points where the current Indian practice couldbenefit from international practice. The consultants will assist MOST and liaisewith the IRC, the State Research Institutes and the CRRI in improving standards,specifications and manuals on the following subjects. Most of this TA work willbe the adaptation to Indian conditions of well-known and well-tested standardsand techniques. The amounts involved are low compared to their potential benefi-cial effects. This is more cost-effective and will bring results much earlierthan any research.

3.3.8 The consultants will assist MOST in improving the following technicalguidelines and manuals:

(a) on quality assurance for bridge work with particular reference toreinforced and prestressed concrete;

(b) on design and implementation of incremental launching system for theconstruction and precasting of continuous structures;

- 52 -

(c) on design and construction of plle foundatlons for bridges;

(d) on speclficatlons of bltuminous layers, overlays for strengthenlngand on quallty control of bitumen;

(e) on stabillzLng pavement layers wlth hydraullc binders (cement, lime,fly-ash, blast furnace slag, lean cement concrete); and

(f) on road desLgn safety; and ln

(g) settLng up a brldge data bank and development of a bridge managementsystem; and ln

(h) studying the Federal/states relationship wlth the vlew to suggestimprovements in the implementation of national highway projects.

3.3.9 Some of these improvements will be tested on 1 km of experlmentalsectlons ln the road modernlzatlon works of the proposed project.

3.3.10 The above TA will necessltate about 6 s-m of a Sr. Engineer/teamleader, 41 s-m of expatrLate speclalists, 138 s-m of local specialists andUS$120,000 for a laboratory study of flow strains and rutting, to be carriedabroad due to the lack of specialized equipment in India.

3.3.11 Bridge Standards Bridge girders have in general thinner webs thaninternational practice. This generates concreting problems during constructionand creates a weak structural point with reduced safety coefficients from peakand exceptional loads. This is compounded by the fact that nose to tail distanc-es between successive vehicles are rigidly set in IRC loadings and may result insome bridge spans being designed for unusually light live loads. The recentincrease of the legal axle-load to about 12 tons should prcmpt a revision ofthese standards.

3.3.12 Pile foundations are very seldom used in India because IRC standardsplace unusual restrictions on their use. A revision of these restrictions willreduce the foundation cost of some bridges and permit reductions in total bridgeconstruction time.

3.3.13 Bituminous Guidelines the present specifications for bituminouslayers and materials were developed for light axle-loads and thin layers. Therecent increase of the permissible axle-load to about 12 tons, necessitates arevision of these standards, as thicker layers of more performing bituminousmixes are the most efficient way to cope with heavier axle-loads and to save onoverall bitumen use.

3.3.14 It is proposed to develop improved bituminous mlxes (providing in-creased stability) and to test them on experimental sections included in theproject; to carry out a speclfic study of flow straLns and rutting; to developprocedures for improvlng quality control of the productlon of binders; to developimproved guidelines and specifications for Bltuminous Concrete, Dense BLtuminousMacadam and Bltuminous Macadam; and to draft corresponding manuals.

3.3.15 Pavement Strengthening The present guidelines on pavement strengthen-lng do not take full advantage of the considerable developments ln that field in

- 53 -

the last 20 years. Large cost savlngs can be expected from optlmlzatlon ofdeslgn and constructlon of pavement overlays because they wlll be used more inthe future as traffic becomes heavier and exlsting pavements reach their deslgnllfe sooner than expected. The research belng carried out by CRRI wlll analyzethe relationship between cumulative trafflc and structural strength and deflec-tions in Indla. It is proposed that the test sectlons lncluded ln the projectelements wlll apply CRRI research to actual cases; to develop lmproved gulde-lines, specificatlons and manuals for pavement strengthening; and to develop acatalogue of pavement overlay structures which lncludes semi-rigld layers (chemi-cally-stabllized layers).

3.3.16 Pavement Design Mechanically-stabillzed flexible pavements are thebest technical and econonlcal solution for pavement design under heavy trafflcand heavy axle-loads. Rlgid and semi-rigid pavement structures are better suitedto such traffic. It is proposed to adapt to India, technologies based on stabi-lization with cement, fly-ash, and high furnace slag; to test them on the experi-mental sections included in the project elements; to develop correspondingguLdelLnes, specLficatLons and manuals; and finally to develop a catalog ofpavement structures.

3.3.17 Geometric Design Standards The present geometric deslgn standards arenot fully adapted to modern trafflc and have some unsafe aspects (such as reducedsight distances and high values for the permissible super elevation). It isproposed to review the current standards and to prepare a safety manual for roaddesign. This will not duplicate but complement the desk review of expresswaystandards currently being carrled out under the expressway system plannlng study.

3.3.18 Technical ConmistencX of the Civil Works For the civil works, shortterm experts will assist MOST in ensuring technical consistency, in particularin the following fields:

(a) organization, adminlstratlon and accounting;

(b) materials, pavements and overlays;

(c) major bridge infrastructure and superstructure;

(d) the procurement process; and

(e) monitoring the activities of the supervision consultants.

3.3.19 A Sr. Highway Engineer will spend about 4 s-i and expatriate short-term specialists will spend about 4 s-i assLstLng MOST during the supervision ofthe civil works, to ensure consistency between the various civil works componentsand do trouble shooting.

3.3.20 Pre-investment Screenlng It is estimated that a Sr. Highway Englneerwill spend about 1 s-i of his time and will requlre 2 s-i of transport economistand 9 s-i of local staff in order to screen potential highway projects, identifythose that may be good candLdates for World Bank flnanclng, prepare TORs for thepre-investment studies and assist MOST in procuring the corresponding consultingservices.

- 54 -

Annex 3.4

INDIA

SECOND NATIONAL HIGHWAY PROJECT

PROJECT COSTS, FINANCING AND DISBURSEMENT SCHEDULEIndia

Seond National Highway ProJectProjects Cco-gsmnnts by Yer.

Totals Including Cont1ngncieRupee

199 U/93 1993/94 1994/95 1995/9> 6 1995/97 1.97/96 1996/99 1999/00 2000/01 Total

A. Road Nodarni mtion1. Neryan 0.0 128.7 183.9 441.5 S22.8 612.5 593.6 189.8 0.0 2672.62. Nathya Pradaah 32.6 79.3 104.6 251.2 297.5 346.5 337.8 108.0 0.0 1559.43. Naharahtra 0.7 94.4 134.7 323.4 382.9 448.6 434.6 139.0 0.0 1958.44. Oris 33.6 119.2 161.3 387.2 458.5 537.2 520.7 166.4 0.0 2364.25. Punjab 1.5 69.0 96.2 235.7 279.2 327.1 317.0 101.3 0.0 1429.36. Vast aWal 0.3 66.4 94.6 227.7 269.6 315.9 306.2 97.9 0.0 1378.9

.......................... ..... ii.......... .ii ....... ; ..... ..i.: ..... ;i............... i..

Sub-Tottl 69.0 557.0 7.4 1 66.7 2210.5 2569.8 2510.1 602.4 0.0 11362.6

0. tood Monitoring Equipment 0.0 4.1 8.9 23.9 10.3 0.0 0.0 0.0 0.0 47.2C. Irstitution Strngthening

1. Trafinig 31.4 30.6 42.6 43.4 13.2 0.0 0.0 0.0 0.0 161.12. Technfcal Assfatanco 0.3 18.6 21.0 3.4 1.8 0.1 0.1 0.1 0.1 45.7

............ .................................. ................................................................. ;;..

Sub-Total 31.6 49.2 63.6 46.8 15.1 0.1 0.1 0.1 0.1 206.9

D. Pr-Investan t Studies 7.5 24.4 52.7 75.5 20.2 0.0 0.0 0.0 0.0 180.3!. Orissa Wrdge 0.0 28.1 40.1 96.4 114.1 133.7 129.6 41.4 0.0 563.5

,..............ii........~..........;......... .................................................

Total PROJECTS COOTS 106.1 662.9 942.7 2109.3 2370.2 2723.6 2639.8 844.0 0.1 12400.7.........................................................................................................................

Valuas scalad by 1000000.0 4/9/1992 16:10

Totals Including ContirenciesUS#

...........................................................................................

1992I / 199 3/94 1994/95 199M/96 1996/97 1997/98 1998699 1999/00 2000/01 Total

A. Road Nodarni tion1. N aryan 0.0 4.5 6.2 14.3 16.4 18.6 17.4 5.4 0.0 62.72. Nadya Pradah 1.2 2.8 3.5 8.2 9.3 10.6 9.9 3.1 0.0 48.53. NUharaehtro 0.0 3.3 4.5 10.5 12.0 13.6 12.7 3.9 0.0 60.64. Orssa 1.2 4.2 5.4 12.6 14.4 16.3 15.2 4.7 0.0 74. 05. Punjab 0.1 2.4 3.3 7.7 8.8 9.9 9.3 2.9 0.0 44.26. ast Bnal 0.0 2.3 3.2 7.4 6.5 9.6 9.0 2.8 0.0 42.7

.............. ........ ...... i: ............... ;;....... ;....... i........... ..................

sub-Total 2.5 19.5 26.2 60.6 69.3 76.5 7.4 22.7 0.0 352.7

Road Monitorin Equipment 0.0 0.1 0.3 0.8 0.3 0.0 0.0 0.0 0.0 1.5Instittion Stronthaning1. Training 1.2 1.1 1.4 1.4 0.4 0.0 0.0 0.0 0.0 5.52. Tsehnfcal Aiftornc 0.0 0.7 0.7 0.1 0.1 0.0 0.0 0.0 0.0 1.6

.................. ..................................................................... ...

ath-Total 1.2 1.7 2.1 1.5 0.5 0.0 0.0 0.0 0.0 7.0

.Pr invotretnt studioe 0.3 0.9 1.8 2.4 0.6 0.0 0.0 0.0 0.0 6.0Oris Srids 0.0 1.0 1.4 3.1 3.6 4.1 3.8 1.2 0.0 16.1

............... .................. ;.........~.........i.........~;.........i................... ...

Total PROJECTS COSTS 4.0 23.3 31.7 66.5 74.3 62.5 77.2 2.8 0.0 365.3.alue.S.ald....00000.0.4/9/1992............................................................................................

V lus S ledby 00000.04/9/9bZ16t10

- 55 -

IndiaSecond ational Highway Project

Sury Account Cost Sury

kPe US$ X Total

Local Foreign Total Local Forefgn Total Exchange Coats

1. INWUTNENT COSTS...................

A. ICB1. IC.. Civit Work 3212.3 1999. 1 5211.4 151.8 74.8 226.6 38.4 71.2. ICUI Equipmnt 2.4 29.0 31.4 0.1 1.2 1.4 92.3 0.4

SbTotal 3214.7 202.1 5242.8 151.9 76.0 227.9 3.7 32.5. LCW

1. LCB Civil Works 615.4 369.5 1004.9 29.3 14.4 43.7 38.8 13.92. LCW Equipent 1.5 4.7 6.2 0.1 0.2 0.3 75 . 0.1

SubTotol 616.9 9.2 1011.0 29.4 14.6 440 39.0 13.9C. Other Procurement

1. Consulting Servies 113.9 548.2 662.1 5.3 23.5 28.8 82.8 9.12. Land Acquisition 110.9 0.0 110.9 4.8 0.0 4.8 0.0 1.53. Fellowhip, Training 14.2 21.4 35.6 0.6 0.9 1.5 60.1 0.54. Project Alinistration 175.7 0.0 173.7 7.6 0.0 7.6 0.0 2.45. Equipmnt 2.6 13.3 15.8 0.1 0.6 0.7 83.9 0.2

gSubTotal 4 7.3 82.8 1000.1 18.5 25.0 4.5 6.3 13.8

Total MSELINE COSTS 424.8 3005.1 753.9 199.8 115.6 315.4 36.6 100.0Physical ContinWncies 384.3 241.9 626.1 16.7 10.5 27.2 38.6 8.6Price ContinWncies 2150.1 2370.6 4520.7 *5.6 48.3 42.7 113.1 13.5

Total PROECTS COSTS 6783.1 5617.6 12400.7 210.9 174.4 385.3 45.3 122.2

............. .....................................................................................................Vatues Scled bV 1000000.0 -4/9/1M9 16:10

- 56

cound Ntiaosl Nighty Project*imry Acounto by Yoor

Totals lnsltding Contingencige

...........................................................................................

MM92/U 19M5/9 1994/95 1995IM/ 199M/9 199W/9S 1 99 199/00 2000/01 Totat

I NWSTNENT COSTS....................

