Technical Assistance Consultant’s Report

Lao People's Democratic Republic: Prefeasibility Study Report TA 7243: Implementation of Asian City Transport Vientiane Sustainable Urban Transport Project Financed by the Asian Development Bank For: Ministry of Public Works and Transport Lao People's Democratic Republic This consultant’s report does not necessarily reflect the views of ADB or the Government concerned, and the ADB and the Government cannot be held liable for its contents.

CURRENCY EQUIVALENTS (as of February 2011)

Currency Unit – Kip (KN) KN 1.00 = $0.0001242

$1.00 = KN 8,043

ABBREVIATIONS ADB – Asian Development Bank AM – Aide-Memoire CCF – Climate Change Fund CTA – Chief Technical Advisor DMC – Developing Member Country DMF – Design Monitoring Framework DOT – Department of Transport DPWT – Department of Public Works and Transport DUPH – Department of Urban Planning and Housing EA – Executing Agency EIRR – Economic Internal Rate of Return EMP – Environmental Management Plan ESE – Environmental Safeguards Expert EST – Environmentally Sustainable Transport FIRR – Financial Internal Rate of Return GHG – Green House Gases IEE – Initial Environmental Examination IA – Implementing Agency JICA – Japan International Cooperation Agency LDC – Least Developed Countries LRM – Lao Resident Mission of ADB MPI – Ministry of Planning and Investment MPWT – Ministry of Public Works and Transport NDF – Nordic Development Fund NEC – National Environmental Committee NTP – Notice to Proceed O&M – Operations and Maintenance PEA – Pilot EST Agency PDR – People’s Democratic Republic PPTA – Project Preparation Technical Assistance STI – Sustainable Transport Initiative SUT – Sustainable Urban Transport SUTF – Sustainable Urban Transport Fund TA – Technical Assistance TDM – Traffic Demand Management UDAA – Urban Development Administration Authority VSBC – Vientiane State Bus Company VSUTP – Vientiane Sustainable Urban Transport Project VUDAA – Vientiane Urban Development Administration Authority WACC – Weighted Average Cost of Capital WREA – Water Resources and Environmental Agency

NOTE: In this report, "$" refers to US dollars.

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Figure 1.1 Vientiane Urban Area

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CONTENTS

Page I. BACKGROUND 5 II. THE PROJECT 6 A. Rationale 6 B. Project Components 8 C. Impact, Outcome, and Outputs 10 D. “Indicative” Investment and Financing Plans 10 E. Economic and Financial Assessments 11 F. Safeguard Issues 11 G. Expected Implementation Arrangements 11 III. TECHNICAL ASSISTANCE 11 IV. PROJECT PREPARATORY TECHNICAL ASSISTANCE 12 V. PROCURMENT, RISKS AND NEXT STEPS 12 VI. KEY PROJECT ISSUES TO BE ADDRESSED 14

APPENDICES

1 List of People Met 15 2 Problem Tree Issues 17 3 Proto – Design Monitoring Framework 18 4 Potential Institutional, Funding, Capacity Building and other

Supporting Framework 21

5 Public Transport Improvements and Pilot Route Development

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6 Traffic Management 35 7 Parking Survey and Analysis 78 8 Walkability Survey 93 9 Traffic Survey 103

10 Economic and Financial Assessments 107 11 Resettlement, Gender and other Social Safeguards 117 12 Rapid Environmental and IEE Assessments 147 13 14

Indicative Implementation Schedule Stakeholder Workshop Comments and Project Response

167 168

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I. BACKGROUND

1. The regional project preparatory technical assistance (R-PPTA 7243): Preparing the Implementation of Asian City Transport – Promoting Sustainable Urban Transport in Asia Project was approved by the Board of the Asian Development Bank (ADB) on 19 February 2009, with an amount of $2,800,000 financed under the Climate Change Fund (CCF). The R-PPTA aims to (i) promote urban economic development, and (ii) reduce local pollution and greenhouse gas emissions by developing sustainable urban transport systems that promote non-motorized and public transport while managing the use of private vehicles traffic1

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2. Vientiane was selected as one of the three pilot cities under the R-PPTA. Kathmandu, Nepal and Davao City, Philippines were also included as pilot cities. An ADB reconnaissance mission (the Mission)2 was fielded to Vientiane, Lao PDR in April 20103

in order to discuss the Vientiane Sustainable Urban Transport Project, VSUTP (the Project). The Mission’s purpose was to (i) confirm project subcomponents with Government; (ii) determine the relationship of such work with that of others donors, most notably JICA; and (iii) confirm the work schedule for the feasibility study under the R-PPTA.

3. This report has been prepared by a team of individual consultants4, selected by the ADB in accordance with its guidelines. ADB does not have a specific format or template for this type of “scoping” TA. It is clear, though, that the output from this TA will most likely provide much of the basis for an eventual Concept Paper, and be used to assist in the scoping of the PPTA5

. In order to assist with these expected requirements, the presentation of this report has generally been patterned after the ADB Concept Paper template. T he intension is to make it easier to formulate and proceed with the next steps in project processing.

1 R-PPTA 7243 was part of the ADBs Sustainable Transport Initiative (STI) that was created in 2006. The purpose of the STI was to enhance transport sector interventions in order to develop sustainable urban transport (SUT) programs and projects that will provide demonstration/pilot cases for low carbon urban transport solutions and act as a catalyst for further SUT work in ADB’s lending portfolio. 2 The Mission comprised Jamie Leather, Principal Transport Specialist, RSID; Jim Lynch, Director SETU, and Phomma Chanthirath, Project Implementation Officer, LRM. 3 The Mission met officials of the Government including Ministry of Public Works and Transport (MPWT) and Vientiane Urban Development Administration Authority (VUDAA), the Department of Transport (DOT), and t he Department of Urban Planning and Housing (DUPH). An Aide Memoire (AM), dated 9 April 2010, acknowledged between the ADB and the Department of Planning and Coordination, MPWT, summarized the findings of the Mission. 4 The team consisted of: Urban Transport Specialist/Team Leader, International, Robert M. Anderson; Public Transport Specialist, International, Richard Mabbitt; Transport Economist/Financial Expert, International, Sudhisakdi Manibhandu; U rban Transport Specialist (National), Phongsavanh Inthavongsa; Public Transport Specialist (National) Saykham Soukvanheuang; Transport Economist/Financial Expert (National) Sumphorn Manodham; Social Development/Social Safeguard Expert (National), Chansamone Phengkhay; Environmental Safeguards Expert (National) Somvang Thammavongsa; and Social Development/Social Safeguards Expert (National), Minivanh Pholsena. 5 The PPTA is in the LRM pipeline5 for 2011. ADB. 2010. Indicative Pipeline, Table A2. Lao Resident Mission.

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II. THE PROJECT A. Rationale

4. The ADB is taking a leading role within the international development community in support of environmentally sustainable transport. It has recently issued its operational plan for sustainable transport (the Plan) outlining the form and thrust of its support for future bank operations in sustainable transport6. The Plan was aligned with ADB’s Strategy 20207

. The Strategy recognized transport as an integral part of most of the activities, goods and services required as DMCs strive to establish a sustainable pattern of development. The planning and implementation for future ADB sustainable transport operations has been divided into three phases. This VSUTP is part of Phase 1 (2010 -2011), i.e. “studies and pilot testing of new types of sustainable transport operations”. In a wider sense this two year initial phase is designed to carry out research, consultation, and pilot testing of a range of projects that would eventually lead to new partnerships and new types of ADB transport sector operations. The Plan readily recognizes that the “emerging urban transport problem will be the biggest transport challenge for developing Asia and the Pacific in the coming years”.

5. In order to contribute to the outcome of ADB’s STI, and to align ADB’s lending to Lao PDR in the transport sector with the delivery of clean and energy efficient transport infrastructure and services, this TA will be the initial step in identification and prioritization of SUT pipeline projects for Lao PDR. It will develop demonstration/pilot cases for low carbon urban transport solutions and act as a catalyst for further SUT work in Vientiane, and ultimately throughout the country. 6. The Government has prepared a (draft) Seventh National Plan for submission to the next National Assembly8. The four targets of the Seventh National Plan are: (i) ensured national economic growth, at a minimum of 8% of GDP per year; (ii) achievement of Millennium Development Goals by 2015, and graduating from LDC status by 2020; (iii) achievement of sustainable economic development by preserving national resources and protecting the environment; and (iv) ensured political stability, peace and an orderly society. The VSUTP is consistent with these targets, in particular target (iii) the achievement of sustainable economic development and the protection of the environment9

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7. Lao PDR, through the Ministry of Works and Transport (MPWT) has prepared a draft national environmentally sustainable transport (EST) strategy10. The final draft of this EST strategy has been prepared. I t is currently undergoing “final screening” by the Lao PDR, National Environment Committee (NEC), chaired by the Deputy Prime Minister. NEC approval is expected in early 2011. Once it has been finalized and officially issued, the EST strategy will become the overarching EST policy and implementation guideline for the country11

6 ADB. 2010. Sustainable Transport Initiative Operational Plan. Manila.

. The

7 ADB. 2008. Strategy 2020: The Long-Term Strategic Framework of the Asian Development Bank 2008–2020. Manila. 8 Government of Lao PDR 2010. “Draft” Executive Summary: The Seventh National Socio-Economic Development Plan (2011-2015). Vientiane, Capital. The next National Assembly is scheduled to meet in early 2011. 9 Within this target, the Seventh Plan has a s ub-target: “To set up m odels for managing green environments, particularly in the for cities along the Mekong River: Vientiane Capital, Luang Prabang, Kaysone Phomvihane and Pakse. Establish clean development and carbon credit mechanisms in maximize the benefits for the country”. 10 Ministry of Public Works and T ransport. 2010. The National Strategy and Action Plan on Environmental Sustainable Transport, Lao PDR (DRAFT). Vientiane. 11 The strategy is divided into three phases: short term (up to 2010); medium term (2011-2015); long term (2016-2020).

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Government envisions that this EST strategy will be used: ( i) as a tool for management, monitoring, and evaluation of land transport on a n ationwide basis; (ii) as a guideline for policy decision makers on transport sector in the whole country; (iii) as a national guideline for planning and investment in the transport sector; and (iv) for identifying and prioritizing activities of the national action plan for the transport sector. The EST strategy will establish action plans for nine areas12

Two of the action plans: Transport Planning and Travel Demand Management; and Environmentally and People Friendly Urban Transport Infrastructure Development are directly in line with the scope of the VSUTP.

8. JICA Japan International Cooperation Agency (JICA) is an active donor partner in providing development technical assistance in the transport sector to the city of Vientiane. Among recent studies undertaken by JICA are (i) the 2008 Vientiane urban transport master plan13 (VUTMP), including the on-going follow up study to improve the public bus capacity in Vientiane14 (TCPB); and (ii) the Vientiane urban master plan15

(VUDMP), which is presently under preparation. T he VUTMP is the most comprehensive transport study of its kind yet undertaken for Vientiane

9. Historically the World Bank has also been a m ajor donor partner in the transport sector in Lao PDR. Presently the World Bank only has one active project: the Road Sector Project16

. The objectives are (a) to improve road services on two main national corridors and the provincial road network; (b) to rehabilitate roads damaged by Typhoon Ketsana in the five affected southern provinces (Attapeu, Sekong, Saravanh, Champasack, and Savannakhet); and (c) to establish and support an emergency contingency fund that will disburse quickly for emergency civil works and construction materials needed to ensure safe operations of affected national and provincial road links during periods of emergency. There are no other World Bank transport projects in the pipeline for Lao PDR.

10. Vientiane Capital City is composed of nine Districts17 encompassing almost 4,000 square km and a present day estimated population of about 750,00018. The urbanized areas are primarily concentrated in only four of the Districts: Chanthabouly, Xaysettha, Sisattanak, Sikhottabong, with an estimated population of about 500,000. [See Figure 1 at the beginning of this report.] The focus of this TA is the city central core area, entirely located in Chanthabouly District. T his core area19 is relatively small, and only totals about 1.6 square km20

12 EMT has developed Action Plans for (i) Affect on Health (Road Safety); (ii) Ambient Air Quality Monitoring and Management; (iii) Vehicle Emission Contract; (iv) Inspection and Maintenance (I/M) of Vehicles; Regulation of Fuel Quality of Standard; (v) Transport Planning and T ravel Demand Management; (vi) Environmentally and P eople Friendly Urban Transport Infrastructure Development; (vii) Traffic Noise Monitoring; (viii) Information and P ublic Awareness; and (ix) Gender Issues.

. I t is a

13 JICA. 2008. The Study of Master Plan on Comprehensive Urban Transport in Vientiane in Lao PDR. Prepared by Katahira & Engineers International. Final Report, September 2008, Vientiane, Lao PDR. 14 JICA. 2010 (on-going). The Project for Improvement of Transportation Capacity of Public Bus in Vientiane Capital of Lao P eople’s Democratic Republic. The Outline Design Report has been prepared by Katahira & Engineers International., December 2010. Vientiane, Lao PDR. 15 JICA 2010. The Project for Urban Development Master Plan Study in Vientiane Capital. Under preparation by Nippon Koei Co., Ltd., International Development Center of Japan, Pacet Corp., and Oriental Consultants Co., Ltd. Progress Report<Summary>, June 2010. Vientiane, Lao PDR. 16 The Road Sector Project was approved on 25 M arch 2010 (closing date 30 September 2014) with a total project cost of $43.18 million; and with three themes: regional integration, natural disaster management, and infrastructure services for private sector development. The implementing agency is the Ministry of Public Works and Transport. 17 The nine districts are Chanthabouly, Xaysettha, Sisattanak, Sikhottabong, Xaythani, Haythani, Pak-Ngum, Naxaithong and Sangthong. 18 Ministry of Planning and Investment, Lao Department of Statistics. Statistical Yearbook 2009. Vientiane. 19 Refer to Figure A6.1 in Appendix 6. 20 The influence area for use of public transport services is about 2.5 square km.

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relatively narrow area about 2.5 km in length lying along the northerly banks of the Mekong River. The central core area is a rich mixture of governmental, educational, religious, commercial, financial and residential development. An important feature of the central part of Vientiane is the Conservation Zone21, or sometimes referred to as the historical zone or the heritage zone. Almost all of the study core area study lies within the Conservation Zone22

. This area is also the tourist center of the city, containing many of the hotels, restaurants, and tourist areas, including five historical Buddhist temples.

B. Project Components

1. Introduction

11. The terms of reference of the TA identifies three components or packages of the Project: institutional strengthening and capacity development; a p ilot public transport service and facilities; and a demonstration traffic management scheme. These three divisions of project implementation have generally been followed in the report. As the project preparation process moves forward it might be more appropriate to consider dividing the Project into four components/packages: (i) institutional development and capacity development; (ii) a pilot public transport service and facilities; (iii) parking structure and facilities; and (iv) demonstration traffic management scheme.

2. Potential Institutional, Funding, Capacity Building and other Supporting Framework

12. Based on assessments of current awareness, capacity and needs in the provision, use, management and regulation of the urban transport system in Vientiane, an institutional framework, funding mechanism and capacity building component of the VSUT pilot project has been identified in concept. A proposed pilot EST Agency (PEA) under agreement among, and joint oversight of, all stakeholder agencies will implement, manage the operation and maintenance, and finally extend the solution beyond the pilot project. The pilot entity’s work will be funded through a fiscal measure designed to ensure financial sustainability, and supported by a capability building program that includes strengthening of its management through specialized consulting services commencing at the beginning of implementation and retained through the start-up phase of operations, and an awareness and community participation program to promote public ownership of the VSUTP.

3. Public Transport Improvements and Pilot Route Development

13. The concept of an inclusive EST public transport system, propelled by clean/efficient energy does not yet exist in Vientiane. Even the basic acceptance that reliability, efficiency, and safety should be integral parts of any public transport system is not practiced. I n order for the city to move in the direction of EST it will require a major shift not only in operational business plans, but also in the basic thinking of public transport carriers. The most effective short term means for Vientiane to begin to move toward sustainable transport will be the implementation of a small, pilot public bus system. Presently there is no public bus service that directly services the Vientiane core area. Based on reviews of recent transport studies, the feedback from focus

21 Refer to Figure A6.5 in Appendix 6. 22 The National Historical and Cultural Heritages Preservation Law declares that five temples (Inpeang, Onteu, Sisaket, Ho Pakeo, Si Muang), one monument, That Luang, and the surrounding areas are protected areas.

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groups and individual interviews with stakeholders, there is pent up demand for dependable, clean and affordable public bus transport services in the core area of the city. 14. Based on a study of existing traffic and the basic internal street layout of the core area, two closed loop routes have been defined that will provide public transport bus coverage to essentially the entire city core area. These routes are depicted graphically in Figure A5.1. The operational model for the proposed development of these two pilot bus shuttle routes is to be based on the following guidelines: (i) maximum convenience to passengers; (ii) dependable and punctual time schedules; (iii) air conditioned, with a c lean, comfortable environment within the bus; (iv) relatively low, fixed bus fares, with free (no cost) transferring from one shuttle loop to the other to complete a trip; and (v) utilization of smart card technology for all fare collections, operating under a policy of “no cash transactions” throughout the system. Appendix 5, Public Transport Improvements and Pilot Route Development provided additional details on this component.

4. Traffic Management

15. The management of traffic in Vientiane faces many obstacles – physical, attitudinal and institutional. These include poor infrastructure, lack of parking management, entrenched bad driving habits, a sub-optimal pedestrian environment, and poorly coordinated development administration. These are exacerbated by low public awareness of regulations, low levels of parking and traffic enforcement, poor perceptions of road safety, lack of equipment maintenance, and low operating budgets. At the same time the amount of traffic is increasing dramatically. The total number of vehicles registered in Vientiane Capital has doubled over the last five years. 16. Whilst the volumes of traffic in Vientiane are not high by international standards, the streets are mostly narrow, particularly in the historic central area, and uncontrolled parking reduces road space. Uncoordinated developments also contribute to traffic problems, and there are many more in the pipeline. The center of Vientiane has an attractive environment comprising a mixture of colonial French architecture, low-rise shop houses, temples and shady streets. Traffic management can play an important role in preserving this character. 17. The improvements needed to the road, traffic and pedestrian infrastructure are relatively straightforward to identify, and the costs of doing so are moderate compared to major civil works projects23

. However, these will have minimal impact on traffic movement and road safety if they are not accompanied by institutional change. The effectiveness of any traffic management strategy in Vientiane will therefore depend to a large extent on the presence of enabling conditions. These will involve changes in institutional structure, education and enforcement. These include:

The introduction of effective traffic and parking enforcement The education of drivers, other road users, and the regulators Improved coordination and control of new development schemes 23 Refer to Appendix 6, Traffic Management, which describes the analysis undertaken under the traffic management component of the TA, and includes an assessment of the existing situation, key issues, strategy and identification of potential sub-projects. Reference should also be made to associated appendices on the parking survey, walkability survey, and traffic count, (Appendices 7, 8 and 9 respectively).

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Details of the traffic management assessment are provided in Appendix 6, Traffic Management. C. Impact, Outcome, and Outputs

18. A design and monitoring framework (DMF) will need to be prepared as part of the Concept Paper during the initial phase of project preparation. In order to give some early input to this future exercise, a “proto” design and monitoring framework has been prepared as part of this TA. Refer to Appendix 3. The impact of the Project as it is now envisioned is summarized as: Improved urban transport operations and systems in the Vientiane City core area that contributes to reduced congestion, GHG emissions and traffic accidents, all as part of a SUT program that supports the National EST Strategy. 19. To focus on a single outcome at this stage will, to a large extent depend on progress during the first half of 2011 in trying to come to a joint vision between the Government and the ADB as to the institutional framework for the implementation and O & M of the Project. The target outcome is expected to be: a functioning successful pilot EST agency mandated to operate and maintain traffic management, parking and a pilot public transport system for the Vientiane City core area. D. “Indicative” Investment and Financing Plans 20. An “indicative” investment plan, Table 1, has been prepared. The purpose is to provide ADB with an approximation of the level of costs that can reasonably be expected for the various Project components at this early stage of the Project.

Table 1: “Indicative” Investment Plan ($ million) Item Total % a A. Base Cost b 1. Civil Works 9.7 34.8 2. Vehicles and Equipment 3.7 13.3 3. Land Acquisition 4.2 15.0 4. Resettlement 0.3 1.1 5. Implementation and Monitoring

Consultants 2.2 7.9

6. Institutional Capacity Building Consultants

2.6 9.3

7. Project Administration 0.2 0.7 Subtotal (A) 22.9 82.1 B. Contingencies 5.0 c 17.9 C. Financing During Construction 0.0 d 0.0 Total (A+B+C) 27.9 100.00

a

vehicles and equipment and 1% on consulting services contracts, as applied to base costs and contingencies.

Includes taxes and duties of $ 1.7 million based on a tax rate of 10% on civil works,

b Based on February 2011 prices. c

at 12% of base costs. Physical contingencies computed at 10% of base costs. Price contingencies computed

d

Assumes that all funding will be on a grant basis, i.e. no financing during construction.

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21. An “indicative” financing plan, Table 2 below, has been prepared in order to provide the ADB with an approximation as to the overall level of financing that might reasonably be expected in order to implement the Project. More specifically it is intended to provide early guidance to ADB of the approximate amount of co-financing that will need to be obtained.

Table 2: “Indicative” Financing Plan

Source Amount ($ million)

Share of Total (%)

Asian Development Bank 10.0 b 35.8 Cofinanciers 13.2 a 47.3 Government 4.7

c 16.9

Total 27.9 100.0 a Potential cofinanciers include the NDF, AusAid and others yet to be identified. b Amount indicated for ADB financing based on the 4 July 2010, Indicative Assistance Pipeline, Table A1 of LRM. c Amount indicated for Government financing is based on indicative costs for land acquisition, resettlement and project administration.

E. Economic and Financial Assessments

22. Based on this TA’s prefeasibility assessment, the VSUT project’s economic internal rate of return (EIRR) is 15.3%. A prefeasibility financial assessment conducted on the bus service sub-project shows a financial internal rate of return (FIRR) significantly above the weighted average cost of capital (WACC) of 3%, indicating strong contribution to project financial viability. Finally, a financial statements analysis was conducted for the PEA as the prospective responsible agency for the project. The results support a positive expectation that the PEA will be able to recover its capital and recurrent operating costs in the project’s urban transport infrastructure and services, which is a positive outlook for the PEA’s sustainability. F. Safeguard Issues

No major safeguard issues were identified at this prefeasibility stage. Resettlement, gender and other social safeguard issues are summarized in Appendix 11. Environmental safeguard issues, including a rapid environmental assessment is included in Appendix 12. G. Expected Implementation Arrangements

23. The expected Executing Agency (EA) will be the Ministry of Public Works and Transport. The targeted Implementing Agency (IA) will be the pilot EST unit to be created as a result of this Project, referred to in Appendix 4 as the Pilot EST Agency (PEA)

III. TECHNICAL ASSISTANCE

24. A consultancy for implementation and monitoring will also be r equired. T he interim estimate is that about 42 person-months of international consultants and about 120 person-months of national consultants will be required. Expertise will be required in project

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management, civil works design and preparation of civil works procurement documents, preparation of specifications and procurement documents for vehicles and other equipment, construction supervision, and training in operations and maintenance of vehicles and equipment. 25. Capacity development technical assistance will be a key component of the Project. The assistance would be designed to commence about 1 year before completion of the implementation phase of the Project, and continue for total estimated period of about 6 years. It is contemplated that the assistance would be divided into three subprojects: ( i) a community awareness raising and participation program; (ii) an awareness raising and training program for Pilot EST Supervisory Board members and PEA staff; and (iii) the provision of a Chief Technical Advisor (CTA). The consulting services for the CTA would best be rendered full-time, under a separate contract, by an individual with transport management experience acquired in a successful international integrated urban transport agency, such as Singapore Land Transport Authority, Transport for London, or similar. The interim estimate is that about 81 person-months of international consultants and 18 months of national consultants would be required for the three subprojects24

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IV. PROJECT PREPARATORY TECHNICAL ASSISTANCE

26. A project preparatory technical assistance (PPTA) will be necessary in order to carry out studies/surveys, investigations and preliminary designs required to adequately prepare the required documentation for ADB project approval. The expected “ Targeting Classification” for the Project is “Targeted Intervention” (TI); and the expected Thematic Priority is Economic Sustainability (ECO). I t is estimated that the TA would take about 6 to 8 months to prepare. I t will require a wide range of expertise, including project management; land-use planning; financial and economic analysis; traffic and traffic management engineering; public transport services; architecture and landscape architecture; civil/structural, mechanical and electrical engineering; procurement; training; legal; and institutional capacity development.

