Ministry of Public Works and Utilities, Kiribati South Tarawa Sanitation Improvement Sector Project Project Management and Implementation Consultancy Brief

Ministry of Public Works and Utilities, KiribatiSouth Tarawa Sanitation Improvement Sector Project

Project Management and

Implementation Consultancy

Brief Status Update PresentationApril 11th 2013

http://www.ausaid.gov.au/

Overview• Overall • Core Sub Projects• Candidate Sub Projects (Group 1)• Operations and Maintenance• Financial, Economic Analysis and Management • Environment Safeguards• Social Safeguards and Resettlement/Affected Persons• Capacity Development, Training & Skills Transfer• Community Engagement / Public Awareness and GAP• Sanitation Maintenance Fund• Key Project Reports• Other Key Projects Reports and Deliverables• Inception Report and Quarterly Progress Reports• Summary


Overall Project Basic Data ADB Loan Number ADB Loan 2795-KIR / AusAID G0263

Project Title South Tarawa Sanitation Sector Project (STSISP)

Borrower Government of the Republic of Kiribati (GoK)

Executing Agency Ministry of Finance and Economic Development (MFED)

Implementing Agency Ministry of Public Works and Utilities (MPWU)

Project Cost The estimated project cost is $22.48 million equivalent, comprising foreign exchange costs of $7.56 million and local currency costs equivalent to $14.92 million

FinancingSource of Fund Foreign

ExchangeLocal

CurrencyTotal Cost

Per cent

1.Asian Development Bank 7.56 0 7.56 33.6

1.Australian Government (AusAid) 0 13.95 13.95 62.1

1.Government of Kiribati 0 0.97 0.97 4.3

Total 7.56 14.92 22.48 100.0

ADB loan approval October17, 2011

Loan agreement Signed on 3rd May, 2012

Effective on June 01, 2012

Loan closing date December 31, 2019

Loan period elapsed 10.9 % (period June 01, 2012 to March 31, 2013)

ADB review mission Inception Mission, August 06 –13, 2012First Review Mission, November 12-19, 20122nd Review Mission, March 21-28, 2013

Project Region Republic of Kiribati – South Tarawa


Core Sub-Projects

Project Activity Planned as Per Contract

Current Plan and Milestones

Justification

Review Final Detailed Designs Amend Tender Docs if required

• End Sept 2012

• May 2013• (6-7

months late)

Significant Additional Work to Design and Bid Docs already underway:•Preparation of Design Report (not provided in PPTA) – 100%•Preparation of Drawings and Detailed Design (specifications essential)•Revised BoQ and Cost Estimate Required and compare with recent other bids•PPTA Bid Documents not in accordance with PAM

Additional Inputs Required• Design Engineering Inputs (Deputy Team Leader) • Additional CAD Resource for Drawings (Computer Aided Design Specialist)• Coordination and Bid Preparation (Deputy Team Leader and Procurement)• GIS – Map info (GIS Specialist)

Candidate Sub-Project Group 1



Progress and Justification

Identification and Selection of Candidate Sub Project

• Commenced Due - End Oct 2012

• Draft Nov 2012 (now not required)

Option as per Road Map – Appendix 8Trial Projects•28 sites (37 seats) Single and Shared Facilities•Location already confirmed•FS required for confirmation of funding

Feasibility Study • Commenced - Due End Feb 2013

• As planned

• Cost Estimates and scope as PPTA Road Map• Economic Analysis of Candidate Sub-Projects• This is a Trial – Issues with Cost per seat feasibility

of scaling up options in the future – work required on significant cost reduction

Additional Comments• New Budget for Group 1= $610,000 found by ADB from their Water Financing

Partnership Facility• Original Budget $350,000 (now can be used to supplement Candidates Group 2) • Can be used to expand communal toilet trials excluded from Group 1• Group 2 Candidate Sub-Projects brought forward 12 months to beginning 2014 to

support key messages of Community Engagement Program (discussed later)

Operations and Maintenance




O&M Annual Work Plan • Due Start Feb 2013 Deliver End April 2013

• Next input Sep -Nov ‘13

James McPherson O&M Specialist –input Jan to March 2013 worked in PUB together with Financial Advisor

Asset Plans • Due to start Feb 2013

• Same – draft in QPR2

Coordinated with KAPP III – Asset Manager John McLeanData Base of Assets to be developed

Standard Operating Procedures

• Due to Start March 2013

• Same As planned – developed as part of the O&M Manual

Quarterly Progress Reports on O&M

• Oct 2013 • Same Commence in line with Project Quarterly Progress Reports End of May 2013

Staff inputs and Training Plans

• June 2012 • Same

Support PUB Programs & Budgets

• Due to Start May 2012

• Same

Financial, Economic Analysis and Management




Project Financial Management – Project Manual, Training and Accounting and Auditing

• Due to Start September 2012

• April 2013 Focus has been on additional design of Core Sub-Project – behind on Main Implementation. Replacement of Chito Sun arrive 22nd April