1. IC0 CIvtl Works 0.0 4U9.6 427.9 1507.4 1764.4 2069.5 20IM.5 4T.0 0.0 9120.62. IC: iquipnt 0.0 4.1 8.9 23.9 ¶0.3 0.0 0.0 0.0 0.0 47.2

Sub-Total 0.0 443.7 436.6 1531.3 1756.6 2069.6 202M.. 447.O 0.0 9146.0

B. LCS1. LC0 Civil Works 1.7t 0.2 129.9 300.2 339.8 392.7 300.5 121.6 0.0 1754.52. L=0 Equipment 0.4 1.2 2.6 3.? 1.0 0.0 0.0 0.0 0.0 6.6

Sub-Total 2.1 09.3 132.5 303.9 340.5 392.T 380.5 121.6 0.0 1763.3

C. Other Procure _nt1. Consutting Sevice 7.6 85.9 128.9 210.6 160.6 187.6 163.2 59.0 0.0 1043.62. Lwnd Acquisitfon 97.6 16.4 0.0 0.0 0.0 0.0 0.0 0.0 0.0 116.03. Felloeshfp, Tisinfng 0.0 10.1 20.7 16.1 5.9 0.0 0.0 0.0 0.0 52.54. Project Adfnistration 0.0 11.7 16.5 39.3 4.0 53.4 51.2 16.2 0.0 234.35. Equipmnt 0.5 3.7 7.3 6.0 2.3 0.1 0.1 0.1 0.1 22.6

Sub-Tetal 106.1 129.5 173.4 274.2 234.6 241.1 234.5 75.3 0.1 1469.4

Total PROJECT COSTS 106.1 662.9 942.7 2109.3 2370.2 2723.6 2639.6 644.0 0.1 12400.7

Values n caled by 1000000.0 4/9/1992 16:10

5 57 -

IndiaSecond Natienl Nihwy Project

Table 101. Naryan1Nel / Kernet - AtDetailed Cost Trblo

Totalr including Continenies

92/9 1MN9 1/ 19"/ 196/9 9/9 99 199/0 2000/01 Totat................................................................................

1. INWITNT OlTS................

A. Civitl WrksRoNd Wlok 79.70 K 0.0 113.4 16.0 3.8 46022.9. 52 1n 6.9 0.0 Z352.4Rilt Overps *ristW 0.0 3.5 5.0 11.9 14.1 16.5 16.0 5.1 0.0 71.9

...... :. ....... ....... ....... ....... ....... ....... ....... ....... .......

bhTotst 0.0 116.6 14.9 400.7 474.3 55.5 53.2 1n.0 0.0 2U1.6S. LOW AaiisItfen 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0C. **evIsfon 0.0 9.1 13.0 31.5 37.6 64. 43.3 13.9 0.0 192.9

. Proect Aebnistratlen 0.0 2.8 3.9 9.3 10.9 12.6 12.1 3.6 0.0 55.4

Total INWAINT COSTS 0.0 13.7 18.9 41. 522.8 612.5 59.6 19.8 0.0 2671.6

Totot 0.0 126.7 163.9 441.5 522.8 612.5 59.6 169. 0.0 2672.6

Value snated by 1000000.0 4/9/1992 16O0

Totals Including Contingencis *rsakdown of Totals Incl.Cont.'U#. U.S

9'/93 93/94 9/95 9/6 96/9r 97/96 9/ rs /00 00/01 Total F.Exch Locat Taxes Totat, ".................................................... ................................

I. INTSMUNT COSTSA:.C...v.....W..rk'....

A. Civil WorksRoad works, 79.760 Km 0.0 4.0 5.5 12.6 14.4 16.3 15.3 4.7 0.0 72.8 30.8 31.9 10.0 72.8Rail Ovorpss Bridg 0.0 0.1 0.2 0.4 0.4 0.5 0.5 0.1 0.0 2.2 0.9 1.0 0.3 2.2

Sub-Total 0.0 4.1 5.6 13.0 14.9 16.8 15.7 4.9 0.0 75.0 31.8 32.9 10.4 75.0S. Ld Aaf of Ir tf an 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0c. SLnwdvAion 0.0 0.3 0.4 1.0 1.2 1.3 1.3 0.4 0.0 6.0 5.2 0.7 0.0 6.00 Project Adoinistratfon 0.0 0.1 0.1 0.3 0.3 0.4 0.4 0.1 0.0 1.7 0.0 1.7 0.0 1.7

Totat INWSTWNT OTS 0.0 4.5 6.2 14.3 16.4 18.6 17.4 5.4 0.0 62.7 37.0 35.3 10.4 82.7- - - - - -~~~~mw M - -- --- -- m -

Totst 0.0 4.5 6.2 14.3 16.4 18.6 17.4 5.4 0.0 82.7 37.0 35.3 10.4 82.7

Vatues scaled by 1000000.0 4/9/1992 16:07

Parameters

Phy. Cant. For. Exch. Ora" Tax &a. Aent.

1. INVSTMENT COSTS................

A. Civit worksRoad Woks. 79.r60 KC 0.10 0.33 0.15 ICUC90KSRl Overpass Bridge 0.10 0.33 0.15 LCSWORKS

3. Lan Aoqusftfen 0.00 0.00 0.00 OLAC. supfrvtsiOn 0.00 0.5 0.00 OCOSD. Project Adnistratlon 0.00 0.00 0.00 OA

Valus scaled by 1000000.0 4/9/1992 16:07

* 58 -

IndiaSecond Notional Highway ProJect

TaeWO 102. Madhyn PradeshNN3 / Dewas*Indore ond Indore Cyp e

taited Cost Tabl*Rupe

Totale Inelud1n Contingneles

1992/91 199m/9% 1994/95 1995/96 1996/97 1997/96 1996/99 1999/00 2000/01 Total................................................................................

1. INVSSTNUT CU0TS

A. COivi IoiODw_ Indou. 18.213 On 0.0 l6.9 2.0 64.9 7r6. 90.0 67.2 27.9 0.0 392.7Indowe OWp e 31.295 Ko 0.0 47.6 7.9 1U.1 191.0 226.1 219.0 70.0 0.0 96.7

....... ......... ....... .......... ....... .......... ....... .......... ....... .............. ...........................................

94k-Totl 0.0 W6.5 9f.0 22M.0 29.9 316.1 306.2 97.9 0.0 1379.4*. Land Ao*asftian

For 0a*Ir-Indwe 11.0 2.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 13.1POr IndoWe Bypas 21.6 4.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 25.6

Su-Toeal 32.6 6.1 0.0 3.0 0.0 0.0 0.0 0.0 0.0 36.7C. upweviafcn 0.0 5.2 7.4 17.9 21.4 25.2 24.6 7.9 0.0 109.7D. Project Adofnfetrmtion 0.0 1.6 2.2 5.3 6.2 7.2 6.9 2.2 0.0 31.5

..............i ................ i . @e. ........ .. i;.......... ..... ; .. .................. Z e.. .......

Totat INWISTNENT COSTS 32.6 39.3 104.6 251.2 29r5 348.5 337. 106.0 0.0 1559.4mummu...urar.. 3amww i.u ... u..aa ... u.n.... m m

Total 32.6 79.3 104.6 251.2 29s.5 34S.5 337.8 106.0 0.0 1559.4

Values waled by 1000000.0 4/9/1992 16:09

Totale Inctuding Contingncfee Breakdown of Total* Incl.Cont.

92/93 93/94 94/95 9s/ff 96/97 97/95 96/99 99/ 00/01 Totat F.Exch Locat TaXes Total

1. INWSTNENT COSTS

A. Civit WorksDa_es-Indore, 18.213 Km 0.0 0.7 0.9 2.1 2.4 2.7 2.5 0.8 0.0 12.2 5.1 5.3 1. 12.2Irdwe Bype, 31.295 K 0.0 I.7 2.3 5.3 6.1 6.9 6.4 2.0 0.0 30.5 12.9 13.4 4.2 30.5

.. .X ..X... .. ...... ..... ....... ... ... . .... .... . . ..... ...... ... .... . . .i.. .... .. .s@.a ....... .......... w ..... ...

Sub-Total 0.0 2.3 3.2 7.4 6.5 9.6 9.0 2.6 0.0 42.7 16.1 l.7 5.9 4.7B. Laid Acqui0tlon

For Dowse Indore 0.4 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.5 0.0 0.5 0.0 0.5For Indore Bypa 0.6 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.9 0.0 0.9 0.0 0.9

Sub-Tot&L 1.2 0.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.4 0.0 1.4 0.0 1.4C. Supervision 0.0 0.2 0.2 0.6 0.7 0.8 0.7 0.2 0.0 3.4 3.0 0.4 0.0 3.4P. Projoct Adofnfstratfon 0.0 0.1 0.1 0.2 0.2 0.2 0.2 0.1 0.0 1.0 0.0 1.0 0.0 1.0... .... . ..... ..... ..... ..... ..... ..... .. ... ....... ....... ....... ... .

Total INVSTNNT COSTS 1.2 2.6 3.5 8.2 9.3 10.6 9.9 3.1 0.0 4.5 21.1 21.5 5.9 46.5

Total 1.2 2.8 3.5 6.2 9.3 10.6 9.9 3.1 0.0 4u.5 21.1 21.5 5.9 46.5

Values scaled by 1000000.0 4/9/1992 16:09Parametres

Phy. Cont. For. Ixch. Oro Tax Su. Acnt.

1. INWVESTENT COSTS................

A. Civil WorksDwms- indwe, 18.213 Km 0.10 0.33 0.15 ICSCWORKSIndoe Bypas, 31.295 Km 0.10 0.33 0.15 ICBCWARKS

O. Land Aqf oft fanPor Deme-Indore 0.00 0.00 0.00 OLAPor Indore Bypeea 0.00 0.00 0.00 OLA

C. supervision 0.00 0.85 0.00 OCONS0. Project Adofnf1tration 0.00 0.00 0.00 OPA

Values saled by 100OO000. 4/9/1992 16:09

- 59

Indiaocond National HIghway ProJect

Table 103. MsharahtraUS / 0assIn Creek -anor

Detailed Cost Table

Totals Inaluding ContinffneJo

199V/°3 1993/94 1994/95 1995/96 1996/97 199/96 1996/99 1999/00 2000/01 Total............................ ....................................................

1. I ZVITNOT COSTSA:.C...v.....W..rk'....A. Civil Works

load verb, 5.000 Km 0.0 19.6 65.4 204.9 24.6 U84.1 275.3 65.0 0.0 1240.0Five NaJor Irfis_ 0.0 22.3 31.8 76.4 90.4 105.9 102.6 32.8 0.0 462.0RafI Urnderps Brfdis 0.0 3.6 5.1 12.2 14.4 16.9 16.4 5.2 0.0 73.7

....... ......... ....... .......... ....... .......... ....... .......... ....... .............. ...........................................

utATOb t 0.0 # .6 122.3 2M3.1 347.4 406.9 394.2 12.0 0.0 17m5.70. Land Aequisitfmn 0.7 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.6C. upo visImn 0.0 6.6 9.5 23.1 27.5 32.5 31.7 10.2 0.0 141.30. Projet Aionintratfun 0.0 2.0 2.9 6.6 3.0 9.3 *.9 2.0 0.0 40.6

Total IMWSTNT COITS 0_7 94.4 134.7 323.4 382.9 448.6 434.8 139.0 0.0 1956.4mmamma mm mmmma2 ma mm Muso mm m

Total o.? 94.4 134.7 323.4 382.9 448.6 434.8 139.0 0.0 1956.4

Vatlue scaled by 1000000.0 4/9/1992 16:07

Totals including Conting nclee Oreakduem of Totals Incl.Cont.

92/93 93/94 94/95 95/96 96/97 97/96 96/99 99/00 00/01 Total F.Exch Local Txes Total

1. INVESTMENT WOSTS................

A. Cfvil worksRoad Works, 5J.000 O 0.0 2.1 2.9 6.7 7.6 8.6 8.0 2.5 0.0 38.4 16.2 16.5 5.3 38.4Five Major Irldes 0.0 0.8 1.1 2.5 2.8 3.2 3.0 0.9 0.0 14.3 6.1 6.3 2.0 14.3Nail UrY ss Brilde 0.0 0.1 0.2 0.4 0.5 0.5 0.5 0.1 0.0 2.3 1.0 1.0 0.3 2.3

&6-Total 0.0 3.0 4.1 9.5 10.9 12.3 11.5 3.6 0.0 55.0 23.3 24.1 7.6 55.0B. Land Acquisition 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1' 0.0 0.0 0.0 0.0 0.0C. Supervision 0.0 0.2 0.3 0.7 0.9 1.0 0.9 0.3 0.0 4.4 3.8 0.5 0.0 4.40 Project Aolnfotration 0.0 0.1 0.1 0.2 0.2 0.3 0.3 0.1 0.0 1.3 0.0 1.3 0.0 1.3

TotaL INWUSTMNT COITS 0.0 3.3 4.5 10.5 12.0 13.6 12.7 3.9 0.0 60.6 27.1 25.9 7.6 60.6mum mamma mum 0uam msmm mamammmmmammamma m aa am am

Totat 0.0 3.3 4.5 10.5 12.0 13.6 12.7 3.9 0.0 60.6 27.1 25.9 7.6 60.6

Vaolue sc led by 1000000.0 4/9/1992 16:07

Parameters

Phy. Cont. For. Exch. Gross Tax Sr. Acnt................................ ...............................___

1. INVISTHINT COSTS................

A. Civil WorksRoad Works, 58.000 Km 0.10 0.33 0.15 ICICUORISFive Major Sridge 0.10 0.33 0.15 IC wClXSRail Undapae Bridge 0.10 0.33 0.15 LCUCWOMtR

*. Lnd Acquisition 0.00 0.00 0.00 OLAC. slservfsoen 0.00 0.85 0.00 OCC"S0. Project Adonfstratfon 0.00 0.00 0.00 OWA

- Values scated by 1000000.0 4/9/1992 16:07

- 60

Indfascond NatiOat Highway Project

Toble 104. OriasMNN / Shuanrwsr - aptapur

Detailed Coet Toble

Totals Includinm Contingencies

1992/5 1993/94 1994/95 199M/96 19/ 99/96 196/99 1999/00 2000/01 TotalI* ~~~~~~~................................................................................