V. PROCUREMENT, RISKS AND NEXT STEPS

1 Procurement

27. The initial Procurement Plan for the Project will be prepared as part of the PPTA. In general the procurement will be divided into three categories: (i) civil works and vehicle/equipment procurements required to repair, upgrade and construct new improvements, including a new multi-story car park, and including procurements to provide vehicles and equipment for project operations; (ii) operations and maintenance procurements to select an entity (or entities) to staff, operate and maintain the newly organized PEA; and (iii) consultant procurements. All procurements will be carried in accordance with ADB guidelines and requirements. 24 The international consultant services would include about 4.5 person-months each, for (i) a community awareness and participation specialist, and (ii) for a knowledge management specialist; and about 72 person-months for the international CTA. T he national consultants would include about 9 per son-months each for (i) a community awareness and participation specialist, with a background in public relations and multi-media; and (ii) a knowledge management specialist with a background in training.

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2 Consideration of the Risk Categorization

28. The Project is considered to be Complex, primarily because the Project will be “breaking new ground” in the methodology to be employed in the implementing, operating, and financing of urban transport in Lao PDR. There will be a number of critical risks involved for the Project to be successful. The primary ones are (i) that the National Assembly will approve a new tax or other mechanism to provide sustainable funding for the pilot EST agency (PEA); (ii) that the Government will approve and commit to the policies and action plan of the National EST Strategy; and (iii) that there will be effective cooperation and coordination among national and local governmental units, donors and private sector entities.

3 Next Steps

29. In general the “next steps” will consist of achieving typical ADB project preparation milestones required for any civil works type of project: preparation and approval of the project concept paper; recruitment of the PPTA consultant and preparation of the PPTA report; and preparation and approval of the Report and Recommendation to the President. Based on discussions with ADB project preparation staff at the Transport and Communications Division, Southeast Asia Department, it is anticipated that his process with take approximately 18 to 20 months to complete. T able 3 established indicative dates for achieving the various key milestones in processing the Project. Appendix 13 presents an overall Indicative Implementation Schedule; a detailed implementation schedule will need to be prepared by the PPTA consultant.

Table 3: Next Steps Key Milestones Assumed Date

Approve Project Concept Paper a/ 2nd Quarter 2011 Recruitment of PPTA Consultant(s) 3rd

PPTA Implementation Quarter 2011

4th Quarter 2011 and 1st

Grant Fact-Finding Mission Quarter 2012

2nd

Board Approval Quarter 2012

3rd

Finalize Approval of RRP Quarter 2012

4th

Commence Implementation Quarter 2012

4th Quarter 2012 a/ Including preparation and approval of the Terms of Reference for the PPTA consultants

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VI. KEY PROJECT ISSUES TO BE ADDRESSED

30. Certain key issues will need to be addressed during 2011. These issues are discussed and eluded to throughout this report. Some issues are summarized in Table 4.

Table 4: Key Issues to be Addressed Issue Description Required Clarity and/or Action to

be Taken Integrated approach to project implementation and operations

Responsibility for traffic management, public transport and parking in core area to be integrated under one unique entity, the pilot EST agency (PEA).

Preliminary confirmation from a representative cross section of governmental decision makers in support of an integrated and coordinated approach using the PEA concept.

Financial sustainability

This issue is discussed in detail in Appendix 4, i.e. the institutionalization of a specific fiscal measure designed to ensure financial sustainability

MOF will need to move forward with establishing an EST tax (or similar fiscal measure) for presentation to the National Assembly

Operational sustainability

This issue is discussed in detail in Appendix 4, i.e. the creation of a PEA within the governmental organizational structure

MPWT or other entity will need to move forward with the establishment of a PEA, including drafting of pilot EST MOU among stakeholder entities

Bus maintenance facility site

A definite site for the bus maintenance facility was not able to be identified during this pre-feasibility study.

Government to provide a short list of possible sites for the bus maintenance facility

Traffic demand management (TDM)

Utilization of traffic demand management (TDM) approaches in core, particularly regarding parking, i.e. the requirement that users of parking pay the costs directly

Government to confirm that it supports TDM approaches in the core area of Vientiane

Car park facility site(s)

Determine availability of the existing waterslide site for the car park; and/or availability of other sites.

Government to determine if the existing waterslide site is available for the car park, and/or provide a short list of other sites that can be made available for the car park facility

Parking rule enforcement

The PEA will employ traffic wardens to enforce parking rules

The EST MOU to acknowledge the utilization of traffic wardens and their responsibilities.

Resettlement The implementation of the project will need to take resettlement issues into account in an adequate and transparent manner.

Government will confirm that resettlement issues will be addressed in accordance with ADB guidelines

Appendix 1

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LIST OF PEOPLE MET

Ministry of Public Works and Transport (MPWT) H.E. Mr. Sommad Pholsena

Minister

Department of Transport (DOT) Mr. Viengsavath Siphandone Director General Dr. Bounta Onnavong R&D and International Cooperation Mr.Anousone Chanthaphonh

Director, Vehicle Management Division

Department of Roads (DOR) Mr.Pothong Ngonphachan Deputy Director General National Road Safety Committee

Mr.Somnuk Mektakul

Head of Secretariat Office

Department of Housing and Urban Planning (DHUP) Mr.Khanthavy Thaiphachanh Acting Director General Dr. Aphisayadeth Insisiengmay

Director of Urban Planning Division

Department of Transport Mr. Thongvanh Phethaviseng Deputy General Director Mr. Phanthaphab Phounsavanh Vientiane

Urban Development Administration Authority (VUDAA)

Dr. Ketkeo Sihalath Vice President Mr.Duangchan Vilachit Deputy of Traffic management unit Mr. Panya Manivong

Administration Div., Databank Unit

Department of Public Works and Transport of Vientiane Capital (DPWT) Mr.Keophilavanh Aphaylath Director General Mr Somsanith Hodthongkham Director Development of Transport Division Mr.Phoutthaphone Khotpanya Head of Housing and Town Planning Division Mr Khamphay Souvathdy Transport Division Mr. Bounchanh Keosithamma

National Project Manager, Mekong River Integrated Management Project (MRIMP)

Urban Research Institute Mr. Chanthasack Bottaphanith

Urban Planner & Environmental Management Specialist

Dr. Thongdam Saypakassa Former Director General Public Works and Transport Institute (PTI)

Mr.Thenekham Thongbonh Acting Director General Ms. Pho Ngeun Souvannavong, Director of Environmental and Social Div. Mr.Phaknakhone Rattana

Chief of Environmental Section

Appendix 1

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Ministry of Finance

Mr. Sila Viengkeo Permanent Secretary, Chief of Cabinet

Ministry of Planning and Investment

Department of International Cooperation Mr. Somchith Inthamith Director General of DIC Mr. Douangmala Chanthalangsy Director of International Financial Institution

Div. Ministry of Public Security, Department of Traffic Police Mr.Khamthavay Phetouthai

Deputy Director General of Traffic Department

Japan International Cooperation Agency (JICA) Ms. Yoko Hattori

Representative, Infrastructure Sector

NIPPON KOEI, Consulting Engineers Mr. Kuniomi Hirano

The Project for Urban Development Master Plan Study in Vientiane Capital

Embassy of Japan in Lao PDR Mr. Masahiko Mitsumoto Second Secretary Project Development Department (Tokyo) Mr. Toshinori Toda Managing Director World Bank Office Mr. Sombath Southivong Sr. Infrastructure Specialist Ms. Khamla Phonsavath Climate Change Analyst Vientiane State Bus Company Mr. Khamphoune Temerath Director Mr. Bouapha Phetvixay Deputy Director of Planning Lao Hotel and Restaurant Association Mr. Oudet Souvannavong President Tuk-Tuk Association of Vientiane Mr.Bouaxeng Phissalath

Vice President

Kingkham Transportation Co. Ltd Mr. Khamsay Vongxay Director Lao Resident Mission (ADB) Dr.Chong Chi Nai Country Director Mr. A. Barend Frielink Principal Country Economist Mr. Phomma Chanthirath

Project Implementation Officer (Transport)

Appendix 2

17

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Appendix 3

18

PROTO - DESIGN AND MONITORING FRAMEWORK

Design Summary Performance Targets/Indicators

Data Sources and/or Reporting Mechanisms

Assumptions and Risks

Impact Assumptions Improved urban transport operations and systems in the Vientiane City core area, that contributes to reduced congestion, GHG emissions and traffic accidents, as part of a SUT program that supports the National EST Strategy

(i) Increase modal share of public transport and non-motorized transport to at least 30% each, and (ii) decrease motorcycle transport only 30% of total urban trips within Vientiane City core area, all by 2020

Reduction by 15% in emissions of GHG [CO2, methane (CH4), nitrous oxide (N2O) and certain halocarbons] by 2020

Reduction of 25% in vehicle and pedestrian traffic accidents within Vientiane City core area by 2020. (accidents: fatalities, serious and minor) Establishment of financial mechanism to insure continuing operation and expansion of the pilot EST agency

Government statistics and project developed monitoring mechanisms Air quality data of WREA monitoring stations Government accident data records Government budget records Reports and records of the new pilot EST agency

• Government approves and is committed to the National Strategy and Action Plan on EST

• Government establishes

a monitoring system of transport related emissions and accidents in support of the National EST Strategy

Risks • Government fails to

approve and/or commit to the policies and action plan of the National EST Strategy

Outcome Assumptions A functioning successful pilot EST agency mandated to operate and maintain traffic management, parking and a pilot public transport system for the Vientiane City core area.

Government agreement to develop sustainable urban transport projects and policies in Vientiane Capital City with ADB support

ADB project monitoring documents, mid-term reviews, and project completion report(s) Reports and records of the new pilot EST agency

• National Assembly will approve a new tax on turnover for Vientiane to provide sustainable funding of pilot EST agency

• Effective cooperation and

coordination among national and local governmental units, donors and private sector entities

Risks • Government fails to

approve and/or commit to the policies and action plan of the National EST Strategy

Outputs Part 1: PPTA 1. Comprehensive

institutional implementation framework that adequately addresses organizational, funding and capacity development requirements for a pilot EST agency, and pilot

Early indications and actions on part of Government of acceptance of establishing a pilot EST agency and the drafting of a pilot EST MOU among stakeholder agencies

Final Report for TA 7243: Implementation of Asian City Transport Vientiane Sustainable Urban Transport Project ADB Project monitoring

Assumptions • Government approves

and remains committed to the National EST Strategy

• ADB approves the PPTA

Appendix 3

19

Design Summary Performance Targets/Indicators

Data Sources and/or Reporting Mechanisms

Assumptions and Risks

EST MOU among stakeholder agencies including a draft Business Operating Plan

2. TOR for Institutional

Capacity Development Consultants

3. Draft outline for tax legislation for a new EST Tax

4. Technical, economic and financial feasibility study of a pilot public transport improvements.

5. Detailed economic and financial analyses for VSUTP public transport and traffic management programs

6. Specifications and procurement documents for buses and related equipment

7. Preliminary designs for: multi-story car park, improvements to central bus station, and for traffic management improvements

8. Project Improvement Plan and Financial Plan (per ADB format)

9. TOR for Implementation and Monitoring Consultants

reports Other ADB sustainable transport reports and the ADB STI

Outputs Part 2: Implementation 1. A sustainable Vientiane

core urban transport implementation program managed by a functioning pilot EST agency backed by adequate institutional capacity and financial resources to support the delivery of priority urban transport systems improvements that are socially, environmentally, economically and financially sustainable.

Delivery modalities and prioritization for sustainable urban transport are clearly defined and a suitable enabling environment is created with sufficient capacity to establish a pilot EST agency, and to deliver the pilot public transport and traffic management projects.

Final PPTA Report and Final Report for TA 7243: Implementation of Asian City Transport Vientiane Sustainable Urban Transport Project ADB Project monitoring reports

Assumptions • Government approval

and commitment to deliver and support EST for urban transport in Vientiane

Risks • Government will fail to

support establishment of pilot EST agency and/or pass tax legislation to fund pilot EST agency

2. An operating pilot public

transport service for the Vientiane core area consisting of 2 shuttle bus loops, 5.2 km and 4.9 km

Pilot public transport service system developed in accordance with the agreed priorities of Government and ADB

Final PPTA Report and Final Report for TA 7243: Implementation of Asian City Transport Vientiane Sustainable

Assumptions • Government and existing

public transport entities will support pilot public transport project

Appendix 3

20

Design Summary Performance Targets/Indicators

Data Sources and/or Reporting Mechanisms

Assumptions and Risks

in length operating along the four major east-west roads in the city center, including bus operations and maintenance facilities; the construction of 21 bus stops; and improvements to the existing Central Bus Station.

Technical, economic and financial feasibility study of pilot public transport shuttle buses for Vientiane core area

Urban Transport Project ADB Project monitoring reports

Risks • Objections to new public

transport services from VSBC or other entities

3. Implementation of various traffic management sub-projects including multi-story car park, traffic management improve-ments near Nong Chanh, improvements in on-street parking, pedestrian facilities, traffic lights, road markings, and support for the traffic control center.

Select and develop traffic management improvements within the Vientiane core area

Final PPTA Report and Final Report for TA 7243: Implementation of Asian City Transport Vientiane Sustainable Urban Transport Project ADB Project monitoring reports

Assumptions • Government commitment

to support and implement traffic management improvements in Vientiane core area

Activities with Milestones – PPTA Inputs 1. Develop a pilot EST agency framework. 2. Prepare a draft MOU among EST stakeholders 3. Develop TOR for Capacity Development Consultants 4. Draft outline legislation for new EST tax 5. Formulate and finalize details and requirements of pilot public transport bus shuttle loops

in city core, including central bus station and bus stop improvements 6. Formulate and finalize details for traffic management improvements and initiatives 7. Prepare preliminary designs of multi-story car park, improvements to central bus station,

and for traffic management improvements. 8. Prepare feasibility study for pilot public transport and traffic management improvements 9. Prepare financial analyses for pilot EST agency, and prepare draft Business Plan 10. Prepare TOR Implementation and Monitoring Consultants

ADB $ 600,000 Government $ 100,000

Activities with Milestones – Implementation Inputs 1. Develop a sustinable implementation program for priotization and delivery of key urban

transport improvements. 1.1. Develop an insitutional stucture, with capacity development requirements to enable

the delivery of priority urban transport system improvements and support the delivery of the National EST strategy and Vientiane urban transport masterplan.

1.2. Assess the option for development of a sustainable urban transport fund, such as an Environmental Transport Fund, to support the Environmental Protection Fund and provide continued development of sustainable urban transport

2. Public transport service and operation improvements

2.1. Develop an outline plan for improvements to public transport services, franchising arrangement, coverage area, service integration, and operational efficiencies

2.2. Undertake a feasibility study of a pilot public transport route to demonstrate the proposed service and operational improvements.

3. Traffic management 3.1 Prepare a demonstration study to improve traffic demand management in the central

area including parking control, vehicle restraint, pedestrian facilities, signal improvements and street lighting

ADB: $ 10,000,000 Cofinanciers: $ 13,200,000 Government: $ 4,700,000

ADB = Asian Development Bank, EST = environmentally sustainable transport, GHG = greenhouse gases, MOU = memorandum of understandings, PPTA = project preparatory technical assistant, STI = sustainable transport initiative, SUT = sustainable urban transport, TA = technical assistance, TOR = terms of reference, VSBC = Vientiane State Bus Company, WREA = Water Resources and Environmental Agency

Appendix 4

21

POTENTIAL INSTITUTIONAL, FUNDING, CAPACITY BUILDING AND OTHER SUPPORTING FRAMEWORK

1. This appendix describes the analysis conducted for a potential institutional, funding, and capability raising component of the VSUT pilot project; the project location is the City Core as shown in Figure A6.1 (Appendix 6). The analysis, based on assessment of the current practices, identifies key issues and institutional capacity constraints in A, and proposes solution strategy in B.

A. Assessment of the Current Situation

1. Interdependencies in City Core Transport Issues

2. City Core transport issues are interdependent. Figure A4.1 illustrates how problems of traffic congestion, insufficient parking space and lack of reliable and user-friendly public transport in the project area are interdependent.

Figure A4.1 Interdependency of Core Area Transport Issues

3. City Core transport and land use issues are interdependent. Figure A4.2 illustratesthis second set of interdependencies. A focal point for the hospitality, travel and financial services industries, Pangkham Road is an example of how land use issues affect the traffic and parking system in the City Core. Conversely, for an example of how transport issues can reduce the effectiveness and/or efficiency of the core area land resource, Nokeokhoummane Road,attractively laid out with restaurants and cafes with street-side patios, has high potential as urban recreational space; but illegal parking and congestion spoil the effect. Parking in temple grounds, which detracts from the tranquil atmosphere of the cultural heritage sites, again illustrates the interdependency of transport and land use problems in the core area.

Traffic System

Parking System

Public Transport

Congestion prevents accurate bus scheduling, reduces reliability of bus service and attraction of public transport for travelers

With poor public transport, more private vehicle use and worse congestion

Illegally parked vehicles cause slow and unpredictable traffic flow

Congestion prevents reliable and efficient public transport , encourages more private vehicles and need for more parking space

Without well-conceived parking facilities, a city core bus service lacks a key support

Without quality public transport, there are more private vehicles and illegal parking in the city core

Source: TA Consultants

Appendix 4

22

Figure A4.2 Interdependent Core Area Transport and Land Use Issues

4. The Government’s two roles as national land asset manager and land use regulator. By law, land in the Lao PDR belongs in common to the country’s nationals, and is managed centrally by the state; that management role includes granting land use concessions1. On current land concession practices, and recalling the state control of land attached to the numerous public sector premises in the core area, any attempt to resolve the area’s transport and land use issues is likely to come up against an extra complication. To illustrate, offer of a lease or grant of land concession is a common feature of the Government’s investment promotion strategy. Without the combination of awareness and a robust mechanism to coordinate land concessioning with planning and regulation, potential land use and transport problems can easily be passed over in an investment promotion drive. Like a hypothetical giant shopping mall in the core area, the result could mean a grossly unbalanced land use pattern and a disrupted transport system.

2. Institutional Capacity Constraints

5. Figure A4.3 depicts the current organization of the management, provision andregulation of urban transport infrastructure and services in Vientiane2. The capital’s urban transport is the responsibility of Vientiane Capital Administration. VCA’s Department of Public Works and Transport combines transport and urban planning responsibilities in one unit. DPWTalso has a direct reporting responsibility to MPWT on centrally-administered matters, including budgeting.

6. Details of a proposed strategy for sustainable, dynamic mitigation of the urban transport problems in the core area are set out elsewhere in this report. O ne aspect of that solutionstrategy is relevant to the present discussion; it is the well-coordinated bus public transport

1 Land Law 2003, Article 3. 2 Three Laws – on Land Transport (1997), Public Roads (1999), and Land Traffic (2000) – together describe the legal framework for the state’s role in urban transport. The state is the main provider of urban public transport services through the state owned enterprise Vientiane State Bus Company.

Urban Transport System

Land Use

Intensifying land use – due to growth of service industries (eghospitality, banking) – and failed parking regulation are forcing vehicle and pedestrian movements into an unsafe mixed traffic on Pangkham Road

Pressure of economic growth on the demand for urban space for living, work, school, recreation etc promotes a rising demand for trips, and greater challenge for the urban transport system

With rising income and financial market development, a growing access to private motor vehicles will support a tendency towards a purchased home in suburbs (cheaper land ) and commuting to work in the city center

An urban transport system based on higher-capacity vehicles will support and promote greater economic activity and more effective land use, avoiding eg the present state of Nokeokhoum-mane Road (see main text)

Source: TA Consultants

Pressure of economic growth on the demand for urban space for living, work, school, recreation etc promotes a rising demand for trips, and greater challenge for the urban transport system

financial market development, a growing access to private motor

tendency towards

home in suburbs (cheaper land ) and commuting to work in the city

Appendix 4

23

service, parking and traffic sub-systems that make up the total urban transport system proposed for the core area. A ssessed in terms of capacity to (i) support, and (ii) promote the required coordination, there are limitations in the current task organization and underlying approach. The major bottlenecks are summarized in paragraphs 7-10.

Figure A4.3 Organization of Vientiane Urban Transport

7. Accountability stops at outputs of activities, and does not extend to their purpose, or larger impact; so the required coordination is not supported. For example, while providing running buses (outputs), VSBC is not made to ensure that drivers follow the regular schedule of a reliable passenger service, even though public transport needs to provide a strong alternative to private vehicles (purpose) to relieve the traffic congestion (impact). 8. When accountability stops at outputs, performance evaluation tends to be limited to outputs. With weak motivation to look beyond outputs, and ever-present risk in acting outside the limits of what is required, to work in coordination from awareness of a larger outcome is therefore not second nature within the organization. Organized according to specialized outputs, without top-down instruction DPWT’s transport and urban planning divisions are likely to be seriously challenged to coordinate interdivisional action and plans. But a departmental head with all the responsibilities in the larger organization would find it impossible to undertake a daily coordinating role for the department’s own divisions. 9. An inter-agency committee can serve to coordinate action in special, but not everyday circumstances. Each agency on the committee is accountable for its own decreed tasks; a responsibility assigned under a committee resolution assumes a lower ranking.

10. Above all, by not looking beyond outputs, public agencies easily become isolated from the community that depends on their work. This serves to explain the gap between their internal performance evaluation and the users’ poor perception of public service quality.

DPWT=Department of Public Works and Transport; MPWT= Ministry of Public Works and Transport; VCA = Vientiane Capital Administration Source: interviewed VCA official

DPWT

Urban Planning and Housing

Personnel and Administration

Roads and Bridges

Waterways and Riverbank

Transport

Planning and Finance

VCA

Prime Minister

Other Ministries MPWT

Reporting on technical matters, budget preparation, internationally financed projects and national roads

Div

isio

ns

Appendix 4

24

B. Solution Strategy

Figure A4.4 Pilot VSUTP Institution: Role and Structure

11. Drawing upon the assessment in section A, a “Pilot EST Agency” (PEA) is proposed for carrying out the pilot VSUTP. 12. PEA role and institutional structure. Formed as a new agency through a memorandum of understanding among stakeholder agencies including those, at all levels of government, with an interest in the urban transport system in the City Core, PEA is under the direct oversight of a supervisory board including representatives of the stakeholder agencies and invited participants. A feasibility study for the VSUTP should include examination of the need and scope for a formal declaration of state policy commitment, perhaps in the form of an EST Law.

13. Figure A4.4 illustrates the responsibility of PEA for taking the pilot project through three stages of implementation, operation and maintenance, and preparing an extension of the solution beyond the pilot project. The principal work of PEA will be management in nature, including planning and managing contracts for delivery of infrastructure, operation and maintenance and other services required under sub-projects.

14. Funding mechanism. To ensure sustained funding of PEA capital and recurrent costs, a new tax (EST Tax) is introduced, calculated on the same base as the present Turnover Tax, and of the order of 1-2% expressed as a percentage of turnover. This indicative range is based on an analysis of government report of the 2008-2009 fiscal year implementation of the state budget. The indicative VSUTP investment and financing plan is described elsewhere in this report.

