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North-South Economic Corridor: A Case Study. The Economic Corridor Approach. Infrastructure is developed in specific geographical areas based on economic potential. Usually starts with transport links, but extends to other infrastructure as well as the “software” for their optimal use. - PowerPoint PPT Presentation
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Mo
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te, K
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, Th
aila
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Randy S. Balaoro, CE, MM, PMP
North-South Economic Corridor:A Case Study
Mo
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GM
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, Th
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Randy S. Balaoro, CE, MM, PMP
Infrastructure is developed in specific geographical areas based on economic potential.
Usually starts with transport links, but extends to other infrastructure as well as the “software” for their optimal use.
Some Characteristics of Economic Corridors:– Create links to major markets;– With nodal points – centers of enterprise development;– Extend the benefits of improved transport linkages to remote
locations and integrates them with more prosperous areas;– Open up investment opportunities;– Promote synergies through the clustering of projects;– Provide demonstration effects.
The Economic Corridor Approach
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GMS Economic Corridors
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– Endowed with abundant natural and human resources
– Many complementarities among NSEC areas– A “natural” economic corridor
Development Potential
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– Serves as one of the main land routes in GMS– Opens up another sea access to landlocked areas– Links the economic hubs in the central and
northern areas of the GMS region– Improve infra along the axis of corridor– Serves as principal gateway for China-ASEAN trade
Strategic Role in GMS Development
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TOWARD SUSTAINABLE AND BALANCED DEVELOPMENT OF THE NORTH-SOUTH ECONOMIC CORRIDOR
Strategic Framework
Ultimate GoalsVision
Dynamic, progressive, well-integrated
Locomotive for socio-economic development
Able to attract domestic and foreign investment
Functioning as gateway for ASEAN-PRC trade
Objectives
Generate higher income
Increase employment opportunities
Reduce income disparities
Improve living conditions
Ensure that NSEC
development is
economically,
socially and
environmentally
sustainable
Enhance the
competitiveness of
the corridor
Pursue underlying
comparative
advantages and
complementarities
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TOWARD SUSTAINABLE AND BALANCED DEVELOPMENT OF THE NORTH-SOUTH ECONOMIC CORRIDOR
Strategic FrameworkStrategic Priorities
Mainstream measures dealing with social and
environmental concerns
Strengthen physical infra needed for
economic integration
Facilitate cross-border transport and trade
Address human resource constraints
Establish/enhance institutional
arrangements and mechanisms
Objectives
Ensure that NSEC
development is
economically,
socially and
environmentally
sustainable
Enhance the
competitiveness of
the corridor
Pursue underlying
comparative
advantages and
complementarities
Promote investment in key sectors and development of
industrial clusters
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• Regional development initiative between PRC, Lao PDR, and Thailand.
• Road project will link 2 rapidly growing economies of PRC and Thailand via Lao PDR.
• Project will provide access to markets, income and employment opportunities, and enhance tourism development potential in the area.
North-South Economic Corridor Project
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North-South Economic North-South Economic CorridorCorridor
66.43km – Boten to Louang Namtha (PRC)75.85km – Louang Namtha to Ban Sod (Lao PDR)84.00km – Ban Sod to Houayxay (Thailand)
66.43km – Boten to Louang Namtha (PRC)75.85km – Louang Namtha to Ban Sod (Lao PDR)84.00km – Ban Sod to Houayxay (Thailand)
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Resettlement Plan (PRC)
Resettlement Plan (PRC)
Resettlement Plan (Lao
PDR)
Resettlement Plan (Lao
PDR)
Resettlement Plan (Thai)
Resettlement Plan (Thai)
Income Restoration
Income Restoration
Rural Access Road
Rural Access Road
Water and Sanitation
Water and Sanitation
Community Infrastructure
Community Infrastructure
Env. Impact Assessment & Monitoring
Env. Impact Assessment & Monitoring
Policy and Procedure
Policy and Procedure
Stakeholder Analysis
Stakeholder Analysis
Rapid Appraisal and
Evaluation
Rapid Appraisal and
Evaluation
NSEC Road Project
NSEC Road Project
Resettlement Component
Resettlement Component
Capacity Building Component
Capacity Building Component
Special Action Plan Component
Special Action Plan Component
Road ComponentRoad Component
Road Upgrading
Road Upgrading
Bridge Construction
Bridge Construction
Ferry FacilitiesFerry Facilities
Bypass Road Construction
Bypass Road Construction
NSEC Project Components
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An additional $8.5m is estimated to complete the repair works on the Thailand section of the road.
Total Project Costs
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• Increase in project cost due to defects, much greater earthworks required, and price escalation.
• Delay in schedule due to wet season.• Road charges cannot be implemented, thus
affecting the financial viability and maintenance of the project.
Road Component Issues
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Available budget for road maintenance is only $130 per km.
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• 2,550 people in 502 families were affected.• 122 hectares, mainly rice land, and 1.7 hectares
of residential land is to be acquired.• 543 dwellings, 61 small shops, and 133 rice
storage have to be relocated.• Delay in the preparation and implementation of
resettlement plan.
Resettlement Component
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• Income restoration through fishpond operation, transforming idle lands into productive rice paddies, increasing productivity of existing rice paddies, and backyard hog raising.
• Construction of water supply system and latrines in selected villages.
• Construction of access roads to school, cultivation area, within the villages, and improvement of some school yards.
SAP Component
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• Establishment of environmental monitoring plans and procedures.
• Capacity building of the Environmental Research Institute.
• SEIA mitigating measures not properly implemented due to non-inclusion in the contract with contractors.
• No environmental bond required in the contract.
Capacity Building Component
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• Travel time was reduced dramatically by 60%.• Vehicle Operating Cost (VOC) is reduced by 43%
for cars, 14% for buses, and 21% for heavy trucks.• Volume of traffic in the area increased also.
Project Outcome
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Mo
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Project Impact
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• As member of the Project Completion Review Mission (PCRM), you are to evaluate the overall performance of the project.
• You can use Relevance, Effectiveness, Efficiency, Sustainability, and Impact as basis for evaluation.
• Analysis should be supported by facts or information provided in the case.
Project Completion Report
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Mo
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Good luck