A. CiVil MakstUWAURJagt1ruur, 7.9 go 0.0 59.6 65.2 20M.5 242.1 23.6 2n.6 6r.6 0.0 ¶237.7Five"l nojr Ir don 0.0 42.6 60.9 146.2 17.1 202.7 196.4 62.6 0.0 164.8

ail DM"e"s Bride 0.0 0.2 0.3 0.7 0.3 0.9 0.9 0.3 0.0 4.0

Sub-Toeu 0.0 102.5 146.4 351.4 416.0 4u7.2 472.1 150.9 0.0 2126.46. Lwd A14als1Itmn

ha*sme..*Nattac k 24.7 4.7 0.0 0.0 0.0 0.0 0.0 0.0 0.0 29.4Outtaek-JOptWl 6.9 1.7 0.0 0.0 0.0 0.0 0.0 0.0 0.0 10.5

SUhtettt 33.6 6.3 0.0 0.0 0.0 0.0 0.0 0.0 0.0 39.9C. Supsfvision 0.0 7.9 11.4 27.7 33.0 36.9 36.0 12.2 0.0 169.20. PNjest dinlstrntlon 0.0 2.4 3.4 6.1 9.5 11.1 10.6 3.4 0.0 48.6

Tout J_t COOTS 33.6 119.2 161.3 367.2 456.5 537.2 520.7 166.4 0.0 2364.2u uuu.u prn mu mmm m. m m mu.muu

Tetet 33.6 119.2 161.3 367.2 456.5 537.2 520.7 1"6.4 0.0 2364.2

- Vatium saed 9w 1000000.0 4/9/1992 16:09

Totals Including Contingncies Breakdoem of Totals Incl.Cont.

9/9 93/94 94/95 95/96 9/97 97/96 96/9r /00 00/01 Total F.Exch Locatl Txes Total, ................................................................................................ ................................

I .lITW WIN................

A. Civil wlosIIunw-Ja , 2V.9 to 0.0 2.1 2.9 6.6 7.6 6.6 6.0 2.5 0.0 36.3 16.2 16.6 5.3 36.3Five ftJor 3redis 0.0 1.5 2.1 4.7 5.4 6.1 5.7 1.6 0.0 27.4 11.6 12.0 3.8 27.4lfll Ospepa 6rfdi 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.1 0.0 0.1

ub-Totl 0.0 3.6 4.9 11.4 13.0 14.6 13. 4.3 0.0 65.5 27.9 2.9 9.1 . 5.B. LaW Aeuisitmen

s w5 r-Cattelk 0.9 0.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.1 0.0 1.1 0.0 1.1Cuttaek-Jagatpur 0.3 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.4 0.0 0.4 0.0 0.4

rbTotal 1.2 0.2 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1.5 0.0 1.5 0.0 1.5C. 4swvffen 0.0 0.3 0.4 0.9 1.0 1.2 1.1 0.3 0.0 5.2 4.6 0.6 0.0 5.20. Project AaInistration 0.0 0.1 0.1 0.3 0.3 0.3 0.3 0.1 0.0 1.5 0.0 1.5 0.0 1.5

Totat IUWESTMT COSTS 1.2 4.2 5.4 12.6 14.4 16.3 15.2 4.? 0.0 74.0 32.5 32.5 9.1 74.0

Total 1.2 4.2 5.4 12.6 14.4 16.3 15.2 4.7 0.0 74.0 32.5 32.5 9.1 74.0

Values eled by 1000000.0 4/9/1992 16:10 Parmters

P9y. Cant. For. Exch. Oros Tax Sia. Aent.............................................

1- IUW1ET COSTS

A. Civil oHrks*h.*an-Jagtpur, 2.9 Km 0.10 0.33 0.15 icUCIWSFive Major ridgam 0.10 0.33 0.15 LCWOtKSRall Overpass ride, 0.10 0.33 0.15 LC3XfItSs

0. Lou Acqfsitionhhanswsr -Cwttack 0.00 0.00 0.00 CLA

Cuttk-Jagptpur 0.00 0.00 0.00 OLA

C. Supervisfen 0.00 0.85 0.00 OcofS0. Project Adbinistration 0.00 0.00 0.00 OPA

- Value scaled by 1000000.0 4/9/1992 16:10

- 61

Ind1aSeco.W National Nihay Project

Toble 105. PnJabhNI / Ambrls SirhindDetailed Cost Table

Totalt Includins Contino ncfe

1992/9 1993/4 1994/95 199M/96 1996/97 1997/96 1996G99 1999/00 2000/01 Total................................................................................

1. IbNWTN42T WOITSA:.C...v......."k'....A. Civil Works

R*d Woks, 39.171 Km 0.0 61.0 67.1 209.1 247.6 890.0 M 60.9 69.0 0.0 1265.5R"i Overpa"s Brid 0.0 1.4 2.0 4.6 5.7 6.7 6.5 2.1 0.0 29.1

SubTotat 0 0 61.4 69.1 214.0 253.3 296.6 267.4 91.8 0.0 1294.6S. Load AeWqiostion 1.8 0.3 0.0 0.0 0.0 0.0, 0.0 0.0 0.0 2.1C. Usarvisfon 0.0 4.3 7.0 16.6 3.1 23.7 5.1 7.4 0.0 13.0D. Projact Ailnistration 0.0 1.5 2.1 5.0 5.8 6.7 6.5 2.0 0.0 29.6

Total tOVIIWAIT COT 1 I .0 96.2 235.7 279.2 327.1 317.0 101.3 0 0 1429.3

Totat 1.8 69.0 96.2 23S.7 279.2 327.1 317.0 101.3 0.0 1429.3

- Vatua caled by 1000000.0 4/9/1992 16:08

Totals Includdni Cont1noancl Brsakdwen of Totalc Incl.Cont.L. U.S

92/93 93/91 94/95 f/f 96/97 97/96 9699 990 00/01 Total F.Exch Local Taxes Total

1. INYSTNET COSTS

A. Civil Wokstoed works, 39.171 on 0.0 2.1 2.9 6.3 7.8 6.8 3.2 2.5 0.0 39.2 16.6 17.2 5.4 39.2lefl Overpas rido 0.0 0.0 0.1 0.2 0.2 0.2 0.2 0.1 0.0 0.9 0.4 0.4 0.1 0.9

*4k-Total 0.0 2.2 3.0 6.9 7.9 9.0 3.4 2.6 0.0 .40.1 17.0 17.6 5.5 40.1I. Lwnd Acquiition 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 0.0 0.1 0.0 0.1C. hupervfsion 0.0 0.2 0.2 0.5 0.6 0.7 o.? 0.2 0.0 3.2 2.8 0.4 0.0 3.2O. Project Adblnfstratfon 0.0 0.1 0.1 0.2 0.2 0.2 0.2 0.1 0.0 0.9 0.0 0.9 0.0 0.9

Total lWISTWEJT ODITS 0.1 2.4 3.3 7.7 8.8 9.9 9.3 2.9 0.0 44.2 19.8 19.0 5.5 44.2um - -- m - - - -- -

Total 0.1 2.4 3.3 7.7 3.3 9.9 9.3 2.9 0.0 44.2 19.8 19.0 5.5 *4.2

Valuas saled by 1000000.0 4/9/1992 16:06

Parr _ers

Phy. Cont. Frw. Exch. Gross Tax Sum. Acnt.............................................

1. INWITNIMT COSTI................

A. Civil WorksRoad Works, 39.11 ma 0.10 0.33 0.15 IC3WORKSril Overpass Oride 0.10 0.33 0.15 LCIcWoRKS

I. Land Acuifaition 0.00 0.00 0.00 OLAC. 3eprvision 0.00 0.05 0.00 0CtXO. Project AdBfnistration 0.00 0.00 0.00 CPA

- Vatus clted by 1000000.0 4/9/199M 16:06

- 62 -

IndiaSecond National Nighway Project

Table 106. West BeelNit / Baroker - P nifunj

Dotailed Cost Table

Totalr IncLuding Contigenoce

1992/9 ¶993/94 1994/95 1995/96 1996/97 199I/96 1996/99 19°9/00 2000/01 Total................................................................................

1. INVUSNT COITS................

A. Civil VSee Woek, 34,627 K 0.0 17.1 61.5 19.6 231.6 271.2 262A 64.0 0.0 11a.6mall Overpass Bride 0.0 3.2 4.6 11.0 13.0 15.3 14.8 4.7 0.0 66.7

b-Total 0.0 66.3 6.1 206.7 244.6 2.5 7.6 t.7 0.0 1250.5I. LaOW A sfetien 0.3 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.4C. uprvtsion 0.0 4.7 6.7 16.3 19.4 22.9 22.3 7.2 0.0 99.5D. Project Ainistratfon 0.0 1.4 2.0 4.6 5.6 6.5 6.2 2.0 0.0 23.6

Total INWTMMT COcTS 03 6.4 94.8 27.7 269.6 315.9 .2 97.9 0.0 1376.9

Total 0.3 6.4 94.8 227.7 269.6 "5.9 306.2 97.9 0.0 1378.9

- Value seled by 1000000.0 4/9/1992 1606B

Totalr Inrluding Contfiencies Ireakdwen of Totals Incl.Cont.

99 9/94 94/95 9S/96 96/97 979 9/99 99/00 00/01 Total t .Exch Local Tas Total................................................................................................. ................................

3. INVSTMENT COSTS................

A. Civil WwksRoad Woks, 34,627 Km 0.0 2.0 2.7 6.4 7.3 6.2 7.7 2.4 0.0 36.6 15.5 16.1 5.1 36.6Rail Overp_ Brldo 0.0 0.1 0.2 0.4 0.4 0.5 0.4 0.1 0.0 2.1 0.9 0.9 0.3 2.1

Str-Total 0.0 2.1 2.9 6.7 7.7 8.7 8.1 2.5 0.0 36.7 16.4 17.0 5.3 36.7a. Lad Aucisitfan 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0C. Swpervision 0.0 0.2 0.2 0.5 0.6 o.7 0.7 0.2 0.0 3.1 2.7 0.4 0.0 3.10. Project A1infotratfon 0.0 0.0 0.1 0.2 0.2 0.2 0.2 0.1 0.0 0.9 0.0 0.9 0.0 0.9

Total INWITNT COMTS 0.0 2.3 3.2 7.4 8.5 9.6 9.0 2.6 0.0 U2.7 19.1 18.2 5.3 42.7-_- mm m m _ _ _ m" _

Total 0.0 2.3 3.2 7.4 6.5 9.6 9.0 2.8 0.0 42.7 19.1 18.2 5.3 42.7

Vatlus caled by 1000000.0 4/9/1992 16:06

Parters

Phy. Cont. For. Exch. Grors TaX SA. Acnt.............................................

1. INWITNENT COSTS

A. Civil WorksRoad Wofks, 34,627 Kw 0.10 0.33 0.15 ICSCWIKSSefl Cvorpse *rfde 0.10 0.33 0.15 LCSCWORKS

3. Lwn Acquisition 0.00 0.00 0.00 OLAC. muprvisian 0.00 0.#5 0.00 OCOESD. Projet Acinistratln 0.00 0.00 0.00 OA

Vatlues cled by 1000000.0 4/9/1992 16:06

- 63 -

IncisSecod National Highway Project

Table 201. Road Initoring EquipmentDetailed Coat Table

Totals Including Continencie Ireakdowi of Totats Inol.Cont.U U

92/93 93/° 94/5 95% 96/9 9701 Total F.Exch Loeal Tams Total........................................... .............................................................. ................

1. INWSTNINT COSTS

A. Monitoring I Net Maaetload Nonitor/etlyser 0.0 0.0 0.1 0.2 0.1 0.0 0.5 0.4 0.0 0.0 0.5Traffic Counte 0.0 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.0 0.0 O.1Weigh In Motion quipmt 0.0 0.0 0.0 0.1 0.0 0.0 0.1 0.1 0.0 0.0 0.1Iridge Inspection Wnit 0.0 0.1 0.1 0.3 0.1 0.0 o.7 0.6 0.0 0.0 o.?Bup Integrator 0.0 0.0 0.0 0.1 0.0 0.0 0.2 0.2 0.0 0.0 0.2

..... ..... ..... ..... ..... ..... ..... ....... . . ..... ....... .......

Total ISTub T COTS 0.0 0.1 0.3 0.3 0.3 0.0 1.5 1.4 0.0 0.1 1.5

Total 0.0 0.1 0.3 0.8 0.3 0.0 1.5 1.4 0.0 0.1 1.5

- Valel cated br 1000000.0 4/9/1992 16:09

netity Unit Coat Totals Includirn Contifngl ies

Unit 92/93 9394 94'01 Totil 1992-01 92/93 /94 94/95 9f% 99 °97-01 Total

1. INVESTMENT COSTS................

A. Monitoring & Net Negeatload Monitor/anlyser U 0 1 0 1 9669200 0.0 1.3 2.8 7.5 3.2 0.0 14.8Traffic Counter U 0 10 0 10 179440 0.0 0.2 0.5 1.4 0.6 0.0 2.7Weigh In notion equwintU 0 2 0 2 1121500 0.0 0.3 0.6 1.7 n.7 0.0 3.4Bridge Irnpaction Wilt U 0 3 0 3 4710300 0.0 1.5 4.0 10.6 4.6 0.0 21.2lm Integrator U 0 2 0 2 162250 0.0 0.4 1.0 2.6 1.1 0.0 5.1

................. .... ..... ..... ...... ..... .... ..... ...... ...