EST=Environmentally Sustainable Transport; MOU=memorandum of understanding; O&M=operation and maintenance Source: TA Consultants

Parking

Traffic Parking Bus

Traffic Parking Bus

Traffic

Stage 1 Pilot project implementation

Stage 2 Pilot project O&M

Stage 3 Extension of solution Beyond pilot project

Bus

Supervisory Board Pilot EST MOU among stakeholder agencies

Pilot EST Agency

Appendix 4

25

15. Capacity development. The program of capacity development in support PEA’s responsibility for carrying out the VSUTP is summarized in Table A4.1.

Table A4.1 Pilot VUSTP Capacity Development

Item Coverage When 1. Community awareness raising and participation program

To include use of traffic system, new parking arrangements, public transport

During implementation

2. Awareness raising program for PEA Supervisory Board Members

To include issues and proposed solution described in this report, and introduction to results chain planning, implementation and monitoring, or similar analytical tool (eg ADB’s design and monitoring framework)

During implementation

3. PEA staff training programs To be elaborated during VSUTP project preparation, and to include the material for 2

Ongoing from PEA becoming staffed and operational

4. Service of a Chief Technical Officer Consulting services for capacity building of the PEA management to be provided under contract by an individual advisor with transport management experience acquired in a successful international integrated urban transport agency.

For six years or more starting in the final year of implementation

PEA= Pilot Environmentally Sustainable Transport Agency; VSUTP=Vientiane Sustainable Transport Project. Source: TA Consultants Separately, technical assistance for pilot VSUTP project implementation support is also proposed; it is detailed elsewhere in this report.

Appendix 5

26

PUBLIC TRANSPORT IMPROVMENTS AND PILOT ROUTE DEVELOPOMENT

I. INTRODUCTION AND BACKGROUND 1. The primary output from this TA is the identification of potential energy-efficient, clean energy, and inclusive urban transport projects for the city of Vientiane. The objective of the Package 2 component of the TA is to identify public transport projects that also meet these overall “clean” and “inclusive” parameters. As summarized in ADB’s operational plan for STI1

, these types of public transport projects are needed to provide urban populations with safe, secure, accessible, rapid, efficient, and user-friendly transport. In parallel, these projects will serve to reduce urban pollution, congestion, and traffic accidents.

2. More precisely the output for this component will be to identify and develop a conceptual pilot public transport service, that when implemented will provide effective and efficient public transport services. T he TA TOR indicated that the new public transport services should focus on the city core of Vientiane2

, or possibly along a key city transport corridor. Improvements should demonstrate service rationalization that should consider possible franchising and/or related implementation and O and M arrangements, operational efficiencies, service integration if applicable, related civil works requirements and the identification of a transport fleet program.

3. The central core area of Vientiane is rich mixture of Lao traditional, French and contemporary development, with a wide cross section of governmental, educational, religious, commercial, financial and residential structures scattered throughout the core area. An important feature of the central part of Vientiane is the Conservation Zone3, sometimes referred to as the historical zone or the heritage zone. Almost all of the core area of this TA study lies within the Conservation Zone4

. This area is also the tourist center of the city, containing many of the hotels, restaurants, and tourist areas, including five historical Buddhist temples.

4. The Japan International Cooperation Agency (JICA) is a most active donor partner in providing development technical assistance in the transport sector to the city of Vientiane. Among recent studies undertaken by JICA are (i) the 2008 Vientiane urban transport master plan5 (VUTMP), including the on-going follow up study to improve the public bus capacity in Vientiane6 (TCPB); and (ii) the Vientiane urban master plan7

1 ADB 2010. Sustainable Transport Initiative, Operational Plan. Manila.

(VUDMP), which is presently under preparation. The VUTMP is the most comprehensive transport study of its kind yet undertaken for Vientiane. It dealt with (i) detailed surveys and analyses of the existing conditions, regarding

2 The city core area is shown in Appendix 6, Figure A6.1;, which area also incorporates much of the widely recognized Vientiane historical temples and monuments. 3 Refer to Figure A6.5 in Appendix 6. 4 The National Historical and Cultural Heritages Preservation Law declares that five temples (Inpeang, Onteu, Sisaket, Ho Pakeo, Si Muang), one monument, That Luang, and the surrounding areas are protected areas. 5 JICA. 2008. The Study of Master Plan on Comprehensive Urban Transport in Vientiane in Lao PDR. Prepared by Katahira & Engineers International. Final Report, September 2008, Vientiane, Lao PDR. 6JICA. 2010 (on-going). The Project for Improvement of Transportation Capacity of Public Bus in Vientiane Capital of Lao People’s Democratic Republic. Under preparation by Katahira & Engineers International. Vientiane, Lao PDR. 7 JICA. 2010. The Project for Urban Development Master Plan Study in Vientiane Capital. Under preparation by Nippon Koei Co., Ltd., International Development Center of Japan, Pacet Corp., and Oriental Consultants Co., Ltd. Progress Report<Summary>, June 2010. Vientiane, Lao PDR.

Appendix 5

27

traffic, safety, public transport, environmental and social considerations, and with existing institutional, legal and budget considerations; (ii) preparation of an urban development scenario and traffic demand forecast; and (iii) preparation of an urban transport development plan. From these study components and analyses the following, specific, but rather limited final recommendations were developed: that the Government: (i) approve the Vientiane urban transport master plan, and incorporate it into the national environmental and development policy; (ii) adopt a target of “shifting” 40% of trips using motorcycle and private cars to public transport; (iii) seek urgent action to secure right of way for future widening of roads/streets; (iv) prepare a future business plan for the VSBC; (v) establish a committee to discuss urban transport problems; and (vi) implement the pilot public transport project8

studied in the urban transport master plan.

5. Based on the primary “pilot project” developed by the VUTMP, the Governments of Japan and Lao PDR in 2010 agreed to proceed with a detailed study (the TCPB) to improve the capacity of bus public transit in Vientiane9. The TCPB inception report identified three components to be studied for eventual implementation with the assistance of Japan Grant Aid. The components identified were: (i) bus procurement (40 units); (ii) a university bus terminal at Dongdok; and (iii) O & M training and capacity building. As originally conceived all the buses were to be used on one route, providing shuttle bus service between downtown Vientiane and the National University of Laos (NUOL) campus at Dongdok. In December 2010, the TCPB outline design report revised the project scope to exclude capacity building, to increase the number of buses to be procured to 42 units10, and to increase the utilization from the previously identified 1 route to eight VSBC bus routes11

.

6. Lao PDR has prepared a draft national environmental sustainable transport (EST) strategy12. The final draft of EST strategy is presently under Government review, and is expected to be approved in 2011. Once it has been approved and officially issued it will become the over-arching EST policy and implementation guideline for the country13. The EST strategy will establish specific actions plans for nine areas14

8 The project is to provide shuttle bus service between the central bus station and the Dongdok campus of the National University of Laos (NUOL).

. Two of these areas: (i) Transport Planning and Travel Demand Management; and (ii) Environmentally and People Friendly Urban Transport Infrastructure Development, are in direct concert with the scope of the VSUTP. Specific initiatives mentioned in the EST action plan include a study of the public transport system in Vientiane, a series of parking studies in Vientiane, Luang Prabang and other major

9 See footnote 5 herein. 10 Although the VUTMP recommended “electric engine” as the engine type, specified engines for the 42 units to be procured are 6-cylinder, water cooled diesel engines, meeting Euro 1-4 equivalent emission control standards. 11 Of the 8 routes, 6 are existing: (i) Central Bus Terminal – Dongdok [the original pilot route recommended by the VUTMP] ; (ii) Central Bus Terminal - Phontong - Dongdok; (iii) Central Bus Terminal - Friendship Bridge - Thadeua; (iv) Central Bus Terminal - Thangon; (v) Central Bus Terminal –-Nongteng; and (viii) Central Bus Terminal - Dongkhamxay. One is an old route that is to be reactivated: Central Bus Terminal - Nongtha - Dongdok; and one is a new route: Central Bus Terminal - Hongseng - Dongdok; 12 Ministry of Public Works and Transport, Lao PDR. 2010. The National Strategy and Action Plan on Environmental Sustainable Transport, Lao PDR (DRAFT). Vientiane. 13 The strategy is divided into three phases: short term (up to 2010); medium term (2011-2015); long term (2016-2020). 14 The Lao P DR EMT has developed Action Plans for (i) Affect on H ealth (Road Safety); (ii) Ambient Air Quality Monitoring and Management; (iii) Vehicle Emission Contract; (iv) Inspection and Maintenance (I/M) of Vehicles; Regulation of Fuel Quality of Standard; (v) Transport Planning and Travel Demand Management; (vi) Environmentally and People Friendly Urban Transport Infrastructure Development; (vii) Traffic Noise Monitoring; (viii) Information and Public Awareness; and (ix) Gender Issues.

Appendix 5

28

cities, the promotion of non-motorized vehicles, and the promotion of NGV/battery powered motorcycles.

II. EXISTING CONDITIONS AND PROJECT ALTERNATIVES 7. The EST concept of an inclusive public transport system, propelled by clean/efficient energy does not yet exist in Vientiane. Even basic concepts that reliability, efficiency, and safety should be integral parts of any public transport system are still in their infancy, and not widely practiced, if at all. The primary entity providing public transport services in the city is the Vientiane State Bus Company15 (VSBC), a state-owned enterprise that was formed in 199116. Its present fleet comprises 128 buses, varying in capacity from 45-seat buses, to small 8 and 10-seat battery operated buses, imported from China in 2009. The VSBC maintains approximately 35 routes, of which 4 are international servicing a few major cities in neighboring Northeastern provinces of Thailand. There are 15 national routes servicing major cities in Lao PDR; and the remaining 16 routes service the Vientiane Capital Region17

. There are three bus terminals in the city. T he primary terminal is the Central Bus Terminal (also referred to as Khuadin Bus Terminal) located in the center of town. It is owned and operated by the VSBC. The other two are the Northern and Southern Bus Terminal, which are privately owned, and primarily cater to inter-provincial and international bus passengers.

8. The bus operation model that is used by VSBC, although relatively simple, is not one that is designed to provide quality service. The VSBC pays its bus crews minimal salaries to operate buses and collect passenger fares. The crew keeps any fare revenue above a p reset fixed sum per bus trip, and crews must makes up, out of its own pocket, for any shortfall. This type of incentive scheme severely reduces the ability of VSBC management to control service quality features such as bus frequency, punctuality and reliability, or even to insure that buses ply the correct route, or keep to planned stops for passenger pick-up and drop-off. In addition to the overall poor service and lack of reliability factors, the other most frequent complain of passengers is very poor air quality in buses18

9. Other types of public transport service in Vientiane are limited. They are comprised of taxis (98 units); vehicles operating as hired cars/private taxis (32 units); sonteos

. The net outcome of this poor quality of service is a reduction of the competitiveness of this public bus transport relative to private modes.

19

15 Administratively the VSBC comes under the supervision of the Vientiane Department of Public Works and Transport (VDPWT), but in reality it receives directions from both the VDPWT and t he Office of the Mayor of Vientiane.

(289 units);

16 JICA was very instrumental in the establishment and initial funding of the VSBC. In 1989/90 the Project for the Improvement of Urban Transport in Vientiane provided $10 million for the initial purchase of 50 bu ses, and the construction of the Central Bus Station and a w orkshop. S ubsequently in 2000 unde r a s econd program the Government of Japan donated an additional 56 buses and spare parts. 17 There is also a small, Chinese owned, private Vientiane bus firm, the Kingkham Transportation Company (sometimes referred to as the yellow bus company). It has been operating around Vientiane since early 2008, along six routes, mostly in the suburbs of the city. It has a small 36 unit fleet, consisting of poor quality, 16-seat Chinese made buses. Its quality of service is very poor and present daily ridership is estimated to be only in the range of 500 to 700 passengers. Although they have a “fleet” of 36 buses, on any given day it is doubtful that 50% of the fleet is serviceable, primarily due to the lack of budget for maintenance and the lack of drivers. 18 VSBC buses plying routes in Vientiane Capital City are not air conditioned; some of the national routes and all of the international routes have air conditioned service. 19 Sonteos are typically converted trucks or pick-ups with wooden benches along the sides used to convey passengers. They generally operate between city market areas and outlying areas of greater Vientiane. There is an association of sonteos drivers.

Appendix 5

29

tuk-tuks/ jumbos20 of various sizes (1,750 units)21; and about 300 individually owned vans that appear to operate on an ad hoc, part-time basis around the greater Vientiane Capital City22

.

10. The most effective means for Vientiane to make significant advancement in support of sustainable transport will be the implementation of programs and systems that promote the management and redistribution of (trip) modal splits. Specifically, this would mean programs that promote the use of public and non-motorized transport; as well as programs that discourage the use of private cars and motorcycles. Table 5.1 provides an indication of the present distribution of modal splits; and target, future modal splits suggested by the Government and JICA. Suggested target modal splits for use as Impact “performance targets/indicators” in any future ADB design monitoring frameworks (DMF) are also indicated.

Table 5.1: Modal Splits (% of Trips) Mode of Travel

Katahira* (2007

baseline)

National Strategy and EST** (2010

baseline)

Katahira Target

for 2013

Strategy and EST Target for

2015

Strategy and EST Target for

2020

Suggested ADB (Impact)

Targets for 2020

Non-Motorized*** 25 21 25 30 30 (minimum)

Motorcycle 60 60 50 30 30 (maximum)

Public Transport 4 3 15 15 30 30 (minimum)

Private Car 11 10 10 10 -

Truck/Commercial 6 - Totals 100 100 100 100 n/a

* JICA. 2008. The Study of Master Plan on Comprehensive Urban Transport in Vientiane in Lao PDR. Prepared by Katahira & Engineers International. Final Report, September 2008, Vientiane, Lao PDR. ** Ministry of Public Works and Transport. 2010. The National Strategy and Action Plan on Environmental Sustainable Transport, Lao PDR (DRAFT). Vientiane. *** Primarily walking and bicycle 11. The conceptual idea of this TA as outlined in the aide-memoire for the 9 April 2010 reconnaissance mission, was an integrated approach encompassing three major components: institutional/capacity development, a n ew pilot public transport service, and a demonstration traffic management scheme, but with all initiatives focusing in “the central part of the city”, so that each component would reinforce and be supportive of the other. 12. The only practical, short term solution that would have any significant impact on increasing the use of public transport in the Vientiane core area, would involve providing dependable, clean and affordable public bus transport services23

20 Tuk tuks are three-wheel vehicles typically make in Thailand; jumbos are converted motor bikes made in Lao PDR.

. Such quality based public transport service is lacking in Vientiane. Based on the feedback from focus groups, individual interviews with stakeholders, and surveys carried out under this TA, it is clear that there is pent up demand for such services, particularly in the core area of the city. Presently there is no

21 There is a private association of tuk tuk and jumbo drivers that represents about 1,350 of the 1,750 drivers that operate these para- transport vehicles. These 1,350 drivers essentially service hotels, restaurants, and other tourist areas. T he remaining 400 p ara-transit vehicles in general provide service to local Lao and other permanent residents, and are based near markets and other commercial areas around the city. 22 Data provided by Transport Division, Department of Public Works and Transport (DPWT) of Vientiane; October 2010. 23 In the mid to long term, other solutions such as BMT or urban light rail might eventually be considered, but at this time the technical and economic viability of such solutions appear problematical.

Appendix 5

30

public bus service that directly services the Vientiane core area. A ll existing routes emanate from the Central Bus Station and essentially radiate outwards to areas 5, 10 and 20 km distant. There are no shuttle routes that circulate within the city center and around the Vientiane Master Plan Conservation Zone24

. There are no public transport services that would complement a park and ride concept, which is discussed in Appendix 6. T here is no dependable public transport in the core area for students, shoppers or tourists.

13. As a d irect result of the studies, surveys and analyses carried out under the Project, a review of the VUTMP, and discussions with officials of MPWT, the significant gap in public transport service for the core area became obvious. The consensus being a need for: a dependable, clean and affordable shuttle type bus system that would, continually circulate throughout the core area. From this determination, together with the basic internal street layout, and specific site investigations, two closed loop routes have been defined that will provide public transport bus coverage to essentially the entire city core area. These routes are depicted graphically in Figure A5.1.

III. RED AND BLUD SHUTTLE BUS LOOPS 14. For this report the bus shuttle routes are descripted as the red loop and the blue loop. Both loops are about 5 km in length, with bus stops spaced at an average distance of about 0.7 km. T he proposed shuttle buses will service the four primary east-west arterial streets of the core area: Khoun Boulom, Samsenthai¸ Setthathirath and Fa Ngum Roads; and will intersect the primary north-south arterial Lane Xang Avenue at three locations. The proposed red loop will provide three bus stops along Fa Ngum Road to provide public transport service to the new riverside recreational, scenic and cultural development25

. The initial estimate is that a fleet about 16 buses will be required to service the two bus shuttle loops.

Table 5.2: Proposed Urban Core Bus Shuttle Routes Loop Length

(km) Stops Major Roads

Serviced along Loop

Approximate Round-trip (min)

Bus Shuttle Loop Service

Areas/Destinations Peak Hours

Off-Peak Hours

Red 5.3 14 Samsenthai, Fa Ngum, Sakkarine, Khouvieng

33 30 Morning Market, Electricite de Laos, Thadam, National Culture Hall, Centre Point, Sihom, Lao-Viet School, SCC, Pakpasak School, Watchanh, Watxiang-Gnun, Mahosot Hospital, Phiawat School,

Blue 5.0 11 Khoun Boulom, Setthathirath, Khouvieng

32 29 Morning Market, Three Junction Saylom, National Stadium, Centre Point, Wat Ong Teu, Namphue, Wat Ho Phakeo, Mahosot Hospital, Wat Simuang, Talat Khuadin

24 See Appendix 6, Figure A6.5. 25 Refer to Appendix 6, paragraph 58.

Appendix 5

31

Figure A5.1 City Center Bus Loops

Appendix 5

32

15. For the proposed shuttle bus services to succeed, it cannot be operated in the same manner as other public transport bus services in the city. If the operation model presently used by VSBC is followed, the traveling public will not give up their present mode of travel to wait for bus transport that is not punctual, and does not maintain a high quality of service. The operational model for the proposed bus shuttle should to be based on the following guidelines: (i) maximum convenience to passengers; (ii) dependable and punctual time schedules; (iii) air conditioned, with a clean, comfortable environment within the bus; (iv) relatively low, fixed bus fares, with free (no cost) transferring from one shuttle loop to the other to complete a trip; and (v) utilization of smart card technology26

for all fare collections, operating under a policy of “no cash transactions” throughout the system. Appendix 4 discusses institutional, financing and capacity development issues, including franchising arrangements and fleet sustainability issues.

IV. IDENTIFIED SUB-PROJECTS

16. In addition to the bus shuttle loops, other supporting public transport subprojects have been identified for inclusion in the Project. The two sub-projects identified are: (i) bus maintenance yard; and (ii) improvements to the Central Bus Terminal.

17. The site for the bus maintenance sub-project should be located not more than 5 kilometers from the city core area. The primary usage of the site would be for: (i) a service garage for routine bus maintenance27, with two offices in the garage structure set aside for bus shuttle administration and operations; and with an adjoining fuel dispensing facility; (ii) an area for bus washing and cleaning; and (iii) an area for bus parking. It is assumed that the Government would be responsible for land acquisition for the site. Detailed site investigations will be carried out by the PPTA consultant to determine likely sites for these facilities; and then discuss the provision of land for bus maintenance facility with the Government28. Present thinking, as indicated in Table 2: “Indicative” Financing Plan is that the Government will be responsible for provision of the land for this site29

18. A site visit was made to the Central Bus Station. In general the site and the facilities are not well maintained, and operations are not functioning efficiently. In order to implement the Project, operational and civil works improvements to the Central Bus Terminal will be required in order to integrate the shuttle bus stops, and bus waiting area, into the overall scheme of the terminal. T he Vientiane DPWT has two conceptual ideas for improving the terminal. Neither DPWT option would significantly affect the operations or efficiency of the terminal, as both ideas only appear to include the construction of a new two-story structure on the site. It is not entirely clear whether this new building would be entirely allocated for VSBC operations, or whether all

.

26 The smart card technology to be utilized on the shuttle bus system may be integrated with the technology to be used for parking (as described in Paragraph 93, Appendix 6). T he degree of integration will greatly depend on institutional considerations and the degree to which the private sector may or may not be involved, in parking and/or bus operations. 27 Only routine maintenance would be performed on-site; major maintenance or bus overhauls would be contracted out to the private sector. 28 Two possible sites north of the core area were investigated during this TA: (i) the existing site of the Vientiane Capital Road Maintenance Unit; and (ii) at the site of the existing Construction and Installation Public Company, near the Dong Chong oil storage area 29 Discussion was had between the TA Consultant and the JICA consultant for the TCPB in order to determine if there would be a pos sibility to have site that could accommodate both the new 42 buses to be procured under the JICA program and the buses to be procured under the VSUTP. It was determined that, in general, this is a possibility but that to date no bus maintenance and bus parking site has been identified for the new JICA buses. This is an issue that will need to be further addressed by the PPTA consultant.

Appendix 5

33

or part of the structure would be utilized for commercial activities. I t is recommended that in addition to integrating the shuttle bus stops into the terminal operations, additional civil works improvements for site paving, drainage, and improved toilet facilities be included in the Project30

.

V. FUTURE EXPANSION OF URBAN BUS ROUTES

19. If the Project is successfully implemented, both institutionally and operationally, then it would be relatively easy to extend the pilot bus services to other neighboring sections of central Vientiane, areas beyond the core area as defined by this TA. Future expansions to be considered by Government (and the ADB and other donors), once the pilot program has been successfully implemented include:

1. Airport Shuttle Bus System 20. Airport Shuttle Bus System

. A public transport bus link connecting Wattay International Airport with the core area of Vientiane should be considered in the near future. It could even be considered by the PPTA consultant for possible inclusion in the initial Vientiane Sustainable Urban Transport, possibly providing service to and from but more likely in a following phase of Phase 2 of the, including a small bus facility at the airport.

21. Other Shuttle Bus Loops

. Four primary adjacent neighbor shuttle bus loops have been identified totaling about 27.3 km. These bus shuttle routes are depicted on Figure A5.2

30 A number of attempts were made by the TA consultant to engage the DPWT and VSBC in discussions about the scope and level of improvements that they would should be included in the Project. These attempts were to no avail. For the sake of this TA an amount of $500,000 has been included in the budget estimate for general civil works upgrading of the site, and the inclusion of the new red/blue shuttle bus stops into the existing facility.

Appendix 5

34

Figure A 5.2 Possible Additional City Bus Loops

Appendix 6

35

TRAFFIC MANAGEMENT

I. INTRODUCTION

1. This Appendix describes the analysis undertaken under the traffic management component of the study for VSUTP. It includes assessment of the existing situation, key issues, strategy and identification of potential sub-projects. Reference should also be made to associated appendices on the parking survey, walkability survey, and traffic count, (Appendices 7, 8 and 9 respectively). The study area for traffic management is the Core Area as shown in Figure A6.1.

II. TRAFFIC MANAGEMENT ASSESSMENT

2. The management of traffic in Vientiane faces many obstacles – physical, attitudinal and institutional. These include poor infrastructure, lack of parking management, entrenched bad driving habits, a sub-optimal pedestrian environment, and poorly coordinated development administration. These are exacerbated by low public awareness of regulations, low levels of parking and traffic enforcement, poor perceptions of road safety, lack of equipment maintenance, and low operating budgets. At the same time the amount of traffic is increasing dramatically. The total number of vehicles registered in Vientiane Capital has doubled over the last five years.1

A. Infrastructure

3. Infrastructure deficiencies include poor road conditions, limited control equipment, and equipment failures. Road surface conditions have improved in recent years following investments supported by ADB, AFD and JICA. However there are still several sections of road in the central area that are in bad condition with potholes and broken surfaces.