Economic Analysis Candidate Sub Projects

• Group 1 – End Feb ’12

• Group 2 – June 2013

• Group 1 – Finished End March

• Group 2 – Dec 2013 (19 months early)

Group 1 to be incorporated in FS reportGroup 2 – In line with community engagement

Financial Management of Utility

• Due to Start Dec 2012

• Commenced Sept 2012 (3 months early)

Jun – Financial Advisor engaged and sitting within the PUB

Assist PUB on Tariff Setting

• May 2013 • Same SMEC taken over Preparing Tariff Action Plan and Strategy from Colin Ward – PIAC – Jan 2013 – tariffs submitted to Parliamentary Committee Feb 2013

Staff inputs and Training Plans

• June 2013 • Same Several training inputs already undertaken in Feb-March 2013

Environment Safeguards




Review and ERAF and EMPS

• Due Sept 2012

• May 2013 (7 months delay)

Pending Design and no EIA currently prepared for Core Sub Projects – Separate EMP’s for each subproject

Assist MPWU on submitted EIA – Local Approval

• Not included

• Must be resolved before going out to bid

Environment Licence RequiredIEE submitted to MELAD for Core subprojects – Aug 2012 but not received. Subsequent submission in February 2013 – response indicates need for BEIA if HDD used. For Candidate subprojects application in December. Possible to combine Candidate subproject and Core subproject BEIA

Additional Comments• Significant additional unplanned cost and time was experienced on the TEMAIKU

Project. This has been estimated at >50K and approximately 6+ months• Potentially Unlikely to receive environmental licence for the Project prior to call for

tender however must be in place pre-construction• Realistic scope including costs required to obtain licence

Social Safeguards and Resettlement/ Affected Persons




Review Resettlement Framework

• Due Sept 2012

• Agreed as March 2013

Reviewed Framework and Matrix & made recommendations for allowances /costs Rates approved by Lands Commission 4th March 2013 for STSISP only

Review update and confirm approved resettlement plan

• End Oct 2012

• Unknown – Requires Resolution

Land issues need to be resolvedIf GoK cannot settle land issues in Bikenibeu it may be necessary to remove Bikenibeu from Core subprojects

Social safeguard inputs to bid documents

• Due Sept 2012

• April 2013 Bid documents in process of design

Social Monitoring & Evaluation Plan

• Due Nov 2012

• Unknown To prepared in line with Resettlement Plan – update in QPR2

Additional Comments• Significant Land issues pumping stations 1, 5 & 6 owners may have to be pursued in land court to agree

level of compensation and payment (no current date for resolution due to current back-log in the courts)

• For Bairiki drilling location it is preferable to use Mormon church land . Discussions have already been held and there does not appear to be any problem, but written confirmation is needed.

Capacity Development, Training & Skills Transfer




Review existing management MPWU and PUB

• Nov 2012 • Nov 2012 Greg Jordan input Oct-Nov 2012 -Included in Initial Draft Capacity Development Plan as Appendix in QPR1

Institutional Strengthening Recommendations

• Nov 2012 • Nov 2012 In plan mentioned above

Capacity Development Training Plan

• Nov 2012 • Nov 2012 Draft in QPR1

• Final working Doc April 2013

Initial Draft Capacity Development Plan issue of draft Feb 2012Includes Environmental/ Social / Finance / Community Engagement training

Recruit and Management of Specific Training Consultants

• Nov 2012 to April 2013

• Jan- May 2013 Specialist training needs defined inGreg Jordan 2nd visit March-April 2013. Procurement specialist arriving April 2013 can continue management consultant recruitment

Additional Comments• Concern for insufficient budget for training requirements. Some

inconsistencies are apparent but overall budget appears to be sufficient.

Community Engagement / Public Awareness and GAP




Review and Update Community Engagement Strategy and GAP

• Due Aug 12 • Completed Sept 2012

This is complete

Community Engagement Work Plan

• Due end of Dec 2012

• April 2013 Currently in draft form awaiting time of Community Mobilisers Engagement

Community & GAP Training

• Due Sept 2012 till April 2013

• As planned Currently underway with recruitment and training of interviewers

Community Consultative and participative planning workshops and meetings

• Due Oct 2012 till Nov 2012

• Apr – Jun 2013

Commenced. Participative planning cannot commence till Community Mobilisers are appointed (this is also dependent on Imprest account)

Recruit and Train Gender Mobilizers

• Due Jan 2013 • Mar-Apr 2013 Pending ADB approval relating to remuneration

Public Awareness Campaign

• March 2013 • May-Jun 2013 Coinciding with core sub-project bid document finalisation

Baseline / Mid Term and End of Project Surveys

• Due Feb 2013• 2017 & 2019

• Nov 2013 Commenced early

Additional Comments

• Issue with advocating non open defecation when no alternative is available• This is a justification for bringing forward the Candidate Sub-Project Group