Sub-Total 0.0 4.1 8.9 23.9 10.3 0.0 47.2

Totol INVESTMENT COSTS 0.0 4.1 8. 9 10.3 0.0 47.2

Total 0.0 4.1 8.9 23.9 10.3 0.0 47.2

Vaues wcaled by 1000I 0.0 4/9/1992 16:09

Paraemters

Phy. Cant. For. Exch. Groas Ta Sxa. Aent.

1. INESTENT COSTS................

A. Monitoring & Not anapgmtRoad NMnitor/analyser 0.00 0.90 0.06 ICIOEUIPTraffic Counters 0.00 0.90 0.06 iCUIOUlpWeigh In Motion qupmnt 0.00 0.90 V.06 iWUJIPBridge Inpaction unit 0.00 0.90 0.06 ICUQUIPlp Intserator 0.00 0.90 0.06 ICUSUUIP

Valus saled by 1000000.0 4/9/1992 16:09

- 64 -

Ind1aSecond Natiht1l Nishwsy ProJoct

Table 301. TrainingOstailed Cost Table

Quantity Unit Cost

Unit 92/ 93/94 94/95 95-01 Total 1W2-01.............................. ..................................... ....

1. INWITNNT COSTS

A. BuLd1ng for 11THELwnd AoquisftimnBuildingFurnitureTraininE EuipmentDesion - mperv1c10n

sub-TotalB. Conwultants

Sr. xet. Trafnfns 2. S-N 0 3 3 0 6 336650Eptriste Training imp S-N 0 3 0 O 3 2m590Loe Trafning Exprt S-l 0 12 0 0 12 45000Inteatfatl Travl U 0 1 0 0 1 m9000amast1 o Trsl U 0 33 0 0 33 2000Offtce Suplpis/Rpt printLSTraininr Aids, Nwtls

Sub-TotalC. Staff Trafning

Training in India S-N 435 0 0 0 435 247Z4Trainin Abroad S-N 40 0 0 0 40 230000Trainres Dostic Tratl S- 580 0 0 0 580 3300Traines per diem, India S-N 435 0 0 0 435 12500Trainree Travl Abroad U 40 0 0 0 40 92000Trainees per Diem Abroad S-N 40 0 0 0 40 115000

Sb-Total

Total INVESTMENT COSTS

Total

Value sc led by 1000000.0 4/9/1992 16:08

Totala lncludfng ContinencifuS.

92/93 93/9 94/9 95/96 96/97 97-01 Total..........................................

1. INVESTMENT COSTS,................

A. Building for MITNELand Acquieition 1.1 0.2 0.0 0.0 0.0 0.0 1.2suilding 0.1 0.2 0.4 0.6 0.1 0.0 1.4Furniture 0.0 0.0 0.1 0.1 0.0 0.0 0.3Trafning Equipment 0.0 0.1 0.1 0.2 0.0 0.0 0.4Deign nd Superv1sion 0.0 0.0 0.0 0.0 0.0 0.0 0.1

................ .... ...... .... : ..... ..... ...... .... ..... T...

Sub-Total 1 2 0 5 0 6 0.9 0 2 0 0 3 4B. Conauttants

Sr. [pet. Training [.p 0.0 0.0 0.0 0.0 0.0 0.0 0.1fxpetriste Training Ixp 0.0 0.0 0.0 0.0 0.0 0.0 0.0Lao Troinin Exp rt 0.0 0.0 0.0 0.0 0.0 0.0 0.0Inteonationel Trawl 0.0 0.0 0.0 0.0 0.0 0.0 0.0Doeo ic Trnal 0.0 0.0 0.0 0.0 0.0 0.0 0.0officeo upplies/ipt print 0.0 0.0 0.0 0.0 0.0 0.0 0.0Training Aide, omnuls 0.0 0.1 0.0 0.0 0.0 0.0 0.1

.... ..... ..... ..... .... ...... ... ....... ..... ...... :....... ..

Sub-Tetal 0.0 0.2 0 1 0 0 0.0 0.0 0.3C. Staff Training

Training in India 0.0 0.1 0.2 0.1 0.1 0.0 0.1Troining Abroad 0.0 0.1 0.2 0.1 0.1 0.0 0.5Troanee DOotie Trowl 0.0 0.0 0.0 0.0 0.0 0.0 0.1Trainees pr dim India 0.0 0.0 0.1 0.1 0.0 0.0 0.2Taineesrevel Abroad 0.0 0.0 0.1 0.1 0.0 0.0 0.2Trainee per Dlm Abroed 0.0 0.0 0.1 0.1 0.0 0.0 0.2

..... .... ..... ..... .... ...... ... ....... ..... ....... .. .... ..

Sub-Total 0.0 0.4 0.7 0.5 0.2 0.0 1.6..... ...... ..... ..... .... .... ;....... ...... :... ... .........

Total INVESTMENT COSTS 1 2 1.1 1.4 1.4 0.4 0.0 5 5

Total 1.2 1.1 1.4 1.4 0.4 0.0 5.5

Values naled bv 1000000.0 4/9/1992 16:06

- 65 -India

Swcond National Highway ProJectTable 302. TechnicaL Assistene

Detailed Cost Toble

Quantity unit cost

Unft 92/93 93/94 94/95 95-97 97 01 Total 1992-01.................................... .............................................. ....

1. INVESTHENT COSTS................

A. For Iuproved uidelinesSr Enginoer / Teom LoaderS-1 0 3 3 0 0 6 33S45OExpatriate Speciaelts S-N 0 20 21 0 0 41 291oLocal Specialists J-N 0 66 70 0 0 136 45000Eqaip nt LS - - -

Labor:tory st udy Abroad LS -taboatory * n Loe - -

Sub-TotalI. For Civil Woks

Sr. Expat. Short Torm Exp-N 0 1 1 1 0 4 332175Expatriate hort Term ExpS-N 0 1 1 1 0 4 2mssEquipeant LS -

Sub-TotolC. For Pre-Invest. Screning

Sr. Expt. Engineer S-N 0 1 0 0 0 1 336450Expatriate Economist S-N 0 1 1 0 0 2 291590Local Experts S-N 0 4 5 0 0 9 45000 Equipeant

Sub-Total

Total IWVESTMENT COSTS

Total

- Values caled by 1000000.0 4/9/1992 16:08

TotaLs Including ContingencisUS$

ma= _ _m-mu m....m- _

92/93 93/9 94/95 95/96 96/97 97/96 96/99 99/00 00/01 Total)............................................................

I. I NVESTNENT COSTS................

A. For Imroved 40dslinesSr Engineer / Team Leadr 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1Expatriate Specialists 0.0 0.3 0.3 0.0 0.0 0.0 0.0 0.0 0.0 0.6Local Specialists 0.0 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.2Equipant 0.0 0.0 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.1Laboratory studv Abroad 0.0 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 0.1Laboratory *ervices, Loc 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1

..... ..... .... ....... ..... ...... .... ....... .... ..... .... ..... .... ...... T... ...............

Sub-Total 0.0 0 6 0.6 000 0 0.0 0.0 0.0 0 0 1.2S. For Civil Works

Sr. Expt. hort Term Exp 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1Expatrito Short Term Exp 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1Equipant 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

..... ..... .... ....... .... ...... ..... ....... ..... ....... .... ...... ... :.. .... .. .... .. ... ..

Sub-Total 0.0 0 0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0 1C. For Pro-invest. Screning

Sr. Expat. Engineer 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Expatriate Ecomist 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1Local Experts 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0Equip_nt 0.0 0.0 0.0 0.1 0.0 0.0 0.0 0.0 0.0 0.1

..... ...... ..... ..... .... ....... ..... ...... .... ....... ..... ..... ..... .......................

Sib-Total 0.0 0.1 0.1 0 1 0.0 0.0 0 0 0.0 0 0 0.2..... ...... ..... ..... .... ....... ..... ...... .... ....... ..... ..... ..... .......................

Total INVESTlTENT COSTS 0.0 0.7 o.? 0.1 0.1 0.0 0.0 0.0 0.0 1.6name maM .... ..... ... "a S.. ao"_m m MamI mom

Total 0.0 0.7 0.7 0.1 0.1 0.0 0.0 0.0 0.0 1.6_m m"D a amm.a_ma amamm.a.ma_

- Valus scaled by 1000000.0 4/9/1992 16:09

- 66 -

India$scond atforal Hglohwy ProJect

Toble 401. StudIoDetailed Cost T le

Totals Including ContingenciesTotals Including Continencels Us$

92/93 93/96 9/95 95/9 96/97 97-01 Totat "/ 93/9 96/9 95/9 96/97 97-01 Total................................................. .................................................................................................

1. IWSTNENT COSTS................

A. Pro-inwstant Studfo 7.5 24.4 52.7 75.5 20.2 0.0 180.3 0.3 0.9 1.8 2.6 0.6 0.0 6.0

Total IUWSTI T COTS 7.5 24. 52.7 75.5 20.2 0.0 180.3 0.3 0.9 1.8 2.6 0.6 0.0 6.0

Totat 7.5 24.4 52.7 75.5 20.2 0.0 160.3 0.3 0.9 1.0 2.4 0.6 0.0 6.0

Vatus scated by 1000000.0 4/9/1992 16:09

- 67 -

Second National ighway ProjectTable 501. Orlsa ridges

Detailed Cost Toble

Totale Including ContfnWencie

92/93 3/9 94/95 f f5/96 96/97 97/96 96/99 99/00 00/01 Total......................................................................

I. INWUTIETT COSTS,t................

A. ronstuuction 6 Bridoe 0.0 26.1 40.1 96.4 114.1 133.7 129.6 41.4 0.0 55.5

Total INVESTMENT COlTS 0.0 20.1 40.1 96.4 114.1 13J.7 129 6 41 4 0.0 55.1

Tout 0.0 23.1 40.1 96.4 114.1 133.7 '39.6 41 4 0.0 55.5

Valtue nated by 100000.0 4/9/1992 16.10

Totals Including Contingencesa 4roakdown of Totale Incl.Cont.US US,

92J93 93/94 94/9S f f/96 96/97 97/96 96/99 99/00 00/01 TotaL F.Exch Local Taxes Total,................................................. ............................................... ................................

I. INVESTENT COSTS,................

A. tseonstruction 6 Bridge 0.0 1.0 1.4 3.1 3.6 4.1 3.8 1.2 0.0 13.1 7.9 7.7 2.4 16.1

Total INVmESTMNT COSTS 0 1.0 1 4 3.1 3.6 4.1 3.8 1.2 0.0 13.1 7.9 7 7 2. 1. 1

Total 0.0 1.0 1.4 3.1 3.6 4.1 3.8 1.2 0.0 16.1 7.9 7.7 2.4 10.1

Vatlue scaled by 1000000.0 4/9/1992 16:10

Paramters

Phy. Cant. For. lxch. Gross Tax Su. Aent.............................................

1. INVESTMENT COSTS

A. Reconstructfon 6 Oridwes 0.10 0.33 0. 15 LCUCWDOEKS

- Value mated by 1000000.0 4/9/1992 16:10

- 68 -

IndiaSeend l etimal 8 5hwV Project

Dtaburaimae t by VLaancLer by Soester( MIllion US $ )

IUD/IDA* Ovyt. of TotalIndia

Smester

1 0.0 1.6 1.52 0.2 1.6 2.0* 4.1 2.4 5.5* 9.2 2.4 11.65 10.7 2.9 13.6* 15.0 2.9 15.97 19.4 6.5 25.9* 27.' 6.5 34.2* 26.L 7.4 56.210 29.7 7.4 37.211 31.1 5.4 59.512 32.9 5.4 41.513 35.6 7.5 39.614 50.6 7.6 55.61s 21.6 2.4 24.015 9.5 2.4 11.917 5.5 0.0 5.5i 0.0 0.0 0.019 0.0 0.0 0.020 0.0 0.0 0.0

Total 506.0 79.3 335.3

* Note: IoludLng Special Account

Dieburaents

]' U

90

is*~g0

. . . . . .. I 10 * It .p FM s

I' .s s g g t i

a~~~~~~~~~~~~~ S4sIr"a * 1t4

- 69 -

Annex 3.5

INDIA

SECOND NATIONAL HIGHWAY PROJECT

CONTRACT MANAGEMENT FRAMEWORK

3.5.1 The Second National Highway Project will be implemented by the Minis-try of Surface Transport (MOST), the Owner, through the Director General RoadsDevelopment (DGRD). DGRD will be assisted by the Additional Director GeneralRoads (ADGR), and the Additional Director General Bridges (ADGB), to either ofwhom he may delegate powers and duties. Execution of the road modernizationsubprojects in the Project will be governed by the provisions of this ContractManagement Framework (CMF) and the National Highway Rules 1957 as amended, whichshall be deemed incorporated into, and modified where appropriate by this CMF.

3.5.2 The financiil sanction (FS) and technical approval (TA) for subpro-jects, including their environmental clearance, will have been obtained by MOSTin accordance with established procedures.

3.5.3 FSs will be based on the best current engineering estimate of costs,as prepared by the state PWDs on the basis of approved specifications and ofmarket prices which take due account of modern, equipment-intensive constructiontechniques, the use of larger size contracts, and the strict enforcement ofmaterials specifications and quality controls. If, from time to time, during thecourse of implementing the project DGRD estimates that larger amounts will beneeded to complete the subproject(s) than those permitted to be spent under theoriginal or a revised FS, for instance on account of higher than expected bidprices, of price escalations or of increases in the quantities of work, a revisedFS will be prepared and approved by MOST in consultation with the Ministry ofFinance, in accordance with procedures adopted by the Government of India toexpedite implementation of road sector projects financed with external funds.