1. Road Condition

4. Under the previous ADB Vientiane Urban Infrastructure and Services Project (VUISP) many roads were improved in the central area between 2002 to 2008. These included several of the smaller streets in the main tourist zone (with attractive brick footpaths). The main roads of Samsenthai and Sethathirath were resurfaced at a similar time under JICA funding. Whilst most of these road structure improvements remain in good condition, there are problems with the junction equipment and with road markings that were parts of these projects.

2. Junction Equipment

5. There are thirteen light-controlled junctions in the core area. Four of these have CCTV and five have traffic sensors (under the road surface). However none of these CCTV systems was operational at the time of study. A transformer blowout adjacent to the VUDAA control centre in August 2010 burned out the computer control circuits for 6 of the CCTV units including all of the ones in the core area. The traffic lights themselves are mostly functioning, but the phasing appears to be at fault on some, with the green phase on the minor road longer than the phase for the major road.

1 Source: Department of Transport, MPWT

Appendix 6

36

Appendix 6

37

3. Road Markings

6. Road markings are often confusing and impractical. Lane purposes (sometimes reflected in their widths) are in many places ambiguous. The reason for having a central wide lane and two narrow side lanes, for instance in Settathirath Road, is unclear and leads to confusion. In parts the narrow lanes are used for parking, in parts as a right or left turning lane, in other parts they operate as unofficial motorcycle lanes. They do not operate in the same way as the clearly defined motorcycle lanes seen in Vietnam. 7. There are also instances where lane markings should be reviewed to reflect common practice rather than trying to impose a particular regime that does not work. An example of this is along Fa Ngum Road where a narrow parking lane is provided on the Mekong side of the road. In practice most people park on the other side, adjacent to the shops, guesthouses and restaurants. In consequence the lane for moving traffic on the shop side is impeded and vehicles have no option but to encroach beyond the centre line of the road. 8. Existing lane markings do not maximize efficiency of road space usage. For instance, in Lane Xang Avenue there are three traffic lanes on each side of the central reservation. Typically at the junctions, these are indicated for right turns, straight ahead and left turns. However at busy times cars frequently double up in the centre creating two straight-on queues. This can cause conflicts with some vehicles perceived as ‘pushing in’. There is adequate road space for this, and it would be better therefore to revise the markings to accommodate the extra lane. 9. Away from the main roads road markings are very poor – faint or non-existent lane curb markings making it difficult to see the edge of the road in low light conditions.

4. Street Lights

10. The quality of street lighting in the core area is reasonable, and significantly better than other parts of the urban area. Nevertheless the quality of light is not consistent. Changing light levels, coupled with the absence of or faint road markings creates hazardous conditions, particularly when visibility is impaired by rain.

5. Road Dividers

11. In an attempt to improve traffic flows and limit directional conflicts central reservations have been included during the improvement of several roads in Vientiane. This works effectively on roads where there is adequate width to provide two lanes in each direction plus shoulders for stopping and/or parking. However, where this width is not available the design actually impairs traffic flows. When cars stop or park in the right hand lane the traffic is reduced to one lane. The system works only if there is strict control over parking and stopping. This is currently an issue more common outside the core area (e.g. on Thadeua Road) but needs to be borne in mind in future plans.

6. Parking Provision

12. Previous data on parking provision (and demand) is patchy. For the 2008 Transport Master Plan the Katahira team reviewed the work undertaken on parking by the BCEOM team under VUISP. The latter concluded that, in 2004, there was adequate parking capacity in the city centre area to accommodate traffic demands up to 2010. It seems that, on this basis, the 2008 study determined that there was sufficient parking provision at that time also.

Appendix 6

38

13. However, examination of the BCEOM figures reported by Katahira raises questions. The derivation of the data is unclear. The conclusions are based on the assertion that there was roadside parking space for over 4,400 vehicles in an area slightly smaller than the core area identified for this project. On-road parking for 4,400 vehicles would require 30km of roadside. This length of parking area could only be provided if both sides of every stretch of every road in the area were allocated for parking. Clearly this was not the reality and is impractical and nonsensical. The analysis in the Katahira report is founded on the BCEOM data and cannot therefore be used as a starting point for parking assessments under VSUTP. A parking survey was therefore undertaken for VSUTP and the results are reported in Appendix 7. 14. The parking survey revealed that there were just over 5,200 cars parked in the core area on a typical working day. Of these about 2,400 were on the street and 2,800 were off-road, including designated roadside right angle and echelon parking areas, and public and private car parks. Of those on the streets, about 130 were parked fully off the road in property frontages, whilst over 400 were on the footpath. Of the cars on-road over 700 were illegally parked in restricted areas - waiting only, no parking, on the wrong side of odd and even date zones, or on the footpath. 15. Illegal and inappropriate parking is not just something that occurs sporadically and it appears to have become an accepted norm. There are instances of institutionalized illegal parking as described in Box 1 below.

16. The key issues for parking in the core area are: Unclear and confusing parking restrictions Lack of parking enforcement Poor and inefficient management of existing parking areas Discrepancy in parking charges – no charge for on-road parking Drivers’ and passengers’ reluctance to walk any distance from their cars to their destinations 17. These and other parking issues are discussed in Appendix 7. B. Pedestrian Environment

18. Compared to many capital cities, the environment of the central area of Vientiane is relatively pleasant for the pedestrian. Low-rise buildings, relatively narrow roads, moderate traffic volumes, and trees providing shade (on some streets), all contribute to a generally comfortable feeling. However, pedestrians are actually not well provided for. Many footpaths are cluttered and obstructed, and pedestrian road crossings are not effective. Added to these, the

Box 1: Footpath Parking The common use of the footpath for parking vehicles in Vientiane is exemplified by the case of a newly-opened medium-high-end hotel within the study area. The hotel’s printed and website information says that the hotel has a car park. In fact the ‘car park’ is simply the footpath across the road from the hotel, alongside the wall of a temple. In this location the footpath is wide enough to accommodate the parking of small to medium-sized cars at right angles to the road. The footpath here is one those that were improved under VUISP and is paved with brick. Continued parking here will damage both the bricks and the curb (which is normal height and not lowered for vehicular access as none was intended). In addition, the parked cars are a pedestrian hazard as they force people to walk in the roadway.

Appendix 6

39

volume of road traffic in Vientiane has perceptibly increased in recent years resulting inevitably in a higher incidence of pedestrian-vehicular conflicts. 19. Pedestrian crossings are a particular concern. Although there are a number of these in the core area, the road markings on most are wearing out and hardly visible.2

There is no current acceptance by drivers that they should stop when pedestrians are waiting to cross or have even started to cross at a designated crossing. Whilst local residents are used to the attitude of car drivers, it is potentially very dangerous for tourists who assume that they have some priority at these crossings.

20. Some of the existing crossings are at light-controlled junctions but generally there is no specific pedestrian phase. At the few that do have a pedestrian phase, such as the junction between Lane Xang Avenue and Samsenthai the phase is sufficient only to reach the central reservation and there is no button there to active the pedestrian lights to cross the other carriageway. It is understood that VUDAA plan to install some new light-controlled pedestrian crossings, but none of these are within the core area. 21. A ‘walkability’ survey was undertaken in the core area using methodology developed by the World Bank and ADB3

. The survey and results are described in Appendix 8. The score achieved puts Vientiane somewhere in the middle of the range of Asian cities measured thus far. Whilst ostensibly a reasonable result, it masks the fact that a relatively low-density, low-rise urban environment should really have a higher score. It reflects a h igh level of automobile dependence amongst the middle and upper classes in Lao society.

22. Community consultations have suggested that there are some locations where pedestrian bridges might be needed. Two of these are adjacent to schools and one between the morning market and the bus-station. The two school locations are reportedly well known for the number of accidents but this has not been separately corroborated by official data. C. Driver Behavior

23. Driving standards and discipline are generally very low in Lao PDR. It is relatively easy to obtain a driving license without taking any official tests. Many drivers therefore have had no proper training. Even those that do go through the official procedures receive training primarily in handling a vehicle in a special off-street training area, with little or no practice on the actual streets. In common with other developing countries many new drivers are first generation car owners and have not had the road experience gained from growing up with parents who drive cars. Added to this, many of today’s car drivers previously drove motorbikes and have carried on driving their cars in the same way they drove their bikes. Entrenched bad habits that had minor impacts on other road users when undertaken on a motorbike have potentially dangerous results when carried out on four wheels. 24. The provisions of the Lao Highway Code are consistent with international traffic rules. However many of the rules are consistently ignored, and are not enforced by the police. Common practices that can be observed every day on Vientiane streets are summarized in Box 2.

2 At the time of completing this report some crossings were being repainted in the core area 3 http://cleanairinitiative.org/portal/whatwedo/projects/Walkability

Appendix 6

40

25. Clearly, as well as interrupting the flow of traffic, bad driving habits have significant road safety implications. Traffic management and road safety issues are interrelated and many issues need a coordinated response. 26. Despite the array of poor driving habits shown in Box 2, it should be stressed that the situation on the roads is not as chaotic in Vientiane as in some other Asian cities. It is still relatively early in the life of Vientiane as a heavily trafficked city, and presently the poor driving does not generally take place at high speeds in the urban area. There is time to address these issues before the situation does become critical.

Box 2: Every Day Poor Driving Habits in Vientiane Junction behavior. Many motorists take the shortest route through a junction, cutting the corner into oncoming traffic, sometimes around blind corners. When an uncontrolled junction is busy drivers will often take several routes either side of opposing vehicles.

Incorrect lane use at signalized junctions. It is relatively common practice for motorists to occupy left and right turning lanes when they actually intend to go straight on.

Running red lights. Cars generally do not stop on amber. Running red lights happens at every junction every day. It is a serious issue that is not currently being dealt with. Jumping out before green light phase after being stationary is also common. Roundabout priority. The prevailing system in Lao PDR is to give priority to vehicles entering roundabouts. This goes against the advice in the Lao Highway Code (There are ‘Give Way’ signs clearly situated on t he entrance to most roundabouts). It frequently results in roundabouts becoming ‘locked up’, with the roundabout full of stationary vehicles. This is also potentially dangerous as it goes against international practice and will confuse overseas drivers. Motorbikes travelling against traffic. Motorcycle riders frequently ignore the direction of traffic, particularly on sections of road with a central reservation. This happens even at night causing significant hazard for car drivers. Pedestrian crossings ignored. As a general rule motorists do not stop if they see pedestrians waiting to cross the road at a zebra crossing. This is particularly dangerous for tourists who expect vehicles to stop. Poor use of indicators. Drivers generally use indicators less than they should. They are frequently used too late to alert drivers behind that they intend to turn, and are mostly not used when changing lanes. A particular bad habit that has become prevalent in Asia is the use of hazard lights to indicate an intention to go straight on at a junction. This is not a signal endorsed by the Lao Highway Code, and can cause confusion as those drivers to the sides can see only one set of indicators working. Wandering between traffic lanes. Moving from one lane to another mostly occurs without any warning to other motorists, and frequently without checking for adjacent vehicles. Big cars bullying others. There is a noticeable tendency for large cars to bully their way through traffic. Their drivers expect smaller cars to make way irrespective of the correct priority. Generally the drivers of the smaller vehicles oblige – but not always.

Pulling out into traffic without looking. A common trait amongst motorcycle riders is to pull out into traffic from being stationary on the side of the road without looking behind them. Also common is for motorcyclists to turn right to join a road from a side road without stopping or looking. Swerving to avoid holes in the road. As mentioned above, there are numerous locations in Vientiane where the road surface is not good. Deep potholes, ruts, and other deformities are quite common. Motorists frequently swerve to avoid these hazards rather than slowing down and checking what vehicles are around them before making the maneuver.

Appendix 6

41

D. Problem Spots and Black Spots

27. As well as the area-wide issues outlined above, there are a number of location-specific problems – ‘problem spots’. These are summarized in Table A6.1, and shown in Figure A6.2.

Table A6.1 Traffic and Parking Problem Spots in the Core Area No. Road* Location Problem 1 Nongbone Adjacent to Talat Sao

and bus station, and side road to Khoudien Market

Chaotic parking and double (sometimes treble) parking with small pick-ups, tuk-tuks, and barrows delivering and collecting from the markets and shops.

2 Nokeokhoumane From Fa Ngum to Setthathirath

One-way street with odd and even date parking restriction, but not being enforced. Much parking on footpaths forcing pedestrians onto roadway. The street appears completely full of cars.

3 Francois Ngin As above As above 4 Manthatourath As above As above 5 Chou Anou As above As above (although slightly wider street than the

others) 6 Fa Ngum From Khoun Boulum

to Chanthakhoumane Busy riverfront road. Confusing lane and parking markings.

7 Samsenthai Nokeokhoumane to Chao Anou

Parking in red zone, parking on footpath, bottleneck in busy periods

8 Khouvieng Vietnamese market Small pick-ups, tuk-tuks, and barrows delivering and collecting from the market interfere with through traffic – particularly at peak times.

9 Khouvieng Junction with Phainam Poor junction geometry and confusing road markings

10 Khouvieng Junction with Khoun Boulum

Poor junction geometry and confusing road markings

11 Nam Phou Approach to and round fountain

Conflict for road space between cars and pedestrians

12 Pangkham Fa Ngum to Setthathirath

Chaotic parking and stopping for short periods for the BCEL Bank, Lao Aviation and other offices.

13 Khouvieng In front of shopping mall and Post Office

Parking for PO and tuk-tuks, dropping off point for shopping mall, interferes with very busy road.

14 Sakkarine In front of Mother and Baby Hospital

Chaotic car parking, poor road surface and shoulders

15 Sakkarine Junctions with Samsenthai and Sethathirath

Busy junctions with no traffic lights.

16 Hatsady Khou Vieng to Lane Xang

Double and triple parking by visitors to banks and other offices. Very poor road surface.

17 Samsenthai, Sethathirath and Fa Ngum

Several locations, but particularly on Pangkham/Nam Phou axis

Inadequate pedestrian crossing facilities within main tourist area.

*Note: For the sake of brevity prefixes and suffixes such as Rue, Road etc. have been omitted from the names in this table

Appendix 6

42

Appendix 6

43

28. Two recent studies4 identified ‘black spots’ in Vientiane based on accident data. However the two reports present different black spot locations, and only those in the 2007 study included a location in the core area - Fa Ngum road. In both studies the black spots were based on the number of accidents resulting in serious injuries and fatalities. It is likely that traffic congestion in the central part of the city induces slower speeds resulting in lower fatality rates than roads elsewhere in the urban area. Nevertheless feedback from community consultations has indicated that there have been fatalities within the core area, many involving young people.5

E. Traffic Management and Control

1. Responsibilities

29. Currently VUDAA is responsible for traffic management in the central part of Vientiane. At the same time the police have the role of controlling traffic on the ground. The two roles overlap and coordination between the two agencies is not always effective. 30. At busy times the police often override traffic lights by manually directing traffic. They do not have access to the light switches so are not able to disable the lights. This can cause significant confusion. Anecdotal evidence suggests that police intervention rarely improves traffic flows in the system overall, and sometimes not even at the junctions they are controlling.

2. Traffic Control Systems

31. A traffic management section was set up with assistance from AFD under VUISP. This includes a c omputer control centre tasked with monitoring and controlling 26 l ight-controlled intersections (see Figure A6.3 and Table A6.2). Due a power transformer blow-out during an electrical storm in August 2010 most of the control circuits were burnt out. As a result, of seven CCTV units only one is now operational. Even when fully operational the control centre does not have the means to monitor most of the intersections. Only nine have sensor strips in the roadways, some, but not all, of which are the same junctions as have CCTV. In total just twelve intersections have cameras and/or sensors with which the control centre can monitor them remotely. 32. There are a further nine light-controlled intersections for which VUDAA has responsibility, but are not connected to the central control. There are also three traffic light junctions on the Dongdok Road under DPWT’s responsibility. In addition, there are four recent traffic light installations in VUDAA’s area that are still under the contractor’s guarantee. 33. The control centre appears to be under-resourced. There has been little or no investment since it was established under VUISP. To be effective the control centre needs connection to all light-controlled junctions along with monitoring devices such as sensor strips and/or CCTV at all key junctions. 34. The Police also have 100 CCTV cameras – but these are designed to monitor key locations for security purposes. 4 ‘Road Accident Black Spots in Vientiane and Recommended Countermeasures’, ICT, SweRoad, and Burapha,

2007, and ‘The Study of Master Plan on Comprehensive Urban Transport in Vientiane Capital’, Katahira, 2008 5 Note: The VSUTP team has attempted to obtain details of accidents by specific location but no dat a has been

forthcoming. This is despite the fact that the Road Safety Committee has reported that a R oad Accident Information System (RAIS) has been set up.

Appendix 6

44

Table A6.2 Existing Light-controlled Junctions

CC

TV

Sen

sor

Cen

tral

cont

rol

Notes

Agency responsible

Funded by

1 Lane Xang Avenue Setthathirath Road VUDAA AFD

2 Lane Xang Avenue Samsenthai Road VUDAA AFD

3 Lane Xang Avenue Khounboulom Road VUDAA AFD

4 Lane Xang Avenue Saylom Road VUDAA AFD

5 Setthathirath Road Khounboulom Road VUDAA AFD

6 Thadeua Road Phaxay Road VUDAA AFD

7 Samsenthai Road Khounboulom Road VUDAA AFD

8 Khouvieng Road Mahosot Road VUDAA AFD

9 Nongbone Road Dongpalane Road VUDAA AFD

10 Nongbone Road T2-4 Road VUDAA AFD

11 Khounboulom Road Chao Anouvong Road VUDAA AFD

12 Thongkhankham Road T2 Road VUDAA AFD

13 Lane Xang Avenue Patuxay Road VUDAA AFD

14 Kaysone Phomvihane Road Patuxay Road VUDAA AFD

15 Suphanouvong Avenue Fa Ngum Road VUDAA AFD

16 Mahosot Road Setthathirath Road VUDAA AFD

17 Samsenthai Road Thatdam Road VUDAA AFD

18 Suphanouvong Avenue T2 Road VUDAA AFD

19 Asian Road (T2) Dongnasok Road VUDAA AFD

20 Asian Road (T2) Hongkha Road VUDAA AFD

21 Asian Road (T2) Sisavath Road VUDAA AFD

22 Asian Road (T2) Thongsangnang Road Working VUDAA AFD

23 Asian Road (T2) Sibounheuang Road VUDAA AFD

24 Kaysone Phomvihane Road T2 Road VUDAA AFD

25 Kaysone Phomvihane Road 3A Road Removed VUDAA AFD

26 Saylom Road Khounboulom Road VUDAA AFD

27 Thadeua Road T4 Khamphengmouang Road VUDAA China

28 Phonthan Road T4 Khamphengmouang Road VUDAA Vietnam

29 Thatluang Road T4 Khamphengmouang Road VUDAA Vietnam

30 Thatluang Road 3A Obee Road VUDAA France

31 Kaysone Phomvihane Road T4 Khamphengmouang Road VUDAA China

32 Kaysone Phomvihane Road Nongnieng Road VUDAA China

33 Dongdok Road Kayson Phomvihane Road VUDAA China

34 Nongdouang Road Dongnasok Road VUDAA Vietnam

35 Dongdok Road National University Road No work DPWT Vietnam

36 Dongdok Road Dondeng Road Removed DPWT Vietnam

37 Dongdok Road Nonthane Road Damaged DPWT Vietnam

38 Hongkayasin Chao Anouvong Road Newly installed

Under Contractor China

39 Phonphanao P3 Road Newly installed

Under Contractor China

40 Road 13S Km 16 National Stadium Newly installed

Under Contractor China

41 Road 13S Km 21 National Stadium Newly installed

Under Contractor China

Appendix 6

45

Appendix 6

46

3. Enforcement

35. As mentioned above, there is little enforcement of traffic rules. Although police are positioned at many intersections, and infringements constantly take place by vehicles of all types, they rarely take action other than pulling over motorcycle riders (for not wearing helmets or just to check their papers). Car drivers, of big cars in particular, know they can get away with going through red lights etc. and will continue to do so until the police take action to curb these practices. 36. It is a s imilar situation with parking. There is minimal enforcement of parking rules. Occasional clamping takes place but this appears to be arbitrary. It is mostly carried out only on highly visible main roads where the impact of a single parked car is minor, rather than on the smaller roads where improperly parked vehicles create major disturbance to the traffic. The district police are responsible for clamping and there is no apparent consistency in clamping policy across the six districts in the main urban area. There is only one tow-truck available in Vientiane and this is used mostly for moving vehicles involved in accidents. 37. There is no system of ‘parking tickets’ in Vientiane whereby illegally parked cars can be issued with fines. The police therefore have limited powers to get drivers to obey parking restrictions on a wider scale. It is common to see scores of cars parked in yellow ‘waiting only’ areas, and on the wrong side of odd and even date parking zones. Double parking is commonplace and triple parking is not rare. 38. From discussions with the Department of Traffic Police in the Ministry of Security the indications are that there would be support from the traffic police to divest themselves of the responsibility for parking enforcement. This has happened in many other countries and allows the police to concentrate on the control and enforcement of moving traffic. F. Urban Planning Context

1. Planning and Development Control System

39. Urban planning in Lao PDR struggles to cope with the pace and scale of development in the country’s towns and cities, particularly Vientiane. The current master planning system is not well suited to managing growth in a market economy, and the enforcement of zoning and development controls is weak. In addition to this the spatial planning process does not have the central strategic role that it needs in order to coordinate developments across all sectors. Consequently the master plans that are prepared are viewed by other ministries as simply the outputs of one sector. Even within MPWT there is only limited coordination between the Department of Urban Planning and Housing (DHUP) who prepare the plans and other departments. 40. As well as the limitations of poor horizontal coordination within government, the vertical linkages are also largely ineffective in urban planning. Plans are produced centrally (by DHUP and the Planning and Public Works Institute – PTI). This results in a lack of ownership of the plans by the authorities tasked to implement them. In Vientiane this is particularly acute. The Vientiane Capital authority has a record of paying little heed to the approved master plan. An example of this is the construction of the Don Chanh Palace Hotel, built in 2005 in an area designated as a natural conservation zone. Vientiane has also witnessed a c ontinual encroachment into wetland areas in and around the city despite them being earmarked for

Appendix 6

47

protection as important flood retention basins. This latter issue is largely a result of the district authorities issuing development permits without reference to the master plan zoning. 41. This uncoordinated and ad-hoc planning system means that it is difficult to plan effectively for traffic management. In particular many major developments schemes are discussed and agreed with minimal or no cooperation with traffic planners. A case in point is the clutch of proposals for the Nong Chanh area in the north eastern part of the core area. Here there are plans being proposed on three adjacent sites by several investors all of which include large shopping centers. There is no overall plan for the area, other than demarcation of the sites, and there is no coordinated access, traffic management or parking plans.

2. Urban Character

42. The historic part of the city centre is typified by a c ombination of two-storey shop-houses, French colonial villas and townhouses, and ancient wats (temples). This is all interspersed with more recent architecture, much of which makes little attempt to blend or complement the older buildings, and some of which detracts from the character of the area. Nevertheless the overall urban form and character is attractive and remains the focus for tourists. Previous and existing Government master plans for Vientiane identify this area as a zone for protection (see sub-section 3 below). 43. Land use within the core area is mixed. Shops, restaurants, hotels, guest houses and other businesses predominate with residential space above or behind the commercial premises. There are also a large number of government buildings (see Figure A6.4), occupying large sites in the eastern part of the core area. 44. The core area is also characterized by its river frontage, which is a particular focal point for tourists. The frontage is about to change significantly with the imminent completion of Phase 1 of the riverside development project – see below.