2 to potentially look at communal toilets as an alternative to open defecation and modifications to pig pens to reduce groundwater pollution

Community Engagement / Public Awareness and GAP


Sanitation Maintenance Fund




Study Sources of finance for the Sanitation Maintenance Fund

• March 2015 • Nov 2012 Real and current issue. Needs to be established and tested as early as possible as an environment component of a combined invoice with power and water supply

Establishment of Sanitation Maintenance Fund and Revenue Sources

• April 2015 • October 2013 Activities have proceeded in this quarter to set up the SMF Imprest Account asap. However it is unlikely that revenue will be confirmed until new tariffs have been approved

Procedures for disbursement of maintenance funds

• May 2015 • Potentially 2013

Monitoring of operation of the maintenance fund

• June 2015 • From when the fund established

Additional Comments• Potential issues with combined billing to be carefully assessed• Possible legal issues will be assessed by Michael Sinclair – home input

Key Project Reports

Project Report Planned as Per Contract



Inception Report Sept 2012 Mid Sept 2012 Updated Oct 2012 Addition Nov 2012

Significant items addressed - design, environmental, etc.Additional review time

Quarterly Progress Reports

First Due Dec 2012

QPR1 Feb 2013 Currently preparing 2nd QPR – due April 2013

Mid-Term Review Reports

Due Feb 2016 As planned Annual Reports not required in ToR

Final Report 2019 As planned


Other Key Projects Reports and Deliverables

Project Report / Deliverable

Planned as Per Contract



Detailed Quality Plan During works

Aug 2013 Dec 2013 Due to additional design and delayed bidding

Project Website September 2012

May 2013 Website under construction starting with community engagement activitiesProject design and bidding has taken precedence

Project Performance Management System Framework

Jan 2013 As planned ADB requirement to be within 6 months of start of Project. Framework needs populating.

Community and Public Activities Completion Report

End of Project As planned

Procurement Plan Feb 2013 Apr 2013 Rev 1 as QPR2

In line with Bid Preparation – training already commenced Nov 2012

Bid Evaluation Reports In line with Bids

As planned In line with bids

Inception and Progress Reports Document name or title Deadline for

submissionActual submission

datesRecipient and

status

Project Inception Report 18 Sep 2012 22 Sep 2012 Comments received from ADB

Ditto final – 20 Oct 12 Included revisions based on comments

1st Quarterly Report20 Jan 2013 (3 months after Inception Rep)

22 Jan 2013 Reviewed by MPWU and ADB

ditto Rev 2 - 14 Feb 2013Revised format according to client/ ADB / PAM

ditto Rev 3 - 25 Feb 2013 Forwarded to ADB

ditto Rev 4 - 4 Mar 2013 Cosmetic - printout

2nd Quarterly Report20 Apr 2013 (3 months after 1st QPR)

22 Apr 2013 For Review by MPWU and ADB

Source: PIU Consultant, April 2013


Other Project Reports to dateDocument name or title Deadline for

submissionActual submission dates Recipient and status

Revised PPMS 28 Feb 2013 In process In process

Design Report (not original deliverable) 15 Dec 2012 16 Jan 2013 Draft submitted to ADB/ MPWU – review ongoing

ditto Rev 1 – 20 Feb 2013 Includes JM comments and revisions

ditto Rev 2 – 11 Mar 2013 Includes changes to PS1 and PS5 Bikenibeu

Capacity Development & Training (Initial) Plan 30 Nov 2012 22 Jan 2013 Included as draft in App 3

of QPR1

Capacity Development & Training (Updated) Plan 22 Apr 2013 Included as draft in

Appendix of QPR2

Procurement Plan No official deadline 22 Jan 2013 Included as draft in App 4 of QPR1

Updated Procurement Plan 22 Apr 2013 Included as draft in Appendix of QPR2

Financial Action Plan No official deadline 22 Jan 2013 Included as draft in App 1 of QPR1

Sanitation Maintenance Fund Manual No official deadline 22 Jan 2013 Included as draft in App 2 of QPR1

Resettlement Plan No official deadline 22 Jan 2013 Included as draft in App 9 of QPR1

Community Engagement and Gender Action Plan

No official deadline 22 Jan 2013 Included as draft in App 10 of QPR1

Source: PIU Consultant, February 2013


Summary

• Good progress to date on the overall Project• Significant additional work on design and bid documents including

drawings which has affected the timing of some Project components• Core-Projects have slipped by approximately 6 months due to

incomplete bid documents and missing design from PPTA• Project design is being updated and revised to reduce project risk

and budget overrun – however has required some additional resources and person months – included in VO1

• Strong Project coordination developing and therefore promoting resolution of highlighted issues

• Confident all the above can be successfully achieved along with ongoing delivery across all Project components

• The overall ‘Project Objective’ is on track.

Copy of this Presentation Available - Any Questions?

Kam Raba!