3.5.4 To monitor implementation of the proposed project, the DGRD will setup a Project Implementation Cell (PIC). The PIC will report to the ADGR and ADGBon road and bridge issues respectively. It will be, inter alia, the focal pointof the Bank's relationship with MOST. The PIC will be headed by a chief engineer(CE) with experience in large, equipment-intensive road projects. He will be as-sisted by two superintending engineers (SEs), two executive engineers (EEs) andother support and secretarial staff. Among other tasks, the PIC will:

(a) liaise with the Bank, the Department of Economic Affairs of theMinistry of Finance, and other concerned agencies in the Central andstate Governments;

(b) keep and update regularly the subprojects' procurement schedules;

(c) draft the prequalification criteria and prepare and finalize theprequalification documents;

- 70 -

(d) preparo quarterly progress reports based on data collected from eachstate in the project;

(e) monitor implementation of the Technical Assistance in the project;and

(f) together with the MOST Chief Engineer(s) in charge of state sub-project(s) at Headquarters:

(i) supervise, in each participating state, the preparation of thepreliminary project reports, the detailed project reports andthe bid documents for all subprojects;

(ii) monitor implementation of the civil works to ensure thatagreed standards and construction schedules are enforced;

(iii) monitor procurement of the road monitoring equipment.

3.5.5 The state Governments, through their Public Works Departments (PWDs),will administer the project as agents for the Government of Indla (GOI) inaccordance with the provisions in the National Highway Rules 1957 as modifiedfrom time to time.

3.5.6 The owner/agent relationship between MOST and the states will bestrengthened to become a firmer contractual relationship for a more effectiveimplementation of national highway projects.

3.5.7 To administer the contracts under the project, the state PWD will bethe contractual Employer. The Employer will create a separate urganization tobe exclusively in charge of the subproject in the state. This organization willbe headed by a chief engineer (CE) assisted by appropriate professional and sup-port staff. The PWD CE will act on behalf of the Employer in all contracts fi-nanced under the Project. The PWD CE will award contracts, make payments andmaintain accounts, make major contract management decisions especially on varia-tions in work quantities and on additional work items. However, the PWD CE willbe subject to limits authorized him by law; that is, he will not authorizechanges that:

(i) increase the value of the original Financial Sanction of theproject by more than 15X or Rs 10 million, whichever is less;or

(ii) increase the amounts sanctioned in a Revised Financial Sanc-tion.

3.5.8 Should either event in (i) or (ii) of paragraph 7 occur, the PWD CEwill refer the case to the Owner (MOST) who will resolve the matter as providedfor in paragraph 3.

3.5.9 The PND CE will define the objectives of the subproject, ensure theefficient procurement of contractor(s), and guarantee that the execution of thesubproject(s) is within the scope defined in the objectives.3.5.10 The state PWD will appoint a superintending engineer (SE) toreport to the PWD CE. The SE will be the PWD CE representatlve in all contracts.

- 71

The PWD CE, or the SE on his behalf, will have authority to give instructions tothe supervising consultant, and in particular to sanction variation orders,including variations in quantities and additional work items proposed by thesupervision consultant, as long as they fall within the limits mentioned inparagraph 7. The PWD CE, or the SE on his behalf, shall meet the supervisionconsultant regularly and provide, promptly as needed, decisions required onvariation orders and on other technical matters.

3.5.11 In the office of the SE there will be an executive engineer(EE) and an accounts officer (AO). The AO will keep the project accounts andprocess all payments on behalf of the PWD CE. He will prepare payments andchecks for the EE's signature. Under the direction of the PWD CE, or the SE onbehalf of the PWD CE, the EE will sign checks and make payments. However, theEE will not have authority to give or issue instructions to the supervisingconsultant, nor have responsibility for quality control.

3.5.12 The Supervision Consultant (SC). Supervision of the civilworks will be the responsibility of qualified consultants with satisfactoryinternational experience in carrying out works similar in size and nature to theroad modernization subprojects to be supervised. Contractually, the consultantwill be the Erglneer on a works subproject. He will administer the work con-tract(s) and ensure that contractual clauses, whether related to quality orquantities of work, are respected. The SC will make the necessary measurementsand control the quality of works. The SC will make all engineering decisionsrequired during the implementation of the contract(s). However, the SC will seekthe prior approval of the PWD CE to:

(a) issue any variation orders with financial implications, exceptin an emergency situation, as reasonably determined by the SC;

(b) issue variations in work quantities;

(c) sanction additional items, sums or costs;

(d) approve the subletting of any part of the works;

(e) approve any extension of contractual time limits.

3.5.13 The Supervision Consultant will carry out the following tasks:

(a) give the order to commence the works;

(b) administer the civil work contracts, approve materials, issuevariation orders to the contractor, and ensure that the quali-ty of the works is in accordance with contractual specifica-tions;

(c) approve the contractor's work program and the sources of mate-rials;

(d) issue monthly progress reports;

- 72 -

(e) approve and/or issue working drawLngs including variationsthereof, approve the setting out of the works and, in thisconnection, give instructions to the contractor;

(f) make measurements and keep the measurement books issued to himby the PWD CE or his representative;

(g) issue interim certificates for monthly payments, and certifycompletion of parts or the totalit. of the works;

(h) order tests of materials and of completed works, and order theremoval of improper or substandard works;

(i) prepare the maintenance program;

(j) inspect the works during the maintenance period and issue themaintenance certificate;

(k) verify and get corrected the "as-built" drawings supplied bythe contractor;

(1) advise the PWD on all matters related to the execution of thecontracts, including processing of contractor claims; and

(m) assist the Employer in providing clarifications/explanationsto observations made, from time to time, by the Auditor.

3.5.14 The SC will process interim and final payments to the contract-or(s). Interim monthly payments shall be based on interim payment certificatesprocessed by the SC following claims filed by the contractor(s). In some states,the Public Works Manual and Accounts Code requires the EE to keep the measurementbooks and to check at least 5X to 10X of the quantities before making payments.Both of these tasks will be carried out by the SC who will be accountable for thequantities and the quality of the works. In processing contractual payments, theresident engineer of the SC will certify that he has checked 25X of the measure-ments, and the SC's team leader will certify that he has checked 5X to 10X ofsuch measurements. Whenever final measurements are to be made, the SC's residentengineer will inform the contractor and the PWD SE several days in advance. ThePWD's SE participation in such measurements will not be mandatory; however,should he wish to participate or be represented by the EE, he will be empoweredto do so and to check, if he so wishes, any measurement. In cases of differencesin measurements, if any, that cannot be settled in the field, the SE will ensurethat the EE releases 80X of the disputed amount along with the interim paymentfor undisputed amounts, as soon as the SC has cleared the bill.

3.5.15 For the construction of road over rail bridges (ROBs) or roadunder rail passes (RUPs) located along the subproject being supervised, the SCwill only be responsible for coordinating the timely start and completion of theworks, for setting the alignment, and for ensuring that the lines and levels areaccurate and in accordance with the subproject drawings. To this extent, the SCwill liaise closely with the agency executing the ROBs and RUPs and will reporton work progress in the monthly progress reports.

- 73 -

3.5.16 If the SC is a joint-venture of a qualified internationalconsultant and a consultant not qualified as such, leadership of the joint-venture shall be the responsibility of the qualified international consultant andit shall provide the key supervision personnel (at least the team leader and theresident engineer); the balance of the staff may be contributed by the otherfirm. For purposes of training local personnel and for such personnel to acquireexperience, the state PWD may second staff in their employ to work with the SC.The level and number of the PWD staff accepted on secondment will be determinedby the SC on the basis of the size of the subproject. The SC will select theseconded staff from a list of qualified nominees offered by the state PWD. Thesalaries of the staff seconded to work with the SC will be borne by him; however,the seconded staff will enjoy the same conditions as the SC's other local staff.The SC will decide what responsibilities and functions to assign to the secondedstaff, and will have the right to ask to have replaced any seconded staff.

- 74 -

Annex 3.6

INDIA

SECOND NATIONAL HIGHWAY PROJECT

TERMS OF REFERENCE FOR THE SUPERVISION CONSULTANTS

Background

3.6.1 India has received a Loan from the World Bank for the Second NationalHighway Project. The project will lnclude six road modernization subprojects toimprove key heavily trafficked and congested two lane sections (widening to four,separated lanes) of the natio-sl highway network in six states (Haryana, MadhyaPradesh, Maharashtra, Orissa, Punjab and West Bengal), totaling about 291 km.The civil works supervision will be carried out by qualified internationalconsultants with satisfactory experience in implementing projects of similarnature and size. The contracts to be executed under the project follow the FIDICconditions of Contract (International), and ranging from US$5.8 million toUS$49.7 million in value. The contract management structure and the duties andresponsibilities of the consultant and of state PWD and MOST officials arespelled out in a separate Contract Management Framework.

3.6.2 If the supervision consultant is a Joint-venture of international anddomestic firms, it is expected that the key supervision personnel will be fromthe international firms while the bulk of the personnel will be from the domesticfirm. However, for training purposes and in order to acquire the necessaryexperience, the state PWD may second a suitable number of state PWD staff to theconsultants. The level and number of seconded staff will depend upon the sizeof the subproject. Selection of the seconded staff will be done by the consul-tant out of a list of qualified nominees prepared by the state PWD. The salariesof the seconded staff will be borne by the consultant and the seconded staff willwork under the same conditions as the regular consultant's staff. The consultantwill decide on what responsibility/ functions to assign the seconded staff andhave the right to ask the PWD for replacement of any member of the secondedstaff.

Objectvs

3.6.3 The objectives of introducing contract supervision by the consultantsare two fold:

(a) to demonstrate the efficacy of contract supervision by inde-pendent external agencies experienced in this field of work;and

(b) to promote technology transfer through either joint venturesbetween expatriate and local firms or by employment of localstaff.

- 75 -

Duties and ResRonsibilities of the Engineer

3.6.4 The consultant will be appointed as Engineer for all project civilworks contracts. The Engineer will administer the contract and ensure that allof its clauses are respected. Thus, the consultant will make the measurementsand control quality. The consultant also will make engineering decisions whenev-er required during the implementation of the contracts. When these engineeringdecLsions require the approval of additional items or increase the contract priceby more than 1X per variation order or 0l in aggregate, the supervising consul-tant will have to obtain prior approval from the state PWD.

3.6.5 The supervision consultant will carry out the following tasks:

(a) give the order to commenco the works and variation orders tothe contractors;

(b) administer the civil work contracts, approve the materials andquality of the works in accordance with tha contract speci.fi-cations;

(c) approve the contractor's work program and the source of mate-rials;

(d) issue monthly progrese reports;

(e) approve and/or issue working drawings, approve the setting outof the works and give instructions to the contractor;

(f) make measurements and keep the measurement books;

(g) issue interim certificates for monthly payments to the con-tractors, certify completion of parts or totality of works;

(h) order tests of materials and of completed works, order removalof improper works;

'i) inspect the works during the maintenance period and issue themaintenance certificate;

(j) prepare a maintenance program for PWD;

(k) advise the PW' on all matters relating to thz execution of thecontract, includir,g the processing of contractor's claims;

3.6.6 The supervision consultant will seek the prior approval of the PWDCE to:

(a) issue any variation orders with financial implications, exceptin an emergency situation, as reasonably determined by the SC;

(b) issue variations in work quantities;

(c) sanction additional items, sums or costs;

(d) approve the subletting of any part of the works;

- 76 -

(e) approve any extension of contractual time limits.

except: a. in an emergency situation, as reasonably determined by theEngineer; and

b. when such variation orders increase the contract price by lessthan 1X per individual approval, or add up less than 10 inaggregate.

3.6.7 The supervision consultant will process interim and final paymentsto the contractors. When a major work item takes more than one month to com-plete, interim payments based on interim measurements are processed to avoidmajor imbalances in the contractors' cash flow. In some states, the Public WorksKanual and Account Code requires the Executive Engineer to keep the measurementbook and to check at least 52 of the quantities before making the payments. Bothof these tasks will now be carried out by the supervision consultant who will beaccountable for the quality and the quantities of the works. In his processingof contractual payments, the Resident Engineer of the supervision consultant willcertify that he has checked 252 of the measurements made by his staff and theteam leader of the supervisior consultant wll certify that he has checked 5X ofsuch measurements. Whenever final measurements are to be made, the ResidentEngineer of the supervision consultant will inform the contractor and the PWDSuperintending Engineer several days in advance. The PWD SE participation willnot be mandatory, however, should he wish to participate or send the EE, he willbe able to do so and to check any measurement. In case diffe2ences of opinioncannot be settled in the field the day the measurements are made, the SE willensure that the EE will release 802 of the disputed amount within one week after

the supervision consultant has cleared the bill.

Duties and Responsibilities of the Enfineer's ReRresentative

3.6.8 The Engineer's Representative and his staff are under the overallcontrol of the supervision consultant (the Engineer), and shall carry out suchduties and exercise such authority as may be delegated to him by the Engineer.The Engineer may from time to time delegate to the Engineer's Representative anyof the duties and authorities vested in the Engineer and he may at any timerevoke such delegation. Any such delegation or revocation shall be in writingand shall not take effect until a copy thereof has been delivered to the Employerand the contractor.