3. Current Plans

45. The Government’s current Urban Master Plan for Vientiane was approved by Prime Minister’s decree in 2002.6 The master plan is based on a system of zoning introduced by French consultants in a 1994 m aster plan study funded by UN. The system includes 17 zone types. A review of the plan was undertaken by DHUP in 2007 and revisions drafted. However the revised version has never been approved. The DHUP work has effectively been superseded by the JICA-funded review of the master plan that commenced in January 2010.7

46. The core area falls almost entirely within one zone in the approved master plan– Zpp-Ua (see Figure A6.5). This is designated as ‘Preservation zone - old city’. The zoning provisions include a height limit for new buildings of 12m (see Table A6.3). (However, there are recent examples of new construction in excess of this e.g. the new bank building in Rue Pangkham which is around 20m high). The core area also includes small sections of three other zone types, UAa – Administration and Commerce, UC – Mekong riverbank, and NE – Public open space.

6 PM Decree 216, 10 December 2002 7 The Project for Urban Development Master Plan Study in Vientiane Capital, Nippon Koei Co., Ltd. International

Development Center of Japan, Pacet Corp., Oriental Consultants Co., Ltd., JICA

Appendix 6

48

Appendix 6

49

Appendix 6

50

47. In the draft Interim Report of the master plan study the consultants recommend the introduction of six broad planning zones to guide the development of Vientiane. These are not intended to replace the existing 17 zone types, but to overlay them. The core area would fall within a proposed ‘Zone 1 - Historic Conservation Zone’ which is similar in area to the existing Zpp-Ua zone. The key planning policies proposed for this zone are: Preservation of historic buildings (Enforcement of “Building Construction Permit” System) Enhancement of the attractiveness in the urban center as tourist resources (Landscape/

Urban Design, Pedestrian-friendly roads, etc) Relocation of national public offices toward the Suburbs Control of building design and use to create visually attractive central urban spaces 48. The suggested strict enforcement of building code in this zone is a good recommendation. Preservation of the character of this area is important for the city, and controlling the intensity of development will play a key role in limiting the growth of traffic. The study points to the tight controls in force in the Luang Prabang heritage area as an example. Whilst the Luang Prabang regulations are probably overly restrictive for application in Vientiane, there are some provisions worth considering. These include, for example, the prohibition of the parking of vehicles on the frontage area of shops and restaurants, and the delivery by goods vehicles only at certain times. 49. A problem with trying to impose stricter controls is that even existing standards are not enforced. In fact there is some ambiguity in the status of master plan zoning and building regulations. It is not entirely clear that the recommended building parameters (site coverage, plot ratio, height) contained in the master plan have any weight in the law. In practice most authorities largely ignore these provisions. 50. At a m ore strategic level the JICA master plan study suggests the relocation of government offices and colleges away from the historic core. This should be supported as it is likely to reduce peak hour trips into and out of the core area. 51. The recommendations in the master plan study also include some adjustments to the site coverage and plot ratios in different zones. Those for the zones within the core area are shown in Table A6.3. Table A6.3 Existing Development Density Provisions in Core Area and Urban Master Plan

Study Recommendations

Zone Existing Proposed (by Urban Master Plan Study)

ZPP-Ua Historic town centre conservation

Site coverage Height Plot ratio

75% 12m 2.5

75% 12m 2.0

UAa Administration and commercial

Site coverage Height Plot ratio

75% 26m 2.5

60% 26m 4.0

UC Mekong riverbank

Site coverage Height Plot ratio

50% 10m 1.0

50% 10m 1.0

NE Public open space preservation

Site coverage Height Plot ratio

- - -

- - -

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52. The master plan study puts forward proposals for a BRT scheme that would include a route passing along Sethathirath. This would entail changes to the one-way system currently in place and would significantly affect the character of the historic area. This proposal is discussed in more detail in Appendix 5, Public Transport. 53. It should be noted here that the Urban Transport Plan prepared by Katahira does not relate to the existing master plan. Instead the proposals therein are based on the study team’s own assumptions about future urban form and growth.

4. Current Parking Standards

54. Parking standards stipulated in the approved master plan for zones in the core area are shown in Table A6.4.

Table A6.4 Parking Standards Stipulated in Approved Master Plan for ZPP-Ua, UAa and UC zones

Land Use/Building Type Parking Requirement Residential 1 lot per 2 families Hotel 1 lot per 3 rooms School, Office, Bank 1 lot per 20m2 floor space Restaurant, Club 1 lot per 4m2 floor space Market, Shopping Mall, Supermarket 1lot per 10m2 floor space

55. The requirements shown in Table A6.4 are clearly out of step with the growth of car ownership in Laos, and are in any case not enforced.

5. Developments in the Pipeline

a. Commercial Development Sites

56. There are a number of development projects at various stages of design and approval for sites in the core area. These are summarized in Table A6.5 and their locations shown in Figure A6.6. From the table it can be seen that the majority of buildings proposed are 5 storey and over. Assuming an average floor height of 3m, the height of these developments will therefore contravene the existing building regulations (12m), and the total floor space created will be in excess of the scale anticipated for the historic core. The combined effect of these will put significant excess pressure on the traffic and transport facilities in the core area, and will also have a potentially detrimental effect on the visual character of the historic centre of Vientiane.

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53

Table A6.5 Ongoing and Planned Development Sites

Name of Building Location Proposed

Used No. of Floors

Total m2

Car spaces Status

1 Department of Public Security Samsenthai Road Police office 5 7,500 50 Under construction

2 Namphou Building Namphou Offices 7 3,760 Under construction 3 Kanlaya Building Xiengnhun Village Apartment 5 5,178 18 Under construction 4 Alisara Building Setthathirath Road Apartment 6 2,135 5 Under construction 5 Chanthapanya Hotel Hengboun Road Hotel 5 2,654 Under construction 6 ST Hotel Hanoi Road Hotel 6 1,283 8 Under construction 7 Boun Eiang Building Samsenthai Road Offices 4 880 12 Under construction 8 Lao - Viet Building Saylom Road Offices 5 9,685 25 Under construction

9 Lao Telecommunication Building Saylom Road Office 9 12,672 113 Under construction

10 5 Star Hotel Samsenthai Road Hotel, Office, Serviced apartments

12 80,000 800 Proposed

11 Angyalay (Vietnamese) Pakpasak Hotel In design 12 Vietnam Market Nongchanh wetland Super Market 5 4,730 223 In design 13 North Nong Chanh Nongchanh wetland Supermarkets In design 14 Khouadin market Nongchanh wetland Supermarket 5,730 138 Planned 15 South Nong Chanh Nongchanh wetland ?? Planned

b. Nong Chanh Developments Proposals

57. The development sites described above are distributed throughout the core area. However, notable amongst these are the three major sites grouped together in the Nong Chanh area mentioned above. Details are not finalized but the likely scale of developments here are as shown in Table A6.6 below:

Table A6.6 Proposals for Nong Chanh Development Sites

Site Scale of Proposed Development Source of information A 3 buildings totaling 5,730m2 Vientiane Times and

DPWT , 138 car spaces, possibly Big C supermarket?

B 5-storey supermarket building, 4,730m2 DPWT , 223 car spaces C Tesco Lotus supermarket and Home Pro DIY supermarket DPWT

58. Clearly these are individually significant schemes and when combined together constitute a major development project in the heart of the city. Yet there is no clear comprehensive plan for the area and this has huge implications for traffic management. In fact the types of shops being proposed are normally located on edge of city sites, and are not really appropriate in this location. It is understood that there are also plans being prepared for the remaining portion of the Nong Chanh wetland area, Site D. Whilst the original plan for this area was to retain it as predominantly open space, proposals could include up to 40% of the area given over to buildings.

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c. Riverside Development

59. The riverside development now under way comprises 12.6 km of riverbank protection and a public park of 14.5 ha (see Figure A6.7). The scheme incorporates a 6 km riverfront road running from Packpasack to the Watnak area with other connections to the existing road network at Mahosot Road, That Khao Road, and the Lao-Thai Road. It is not clear at this stage how the junction between the riverside road and Fa Ngum will function, and what impact if any the development will have on traffic patterns. This will need to be reviewed once the scheme is complete. G. Previous and Pending Traffic Management Recommendations

60. Traffic management in Vientiane has been addressed by three projects/studies in the last decade. The outputs from these are summarized in Table A6.7. Thus far, only one of these has led to implementation. This was the ADB’s VUISP undertaken between 2002 and 2007. The main project included the improvement of a number of city centre streets whilst the traffic management component came under parallel funding from AFD. 61. The AFD grant supported the establishment of a traffic operation center at the new VUDAA office building, along with the installation of traffic lights at 26 programmed intersections (of which 6 are in the core area). Operators were trained to handle the equipment and software. In addition, a training course for all stakeholders, including the Vientiane traffic police, was held in 2006. VUDAA later requested ADB to provide and install 116 streetlights under an amendment to the VUISP contract. 62. In addition to the works carried out, the AFD consultants, BCEOM, recommended several other interventions that were not implemented. One of these was tried but lasted only a few days, namely the closure of streets to non-essential traffic in the evenings. Gates were erected at the entrances to three streets (Nokeokhoummane, Manthathourath and Francois Ngin). However it is understood that the lack of any parking management in the areas adjacent to these streets resulted in some chaotic knock-on effects of the closures, and the gates were removed. This serves to demonstrate that any one traffic management or traffic calming measure needs to be undertaken with complementary actions in a comprehensive approach. 63. The Urban Transport Master Plan Study carried out by Katahira (2008) proposed a number of traffic management measures, some strategic, some very detailed. To date however none of these has been taken forward into implementation (although the recommended enhancements to bus services is in the pipeline). The Katahira study reports that many of its recommended actions were being undertaken by the Government through its Road Safety Action Plan. The reality is that only some of these have happened and those that have commenced are of limited scope. 64. The ongoing Urban Master Plan Study, by Nippon Koei, has also identified potential traffic management measures. These include a bus rapid transit (BRT) system that would pass through the heart of the historic centre, the need for traffic demand management, and the creation of ‘community roads’ in some of the small streets in the tourist area. The last of these has been developed further under this VSUTP. The need for TDM is also supported by this project, but the BRT scheme as proposed is not (alternative public transport proposals are described in Appendix 5). A concern here is that the Nippon Koei team has developed transport proposals that are not consistent with the Urban Transport study, and are based on their own independent traffic surveys.

Appendix 6

55

Appendix 6

56

Table A6.7 Summary of Previous Traffic Management Proposals

Project/Proposals

Notes

BCEOM Upgrade street lighting – 140 units for city centre – mostly in streets at right angles to Fa Ngum road

Traffic lights – 6 intersections Thermoplastic road markings Not implemented Pedestrian safety barriers – 600m Not implemented Installation/reorganization of regulatory road signs Gates and signs for 3 pedestrian streets (night time closures) – Francois Ngin, Nokeokhoummane, Manthathourat

Not implemented – tried for 3 days but knock-on effect of parking in adjacent streets was seen to be unacceptable

Raised platforms - 6 no. - (wide speed bumps) on Fa Ngum Road Not implemented Speed ramps on side streets (at each end) – 10 no. – Chou Anou, Francois Ngin, Nokeokhoumane, Manthaturat, Pangkham

Not implemented

Parking control signs near intersections – 40 no. Tuk-tuk parking bays – 8 no. – improvement of areas where tuk-tuks and other vehicles regularly park already

Not implemented

Mid-block motorcycle parking bays – 5 no. Not implemented Shared pay-parking and tuk-tuk waiting areas – 3 no. Not implemented Speed limit signs – 21 no. Pedestrian gates at Nam Phou Fountain Not implemented Regulatory signs for deliveries Not implemented Bus shelters – 8 no. Katahira Traffic management facilities – road markings, safety islands, road signs – at non-signalized junctions

Not implemented

Traffic markings along roadways Not implemented Signalization needed but being covered under other projects and by VUDAA’ Traffic accident data system and management needed but being addressed by Government under Road Safety Action Plan

System still in development and not in operation

Writing tests for motorcycle license applicants – but being dealt with by MPWT Training for motorcyclists – driving schools and training centers – being addressed by Road Safety Action Plan

Comprehensive traffic enforcement manual and training to traffic enforcement officers – but being implemented under Road Safety Action Plan

Improvements to seven black-spot junctions Nippon Koei Creation of ‘woonerf’ streets (where pedestrians and cyclists have legal priority over vehicles). Pilot roads suggested as Rue Nokeokhoumane and Rue Hengboun

Seems unlikely that JICA will fund it?

Bus rapid transit through core area along Sethathirath road. TDM needed – but no specific proposals

Key to projects: BCEOM - ADF/ADB 2003, Vientiane Urban Infrastructure and Services Project, City Centre Conservation Zone, Street Management Plan Katahira - JICA 2008, Comprehensive Urban Transport Master Plan Study Nippon Koei - JICA 2010, Urban Master Plan

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57

65. The government’s Road Safety Action Plan program also addresses traffic management issues. Relevant proposals are shown in Table A6.8.

Table A6.8 Summary of Government Proposals for Road Safety Selected items with implications for traffic management

(Based on Road Safety Action Plan presentation Sept 9th 2010)

Proposals

Notes (e.g. implemented or not, issues arising)

Develop Road Accident Data Information System (RAIS) Process initiated but the system is not active

Collect at least 5% of RTF for road safety Decree enacted (but funds not yet flowing?)

Traffic signals improved in 4 hazardous locations in Vientiane Completed Driver training handbook Developed and distributed nationwide New theory and practical test for motorcycle drivers Introduced Computer system for vehicle registration and driving license control Electronic chip cards in use New traffic regulations Drafted New road signs and traffic marking standards Drafted Traffic police training in traffic surveillance Ongoing

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III. PROPOSED TRAFFIC MANAGEMENT STRATEGY

A. Principles of the Strategy

66. The proposed traffic management strategy is based on the assessments described above. These in turn are founded on the findings from surveys, meetings with stakeholders, focus group discussions and interviews. The key elements of the proposed traffic management strategy are as follows: Protect and enhance the environment and character of the historic core Improve the pedestrian environment, particularly the ease (and safety) of access from the

city centre to the riverfront Employ TDM measures to limit the number of individual car trips into the core area Encourage public transport usage through convenient linkage of car parking and bus routes Revise parking arrangements (including fees) throughout the core area 67. The proposed strategy is illustrated in Figure A6.8. B. Enabling Conditions

68. The effectiveness of any traffic management strategy in Vientiane will depend to a large extent on the presence of enabling conditions. These include institutional changes that are discussed in Appendix 4. They also include education and enforcement. Without these the improvement of infrastructure and systems to control traffic will have minimal impact on actual traffic movement and road safety. Extensive institutional strengthening and capacity building will be required to achieve these objectives. 69. The strategy proposed here is therefore based on the assumption that institutional strengthening and capacity building will happen. Key amongst these are: The introduction of effective traffic and parking enforcement The education of drivers, other road users, and the regulators Improve coordination and control of new development schemes C. Holistic Approach

70. It is also important to point out that an holistic approach is required. Many different types of action will be required to address the wide range of issues that impact traffic and road users. A summary of the traffic and road characteristics and the potential measures to address them is shown in Table A6.9.

Appendix 6

59

Appendix 6

60

Table A6.9 Traffic and Road Characteristics and Measures to Address them

Traffic and Road Characteristics Can be Addressed by:

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Congestion

Double parking

Parking in restricted zones

Lack of junction discipline Driver Behavior

Poor junction behavior – especially diagonal crossing

Incorrect lane use at signalized junctions

Rushing red lights

Roundabout behavior – priority mistakenly given to vehicles entering roundabout

Motorbikes travelling against traffic

Zebra crossings completely ignored

Poor use of indicators (e.g. hazard lights for straight on)

Wandering between traffic lanes

Big cars bullying others

Reluctance to park any distance from destination

Pulling out into traffic without looking

Swerving to avoid potholes etc.

Other Safety Issues

Faint or non-existent white lines

Restricted visibility

Parking and other structures on the footways

Policing

Police targeting motorcycles and small trucks, not large cars

Police overriding traffic lights

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61

D. Parking Strategy

71. On-street parking is one of the pressing issues in Vientiane. Many stakeholders, both in government and in the community, pointed to this issue as a priority. Although there is no magic bullet to solve traffic management problems in Vientiane, better organization and enforcement of parking could make a major contribution to improving the situation. 72. Many stakeholders called for the provision of additional parking. However this is not necessarily the best way to proceed. Increasing parking provision in the core area will inevitably attract more cars and would not be conducive to protecting the character and amenity of the area. As shown in the parking survey (see Appendix 7) there are already around 5,000 car parking spaces in the core area. The provision of additional car parks within the area will not solve the problem in the long-term. 73. The options and approaches to car parking in Asia have been explored extensively by others. A comprehensive analysis of the current situation and latest thinking on the subject are well presented in a recent report prepared for ADB - Parking Policy in Asian Cities.8

The key findings and recommendations of that study are relevant to the problems faced in Vientiane and are summarized in Box 2.

74. The proposed parking strategy is based on the following elements: Provision of new car parks only on the outer edges of the core area A complete review and overhaul of core area parking based on multiple objectives Introduction of payment for on-street parking Encouragement of ‘park once’ by provision of convenient and efficient bus services 75. The strategy therefore is a m ixture of carrot and stick measures. Parking constraints will work effectively only where there is perceived to be good public transport. This should be achievable first in the downtown area, and can then be replicated elsewhere in the city. 76. Although it is not proposed to construct new car-parks within the core area itself, the establishment of park and ride facilities on the edge of the area should go a long way towards relieving parking pressure and smoothing traffic flows. 77. A change in attitudes will be required. Not all residents and businesses will be able to park their vehicles in front of their properties, and those that will be able will have to start paying for the privilege. It is inevitable that some people will be adversely affected in terms of their parking convenience. This might result in some moving out of the area, but this a common and ‘natural’ phenomenon in city centers worldwide, and will follow a pattern seen in other countries that have moved towards more open socialist market economies.

8 Parking Policy in Asian Cities, Paul Barter, ADB 2010

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Box 2: Summary of Findings and Recommendations from Parking Policy in Asian Cities, Paul Barter, ADB, 2010 Solving on-street parking problems requires on-street parking management, not necessarily off-street supply expansion. Progress on parking policy is difficult without efficient on-street parking management. There is no way to achieve orderly and efficient on-street parking except via effective on-street parking management. Creating off-street parking does not magically suck cars away from streets. Motorists will park in the most convenient spaces, in the streets, so long as the consequences or costs are minimal. Most Asian cities are concerned about a parking shortage. But chaotic on-street parking is not necessarily a signal of shortage. It is a s ign of poorly managed on-street parking. Claims that parking is lacking need to be examined carefully. The opportunity cost of parking is a problem if not reflected in prices. All parking, even if it is on municipal land, has a high spatial opportunity cost especially in high-density urban contexts. Government-subsidized parking is a poor use of taxpayers’ money. Charging market prices in city-owned facilities, as some cities in the study do, would make government-supplied parking less problematic and somewhat easier to fund. Including significant parking requirements in building permissions seems an obvious and easy option but are problematic. This approach is under widespread attack internationally. It risks feeding a ‘predict and provide’ spiral of ever higher parking supply. It is an audacious assumption to think that we can predict parking demand associated with specific buildings even before they are built, regardless of their changing context, and s till be accurate for decades into the future. Price controls on private-sector parking are extremely unwise. Price regulations applying to private sector parking are unusual internationally, but some cities in Asia do t his. Price regulation undermines useful market mechanisms. Constraint-focused parking policy has niches but faces barriers. Around the world, some cities with effective public transport systems use parking constraint policies and other TDM measures to get more value from their public transport investments. This also provides congestion relief which does not flow automatically from public transport investments alone. It is difficult to actively and e xplicitly constrain parking in localities that are not perceived to have excellent public transport access. Multi-objective parking management has much to offer, but is not yet being adopted widely in Asia. ‘Multi-objective parking management’ approaches are likely to offer solutions for many parking problems in the region. ‘Park-once’ neighborhoods are suitable for many mixed-use areas in SE Asian cities. In dense, mixed-use areas it makes sense to think of parking demand and supply as neighborhood-wide phenomena. Unfortunately, in many areas, the efficiency and responsiveness of parking systems is undermined by poorly managed on-street parking, by too much private parking, or by price controls.

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IV. PROPOSED TRAFFIC MANAGEMENT COMPONENT

78. The proposed traffic management project component is comprised of a number of sub-projects. Whilst these sub-projects are put forward as separate discrete items, many can and should be assembled into project packages. A. Sub-project Selection Criteria

79. The selection of sub-projects has been guided by a range of criteria aimed at maximizing the achievability and sustainability of the interventions. The criteria are: Achievable results – not just more recommendations that will remain only in a report Minimize dependency on other things happening as pre-conditions Build on previous ADB investments Pick up previous proposals that were not implemented due to lack of funding Linkage to other ongoing or planned projects High traffic management impact potential High potential for improving road safety High priority for tourism Ongoing support for facilities provided by previous projects (e.g. traffic management centre) Support to existing infrastructure that will improve its sustainability Consistency with National Road Safety Action Plan Potential poverty reduction impact B. Summary of the Sub-projects

80. The proposed sub-projects are summarized in Table A6.10. C. Description of the Sub-projects

81. For many components of the proposed project the situation will need to be reviewed and updated prior to determining the actual works to be undertaken. The condition of road and traffic infrastructure and equipment at the time of undertaking the current assessment is likely to have changed by the time the project starts. For this reason specific detailed locations have not been put forward for every sub-project. 82. The full-page plans and maps associated with the various sub-projects are grouped together after the text at the end of this section.

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64

Table A6.10 Summary of Possible Traffic Management Sub-projects

Sub-project Description 1. Multi-storey car park for ‘park and ride’ on

east and west edges of core area. Construction of parking facility near to bus station and market areas. Possible sites include existing water slides property (closed), or in association with other proposed commercial developments. Construction of parking facility in vicinity of Chao Fa Ngum park. Possible site behind Novotel Hotel.

2. Traffic management action area plan for market/Nong Chanh zone

Review and design for traffic management in area including Talat Sao, bus station and proposed new developments on Nong Chanh sites (possibly including new car park).

3. Review and rationalization of parking restriction areas

Re organization of red and yellow zones with clearer signage, and enforcement. Introduction of parking control officers. Tow away areas. Payment through electronic vehicle registration cards

4. ‘Woonerf’ street improvements in Nokeokhoumane, Francois Ngin, Mathathourath, Chou Anou, Ong Teu

Adjustment/narrowing of carriageway, landscaping, designated parking areas. Residents parking scheme. (Suggested by JICA study as ‘community roads’).

5. ‘Woonerf’ street improvements near Nam Phou fountain

Adjustment/narrowing of carriageway, landscaping, designated parking areas.

6. Street improvements - various Carriageway repairs, footway repairs, surfacing and organization of parking areas, street lighting, road markings

7. Pedestrian crossing facilities Installation of light-controlled pedestrian crossing facilities – at existing crossings (and new locations if identified) Pedestrian bridges

8. Improvements at light-controlled junctions Upgrading traffic lights, CCTV, sensor strips 9. Additional light-controlled junctions New traffic lights at two junctions 10. Improvements at non-light-controlled

junctions Improvements to junction geometry, road markings (possibly including islands) and signage at two junctions on Khouvieng Road

11. Walkability improvements on footpaths Identification of obstacles and dangers on all footpaths in core area and proposals for removal/relocation (includes vendors, encroachment by cafes etc, motorbike parking)

12. Road markings Review and revision of road markings. Replacement of confusing lane markings, introduction of clear motorcycle only lanes, use of permanent …… paint. Lane marking changes on Lane Xang Avenue and Fa Ngum road.

13. Support to traffic control centre Computer and communication equipment, training 14. One-way street improvement study Study traffic conditions between Patonxay and the

New Roundabout to determine viability of converting to one-way street traffic flow pattern

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1. Multi-storey car parks for ‘park and ride’

83. Two general locations have been identified for the provision of car parks on the eastern and western edges of the core area. It is envisaged that these will be multi-storey structures. They will serve as the main car parking for the proposed ‘park and ride’ system for the core area. The park and ride service is described in more detail in Appendix 5. 84. At the western end of the core area no specific site has been found for a c ar park. However, land behind the Novotel has potential and is well located. The government is urged to undertake investigations to see if this site might be feasible. At the eastern end there are a number of possible sites, which are described below, and again the government should take early action to explore the possibilities. The mechanism for acquisition and development of these sites has not been determined at this stage. However it is felt that these could be suitable projects for private sector involvement. This option will need further examination. 85. The eastern location is in the vicinity of Nong Chanh, along Khou Vieng road. This area is in the process of development with several pending schemes as described in Section II. The locality also includes a defunct waterslide complex, abandoned by its Malaysian owner. This would be an ideal site for the car park. It is understood that the government has approached the Malaysian Embassy with a v iew to contacting the owner. It is strongly recommended that the possibility of incorporating a multi-storey car park is put forward once negotiations commence regarding the future of the site. 86. The other development sites at Nong Chanh offer possible alternate sites for the proposed car park, either as a stand-alone facility or incorporated into another element of one of the developments. Discussions on proposals for two of these sites are still at an early stage and the developers could be encouraged to consider this. 87. Another option would be t o consider incorporating the car park in a new bus station development on the existing bus station site. This would be a multi-storey building with the bus-station on the ground floor and parking and office space above. 88. The optimal locations of the car parks on the edge of the Core Area are shown in the strategy plan (Figure A6.8). Other possible sites that have been identified are shown in Figure A6.16 and are as follows:

1) South of the proposed car park site within the Nong Chanh southern section. 2) Private land near the junction of Khou Vieng Road and Sokpaluang Road. 3) Private land just north of the junction in 2) above. 4) Adjacent to the new riverside road where it joins Thadeua Road at the junction with

the Lao-Thai Road. 5) Near Don Chanh Palace Hotel adjacent to the new link road between the riverside

road and the southern end of Fa Ngum Road. 89. All of the above options will require early and decisive action. The government is urged to consider these possibilities and meanwhile put a hold on any approvals for developments in these critical parts of Vientiane city centre. Action now will greatly improve the chances of creating an efficient and attractive centre for commercial activity and a transport hub.

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2. Traffic management action area plan for market/Nong Chanh zone

90. As described above and in Section II the Nong Chanh area will see many new developments in the near future. These need to be coordinated within a c lear and comprehensive plan including access, traffic management and parking. This will also demonstrate how the park and ride facility can be included within the scheme. See Figure A6.9.

Figure A6.9 Nong Chanh Development Sites and Potential Car Park Locations

3. Parking Review, Reorganization, and Enforcement

91. This involves a complete overhaul of the parking regime in Vientiane. The reorganizationand the proper enforcement of parking in the core area will improve traffic flows, and have a beneficial impact on the environment generally.

92. The existing restricted areas will be reviewed and rationalized. For instance there are many sections of yellow ‘waiting only’ where cars are habitually parked and cause no particular obstruction. These can become parking permitted zones. There are some areas where the restrictions need to be modified in order to be better coordinated (e.g. Fa Ngum road – see

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under road markings sub-project). The odd and even date scheme in Dong Palane road should be scrapped as it is not necessary. There is adequate carriageway width with cars parked on both sides. The odd and even date schemes in Nokeokhoummane and other small streets will be removed under the sub-project for those streets. 93. The system of identifying restricted areas will be improved. The current system relies mostly on being able to see the curb markings. Existing signs are not clear and need to be reviewed, redesigned, and located more clearly. 94. The parking system will also include the introduction of time restrictions. These should include provisions to ensure little or limited parking along the proposed bus routes during peak times. Consideration should also be given to the use of restricted periods for delivery vehicles, for instance to avoid peak times, and evenings in tourist zones. These time limits will be a measure not seen before in Laos and will need to be designed to be both practical and enforceable. 95. The sub-project will include the introduction of a payment scheme for on-road parking. There are several options for the payment and collection of parking fees that can be explored. The existing use of cards with encoded chips for vehicle registration and driver licenses offers an opportunity to introduce an electronic parking fee system. Fee collection could be via on-the-spot electronic meters or attendants with hand-held card readers, or through a method of pre-payment. Residents and businesses will also have to pay for parking on the street in front of their houses and premises. The payment system for them could be through pre-payment on a monthly or annual basis. The pricing scheme for on and off-road parking will need careful consideration (see Box 2). The aim should probably be to make off-road parking marginally more attractive than on-road, (in terms of security and pricing) and parking outside the historic area a lot more attractive. 96. The revised parking system will work only if properly enforced. It is recommended that the responsibility for enforcement be assigned to a team of Parking Control Officers (PCOs). (The traffic police have indicated that they would be happy to relinquish this task). The institutional responsibility for this team is discussed in Appendix 5. The PCOs would have the power to issue fines and to authorize the clamping and towing away of vehicles. An additional tow truck (or trucks) will be purchased to facilitate this. Tow-away zone signs will be erected in key locations where illegal parking will not be tolerated. These, and a higher frequency of vehicle removals should establish the fact that the tow-away threat is a real one.

4. ‘Woonerf’ street improvements – Nokeokhoumane and others

97. Woonerf streets were pioneered in the Netherlands. They are streets where pedestrians and other non-motorized traffic have priority over motorized vehicles. The design of these streets is aimed at making it clear to users that these are places for pedestrians with access for cars and motorbikes rather than the other way around. This is achieved with a combination of width constrictions, surface treatments and landscaping. 98. Four streets are proposed as the pilot area for the woonerf scheme. These are Manthathourath, Nokekhoummane, Francois Ngin, and Ong Teu (see Figure A6.10). The scheme will physically reduce the area available on the roadside for the parking of cars. Although the area will be similar to the existing permitted area, it will be significantly less than used in practice as the odd and even restrictions are ignored in these streets. The scheme will

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therefore require some changes of attitude amongst residents and businesses. No longer will everyone will be able to park their car in front or their property. 99. An example of how the woonerf approach might be applied to Rue Nokeokhoumane is shown in Figure A6.11. The sketch design has been based on minimum disruption to the existing roadway and footway fabric as these were constructed to a high quality only a few years ago under the VUISP ADB funding. A more comprehensive woonerf scheme might be considered that would entail major change to the existing road and footway structure. At the same time it should be recognized that these are primarily commercial streets and the appropriate balance of pedestrian/vehicular priority will be different from the original residential woonerf concept. 100. The full pedestrianization of some streets was considered. However, in commercial areas this can happen only if rear access for servicing is provided. In Vientiane this would require extensive clearance of backland properties. It is a possible long-term comprehensive planning option, but has been discounted in the medium-term.

5. ‘Woonerf’ street improvements - leading to and around Nam Phou fountain

101. The woonerf principle can also be applied to Rue Pangkham where it links Samsenthai road to Nam Phou fountain (see Figure A6.10). This is one of the primary routes for tourists who are currently forced to walk in the road due to excessive clutter on the footpaths.

6. Street Improvements – various

102. There are various locations throughout the core area where minor improvements to the road and footway conditions will contribute to a more convenient and safer environment for drivers and pedestrians. These include broken road surfaces, unsurfaced and ill-maintained parking areas, poor street lighting etc. Some of these locations can be i dentified today, for instance Rue Sakkarine in front of the Mother and Child Hospital, and the parking area in Rue Hatsady. However, the conditions at these and other places may change between now and the start of project implementation, and it is recommended that the situation is reviewed at that time in order to specify the works involved. It is anticipated that this will include: Carriageway repairs Surfacing and organization of parking areas Street lighting Road markings

7. Pedestrian Crossing Facilities

103. The walkability survey (see Appendix 8), along with other site visits and anecdotal evidence, revealed that pedestrian crossing facilities are substandard and unsafe. It is proposed to introduce light-controlled pedestrian crossings at key locations as shown in Figure A6.12. 104. In certain locations there may be justification for grade separation of pedestrians and traffic. The need for pedestrian bridges was raised in some village focus group meetings, particularly near schools and colleges. Possible locations for bridges are shown in Figure A6.12. Busy commercial areas are also potential locations, although bridges in these areas would probably need to be accompanied by pedestrian barriers to ensure their usage. All locations are

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based on initial observations and comments, and will need more detailed analysis of pedestrian and traffic volumes, and accident rates.

8. Improvements at light-controlled junctions

105. Investment is needed to improve existing traffic lights in the core area. This will include: CCTV Under-surface sensor strips Review and adjustment of phasing Improved light technology (LED) 106. The sub-project will include replacement of existing equipment and provision of new equipment where required. Junctions requiring CCTV and sensor strips are shown in Figure A6.13.

9. Additional light-controlled junctions

107. Two junctions that would benefit from traffic lights have been identified in the core area. These are busy intersections on the main one-way streets that run through the centre, namely Samsenthai and Sethathirath. Including motorbikes these have peak flows of 2,300 and 2,500 vehicles per hour respectively. 108. The location of these two junctions is shown in Figure A6.13.

10. Improvements at non-light-controlled junctions

109. The geometry at two junctions on the section of Khou Vieng road just west of Lane Xang Avenue will be improved. The improvements will provide clearer and more controlled channeling of traffic. The locations of the two junctions are shown in Figure A6.10.

11. Walkability improvements

110. The Identification of obstacles and dangers on all footpaths in core area and proposals for removal/relocation (includes vendors, encroachment by cafes etc, motorbike parking). The principal criteria for clearing the route for pedestrians will be that they can pass along footpaths without being forced into the road. Certain routes will be identified for improvements that will enable their use by the disabled. 111. This will also include repairs to footways, attention to tree roots affecting pavements, and measures to control footway encroachment by building sites.

12. Road markings

112. Road markings throughout the core area will be reviewed and improved under the Street Improvement sub-project described above (No.6). However, two particular sections of road have been picked out for revision of the lane markings. 113. On Lane Xang Avenue the three existing lanes will be replaced with four (see Figure A6.14). This will provide two lanes for straight on traffic queuing at lights, something that already happens regularly by cars squeezing across from the right turn and left turn lanes. This will

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reduce the width of the lanes to 3.0m, which is less than recommended in the MPWT’s Lao road design manual. However, it is a width that is common elsewhere in the core area, and should be considered acceptable. In addition, narrower lanes will serve as a traffic calming measure. 114. On Fa Ngum Road the lanes will be changed to accommodate a parking strip adjacent to the buildings and no parking on the river side of the street. This will eliminate the current occurrences of northbound traffic being forced across the centre line (see Figure A6.15).

13. Support to traffic control centre

115. The existing traffic control centre requires further investment to enable it to function effectively. This will include replacement of damaged computer equipment, enhanced software, and training of staff. 116. Also included will be the infrastructure required to provide full monitoring and control of all light-controlled junctions in the core area.

14. One-Way Street Improvement Study

117. In recent years during periods of heavy traffic during festival periods, and also during the 2009 ASEAN games, approximately 1.5 km of Kaisone Phomvihane Road and approximately 1.1 km of 23 S ingha Road, between Patonxay and the New Roundabout, were temporarily converted to one-way operation in order to improve traffic flow characteristics. This subproject will undertake a study of traffic conditions along these two road corridors and adjacent areas to determine the technical viability of permanently converting these two sections of road to one-way operation.

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Appendix 7

78

PARKING SURVEY AND ANALYSIS

I. INTRODUCTION

1. This Appendix describes the results of the parking survey carried out for VSUTP. It explains the current system of parking restrictions, and the findings of surveys undertaken to ascertain the numbers of parking spaces and parked vehicles in different types of parking area in the core area.

II. PARKING CONTROLS

2. There are four types of parking restriction used in the core area. These are shown in Table A7.1 and in Figure A7.1.

Table A7.1 Types of Parking Restriction

Type of Zone Parking Restriction Red and white curb markings No stopping or parking Yellow and white curb markings Stopping and waiting only Black and white curb markings Parking permitted in direction of traffic Odd and even date signs No parking on alternate dates Note: Red and white zones, yellow and white zones etc are referred to elsewhere in this and other VSUTP documents as ‘red zone’ or ‘red parking area’ etc

3. The red no-stopping or parking areas are also indicated by the international sign for clearway. However these signs are not always prominent and are accompanied by small signs underneath indicating the distance beyond the sign to which the restriction applies – e.g. ‘50m’. It is unclear how drivers are supposed to know exactly where the 50m ends. 4. The odd and even date parking is indicated only by sign. In Nokeokhoummane and adjacent streets there are signs placed at the entrance to the road and near the far end. There are no ‘reminders’ half way down the (one way) streets. This type of restriction is not commonly used in Vientiane (Dong Palane the only other road known to the VSUTP team) and may be the reason why it is flouted daily by dozens of drivers.

III. PARKING PROVISION

5. Parking surveys were undertaken to ascertain the numbers of vehicles within the core area on a typical weekday. Vehicle numbers were counted in three types of parking area - public parking areas, within large Government and commercial premises, and on-street. An initial survey was undertaken on 19th October and the detailed results of this are shown in Tables A7.3, A7.4 and A7.5. A summary is shown in Table A7.2. A second survey was carried out on November 16 to verify that the data from the first was ‘typical’. Summary figures for the second survey are shown in Table A7.2 also.

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Table A7.2 Summary of Parking Survey Results

Type of Parking Area Cars Motorbikes Oct Nov Oct Nov Public parking areas 502 695 36 187 Car parks in Government and private premises 2293 2518 5866 5285 On-street parking - legal 1668 1990 1880 3076 On-street parking – illegal* 742 653 144 88

Total 5205 5856 7926 8636 *In red and yellow zones, on the wrong side in odd and even date zones, and on the footpath

6. The survey also estimated the numbers of public spaces available for parking. This showed that about 720 s paces are available in public parking zones and 300 i n designated roadside echelon and right angle parking. The total length of black zone permitted parking areas in the core area is around 5,500 m. That is adequate for approximately 780 vehicles (at 7m per space for parallel parking). In total therefore there are around 1,800 spaces provided by the government for public parking in the core area. From this it can be seen that the bulk of parking provision is within the compounds of ministries and other public and private establishments.

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Table A7.3 Public Parking Areas

No. Road Capacity Vehicles Motorcycles Parking and Side Fee Notes Parking name (No.) (No.) (No.) (Kips/car) 1 Watchan Car parking North 28 11 - 3,000 VUDAA Responsible Center - - - South - 6 9 2 Lanexang Hotel car parking North 41 41 - 3,000 4,000 kip/8 hour for Lao Commercial Bank Staff Center - 45 - South 44 44 - 3 Mahosot Hospital car parking North 19 18 - 3,000 VUDAA Responsible Center - 15 - South 29 20 - 4 National Culture Hall car parking 100 70 - free Bank of Lao PDR/Pizza Restaurant customer 5 Vientiane 450 Market Section 1 North 35 26 - For LTC rental 12,000,000 kip/month South 35 23 - Section 2 North 100 6 20 Market (in front of market building) free South 100 18 7 6 Hatsady Village Car parking North 50 35 - 4,000 Private sector responsible South 45 42 - 7 Gallieni Road Car parking North 75 62 - Tuk-tuk station (Near Kouadin Market) South 18 20 -

TOTAL 719 502 36

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Table A7.4 Parking in Government and Private Premises

No. Location Vehicles Motorcycle (No.) (No.)

1 LTC( Lao Telecommunication Main office Sailom) 56 124 2 ETL Sailom 83 157 3 Mintharadeth Building 7 12 4 Tigo - Daoheuang Group - imobile Shop 24 46 5 Lao Joint Development Bank 40 56 6 Lao - Viet Bank 17 18 7 Lao National Tourism 32 58 8 Setthi Market (Mini mark) 11 13 9 Vientiane Commercial Building 69 117 10 Morning Market (Shopping mor) 296 148 11 Post office 148 698 12 Ministry of Education 94 56 13 Ministry of Information & Culture 44 37 14 Electricité du Laos (Sisaket office) 59 62 15 Ministry of Public Security 174 516 16 Kuadin Market 135 781 17 Vietnam Market 96 273 18 Kouadin Bus Station 18 24 19 University of Sciences of health 87 348 20 Mahosot Hospital 105 746 21 International Clinic 16 53 22 National Mother & Child Hospital 20 76 23 Vientiane Capital (DPWT & VUDAA) 88 122 24 Lao Aviation 22 22 25 Faculty of Sciences of Infirmaries 12 263 26 Lao Plaza Hotel 58 21 27 Ministry of Labour & Social welfare 37 53 28 Department of Forestry 64 27 29 Chaleunxay Hotel 6 5 30 Chao Anouvong Stadium 36 53 31 Lao Women Union 13 28 32 Lao Red Cross 24 35 33 ADB Office 13 10 34 Wat Thatfoul 237 131 35 Pakpasak Technical College 52 677

TOTAL 2,293 5,866

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85

Table A7.5 On-street Parking

Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

1 Khounboulom Rd 1.1 - Section Fa Ngum Rd Setthathirath Rd East 8 2 1 1 0 0 11 0 220 West 3 0 0 5 0 0 7 0 212 1.2 - Section Setthathirath Rd Samsenthai Rd East 7 4 0 3 0 4 39 0 85 West 11 2 1 2 0 0 12 0 45 1.3 - Section Samsenthai Rd Chao Anouvong Rd East 8 2 3 0 2 1 3 0 97 West 2 3 2 0 2 0 6 0 130 1.4 - Section Chao Anouvong Rd Saylom Rd South 7 8 5 1 0 5 15 15 355 North 4 0 0 0 0 0 0 0 411

2 Saylom Road Khounboulom Rd Lanexang Avenue South 24 3 2 4 4 0 89 9 285 North 29 0 1 9 2 0 30 6 120 3 Dongpalane Rd 3.1 - Section Lanexang Avenue Nongbone Rd South 0 1 0 0 0 0 0 0 105 North 0 5 2 0 0 0 0 2 30 3.2 - Section Nongbone Rd Hong Ke (Channel) East 15 6 12 21 0 0 46 18 0 West 2 11 10 2 0 2 0 42 0 0

4 Samsenthai Rd 4.1 - Section Khounboulom Rd Chao Anouvong Rd North 4 0 0 0 0 0 10 0 68 South 0 4 2 0 0 0 18 0 0

4.2 - Section Chao Anouvong Rd Nokeokhoummane Rd North 27 4 2 8 0 0 36 35 174

South 1 21 2 0 1 0 36 0 0

4.3 - Section Nokeokhoummane Rd Pangkham Rd North 4 7 0 2 0 0 0 0 0

South 1 4 8 0 1 0 35 0 0

4.4 - Section Pangkham Rd Chanthakhoummane Rd North 13 2 0 0 0 5 29 0 155

South 0 4 0 2 0 1 26 0 0

4.5 - Section Chanthakhoummane Rd Lanexang Avenue North 0 2 0 4 0 0 0 0 0 130

Kualao Restaurant

South 0 2 0 0 0 0 7 0 0

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Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

4.6 - Section Lanexang Avenue Mahosot Rd East 7 4 0 4 0 0 18 0 112 West 0 0 0 6 0 0 0 0 0 0 Electricite du Lao 4.7 - Section Mahosot Rd Gallieni Rd East 8 0 0 8 0 0 5 0 0 West 0 0 0 0 0 0 5 0 0 4.8 - Section Gallieni Rd Sakarine Rd East 2 0 0 0 1 0 0 0 116 West 1 7 0 0 1 0 0 0 0 4.9 - Section Khouboulom Rd Sihom Rd North 5 1 2 21 1 0 2 0 0 300 South 5 3 3 21 2 3 9 0 8 0 4.10 - Section Sihom Rd Sithan Rd North 2 0 1 0 0 0 0 3 65 South 0 0 3 0 0 0 0 0 0

5 Setthathirath Rd 5.1 - Section Khounboulom Rd Chao Anouvong Rd North 0 0 0 0 0 0 South 11 4 0 0 2 0 6 0 113

5.2 - Section Chao Anouvong Rd Nokeokhoummane Rd North 0 0 0 0 0 0 36 0 0

South 31 5 0 0 4 0 2 0 220

5.3 - Section Nokeokhoummane Rd Pangkham Rd North 0 0 0 0 0 0 30 0 0

South 31 4 1 3 2 0 37 3 142

5.4 - Section Pangkham Rd Chanthakhoummane Rd North 0 4 0 16 0 0 0 3 0 0 Water fountain

South 13 1 0 2 0 0 0 0 130

5.5 - Section Chanthakhoummane Rd Lanexang Avenue North 0 0 0 0 0 0 0 0 0

South 0 0 0 0 0 0 0 0 0

5.6 - Section Lanexang Avenue Mahosot Rd East 0 0 0 3 0 0 0 0 0 0 Wat Sisaket/Hophakeo

West 0 0 0 0 0 0 0 0 0 5.7 - Section Mahosot Rd Sakarine Rd East 0 1 0 16 0 1 0 0 0 0 DPWT West 0 3 0 3 0 0 0 0 0 6 Fa Ngum Rd 6.1 - Section Khounboulom Rd Chao Anouvong Rd North 3 1 0 1 0 5 34 0 0 South 0 0 0 13 0 0 0 0 0 0 Pakpasak

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Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

6.2 - Section Chao Anouvong Rd Nokeokhoummane Rd North 2 0 0 2 0 0 23 0 98

South 1 0 0 0 0 0 12 0 164

6.3 - Section Nokeokhoummane Rd Manthathourath Rd North 1 1 0 0 0 1 15 0 40

South 2 0 0 0 0 1 5 0 50 6.4 - Section Manthathourath Rd Pangkham Rd North 3 1 0 0 0 0 10 0 115 South 2 0 0 0 0 1 0 0 145

6.5 - Section Pangkham Rd Chanthakhoummane Rd North 0 0 0 0 0 0 0 23 0

South 0 0 0 0 0 5 1 0 0

6.6 - Section Chanthakhoummane Rd Mahosot Rd North 0 1 0 0 1 0 0 0 0

South 0 0 0 0 0 0 0 0 0 6.7 - Section Mahosot Rd Sakarine Rd East 5 0 0 5 0 0 3 0 0 West 8 0 0 7 1 1 9 0 0 6.8 - Section Khouboulom Rd Sithan Rd North 1 0 0 2 0 1 5 12 0 0 South 0 0 0 0 0 0 0 0 0

7 Khouvieng Rd 7.1 - Section Khounboulom Rd Lanexang Avenue North 4 0 0 4 0 0 0 0 0 South 0 1 0 0 0 0 0 0 0 7.2 - Section Lanexang Avenue Nongbone Rd North 0 0 0 5 0 5 0 0 0 0 Morning market South 0 0 0 16 0 0 0 0 0 0 Morning market 7.3 - Section Nongbone Rd Sakarine Rd North 5 0 0 5 0 0 4 0 80 South 4 1 1 0 0 3 13 9 243

8 Chao Anouvong Rd 8.1 - Section Fa Ngum Rd Setthathirath Rd North 11 0 3 2 3 0 180 South 14 5 0 7 0 17 0 152 Saisana Hotel 8.2 - Section Setthathirath Rd Hengboun Rd North 1 0 0 0 11 0 0 South 10 0 0 8 6 0 0 8.3 - Section Hengboun Rd Samsenthai Rd North 6 3 0 0 13 0 0 South 5 0 0 35 16 0 0 8.4 - Section Samsenthai Rd Khounboulom Rd North 0 13 12 0 3 0 0

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88

Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

South 12 0 0 0 0 0 0

9 Fancois Ngin Rd Fa Ngum Rd Setthathirath Rd North 14 0 2 0 0 0 0 45 5 0 South 2 13 0 0 1 6 0 29 0 0

10 Nokeokhoummane Rd

10 - Section Fa Ngum Rd Setthathirath Rd North 2 7 0 0 2 7 5 0 5 0 South 19 8 2 2 0 0 19 8 0 0 10 - Section Setthathirath Rd Samsenthai Rd North 4 0 1 1 6 0 0 South 10 6 0 0 9 0 0 10 - Section Samsenthai Rd Rue de Puit North 9 0 0 0 11 0 0 South 14 0 0 0 0 0 0