3.6.9 The principal duties of the Engineers Representative shali be as

follows:

(a) to inspect the performance of the works with regard to work-manship and compliance with the specifications and to order,to supervise or perform tescs on materials and or work and toapprove or disapprove the contractors' plant and equipment;

(b) to order if required the uncoverir%. of completed work and/orthe removal and substitution of pr#.sr materials and/or work;

(c) to check systematically the progress of the Works and to orderthe initiation of certain work which is part of the contract;

- 77 -

(d) to examine and attend the measurement of any work which isabout to be covered or put out of view before permanent workis placed thereon and/or to examine and attend the measurementof the completed works in the prescribed form

(e) to check the contractors' accounts, invoices, claims and otherstatements with respect to claims and othor statements withrespect to arithmetical error and compliance with the contractand if required to make corrections thereof;

(f) to supervise the contractors in all matters concerning safetyand care of the works;

(g) to direct the contractor to carry out all such work or to doall such things as may be necessary in the opinion of theEngineer's Representative to avoid or to reduce the risk incase of any emergency affecting the safety of life or of theWorks or of adjcining property and to advice the Employerthereof as soon thereafter as is reasonably practicable;

(h) the maintenance of a day by day project diary which shallrecord all events pertaining to the administration of theContract, requests from and orders given to the Contractor,and any other information which may be at a later date be ofassistance in resolving queries which may arise concerningexecution of the works; and

(i) to verify and correct the as-built drawings supplied by theContractor.

Additional Services

3.6.10 The supervision consultant shall, if so required by the Employer,provide any of the services specified below as services additional to thosespecified above:

(a) preparation of reports or additional contract documents forconsideration of proposals for the carrying out of additionalwork;

(b) carrying out work consequent upon any assignment of the con-tract;

(c) advice the Employer with respect to carrying out the Worksfollowing the appeal to arbitration or litigation relating tothe works, and

(d) any other specialist services by the Engineer or other spe-cialists as may be agreed upon.

3.6.11 All additional services, other than minor extras without materiallyaffecting the scope of work, will be authorized by the Employer at rates or ona man-month basis and under conditions to be mutually agreed.

s...w msImA_ mt*m.e" S.?3.7 Project Iuplementation Schedule

WI9 3 1994 I"S 1996I am___________Is J IASI JIJ lAIS JA IlilA0 .JI IA IAIJ IJ e IFAI210J 15 UAJ AIfI.IAISSIOSI PUl A: *1_ Uhdra4ism

2 cavai t i

3 Pr.wm

4 Cmwt.tl In __ _ _ _.. . .- - -.. .

S

6 JUWISWI WSMKIAT3

1* TA 0 ws .

7 _-..o vr 1_5"' 6a42

-tECOICAL AtIStA

11 t/ rn _ _ I rOu l 3

2 VA to MTe 823 K_| 2

15 Tanin 44 ./I

16 16)1mm

I? Pr.c,w0un1 __ __ __ __ _ __ __ __ _

-is19 PAST D. *riss m ~In Gim

-1_ Stlz10_ _

2S clvii s

it Projects CrI I C

@ttes 41C owticel smt§gNi ltest-w

- t e 2 2 C u u l n w t k i o =n _ _ _ _ _ _ _ _ _ _ _ _ _ 9 / 5_ _ _ _ _ _ _ _ _ _ _

.

- 79 -

Annex 3. 8

INDLA

SECOND NATIONAL HGHWAY PROJECT

PROJECT ORGANIZATION CHART

MOST | Director General

| Road& D partm nt

Projcet Implementation Call

- =S|TT.A team to MOST

State PWD Chief Engineer

Government

SuporvisionCor.sult-nt

Iridges and Culvert Expert Soils and Materials Expert|

|Remident Engineer I | Rasilt neEngineer 11 ; (Rsident Ingin or 1711

Contractor Z3EII ~~Contractor

- 80 -

Annex 3.9

INDIA

SECOND NATIONAL HIGHWAY PROJECT

SUPERVISION PLAN

Bank Sunervision InDu

1. The staff input indicated in the table below is in addition to regularsupervision at headquarters for procurement review, correspondence, and reviewof reports, which is estimated at 16 staff-weeks during the first and secondproject years and about 11 staff-weeks thereafter.

-

Approx. Activity Skill Needs StaffDates Weeks

Sept SuRervision Mission 81992 - Expedite start-up Highway Engineer

- Review consultant(TA) Procurement Special-procurement progress ist

- Review works procurement Transport Economistprogress

- Agree an action plan based onVehicle Fleet Modernization/Road User Charges Study

________ (VFM/RUC).

March Sugervision Mission Highway Engineer 81993 - Review progress of procurement Procurement Special-

- Inspect works (Orissa Bridges) ist- Review Project Accounting Transport Economistsystem, inspect SpecialAccount records, and SOEs.

- Agree pre-investment studies- Follow-up on implementation ofAction Plan (VFM/RUC).

Sept SuRervision Mission Highway Engineer 81993 - Inspect quality of civil works Training specialist

- Review works program andQuality Assurance.

- Review arrangements forTraining program

- Review procurement ofEquipment.

- 81 -

March Supervision Mission Highway Engineer 81994 - Inspect progress and quality Transport Economist

of civil works.- Review Quality Assurance.- Review progress of TA to MOST- Review the progress ofimplementation of the VFM/RUCStudy.

Sept Supervision Mission Highway Engineer 61994 - Inspect progress and quality Transport Economist

of civil works.- Review the Training progress- Review the pre-investment

studies.- Review procurement ofequipment

March Supervision Mission Highway Engineer 51995 - Inspect progress rnd quality Training Specialist

of civil works.- Review the Training progress- Review the pre-investmentstudies.

- Review procurement ofequipment

Sept Supervision Mission Highway Engineer 61995 - Inspect progress and quality Transport Economist

of civil works.- Review the Training progress- Review the pre-investmentstudies.

March SuRervision Mission Highway Engineer 51996 - Inspect progress and quality

of civil works.- Review the Training progress- Review the pre-investment

studies.

Sept Supervision Mission Highway Engineer 41996 - Inspect progress quality

of civil works.

- 82 -

Annex 4. 1

INDIA

SECOND NATIONAL HIGHWAY PROJECT

ECONOMIC EVALUATION

HDN- 123 REPORTAIRYANA: NNI KARNAL - ANSLA (79.5 Km)

TOTAL AVERAGE DAILY TRPFFIC (TWO-WAY)YEAR CARS UT I LTY Pit SNLTRK NEDTRK NVYTRK ARTTRK TOTAL

1991 3966 210 1309 685 3821 59 19 100691992 4350 230 1411 740 4127 64 21 109421993 4m 252 1521 799 4457 69 23 118931994 5235 277 1639 863 4813 75 25 12927195 5743 303 1767 932 51" 81 26 140511996 6300 333 1905 996 5557 86 28 152061997 6911 365 2054 1065 5941 92 30 164581998 7582 401 2214 1138 6351 99 32 178161999 8317 439 2387 1217 6789 106 35 192882000 9124 482 2573 1301 7257 113 37 208862001 9927 525 2761 1369 7642 119 39 223812002 10800 571 2962 1442 8047 125 41 239882003 11751 621 3178 1518 8473 132 43 257162004 12785 676 3410 1599 8922 139 45 275762005 13910 735 3659 1684 9395 146 48 295772006 15134 800 3927 1773 9893 154 50 31702007 16466 870 4213 1867 10418 162 53 340482008 17915 947 4521 1966 10970 171 56 365432009 19491 1030 4851 2070 11551 180 59 392312010 21206 1120 5205 2180 12163 189 62 42125

- 83 -

ECONIC COSTS OF ALTERNATIVES(1989 INDIAM RUPEES MILLION)

ALT 0 ALT 1ROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTAL

CAPITAL RECURR OPRTO. TIME ECONOMIC CAPITAL RECURR OPRTG. TIME ECONONI

YEAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS

1991 0.0 4.6 913.8 282.3 1200.8 34.4 4.0 913.8 282.3 1234.6

1992 0.0 0.7 842.6 2.2 1135.6 137.7 0.1 642.6 2.2 1272.7

1993 9.0 0.7 982.8 320.4 1312.9 206.6 0.1 982.8 320.4 1509.8

1994 0.0 0.7 1110.5 351.1 1462.3 206.6 0.1 1146.7 355.6 1708.9

1995 0.0 0.7 1287.2 391.4 1679.3 103.3 0.1 1354.7 403.4 1861.5

1996 0.0 0.7 1499.5 443.2 1943.4 0.0 1.3 1125.0 395.8 1522.1997 0.0 0.7 1721.1 502.6 2224.3 0.0 1.3 1225.8 427.1 1654.3

1996 0.0 0.7 1893.6 552.2 2446.4 0.0 1.3 1331.1 460.8 1793.3

1999 0.0 0.7 2039.0 595.3 2635.1 0.0 1.3 1446.5 497.4 1945.2

2000 0.0 0.7 2195.9 641.9 2838.6 18.6 1.3 1574.5 537.0 2131.4

2001 9.0 0.7 2336.6 685.8 3032.0 0.0 1.3 1686.5 574.2 2262.0

2002 0.0 0.7 2456.1 724.7 3181.5 0.0 1.3 1810.5 614.3 2426.2

2003 0.0 0.7 2647.1 783.0 3430.9 0.0 1.3 1945.2 657.5 2604.0

2004 0.0 0.7 2818.4 836.9 3656.1 0.0 1.3 2093.6 704.1 2799.

2005 0.0 0.7 3001.5 894.6 3896.8 18.6 1.5 2263.5 755.2 3038.8

2006 0.0 0.7 3197.1 956.5 4154.3 0.0 1.3 2426.7 808.6 3236.7

2007 0.0 0.7 3406.1 1022.8 4429.6 0.0 1.3 2610.9 86.9 3479.

2008 0.0 0.7 3629.7 1093.8 4724.2 0.0 1.3 2812.2 930.0 3743.5

2009 9.0 0.7 3868.7 1170.0 5048.4 0.0 1.3 3036.4 998.9 4036.6

2C10 0.0 0.7 4074.3 1238.1 5313.1 -222.4 1.5 3299.4 1076.2 4154.7

COSTS SUIARY AND COMPARISONS(1989 INDIAN RUPEES NILLION)

CONIST TOTAL VEHICLE INTERNALK.ECON PERIODIC ROUTINE CONS.& OPRTG.& RATE OF

URJGRD NAINT HAINT MAINT TIME TOTAL RETURN

ALT COSTS COSTS COSTS COSTS COSTS COSTS CX)ALT 0 0.0 26.9 17.8 44.7 59700.9 59745.6

ALT 1 447.5 55.7 24.5 527.8 47886.6 48414.4 41.5

- 84 -

DM-123 REPORTMADHYA PRADESH: NH3 IXDORE - DEUAS (19.0 K)TOTAL AVERAGE DAILY TRAFFIC (TWO-WAY)

YEAR CARS UTILTY BUS SNLTRK NEDTRK HVYTRK ARTTRK TOTAL199s 2234 559 2284 177 3509 47 15 88241992 2502 626 2504 195 3867 52 16 97611993 2302 701 2744 215 4261 sT 1 107981994 3138 766 3007 236 6696 63 20 119461995 3515 6no 3296 261 5175 69 22 1321?1996 3937 965 3612 2S4 5636 75 24 145531997 U409 1104 3959 309 6137 82 26 16026199 4936 1236 4339 337 6683 69 28 176511999 5531 1385 4756 36 7278 9 31 194432000 6195 1ss1 5212 399 7926 106 33 214212001 6864 1718 5661 426 8465 113 36 233032002 7605 1904 6193 455 9040 121 38 253552003 6426 2109 6750 486 9655 129 41 275962004 9336 2337 7356 519 10312 138 43 300432005 10345 2589 6020 554 11013 147 46 327142006 11462 2869 8742 592 11762 157 49 356332007 12700 3179 9528 632 12562 168 53 388212008 14071 3522 10386 675 13416 179 56 423062009 15591 3903 11321 721 14328 191 60 461152010 17275 4324 12339 770 15302 204 64 50279

ECOMIC COSTS OF ALTERNATIVES(1969 INDIAN RUPEES NILLION)

ALT o ALT 1ROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTALCAPITAL RECURR OPRTO. TIME ECONOMIC CAPITAL RECURR OPRTG. TIME ECOMNMIC

YEAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS199 2.1 1.6 178.1 73.4 255.2 8.1 0.4 178.1 73.4 260.11992 0.0 1.3 206.1 82.5 289.9 32.3 0.1 218., 85.1 336.01m 0.0 1.3 249.7 96.0 346.9 48.5 0.6 269.3 101.6 420.01994 0.0 1.3 294.3 110.9 406.5 48.5 0.6 278.8 106.2 434.019l5 0.0 1.3 333.1 124.6 459.0 24.3 0.6 307.7 116.8 449.41996 2.1 1.3 365.1 136.6 505.1 0.0 2.7 274.1 123.9 400.71s97 0.0 1.3 396.2 148.6 546.0 0.0 2.7 304.3 136.1 443.0199 0.0 1.3 438.6 164.4 604.2 0.0 2.7 336.9 149.4 489.01999 0.0 1.3 480.6 180.3 662.4 0.0 2.7 373.7 1"6.1 540.52000 0.0 1.3 527.1 197.8 726.2 4.5 2.7 415.9 180.4 603.42001 2.1 1.3 569.5 214.9 787.7 0.0 2.7 452.2 196.1 651.12002 0.0 1.3 609.3 231.4 842.0 0.0 2.7 493.8 213.4 710.02003 0.0 1.3 665.1 253.6 920.0 0.o 2.7 539.8 232.4 775.02004 O.C 1.3 719.0 275.6 995.9 0.0 2.7 591.7 253.3 847.82005 0.0 1.3 777.4 299.5 1078.2 4.5 2.8 653.2 276.9 937.32006 2.1 1.3 840.6 325.6 1169.6 0.0 2.7 711.0 301.5 1015.22007 0.0 1.3 900.7 350.9 1252.9 0.0 2.7 779.2 329.1 1111.12006 0.2 1.3 984.3 384.8 1370.4 0.0 2.7 655.6 359.6 1218.22009 O.A 1.3 1065.3 418.4 1485.0 0.0 2.7 944.4 394.5 1341.62010 0.0 1.3 1153.3 455.1 1609.6 .52.1 2.8 1058.7 436.6 1446.0