11 Manthathourath Rd 11 - Section Fa Ngum Rd Setthathirath Rd North 23 3 0 0 3 0 27 20 0 South 21 2 0 4 19 0 0 0 0 11 - Section Setthathirath Rd National culture hall North 10 0 0 0 8 0 0 South 11 0 0 0 10 4 0

12 Pangkham Rd 12 - Section Fa Ngum Rd Setthathirath Rd North 0 15 0 0 0 0 0 0 0 South 31 22 0 0 2 0 0 0 0 12 - Section Setthathirath Rd Samsenthai Rd North 10 0 0 0 0 7 0 64 0 0 South 8 3 0 0 2 0 17 0 0 12 - Section Samsenthai Rd Phaynam Rd North 0 10 0 0 0 0 0 South 6 3 0 0 0 0 0 12 - Section Phaynam Rd Khounboulom Rd North 4 6 0 0 0 0 0 South 1 1 0 0 7 0 0

13 Chanthakhoummane Rd

13 - Section Fa Ngum Rd Setthathirath Rd North 11 0 0 0 0 0 0 South 1 0 0 0 0 0 0 13 - Section Setthathirath Rd Samsenthai Rd North 0 0 0 18 0 0 0 0 LTC Banch Office South 5 3 0 10 0 5 4 0 In front of Lido

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Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

13 - Section Samsenthai Rd Phaynam Rd North 14 5 9 1 2 0 0 South 14 11 0 0 0 0 0

14 Mahosot Rd 14 - Section Fa Ngum Rd Setthathirath Rd North 3 0 0 0 3 0 0 0 0

South 0 0 0 16 0 0 0 0 5 0 Emergency Building

14 - Section Setthathirath Rd Samsenthai Rd North 0 0 0 0 0 0 0 0 0 South 0 0 0 0 0 0 0 0 0 14 - Section Samsenthai Rd Khouvieng Rd North 15 4 5 2 0 0 0 0 0 South 5 0 0 5 0 0 0 0 0

15 Sakkarine Rd 15 - Section Fa Ngum Rd Setthathirath Rd North 23 0 0 11 0 0 0 South 28 0 0 5 0 0 0 15 - Section Setthathirath Rd Samsenthai Rd North 8 0 0 2 0 0 0 0 Piawat School South 1 2 0 0 5 20 0 15 - Section Samsenthai Rd Khouvieng Rd North 0 4 0 4 2 7 0 South 1 0 0 0 7 0 0

16 Galleini Rd 16 - Section Setthathirath Rd Samsenthai Rd North 1 0 0 0 0 0 0 South 3 0 0 0 0 0 0 16 - Section Samsenthai Rd Khouvieng Rd North 0 14 0 0 0 0 0 South 0 10 0 0 0 0 0

17 De la mission Rd 17 - Section Mahosot Rd Gallieni Rd East 8 0 0 0 0 0 0 West 12 0 0 0 0 0 0 17 - Section Gallieni Rd Sakarine Rd East 0 0 0 0 0 0 0 West 0 8 0 5 0 0 0

18 Lanexang Avenue 18 - Section Setthathirath Rd Samsenthai Rd North 0 0 0 0 0 0 0 0 0 South 7 0 0 7 0 0 0 0 0 18 - Section Samsenthai Rd Khouvieng Rd North 0 3 0 0 0 0 0 0 0

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Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

South 1 0 0 1 0 0 0 0 0 18 - Section Khouvieng Rd Saylom Rd North 1 0 0 1 0 0 0 0 0 South 5 4 0 5 0 0 4 0 0 19 Hengboun Rd 19 - Section Khounboulom Rd Anou Rd North 23 0 0 0 0 5 7 25 0 0 South 6 0 0 0 5 0 0

19 - Section Anou Rd Nokeokhoummane Rd North 70 0 0 0 20 0 0

South 16 3 3 0 14 0 0

20 Hengboun noy Rd Setthathirath Rd Hengboun Rd North 8 0 0 1 11 0 0 South 0 0 0 0 2 0 0

21 Phainam Rd 21 - Section Chao Anouvong Rd Stadium North 2 0 0 0 0 0 0 South 4 0 0 0 0 0 0 21 - Section Le Ky Houng Rd Pangkham Rd North 9 6 0 0 0 0 0 South 10 1 0 0 0 0 0 21 - Section Pangkham Rd Khouvieng Rd North 9 0 0 0 11 0 0 South 7 6 0 0 10 0 0

22 Le ky houng Rd Samsenthai Rd Khounboulom Rd North 5 1 0 1 3 0 0 South 0 0 0 22 32 0 0 Lao Plaza Hotel

23 Hanoi Road

23 - Section Hengboun Rd Samsenthai Rd North 0 Under construction

South 0 23 - Section Samsenthai Rd Phanompenh Rd North 7 0 0 0 0 0 0 South 8 0 1 0 0 0 0 23 - Section Phanompenh Rd Rue du Puit North 0 0 0 0 4 0 0 South 3 0 0 0 2 0 0 23 - Section Rue du Puit Phaynam Rd North 1 0 0 0 0 0 0 South 1 0 0 0 0 0 0

24 Toulan Road

Appendix 7

91

Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

24 - Section Hengboun Rd Samsenthai Rd North 4 0 0 5 0 0 0 South 0 0 0 0 4 0 0 24 - Section Samsenthai Rd Phanompenh Rd North 1 0 0 0 1 0 0 South 5 0 0 0 0 0 0 24 - Section Phanompenh Rd Rue du Puit North 6 0 0 0 0 0 0 South 4 0 1 0 0 0 0 24 - Section Rue du Puit Phaynam Rd North 0 0 0 0 0 0 0 South 0 0 0 0 1 0 0 25 Haiphong Road 25 - Section Hengboun Rd Samsenthai Rd North 0 0 0 35 0 0 0 South 2 0 0 18 0 0 0 25 - Section Samsenthai Rd Phanompenh Rd North 1 7 0 0 0 0 0 South 1 5 0 0 0 0 0 25 - Section Phanompenh Rd Rue du Puit North 0 2 0 0 0 0 0 South 0 2 0 0 0 0 0 25 - Section Rue du Puit Phaynam Rd North 0 0 0 0 0 0 0 South 0 0 0 0 0 0 0

26 Sai Ngon Road 26 - Section Hengboun Rd Samsenthai Rd North 2 0 0 6 0 0 0 South 0 5 0 0 0 0 0 26 - Section Samsenthai Rd Phanompenh Rd North 4 0 0 0 0 0 0 South 3 2 0 0 0 0 0 26 - Section Phanompenh Rd Rue du Puit North 2 0 0 0 0 0 0 South 1 2 0 0 2 0 0 26 - Section Rue du Puit Phaynam Rd North 0 0 0 0 0 0 0 South 0 0 0 0 0 0 0

27 Du Puit Rd Anou Rd Nokeokhoummane Rd North 7 0 1 2 0 3 0

South 11 0 0 1 2 2 0

28 Phanompenh Rd Anou Rd Nokeokhoummane Rd North 22 0 0 0 0 0 0

Appendix 7

92

Section location Number of Cars Parking Length of

No. Road and Section Vehicles Vehicles Illegally

Parked Motorcycle Black/White Remarks

From To Side Road Footpath in

Property Roadside Yellow

Marking Red

Marking Wrong Side Road Footpath

in Property Marking

(No.) (No.) (No.) Area (No.) (No.) (No.) (No.) (No.) (No.) (No.) (m)

South 20 2 1 0 15 0 0

29 Inpeng Road Khounboulom Rd Anou Rd North 5 0 0 11 7 0 0 South 1 3 0 0 3 0 0

30 Oongtou Road Anou Rd Fancois Ngin Rd North 9 0 0 5 0 0 0 South 0 2 0 0 19 0 0

31 Wat Chan Rd Fa Ngum Rd Oongtou Rd North 9 0 0 5 0 0 0 South 0 2 0 0 19 0 0

32 Yonnet Rd Nokeokhoummane Rd Pangkham Rd North 0 0 0 0 0 0 0

South 0 0 0 0 0 0 0

33 Hatsady Rd Khouvieng Rd Lanexang Avenue North 0 0 0 42 0 0 0 37 0 0 South 0 0 38 0 0 0 0 0 0 34 Nongbone Rd Khouvieng Rd Dongpalane Rd North 3 0 0 10 2 1 1 0 0 0 South 12 0 0 67 0 0 0 35 0 50

35 Suphanouvong Rd Sithan Rd Khounboulom Rd North 16 3 1 16 0 0 0 23 0 South 32 12 11 32 0 0 1 60 0

36 Sithan Rd 36 - Section Samsenthai Rd Souphanouvong Rd North 18 0 0 18 0 18 0 8 0 0 South 11 5 7 1 0 1 4 0 170 36 - Section Souphanouvong Rd Fa Ngum Rd North 8 3 0 8 3 0 0 0 0 South 9 1 0 3 0 0 0 0 200

37 Sihom Rd Samsenthai Rd Souphanouvong Rd East 12 9 2 0 0 0 11 20 0 Road in Sihom Village

West 10 1 6 0 0 0 13 10 0

38 Pakpasak Rd Khounboulom Rd Souphanouvong Rd East 0 0 0 0 0 0 0 0 0 Maintenance road

West 11 0 0 0 0 0 0 3 0 for drainage channel

TOTAL 1,203 413 132 333 210 55 64 266 1,436 322

5,507

Appendix 8

93

WALKABILITY SURVEY

I. WALKABILITY ANALYSIS

A. Introduction

1. The concept of measuring ‘walkability’ was developed by the World Bank, and more recently applied and further refined under the Clean Air Initiative for Asian Cities (CAI-Asia funded jointly by ADB, World Bank and USAID)1. According to CAI-Asia ‘The "walkability index" can help raise awareness and generate interest among policy makers and city officials and help them improve walking in their cities. In addition, it will highlight how ADB can provide support to DMCs in the improvement of pedestrian facilities and policies in urban areas’.2

2. Based on this methodology a walkability survey was undertaken in Vientiane for VSUTP. The approach used was not exactly the same as used in other Asian cities in the CAI study. In those cities the surveys were city-wide in several different types of neighborhood. The VSUTP focus for traffic management is the core area in central Vientiane which is only one type of neighborhood, namely commercial. T he route and findings are described below along with a photographic record of the route. B. Route of Survey

3. The survey followed a route from the vicinity of the central bus station and markets, through the central retail and tourist area, to the Mekong riverside. The route is shown in Figure A8.1. C. Survey results

4. The final walkability score of 61 puts the central area of Vientiane in the middle of the range of scores derived for other Asian cities, and in the ‘somewhat walkable’ category. The Asian cities rated thus far range from ‘very walkable’ (scores of 70-89) to ‘car-dependent’ (scores of 0-24). Whilst ostensibly a reasonable result, it masks the fact that in a relatively low-density, low-rise urban environment the score should really have been higher. It reflects a high level of automobile dependence amongst the middle and upper classes in Lao society. The analysis shows that Vientiane scored low in terms of pedestrian amenities, obstructions, and disability infrastructure. 5. The field survey highlighted a number of issues for pedestrians in Vientiane, many of which can be seen in the photos in this Appendix. These are cluttered and obstructed footways, inconsiderate and illegal parking, and poor quality and unsafe road crossing facilities.

1 http://cleanairinitiative.org/portal/whatwedo/projects/Walkability 2 Ibid.

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94

Appendix 8

95

D. Detailed Survey Analysis

Field Survey Rating Section Section Section Section Section Section 1 2 3 4 5 6

1. Walking Path Modal Conflict 4 5 3 4 2 3 2. Availability Of Walking Paths 2 4 3 3 4 2 3. Availability Of Crossings 4 4 4 5 4 5 4. Grade Crossing Safety 2 3 2 4 2 4

5. Motorist Behavior 3 3 3 3 2 3 6. Amenities 2 4 2 2 2 2 7. Disability Infrastructure 2 2 1 1 2 1 8. Obstructions 2 4 2 2 2 2

9. Security from Crime 5 5 5 5 5 5 10. Pedestrian count 36 45 12 36 90 15 11. Length of Surveyed Stretch (km) 0.3 0.15 0.37 0.23 0.21 0.25

Rating + Length

1 2 3 4 5 6 1. Walking Path Modal Conflict 12 7.5 11.1 9.2 4.2 7.5 2. Availability Of Walking Paths 6 6 11.1 6.9 8.4 5

3. Availability Of Crossings 12 6 14.8 11.5 8.4 12.5

4. Grade Crossing Safety 6 4.5 7.4 9.2 4.2 10 5. Motorist Behavior 9 4.5 11.1 6.9 4.2 7.5 6. Amenities 6 6 7.4 4.6 4.2 5 7. Disability Infrastructure 6 3 3.7 2.3 4.2 2.5

8. Obstructions 6 6 7.4 4.6 4.2 5 9. Security from Crime 15 7.5 18.5 11.5 10.5 12.5 Original Global Walkability Index

1 2 3 4 5 6

1. Walking Path Modal Conflict 43.2 33.75 13.32 33.12 37.8 11.25 2. Availability Of Walking Paths 21.6 27 13.32 24.84 75.6 7.5 3. Availability Of Crossings 43.2 27 17.76 41.4 75.6 18.75

4. Grade Crossing Safety 21.6 20.25 8.88 33.12 37.8 15 5. Motorist Behavior 32.4 20.25 13.32 24.84 37.8 11.25 6. Amenities 21.6 27 8.88 16.56 37.8 7.5 7. Disability Infrastructure 21.6 13.5 4.44 8.28 37.8 3.75

8. Obstructions 21.6 27 8.88 16.56 37.8 7.5 9. Security from Crime 54 33.75 22.2 41.4 94.5 18.75

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96

Final Walkability Rating

1. Walking Path Modal Conflict 70 2. Availability Of Walking Paths 60 3. Availability Of Crossings 87

4. Grade Crossing Safety 57 5. Motorist Behavior 57 6. Amenities 47 7. Disability Infrastructure 30

8. Obstructions 47 9. Security from Crime 100 Walkability Score 61

Appendix 8

97

Photos of Walkability Survey Route

Khou Vieng Road Vendors, motorbikes, and other clutter seriously impede the footway in the area in front of the Post Office

Lane Xang Avenue Very clear and well-maintained footways in the street blocks near the Presidential Palace

Khou Vieng Road Large tree root takes up whole footway. (Pavement needs to be extended around the tree at the cost of a car space).

Appendix 8

98

Lane Xang Avenue Lane Xang Avenue junction with Samsenthai Road. The lights have a pedestrian phase with a flashing green man, but the phase is not long enough to cross both carriageways

Samsenthai Road Good quality footway surface but cluttered with motorbikes.

Samsenthai Road Pedestrian crossing provided with pedestrian lights. However the pedestrian button does not work.

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99

Samsenthai Road Pavement parking in a red no parking zone. Pedestrians forced to walk in street.

Samsenthai Road Pavement parking plus on-road parking in red zone. Tourists forced into middle of road.

Pangkham Road A combination of utilities, shop-front clutter and inconsiderate parking completely block the footway.

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100

Pangkham Road As above, with plants and motorcycles adding to the obstruction.

Sethathirath Road Pedestrian crossing – but no lights. Cars rarely stop.

Pangkham Road Unregulated parking in front of building project at Nam Phou fountain. Will require strict enforcement once building is open.

Appendix 8

101

Sethathirath Road Footway parking and forecourt grabbing (property line coincides with building line) create obstacle course for pedestrians

Sethathirath Road Good shady footways. Ad-hoc frontage parking can create vehicular-pedestrian conflict.

Nokeokhoummane Road Food stall blocking footway and occupying road space

Appendix 8

102

Nokeokhoummane Road Vehicles on footway – on the wrong side in odd and even date parking zone.

Nokeokhoummane Road Vehicles park both sides every day despite odd and even date parking zone – forces pedestrians onto the road surface.

Appendix 9

103

TRAFFIC SURVEY

I. INTRODUCTION

1. This Appendix describes the results of a traffic survey carried out for the VSUTP. The results of the survey will be utilized to assist in the estimate of future traffic demand required for the pilot public transport shuttle bus loops for Package 2 of the Project.

II. METHODOLOGY

2. Traffic count survey were conducted along 6 road sections in the study area in order to determine indicative daily traffic flows into and out of the core city area, and along two of the side streets where traffic management improvements are contemplated. The locations of the surveys are indicated on Figure A9.1. During the PPTA more detailed traffic surveys will need to be carried out, probably a 3 or 7 day count, and probably covering about 10 locations. 3. Traffic volume by direction and each type of vehicle was manually and separately counted, then recorded for every 15 minute interval for 12 hours from 06:00 to 18:00. Counts were made simultaneously at all six locations on 28 October 2010. Vehicle classifications were as follows: bicycle, motorcycle/motorbike, tuk-tuk, sonteo, car/taxi, pick-up, bus, light truck (two-axle), heavy truck (>two axle), truck-trailer, and other.

Figure A9.1. Traffic Survey Locations

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104

III. TRAFFIC RESULTS

4. Traffic count stations at locations 1 to 4 were along major arterial streets leading into and out of the core area of the city. A s expected, counts along these major streets showed high traffic volumes. The highest traffic volume was at location 1, along Khounboulom road, totaling about 36,000 vehicles for the 12-hour count. The volumes for all locations are listed in Table A 9.1:

Table A9.1 Summary of Traffic Survey Results

Road Name Daily Traffic Volume(veh/day) – 12 hour count

Including motorcycle Excluding motorcycle 1. Khounboulom 2. Samsenthai 3. Setthathirath 4. Fa Ngum 5. Nokeokhoummane 6. Fancois Ngin

36,017 18,537 20,306 19,830 1,207 1,719

15,663 9,543 10,762 8,680 589 881

IV. TRAFFIC ANALYSIS

5. The analysis of the traffic survey on the study areas indicates that trips by motorcycle had the highest share of 53 %, while private car trips (car/taxi and pick-up) were 30%. Trips by public transport (tuk-tuk, sonteo, Starex and bus) were 11%; trips by trucks and other commercial vehicles were 5%; and trips by non-motorized transport only accounted for about 1% of the total. Modal share are shown in Figure A9.2. 6. Figure A9.3. shows the total traffic for all six locations, on an hour by hour basis. The figure shows that there is very high peak in the morning in the traffic flow direction towards the center core area (7:30 to 8:30), and in the opposite direction in the evening peak hour (16:30 to 17:30). The two peak flow periods are relatively short, as compared with larger Asian capital cities.

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105

Figure A9.2. Mode Share

1%

53%

11%

30%

5% Non-Motorized Vehicle

Motorcycle

Public Transport

Private Car

Truck/Commercial

Figure A9.3. 15min. Traffic Volume (total traffic at all 6 survey locations)

0

200

400

600

800

1000

1200

1400

1600

1800

2000

6:00 6:30 7:00 7:30 8:00 8:30 9:00 9:30 10:00 10:30 11:00 11:30 12:00 12:30 13:00 13:30 14:00 14:30 15:00 15:30 16:00 16:30 17:00 17:30 18:00 Time

Vehi

cles

/15

min

To city center

From city center

Appendix 9

106

Table A9.2 Summary of Traffic Results

Vehicle Types Survey Location

Total 1.Khounboulom 2.Samsenthai 3.Setthathirath 4.Fa

Ngum 5.Nokeokhoummane 6.Fancois Ngin

Bicycle 207 103 93 137 34 113 687

Motorcycle 20,354 8,994 9,544 11,150 618 838 51,498

Tuk-Tuk 1,992 114 253 1,169 47 75 3,650

Sonteo 194 3 226 118 19 23 583

Car/Taxi 4,906 2,868 3,926 2,391 219 275 14,585

Pick Up 4,706 3,903 3,798 2,241 155 207 15,010

Medium Bus 1,944 1,430 1,615 1,106 72 118 6,285

Large Bus 52 50 71 4 0 2 179 Light Truck (2-Axle Truck) 1,590 1,033 727 1,215 18 39 4,622 Heavy Truck (>2-Axle Truck) 54 31 44 254 1 0 384

Trailer 1 0 0 42 0 0 43

Other 17 8 9 3 24 29 90

Total 36,017 18,537 20,306 19,830 1,207 1,719 97,616

Appendix 10

107

ECONOMIC AND FINANCIAL ASSESSMENTS

1. A prefeasibility assessment was made of the potential economic viability of the VSUT pilot project, described elsewhere in this report. Financial viability was assessed for the bus public transport subproject1

. Economic values used in the assessment are at border equivalent prices for tradable goods, and for non-tradable goods at domestic prices after removing the effects of taxes and subsidies. Economic benefits were quantified by comparison of project area conditions with and without the project; financial benefits were measured by estimating revenues. The main viability indicators estimated for the present assessments are economic and financial internal rates of returns (EIRR and FIRR). All values in the viability assessments are expressed in 2010 constant prices. In addition, an initial assessment of financial sustainability of the Pilot EST Agency (PEA) was made by conducting a financial statements analysis of the pilot entity based on pre-feasibility projections.

A. Project Cost 2. The project cost is based on prefeasibility engineering estimates and exclude financial charges during construction. Project economic costs were derived from financial construction, equipment, administration and other, and land and resettlement costs for capital cost, and recurrent financial operation and maintenance cost for recurrent O&M cost. The capital costs include replacement of all equipment including buses after an assumed 10 year life cycle plus additions to the bus fleet to serve an expanded patronage. Economic costs exclude taxes, duties, price contingencies, but include physical contingencies. Administration and other cost covers consultancy services and related expenses for implementation support, awareness and community participation and institutional capacity development. Table A10.1 summarizes the project economic capital costs.

Table A10.1 Project Economic Capital Cost ($ million)

Year Construction Equipment Administration and other

Land and resettlement

Total

2012 0.000 0.000 0.456 0.000 0.456 2013 2.938 1.421 1.824 1.640 7.823 2014 5.876 2.842 1.824 3.279 13.821

2015-25 0.000 8.437 0.000 0.000 8.437 Source: TA Consultants 3. The O&M cost includes an allowance for recurrent spending on awareness and community participation during the VSUT project operation. B. Economic and Financial Benefits

1. Transport Demand Assessment 4. Traffic and parking surveys were conducted to establish baseline transport demand conditions the project area. This information provided a base for quantifying the expected project area vehicle and passenger demand for motorized trips, with total and average trip times 1 A financial viability assessment was not attempted for parking, the second potential revenue earning subproject, but was left to a future feasibility study project preparation. A clear determination of the parking charge policy involves complex considerations linked to the traffic management and public transport subcomponents of VSUTP. T he necessary policy analysis could not be attempted at this pre-feasibility stage.

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108

and distances by transport mode, under two scenarios: (i) with the project implemented, and (ii) if the present trends are allowed to persist (‘without the project’)2. The estimates for the scenario without the project drew on the JICA Transport Masterplan study3

. T able A10.2 summarizes the estimated demand for passenger trips.

Table A10.2 Daily Passenger Trips (2015-2025) (Unit: Trip)

Scenario Year Car Motorcycle Bus Total WO 2015 51,250 64,777 0 116,027

2025 96,051 85,311 0 181,362 W 2015 44,405 51,430 19,883 115,718

2025 66,127 65,176 34,463 165,765 W=with project; WO=without project Source: TA Consultants

2. Economic Benefits

5. For an analysis of the economic return on investment, using the transport demand assessment of the average daily passenger trip time and distance, the project benefits were identified with cost savings in relation to the travel time and vehicle operating cost (VOC) that travelers demonstrate a willingness to incur without the project. These user benefits were valued at a derived unit value of travel time and a unit VOC. 6. The unit value of travel time was based on survey data from a regional urban transport study, after adjusting for per capita GDP differential. Details appear in Table A10.3. The unit

Table A10.3 Value of Passenger Time per Hour ($)

Household Category 2015 2025 Car-owning 1.40 1.97 Motorcycle-owning 0.88 1.29 Source: based on TA 7443 VIE: Ho Chi Minh City MRT Line 2 Project, 2010, consultants report

VOC was based on a standard model in current use at an international transport authority for project economic cost-benefit appraisals4

. Fuel prices were independently estimated. The estimate of the economic price of fuel is based on applying standard refining margins to the economic price of crude oil to obtain petrol and diesel prices. T he price assumed for the analysis is $90 per barrel in constant 2007 prices. Table A10.4 summarizes the derived travel costs with and without the project.