COSTS ISIRY AND COMPARISONSC1969 INDIAN RUPEES NILLION)

COIST TOTAL HENICLE INTERNALRECON PERIODIC ROTIN COST & OPRTG.& RATE OFUPGRO NAINT NINT MAINT TINE TOTAL RETURN

ALT COSTS COSTS COSTS COSTS COSTS COSTS (X)ALT 0 0.0 8.3 25.6 =.9 16278.6 16312.7

ALT 1 105.1 13.4 43.5 161.0 14267.4 14"29.4 37.7

- 86 -

NDN-123 REPORTNADHYA PRADESH: MH3 INDMRE BYPASS (31.4 KA)

TOTAL AVERAGE DAILY TRAFFIC (TWO WAY)YEAR CARS UTILTY BUS SMLTRK NEDTR% HVYTRK ARTTRK TOTAL

1991 1124 262 305 229 4272 47 47 63061912 1259 316 335 252 4708 52 52 69731995 1410 354 367 278 5168 ST 57 77101994 1579 397 402 306 5717 63 63 85261995 1769 444 441 338 6300 69 69 94291996 1961 496 483 368 6861 75 75 103401997 2219 557 529 400 7471 62 U 113411996 2465 614 5S0 436 8136 69 89 124401999 2763 699 636 475 8860 97 97 136472000 3117 763 697 517 9649 106 106 149742001 3453 a66 760 552 10305 113 113 161642002 3826 961 626 590 11006 121 121 174522003 4240 1065 903 630 11734 129 129 188492004 4696 1180 984 673 12553 138 138 203632005 5205 1308 1072 718 13407 147 147 220042006 5767 1449 1169 767 14319 157 157 237842007 6393 1605 1274 819 15292 168 168 257162008 7080 1779 1389 875 16332 179 179 278132009 7845 1971 1514 934 17443 191 191 300892010 8692 2184 1650 998 18629 204 204 32561

ECONOMIC COSTS OF ALTERNATIVES(19 RUPEES MILLION)

ALT O ALT 1

ROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTALCAPITAL RECURR OPRTG. TIME ECONOMIC CAPITAL RECURR OPRTG. TIME ECONOMIC

YEAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS1991 14.5 2.7 297.3 65.0 379.4 16.3 0.6 297.3 65.0 379.219 0.0 2.3 360.7 75.9 438.9 65.4 0.2 365.8 76.7 508.11993 0.0 2.3 428.0 88.8 519.0 98.0 0.9 4.-.0 88.8 615.71994 0.0 2.3 472.3 98.0 57n.5 96.0 0.9 434.9 91.7 625.51995 0.0 2.3 521.2 108.1 631.6 49.0 0.9 479.9 101.2 631.01996 0.0 2.3 569.4 118.2 689.8 0.0 0.4 338.5 97.4 436.31997 0.0 2.3 622.0 129.3 753.5 0.0 0.4 370.5 106.6 477.51996 0.0 2.3 679.5 141.4 823.2 0.0 0.4 405.5 116.6 522.519m 14.5 2.3 742.4 154.7 914.0 0.0 0.4 444.0 127.5 571.92000 0.0 2.3 800.8 167.4 970.4 0.0 0.4 486.1 139.5 626.12001 0.0 2.3 870.7 162.3 1055.3 0.0 0.4 523.1 150.3 673.82002 0.0 2.3 934.6 196.4 1133.3 0.0 0.4 563.1 161.8 725.42003 0.0 2.3 1003.4 211.6 1217.3 0.0 0.4 606.5 174.3 781.22004 0.0 2.3 1077.4 228.0 1307.7 0.0 0.4 653.4 187.9 841.72005 0.0 2.3 1157.1 245.7 1405.1 0.0 0.4 704.3 202.5 907.22006 0.0 2.3 1242.6 264.9 1510.0 0.0 0.4 759.7 218.2 978.42007 14.5 2.3 1335.1 285.6 1637.5 0.0 0.4 820.2 235.3 1056.02006 0.0 2.3 1416.1 304.5 1722.9 0.0 0.4 886.6 253.8 1140.82009 0.0 2.3 1541.7 332.2 1876.1 0.0 0.4 959.8 273.7 1234.02010 0.0 2.3 1657.1 358.3 2017.7 -114.4 0.4 1041.2 295.4 1222.7

87 -

COSTS UIWARY AND COMPARISONS(1989 INDIAN RUPEES NILLION)

CONST TOTAL VEHICLE INTERNALRECOH PERIODIC ROUTINE CONST & OPRTG. £ RATE OFUPORD MAINT MAINT MAINT TIME TOTAL RETURN

ALT COSTS COSTS COSTS COSTS COSTS COSTS (t)ALT 0 0.0 43.5 45.6 89.1 21486.0 21575.1ALT 1 212.4 0.0 10.2 222.6 14732.6 14955.2 53.7

- 88 -

HDMN123 REPORTNItARAHUTRA : NHS USSEIN CREEK - NANOR (56.0 Km)TOTAL AVERAGE DAILY TRAFFIC (TWdO-WAY)

YEAR CARS UTILTY Ns ILTRK NEDTtK NVYTRK ATTRK TOTAL1991 4609 649 324 1712 6656 149 16 165141992 5237 925 34 186 9513 143 17 1s31993 5703 1007 371 2067 10455 179 19 198021994 6211 1097 397 2272 11490 197 21 216651995 6763 1194 426 2497 12626 217 23 237471996 36s 1301 456 2711 13714 235 25 25607199T 6021 1416 466 2945 148 256 27 260451996 6735 1542 523 3196 16174 278 29 304761999 9512 1680 5SO 3473 175 301 32 331222000 10359 1629 600 3M 19075 327 35 359962001 11177 1974 639 4020 20334 349 37 385302002 12060 2129 62 4286 21676 372 39 41242033 13013 2296 726 4569 23107 397 42 *41512004 14041 2479 774 4870 24632 423 45 472642005 15150 2675 826 5192 26256 451 48 505982006 16347 26s6 660 5534 27991 480 51 541692007 17638 3114 938 5699 2963S 512 54 5792008 19031 3360 1000 6269 3160 SS 5S 620922009 20535 3626 106 6704 33907 582 62 664812010 22157 3912 1136 7146 36145 620 U 71163

ECONOMIC COSTS OF ALTERNATIVES(1989 INDIAN RUPEES MILLION)

ALT 0 ALT IROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTALCAPITAL RECURR OPERTO. TIE ECOCNOIC CAPITAL RECURR OPERTG. TINE ECOHNOIC

YEAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS1991 5.7 3.4 1307.6 280.1 1596.6 29.0 3.0 1307.6 280.1 1619.61992 0.0 0.9 1350.4 299.3 1650.7 115.6 0.5 1393.7 302.6 1812.8lm 0.0 0.9 1541.2 332.7 1674.6 173.7 0.6 1755.3 358.8 2288.61994 0.0 0.9 1767.6 372.2 2140.9 173.7 1.2 19m9.9 403.6 257 .41995 0.0 0.9 2051.0 421.5 2473.4 66.9 1.3 2151.1 436.2 2675.41996 0.0 0.9 2347.9 47n.3 2624.1 0.0 1.4 1638.2 413.b 2053.21997 0.0 0.9 2614.5 526.3 3141.8 0.0 1.4 1769.4 449.2 2239.91998 0.0 0.9 2652.7 573.5 3427.1 0.0 1.4 1954.0 487.6 2U3.2199 5.7 0.9 309M.6 622.6 3726.0 0.0 1.4 2134.6 529.6 2665.92000 0.0 0.9 3314.6 667.2 3962.7 11.9 1.4 2333.9 575.5 2922.72001 0.0 0.9 3595.3 722.1 4316.2 0.0 1.4 2486.9 614.7 3103.02002 0.0 0.9 3840.0 771.5 4612.4 0.0 1.4 2671.2 657.1 3329.62003 0.0 0.9 4101.4 624.3 4926.6 0.0 1.4 2669.9 702.5 3573.62004 0.0 0.9 4360.6 660.6 5262.4 0.0 1.4 3085.9 751.1 3836.42005 0.0 0.9 4679.2 941.1 5621.2 11.9 1.5 3327.3 603.5 4144.12006 0.0 0.9 4996.1 1005.6 6004.6 0.0 1.4 3557.9 683.6 4417.92007 5.7 0.9 5338.6 1074.6 6420.0 0.0 1.4 3625.1 918.2 4744.62006 0.0 0.9 5615.6 1133.6 6750.1 0.0 1.4 4116.2 982.1 5099.72009 0.0 0.9 6091.9 1227.1 739.9 0.0 1.4 4439.0 1051.0 5491.42010 0.0 0.9 6507.6 1311.3 7819.6 -190.6 1.5 4792.2 1125.0 5727.9

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9 0o -

N11923 REPORTORISAt NHS BNUANESHNAR - JAGATPUR (27.8 Km)TOTAL AVERAGE DAILY TRAFFIC (TWO-WAY)

YEAR CAR UTILTY WBS SLTRK HEDTRK HVYTRK ARTTRK TOTAL1991 1910 1081 1481 875 2899 46 24 83141992 2074 1174 1583 956 3168 50 26 9031199 2252 1275 1692 1045 3463 55 28 98101994 246 1385 1809 1142 3785 60 31 106571995 2656 1504 1934 1249 4137 65 34 115781996 285 1633 2067 1349 4468 70 36 125081997 3133 1773 2210 1456 4826 76 39 135131996 3402 1926 2362 1573 5212 82 42 145991999 3695 2092 2525 16W 5629 89 15773

2000 4013 2271 ?699 1835 6079 96 49 170422001 4322 2446 2872 1948 6456 102 52 181982002 4654 2635 3156 2069 6856 108 56 194342003 5013 2838 321 2197 7281 115 59 207542004 53W 3056 3459 2334 m2 122 63 221652005 5815 3291 3681 2478 8212 130 67 236732006 6262 3545 3916 2632 8721 138 71 252852007 6744 3818 4167 2795 9262 146 75 .70072008 7264 4112 U34 2969 9836 155 80 288482009 7823 4428 4718 3153 10446 165 85 308162010 8425 4769 5019 3348 11093 175 90 32920

C*ONIC COSTS OF ALTERNATIVES1989 INDIAN RUPEES MILLION)

ALT 0 ALT 1ROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTAL

CAPITAL RECURR OPERTG. TINE ECONOMIC CAPITAL RECURR OPERTG. TINE ECONOMIC

EAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS

1991 0.0 2.0 415.2 131.4 548.6 36.9 2.0 415.2 131.4 585.5

1992 0.0 2.0 480.1 146.3 628.4 147.7 2.0 480.1 146.3 776.0

1993 4.6 2.4 545.7 162.5 715.2 221.5 2.0 545.7 162.5 931.6

1994 0.0 2.0 586.8 174.4 763.2 221.5 2.0 596.9 176.4 996.8

1995 0.0 2.0 650.3 190.9 843.1 110.7 2.0 650.3 190.9 953.9

1996 0.0 2.0 702.1 205.5 909.6 0.0 3.9 343.2 133.9 481.0

1997 0.0 2.0 758.0 221.2 981.2 0.0 3.9 374.1 14.2 522.2

19m 0.0 2.0 818.5 238.1 1058.6 0.0 3.9 406.5 155.2 565.6

1999 0.0 2.0 883.7 256.4 1142.1 0.0 3.9 441.9 167.1 612.9

2000 0.0 2.0 954.2 276.0 1232.2 11.8 3.9 480.7 179.9 676.3

2001 4.6 2.1 1015.7 294.0 1316.4 0.0 3.9 515.3 191.8 711.0

2002 0.0 2.0 1069.6 310.8 1382.4 0.0 3.9 552.7 204.6 761.2

2003 0.0 2.0 1151.0 333.5 1486.5 0.0 3.9 593.3 218.2 8W5.3

2004 0.0 2.0 1225.3 355.2 1582.6 0.0 3.9 637.9 232.8 874.5

2005 0.0 2.0 1304.5 378.4 1684.9 11.8 3.9 689.5 248.7 K3.9

2006 0.0 2.0 1388.8 403.1 1793.8 0.0 3.9 740.2 265.4 1009.5

2007 0.0 2.0 1478.5 429.3 1909.9 0.0 3.9 795.3 283.3 1082.5

2008 0.0 2.0 1574.1 457.4 2033.5 0.0 3.9 855.6 302.6 1162.1

2009 4.6 2.1 1676.0 487.2 2169.9 0.0 3.9 924.0 323.6 1251.5

2010 0.0 2.0 1765.2 515.2 2282.4 *246.6 3.9 1010.6 347.8 1115.7

- 91 -

COSTS SUMMARY AND COMPARISONS(1989 INDIAN RUPESS MILLION)

CONST TOTAL VEHICLE INTERNALRECON PERIODIC ROUTINE CONST & OPERTG £ RATE OFUPORD MAINT NAINT PAINT TIME TOTAL RETURN

ALT COSTS COSTS COSTS COSTS COSTS COSTS (X)

ALOO 0.0 13.6 40.7 54.5 26410.0 26464.5ALOI 479.9 35.4 68.5 563.8 16255.4 16839.1 37.6

*92 -

NDN- 123 EPOPTPIMJAU t NNI SIRHIND - ANSALA (40.0 Km)TOTAL AVERAGE DAILY TRAFFIC (TWO-WAY)

YEAR CAR UTILTY BSu SMLTRK MEDTRK HVYTRK ARTTRK TOTAL1991 2926 154 745 717 4007 63 21 86331992 3224 170 a06 796 44U 70 23 9531199f 3553 187 S71 6S2 4928 77 25 105241994 3915 206 942 979 546 66 Zs 116201995 414 227 1015 1085 6061 95 31 128321996 475 250 1100 117 6631 104 34 140611997 5239 276 lS9 1299 m75 114 37 154061996 S7M 304 1266 1421 7936 124 41 168851999 633 335 1390 1554 6662 136 44 1U5042000 7012 369 1502 1701 9499 149 49 202792001 7650 402 1617 1823 10163 159 52 21M662002 5346 439 1739 1954 10916 171 56 23621200 9106 479 1672 2095 11702 163 60 254962004 9934 523 2014 2246 12544 196 64 275212005 10636 570 2167 2406 13447 211 69 297092006 11624 622 2332 2561 1U15 226 74 320742007 12900 679 2509 2767 15453 242 79 346292006 14074 740 2699 2966 16S66 259 aS 373902009 1535 606 2905 3179 17m79 276 91 403742010 16752 U61 3125 3408 19037 298 97 43600

CO01MIC COSTS OF ALTERNATIVES1969 INDIAN RUPES$ MILLION)

ALT 0 ALT iROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTALCAPITAL RECURR OPRTO. TINE ECONOMIC CAPITAL RECURR OPRTO. TINE ECONOMIC

EAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS1991 0.0 1.7 626.9 159.9 78S.5 21.5 1.4 626.9 159.9 809.7992 0.0 0.3 642.0 172.0 814.3 65.9 0.0 642.0 172.0 69.9

1993 0.0 0.9 776.2 194.7 971.8 128.9 0.6 776.2 194.7 1100.31994 0.0 1.0 903.1 219.6 1123.6 126.9 0.7 903.1 219.6 1252.31995 3.6 1.6 1006.5 242.9 1254.9 64.4 0.6 1006.5 242.9 1314.61996 0.0 0.3 1032.7 257.3 1290.4 0.0 0.6 571.9 171.7 744.21997 0.0 0.3 1162.7 286.8 1469.6 0.0 0.6 634.5 187.6 822.71996 0.0 0.3 1349.3 320.6 1670.2 0.0 0.6 701.6 205.0 907.31999 0.0 0.3 1502.7 354.1 1857.1 0.0 0.6 776.9 224.1 1001.6

0ooo 0.0 0.3 1644.7 386.8 2031.7 7.6 0.6 662.7 245.2 1116.12001 0.0 0.3 1767.6 416.1 2164.0 0.0 0.6 934.4 264.1 1199.12002 0.0 0.3 699.6 447.6 2347.8 0.0 0.6 1016.2 284.6 1301.62003 3.6 0.7 2040.6 461.4 2526.4 0.0 0.6 1106.2 307.2 1414.02004 0.0 0.3 2157.3 512.6 2670.2 0.0 0.6 1206.7 331.6 1536.92005 0.0 0.3 2359.3 557.5 2917.2 7.6 0.7 1323.5 356.5 1690.32006 0.0 0.3 2536.2 599.9 3136.4 0.0 0.6 1435.2 386.7 1622.52007 0.0 0.3 2726.4 645.5 3372.2 0.0 0.6 1565.4 417.9 1984.02006 0.0 0.3 M1.0 694.6 3626.0 0.0 0.6 1710.0 452.1 2162.62009 0.0 0.3 3151.1 747.5 3896.9 0.0 0.6 1873.9 490.0 2364.52010 0.0 0.3 3387.6 804.5 4192.6 -142.7 0.7 2070.3 533.4 2461.7

-93.

COSTS WJSGARY AMD COIWARISONS(199 IDIAN MUPSIS MILLION)

CONST TOTAL INTERNALRECOI PERIODIC ROUTINE CONST VEHICLE RATE OFUPORD NAINT NAINT NAINT OPERATING TOTAL RETURN

ALT COSTS COS COSTS COSTS COSTS COSTS (X)ALT 0 0.0 7.3 10.9 16.2 44125.S 4414.OALT 1 279.2 22.9 13.1 315.1 27593.0 27908.1 62.2

- 94 -

MDI-n123 EPUTWSIT lINAL t UNN OM" - RAMIOUMJ (35.0 Km)TOTAL VERAVM DAILY TRAFFIC (TIO-WAY)

YEAm CARS UTILTY IPA SMLTRK NEDTRK HVYTRK ARTTRK TOTAL1991 2032 488 1350 791 4055 62 36 B18S1992 2217 133 1449 844 4327 66 39 9474199 2419 So1 1155 900 4617 71 42 101841994 3139 434 166s 961 4926 71 4 109471991 2879 692 1790 1025 5256 S0 47 11769194 3141 715 1921 1066 5566 aS 50 12603l997 3427 a23 2061 1150 5894 90 53 134981996 33 S9 2211 1217 6242 95 16 144591999 4079 960 237n 12S9 "610 101 19 154922000 4451 1069 2146 1365 7000 107 63 16601200l 416 1117 2719 1427 7315 112 66 176112002 5210 1212 2904 1491 764S 117 69 186"72003 we6 1311 3101 l5t8 7969 122 n 196342004 6100 1466 3312 1628 8348 128 75 210562005 6600 1S66 3537 1701 8724 133 7t 223602006 7141 1716 37m 177 9116 139 82 237502007 M7 1816 4035 1818 9526 146 86 252342008 6360 2009 4309 `942 995S 152 90 268162009 9046 2173 4602 2029 10403 159 94 285062010 9788 2352 4911 2120 10871 166 96 30310

ECONOMIC COSTS OF ALTERNATIVES(1969 INDIAN RUPEES MILLION)

ALT 0 ALT IROAD ROAD VEHICLE VEHICLE TOTAL ROAD ROAD VEHICLE VEHICLE TOTALCAPITAL RECURR OPERTO. TINE ECONOMIC CAPITAL RECURR OPERTO. TIME ECONOMIC

YEAR COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS COSTS1991 0.0 1.6 591.8 160.9 754.3 23.1 1.3 591.8 160.9 77.21992 0.0 0.7 624.7 172.0 797.3 92.5 0.4 624.7 17n.0 889.61993 5.7 1.6 690.7 186.9 885.1 138.8 0.5 690.7 186.9 1017.01994 0.0 0.6 719.9 197.9 918.3 138.8 0.5 755.4 202.4 1097.2199f 0.0 0.6 786.1 214.1 1000.8 69.4 0.5 825.5 219.5 1114.91996 0.0 0.6 849.7 230.3 1080.6 0.0 0.8 460.2 156.4 617.5199T 0.0 0.6 917.0 247.6 1161.2 0.0 0.8 495.7 167.3 663.91996 0.0 0.6 991.4 266.6 1258.6 0.0 0.8 532.1 176.9 711.919l 0.0 0.6 1073.6 287.8 1362.0 0.0 0.8 571.5 191.4 763.82000 0.0 0.6 1154.3 309.4 1464.3 18.0 0.8 614.9 204.9 838.62001 1.7 0.9 1215.7 327.6 1549.8 0.0 0.8 653.3 217.3 671.42002 0.0 0.6 1263.3 343.7 1607.5 0.0 0.6 693.9 230.4 925.12003 0.0 0.6 1341.6 366.7 1712.8 0.0 0.8 737.7 244.5 983.1Z004 0.0 0.6 1417.6 386.3 1806.4 0.0 0.8 788.1 259.8 1048.72095 0.0 0.6 1492.6 411.1 1904.2 18.0 0.8 859.3 277.5 1115.62006 0.0 0.6 1571.8 431.4 2007.7 0.0 0.8 926.7 296.2 1223.72007 0.0 0.6 1615.5 461.1 2117.2 0.0 0.8 967.6 311.1 1303.52006 0.0 0.6 1744.1 486.1 2233.1 0.0 0.8 1017.6 336.1 1394.72009 1.7 0.9 1837.7 517.5 2361.8 0.0 0.8 1136.5 359.0 1496.42010 0.0 0.6 1913.6 544.0 2458.1 *1U .0 0.9 1232.3 385.2 1474.4

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COSTS UIMPARY AND COMPARISONS(1989 INDIAN RUPEES MILLION)

CONST TOTAL VEHICLE INTERNALRECON PERIODIC ROUTINE CONST & OPRTO. * RATE OFLPGRD NAINT NAINT MAINT TIME TOTAL RETURN

ALT COSTS COSTS COSTS COSTS COSTS COSTS tX)ALT 0 0.0 17.3 14.1 31.3 30414.0 30445.3ALT 1 300.8 53.9 15.9 370.6 19997.6 20368.1 49.3

-96-

Annex 5.1

INDIA

SECOND NATIONAL HIGHWAY PROJECT

SELECIED DOCUMENTS IN THE PROJECT FILE

selected Doensnthe state of Haryana

State Projeo Profile Annex

Survey, Investigation and Project Preparation for Four-Laning of NHI, January1990.

Traffic Volumes on National Highways

Organization of PWD and B&R, Haryana Buildings and State Roads

TypLcal Cross-section of Road ln Rural Area & Other Blueprints

Details of Bridges on NH-1

Dotails of Underpass.. on NH-1

Details of Service Road on NH-1

Growth of Traffic on NH-1

Selected Documents on the Madhva Pradesh state

State Project Profile Annex

Composition of Traffic

Annexure I (4-laning Report)

Annexure I - Old Indore By-pass Report

Annexure II - Cross-section for Indore By-Pass

Annexure III Past Traffic Trends for Fast VehiclesCurrenu Traffic VolumesResults of O.D. Survey

Annexure VIII - Traffic Projection Using Decline Traffic Growth in Five YearPeriods

3conomLc Analysis of the Indore Bypass

Sele,cted Documents on the Maharashtra state

State Project Profile Annex

Traffic Volumes in Xaharashtra state

Drawing of Cross-section

- 97 -

Zxpected Future Traffic

Organization of '?zlic Works Department

MaLn Feaolbillty Report

Feaolblilty DesLgn Report

Belected Documents on the Puniab state

State Project Profile Annex (SPAN Consulting)

Tablo 1s Traffic Volumes, p. 17-18

Growth of Trafflc (Past Trends), p. 11

PND OrganlzatLon Chart

Annoxure 1, blueprint ln back

Annexure 2, blueprLnt ln back

Table 5, p. 25

Selected Documents on the West Benoal state

State Project Profle- Annex (Development Consultants Ltd.)

Details of Pre Ant Trafflc IntensLties

AdditLonal tables

General Abstract of Cost

Selected Documents on the state of OriLsa

State Project Profile Annex

organLzatLon of NH Wing

Typical Cross-section of non-urban road

Number of Vehlcles RegLitered in OrLssa State

Trafflc Survey Index Map

TraffLc Volumes in Orlssa State

Hlstorlc Traffic Data

Average DaLly Trafflc on Project Road

Project Report on Reconstruction of Bridges, December 1991

Compliance Report, March 1992

For each of six bridges: Volume 1 - Cost EstlmatesVolume 2 - Doolgns and DrawLngs

- 98 *

galagted Documentse on the Economic AnalyAt.

HDN input data

HDM output data on each road sectlon

Sel-ctad Doceuonts on Environmental Issues

Details of Resettlement - West Bangal

Details of Rosettlement - Madhya Pradesh

Details of Resettlement - Orissa

IBRD 23764

P NJAB *r- SECOND NATIONALHIGHWAY PROJECT

U T TA R PROPOSED ROAD MODERNIZATION WORKS

\ vRYAHA\ P RA D E S H DOSOSdD ROD MS4Z1ON WO'

-- MA,liONAL NOWAY

\ OILHI ~~~~~~~~~~~~o NtEC¶1 lUSTANDlO 1t4SR A J A S T H A N' DEL ) 0* NArlOMN CAP

- STAll ON UMON iiAioW IOUNOAU\TEDATIONL DOUNDMS

_ Thi. rp a. bon prepare by The W0,lX lanWe aloft .oxeywyth eonni ne* of reers enr I. ha A. intnal u. d

bn pl enA prt of A Worank Groupa kny judm entA legon ett ef any trritory or any andor_e err o aeeene

RAJ THAN

BIHAR

Aknedabaod DIunsPrOaSed Modernization Works

G W A RA r hnd Indore Bypass BEN

MADHYA PRADESH 22-

,_] / / OttR ~~~~~~~~~~~~~~~~~~I S S A

- |Meor AMAHARASHTrRA ., . 24n Cr 1? O ~ ljJ 0 hubonzh

,i, \ f Lo / AI%IDHRA / / °. / s°°o~r 1 l ~~~~~~~~76e PAESHt)

APRIL 1992