Table A10.4 User Cost per Passenger Trip (2015-2025) ($)

2 The transport demand assessment is a supplementary appendix available on request. 3 JICA. 2008. Masterplan on Comprehensive Urban Transport in Vientiane. 4 California Transport Department. See Booze Allen Hamilton, Hagler Bailly, Parsons Brinkerhoff, 1999, California Life-Cycle Benefit/Cost Analysis Model, Technical Supplement to Users Guide.

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109

Description Car Motorcycle Bus All Modes 2015 WO Time cost 0.259 0.128 0.000 0.186

VOC 0.391 0.201 0.000 0.288 Total 0.650 0.329 0.000 0.474 2015 W Time cost 0.222 0.104 0.189 0.164

VOC 0.338 0.174 0.093 0.223 Total 0.561 0.278 0.282 0.387

2025 WO Time cost 0.550 0.303 0.000 0.434 VOC 0.545 0.280 0.000 0.420 Total 1.095 0.582 0.000 0.854

2025 W Time cost 0.372 0.186 0.322 0.289 VOC 0.424 0.217 0.086 0.272 Total 0.796 0.404 0.408 0.561

VO=vehicle operating cost; W=with project; WO=without project Source: TA Consultants

3. Financial Benefits

7. Revenues of the bus loops service were estimated using bus patronage forecast prepared under the transport demand assessment. At KN2,500 per trip the selected average fare is consistent with the stated preference in a willingness to pay survey conducted under this TA. C. Economic and Financial Analysis

1. Economic Analysis

8. The benefits included in the economic analysis comprise the user benefits described in paragraph 5. The costs are those described in paragraphs 2-3. At 15.3%, the EIRR obtained in the analysis is above the 12% minimum acceptable economic yield for an ADB project. Details of the EIRR calculation appear as Annex A to this appendix.

2. Financial Analysis

Table A10.6 Project Weighted Average Cost of Capital (WACC) ADB Grant Co-financiers Government

Funds Total

Principal amount ($ million) 10.000 12.200 4.300 26.500 Weight 38% 46% 16% 100% Nominal cost 1.5% (relending rate) 6.7% 8.0% Tax rate 40% 40% 40% Tax adjusted nominal rate 0.9% 4.0% 4.8% Inflation rate 1.5% 1.5% 5.5% Real cost 0.9% 4.1% 5.1% Weighted component of WACC 0.3% 1.9% 0.8% 3.0%

3. Source: TA Consultants

9. Financial analysis was conducted for the bus public transport subproject. Based on the KN2,500 average fare, the subproject is likely to: (i) have little difficulty recovering its cost; (ii) yield and FIRR of slightly above 8.5% if 50% of the traffic management capital cost is added to the bus subproject costs; and (iii) still yield an FIRR of 3.5% if all of the traffic management capital cost is added. Details of the FIRR analysis appear in Annex B to this appendix. The

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110

3.5% FIRR is above the expected average weighted cost of capital (WACC) of 3% for the whole project, calculated on the likely financing costs, confirming a positive contribution to overall project financial viability. Table A10.6 shows details of the WACC. D. Financial Sustainability of the Pilot EST Agency

1. Assumptions for Financial Projections

10. Financial projections were prepared for the PEA as the responsible agency for implementation and operation and maintenance of the pilot VSUT project. The projections cover a total period of 20 years (2012-2031). Table A10.7 summarizes the proposed financial arrangements for PEA’s implementation and operation of the pilot VSUT project.

Table A10.7 Proposed PEA Project Financial Arrangements Item Arrangement 1. Revenue EST Tax, as described in Appendix 4

2. Financing PEA’s implementation of the project is financed by Government

onlending of the total amount of the grant (ADB), loans (co-financiers), and counterpart funds on the following principal terms: (i) to be repaid in 18 years with a 6-year grace period; (ii) at interest rates based on 0%(ADB grant), 5.2% (co-financiers loans) and 6.5% (counterpart funds) after applying a 1.5% administration charge. Other project capital costs are PEA equity funded.

3.Government subsidy The bus subproject fare collection is paid into a reserve account to be used by the Government for providing a subsidy to PEA as needed.

Source: TA Consultants 11. The Government subsidy centralizes the use of the bus farebox proceeds to supplement the PEA’s funding of the project, and serves to support an integrated management of the project while promoting an efficient use of the funds. In particular, it prevents capture of the bus service collection for a purpose not subject to PEA prioritization and expenditure planning.

2. Financial Statements Analysis Results 12. Analysis of PEA’s projected financial statements indicates positive prospects of cost recovery. Specifically, it supports a reasonable expectation that PEA will be able to recover its capital and recurrent costs through the EST tax revenue supplemented by the proceeds of the bus service fare collection proceeds. The Government’s subloan to finance the initial project investment remains at an acceptable risk through the loan repayment cycle, with a minimum debt service coverage of 1.2 times, a debt-equity ratio not exceeding 2.5 times, and full repayment of the loan as scheduled. The analysis also indicates that the capital cost in particular to renew equipment including buses can be managed within the proposed financial arrangements. The project financial statements of PEA appear in Annex C to this appendix.

Appendix 10 Annex A

111

Analysis of Economic Return on Investment ($ million)

Year Costs Total costs

Benefits Total benefits

Net benefits stream

Invest-ment cost

Other capital

cost

O&M cost

User

2012 0.46 0.00 0.00 0.46 0.00 0.00 -0.46 2013 7.82 0.00 0.00 7.82 0.00 0.00 -7.82 2014 13.82 0.00 0.00 13.82 0.00 0.00 -13.82 2015 0.00 0.00 1.78 1.78 3.48 3.48 1.70 2016 0.00 0.00 1.78 1.78 4.07 4.07 2.29 2017 0.00 0.00 1.78 1.78 4.77 4.77 2.99 2018 0.00 0.00 1.78 1.78 5.58 5.58 3.80 2019 0.00 0.00 1.78 1.78 6.53 6.53 4.74 2020 0.00 2.28 2.17 4.45 7.63 7.63 3.18 2021 0.00 0.00 2.17 2.17 8.93 8.93 6.76 2022 0.00 0.00 2.17 2.17 10.45 10.45 8.28 2023 0.00 0.00 2.17 2.17 12.23 12.23 10.06 2024 0.00 4.56 2.17 6.73 14.31 14.31 7.58 2025 0.00 1.60 2.44 4.04 16.74 16.74 12.70

O&M=operation and maintenance EIRR 15.3% Source: TA Consultants

Appendix 10 Annex B

112

Analysis of Financial Internal Rate of Return for Bus Loops Subproject with 0%, 50% and 100% of Traffic Management Capital Cost

Source: TA Consultants

Year Project Net Year Project Net Year Project NetCost O&M Cost Revenues Inflows Cost O&M Cost Revenues Inflows Cost O&M Cost Revenues Inflows

2012 0.000 0.000 0.000 0.000 2012 0.000 0.000 0.000 0.000 2012 0.000 0.000 0.000 0.0002013 2.158 0.000 0.000 (2.158) 2013 4.155 0.000 0.000 (4.155) 2013 6.152 0.000 0.000 (6.152)2014 4.317 0.000 0.000 (4.317) 2014 7.756 0.000 0.000 (7.756) 2014 12.305 0.000 0.000 (12.305)2015 0.000 0.621 1.450 0.828 2015 0.000 0.621 1.450 0.828 2015 0.000 0.621 1.450 0.8282016 0.000 0.621 1.639 1.018 2016 0.000 0.621 1.639 1.018 2016 0.000 0.621 1.639 1.0182017 0.000 0.621 1.846 1.224 2017 0.000 0.621 1.846 1.224 2017 0.000 0.621 1.846 1.2242018 0.000 0.621 2.435 1.814 2018 0.000 0.621 2.435 1.814 2018 0.000 0.621 2.435 1.8142019 0.000 0.621 2.570 1.949 2019 0.000 0.621 2.570 1.949 2019 0.000 0.621 2.570 1.9492020 2.281 1.010 2.713 (0.578) 2020 2.281 1.010 2.713 (0.578) 2020 2.281 1.010 2.713 (0.578)2021 0.000 1.010 2.864 1.854 2021 0.000 1.010 2.864 1.854 2021 0.000 1.010 2.864 1.8542022 0.000 1.010 3.022 2.013 2022 0.000 1.010 3.022 2.013 2022 0.000 1.010 3.022 2.0132023 0.000 1.010 3.190 2.180 2023 0.000 1.010 3.190 2.180 2023 0.000 1.010 3.190 2.1802024 3.650 1.010 3.367 (1.293) 2024 4.105 1.010 3.367 (1.747) 2024 4.559 1.010 3.367 (2.202)2025 1.597 1.282 3.554 0.676 2025 1.597 1.282 3.554 0.676 2025 1.597 1.282 3.554 0.6762026 0.000 1.282 3.751 2.470 2026 0.000 1.282 3.751 2.470 2026 0.000 1.282 3.751 2.4702027 0.000 1.282 3.959 2.678 2027 0.000 1.282 3.959 2.678 2027 0.000 1.282 3.959 2.6782028 0.000 1.282 4.179 2.897 2028 0.000 1.282 4.179 2.897 2028 0.000 1.282 4.179 2.8972029 0.000 1.282 4.411 3.129 2029 0.000 1.282 4.411 3.129 2029 0.000 1.282 4.411 3.1292030 2.281 1.282 4.656 1.093 2030 2.281 1.282 4.656 1.093 2030 2.281 1.282 4.656 1.0932031 0.000 1.282 4.914 3.632 2031 0.000 1.282 4.914 3.632 2031 0.000 1.282 4.914 3.632

FIRR 17.6% FIRR 8.6% FIRR 3.5%NPV at 3% discount rate 12.53 NPV at 3% discount rate 7.20 NPV at 3% discount rate 0.85

FIRR = f inancial internal rate of return; NPV = net present value;O&M = Operation and Maintenance

100% 50% 0%

Appendix 10 Annex B

113

PEA Projected Financial Statements (2012 – 2021) ($ million at current prices)

ITEM 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 A. Income Statement Revenue (from EST tax) 4.345 4.562 4.790 5.030 5.281 5.545 5.767 O&M costs 0.000 0.000 0.000 2.273 2.387 2.506 2.631 2.763 3.534 3.710 Traffic management O&M cost 0.122 0.128 0.135 0.141 0.149 0.156 0.164 Parking O&M cost 0.757 0.795 0.835 0.876 0.920 0.966 1.015 Bus O&M cost 0.793 0.833 0.874 0.918 0.964 1.645 1.727 PEA administrative overheads 0.601 0.631 0.662 0.695 0.730 0.767 0.805 Operating profit 0.000 0.000 0.000 2.072 2.175 2.284 2.398 2.518 2.012 2.057 Depreciation 0.000 0.000 0.000 1.432 1.432 1.432 1.432 1.432 1.432 2.062 Interest (sub-loan) 0.000 0.000 0.000 1.348 1.348 1.348 1.348 1.263 1.174 1.081 Net operating profit / (loss) 0.000 0.000 0.000 (0.708) (0.605) (0.496) (0.382) (0.177) (0.594) (1.086) Central governmental subsidy 31.3 0.000 0.000 0.000 1.004 1.004 1.004 2.284 2.164 2.670 2.625 B. Cashflow Statement initial Total Operating income 0.000 0.000 0.000 (0.708) (0.605) (0.496) (0.382) (0.177) (0.594) (1.086) Depreciation 0.000 0.000 0.000 1.432 1.432 1.432 1.432 1.432 1.432 2.062 Movement in working capital 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Net cashflow from operation 0.000 0.000 0.000 0.723 0.827 0.936 1.050 1.255 0.837 0.976 Equity 0 0 0.000 0.000 0.000 0.000 Central government grant 0 0 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Central government sub-loan 27.2 27.2 0.538 9.381 17.328 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Investment cost 27.2 49.4 0.538 9.381 17.328 0.000 0.000 0.000 0.000 0.000 3.716 0.000 A. VSUT infrastructure and services 0.000 7.122 14.957 0.000 0.000 0.000 0.000 0.000 3.716 0.000 Traffic management 2.0 3.5 0.000 0.643 1.350 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Parking 12.3 12.6 0.000 3.981 8.360 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Bus loops 7.7 28.1 0.000 2.499 5.247 0.000 0.000 0.000 0.000 0.000 3.716 0.000 B. Implementation support and capacity building 0.538 2.259 2.372 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Sub-loan principal repayment 27.2 0.000 0.000 0.000 0.000 0.000 0.000 1.717 1.802 1.891 1.985 Central governmental subsidy 31.3 0.000 0.000 0.000 1.004 1.004 1.004 2.284 2.164 2.670 2.625 Net Cashflow 0.000 0.000 0.000 1.727 1.831 1.940 1.617 1.617 (2.099) 1.617 Accumulated cashflow 0.000 0.000 0.000 1.727 3.558 5.498 7.115 8.731 6.632 8.249

Appendix 10 Annex B

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PEA Projected Financial Statements Cont’d (2012 – 2021) ($ million at current prices)

ITEM 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 C. Balance Sheet Cash and short-term investments 0.000 0.000 0.000 1.727 3.558 5.498 7.115 8.731 6.632 8.249 Fixed assets 0.538 9.919 27.247 27.247 27.247 27.247 27.247 27.247 30.963 30.963 Accumulated depreciation 0.000 0.000 0.000 1.432 2.863 4.295 5.727 7.159 8.590 10.653 Net fixed assets 0.538 9.919 27.247 25.815 24.383 22.952 21.520 20.088 22.372 20.310 Total Assets 0.538 9.919 27.247 27.542 27.941 28.449 28.635 28.820 29.005 28.559 Central government sub-loan 0.538 9.919 27.247 27.247 27.247 27.247 25.530 23.728 21.837 19.852 Central government grant 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Equity 0.000 0.000 0.000 0.296 0.695 1.203 3.105 5.092 7.168 8.707 Total Liabilities and Equity 0.538 9.919 27.247 27.542 27.941 28.449 28.635 28.820 29.005 28.559

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 DSCR (Debt Service Coverage Ratio) 1 2.28 2.36 2.44 1.53 1.53 1.53 1.53 DER (Debt to Equity ratio) 2 92.2 39.2 22.7 8.2 4.7 3.0 2.3 Working ratio 3 0.5 0.5 0.5 0.5 0.5 0.6 0.6 Required subsidy 31.3 0.000 0.000 0.000 1.004 1.004 1.004 2.284 2.164 2.670 2.625 Bus fare revenue 0.000 0.000 0.000 1.450 1.639 1.846 2.435 2.570 2.713 2.864

Debt service amount 0.000 0.000 0.000 1.348 1.348 1.348 3.065 3.065 3.065 3.065 Source: Asian Development Bank estimates. 1 DSCR: Debt Service Coverage Ratio = (operating profit + subsidy) / debt service 2 DER: Debt to Equity ratio = Debt / Equity (equity includes central governmental grant) 3 Working ratio = O&M cost / Revenue (revenue not include subsidy) Source: TA Consultants

Appendix 10 Annex C

115

PEA Projected Financial Statements Cont’d (2022 – 2031) ($ million at current prices)

ITEM 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 A. Income Statement Revenue (from EST tax) 5.998 6.238 6.487 6.747 7.017 7.297 7.589 7.893 8.208 8.537 O&M costs 3.896 4.091 4.295 5.075 5.329 5.595 5.875 6.169 6.477 6.801 Traffic management O&M cost 0.172 0.181 0.190 0.199 0.209 0.220 0.230 0.242 0.254 0.267 Parking O&M cost 1.065 1.119 1.175 1.233 1.295 1.360 1.428 1.499 1.574 1.653 Bus O&M cost 1.813 1.904 1.999 2.664 2.797 2.937 3.084 3.238 3.400 3.570 PEA administrative overheads 0.845 0.888 0.932 0.979 1.027 1.079 1.133 1.189 1.249 1.311 Operating profit 2.102 2.147 2.192 1.672 1.688 1.702 1.714 1.724 1.731 1.736 Depreciation 2.062 2.062 2.062 1.851 2.262 2.262 2.262 2.262 2.262 2.718 Interest (sub-loan) 0.982 0.879 0.771 0.658 0.539 0.413 0.282 0.145 0.000 0.000 Net operating profit / (loss) (0.943) (0.795) (0.642) (0.837) (1.112) (0.973) (0.830) (0.682) (0.530) (0.982) Central governmental subsidy 2.580 2.535 2.490 3.010 1.991 1.976 1.964 1.954 0.000 0.000 B. Cashflow Statement Operating income (0.943) (0.795) (0.642) (0.837) (1.112) (0.973) (0.830) (0.682) (0.530) (0.982) Depreciation 2.062 2.062 2.062 1.851 2.262 2.262 2.262 2.262 2.262 2.718 Movement in working capital 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Net cashflow from operation 1.120 1.268 1.421 1.014 1.149 1.289 1.432 1.579 1.731 1.736 Equity Central government grant 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Central government sub-loan 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Investment cost 0.000 0.000 9.027 3.320 0.000 0.000 0.000 0.000 6.053 0.000 A. VSUT infrastructure and services 0.000 0.000 9.027 3.320 0.000 0.000 0.000 0.000 6.053 0.000 Traffic management 0.000 0.000 1.523 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Parking 0.000 0.000 0.277 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Bus loops 0.000 0.000 7.227 3.320 0.000 0.000 0.000 0.000 6.053 0.000 B. Implementation support and capacity building 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Sub-loan principal repayment 2.083 2.186 2.294 2.408 2.527 2.652 2.783 2.921 0.000 0.000 Central governmental subsidy 2.580 2.535 2.490 3.010 1.991 1.976 1.964 1.954 0.000 0.000 Net Cashflow 1.617 1.617 (7.410) (1.703) 0.613 0.613 0.613 0.613 (4.322) 1.736 Accumulated cashflow 9.866 11.483 4.073 2.370 2.983 3.596 4.209 4.823 0.501 2.237

Appendix 10 Annex C

116

PEA Projected Financial Statements Cont’d (2022 – 2031) ($ million at current prices)

2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 C. Balance Sheet Cash and short-term investments 9.866 11.483 4.073 2.370 2.983 3.596 4.209 4.823 0.501 2.237 Fixed assets 30.963 30.963 39.989 43.309 43.309 43.309 43.309 43.309 49.362 49.362 Accumulated depreciation 12.715 14.778 16.840 18.691 20.953 23.214 25.476 27.737 29.999 32.716 Net fixed assets 18.247 16.185 23.149 24.618 22.356 20.095 17.833 15.572 19.363 16.645 Total Assets 28.114 27.668 27.222 26.988 25.340 23.691 22.043 20.394 19.864 18.882 Central government sub-loan 17.770 15.584 13.290 10.882 8.355 5.704 2.921 0.000 0.000 0.000 Central government grant 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 Equity 10.344 12.084 13.933 16.106 16.984 17.988 19.122 20.394 19.864 18.882 Total Liabilities and Equity 28.114 27.668 27.222 26.988 25.340 23.691 22.043 20.394 19.864 18.882

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 DSCR (Debt Service Coverage Ratio) 1 1.53 1.53 1.53 1.53 1.20 1.20 1.20 1.20 DER (Debt to Equity ratio) 2 1.7 1.3 1.0 0.7 0.5 0.3 0.2 0.0 0.0 0.0 Working ratio 3 0.6 0.7 0.7 0.8 0.8 0.8 0.8 0.8 0.8 0.8 Required subsidy 31.3 2.580 2.535 2.490 3.010 1.991 1.976 1.964 1.954 0.000 0.000 Bus fare revenue 3.022 3.190 3.367 3.554 3.751 3.959 4.179 4.411 4.656 4.914

Debt service amount 3.065 3.065 3.065 3.065 3.065 3.065 3.065 3.065 0.000 0.000 Source: Asian Development Bank estimates. 1 DSCR: Debt Service Coverage Ratio = (operating profit + subsidy) / debt service 2 DER: Debt to Equity ratio = Debt / Equity (equity includes central governmental grant) 3

Source: TA Consultants Working ratio = O&M cost / Revenue (revenue not include subsidy)

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RESETTLEMENT, GENDER AND OTHER SAFEGUARDS ISSUES

I. INTRODUCTION 1. In accordance with ADB’s guidelines for integration of social analysis in the pre-design and design phases of project implementation a social analysis was carried out to identify opportunities, constraints, and risks for poor and marginalized groups related to the project; to establish a participatory process for the design of the project; and to prepare design measures to achieve social development outcomes and avoid or mitigate any social risks during implementation.

2. This report is a preliminary assessment of potential benefits and adverse impacts of various project components on women, the poor, elderly, disable and other socially vulnerable groups undertaken as part of the Vientiane Sustainable Urban Transport Project under the Asian City Transport – Promoting Sustainable Urban Transport in Asia Project. The overall aim of this assessment is to assess the potential impacts of the proposed sub-projects and to propose interventions for next steps. This assessment is intended to establish a base of information on social conditions and resettlement issues that will help ensure that future interventions respond more effectively to the needs of the local people particularly the poor and marginalized groups.

3. This report is structured into four main sections with the introduction in Section I; Section II presents a brief summary of preliminary findings; Section III describes problems identified during the field surveys with regard to traffic, parking and public transport issues, and their suggested improvements; and Section IV addresses gender and resettlement issues of the proposed sub-projects. Additional survey and other supporting information are contained in the annexes at the end of this appendix.

II. SUMMARY OF PRELIMINARY FINDINGS

4. The major transport issues raised by both women and men are road congestion, rules-behavior, accidents and disputes amongst road users. The women are more concerned about the lack of parking area while the men prioritize traffic jam as their first concern. The primary suggestion to improve public transport in the core area is to provide better public bus service. Bus transport services should include: (i) new buses, with air conditioning; (ii) drivers should be experienced and well trained; (iii) service should be regular, with a maximum service interval of 15 minutes; (iv) bus timetable should be posed at each bus stop, both Lao and English; and (iv) bus tickets should be available at shops and mini-marts around town. The majority of male and female roads users are willing to use such improved bus services at a fare rate of between 3,000 to 5,000 kips per trip.

5. The Project can be classified as a project with some gender benefits amongst the 4 ADB’s gender mainstreaming categories since it is unlikely to provide direct and substantial benefits to women. Based on ADB’s categories on resettlement Sub-project 1 on construction of parking lots can be classified as category A because it may have significant resettlement impact if the proposed construction of parking lots will be built in the water park compound or private lands so a full resettlement plan is required. Resettlement impact of sub-projects 4, 5, 6 and 11 is non-significant and can be in category B, thus a short resettlement plan is required. Sub-projects 2, 3, 7, 8, 9, 10 and 12 have no resettlement impact so no resettlement report is required.

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6. During the PPTA a gender action plan and resettlement framework should be developed to provide guidelines for the development of an (implementation phase) resettlement plan for sub-project 1 a nd sub-projects 4, 5, 6 and 11. Attention to women will need to be included in the resettlement plan such as compensation payments to both men and women, joint-ownership of replacement land/housing, and restoration of livelihoods initiatives for women.

III. URBAN TRANSPORT ISSUES AND PUBLIC SUGGESTIONS FOR IMPROVEMET

7 ADB’s Staff Guide on Consultation and Participation (2006) recommends the preparation of a Consultation and Participation Plan (C&P Plan) for most projects. Different stakeholders consulted during the social impacts assessment included villages authorities, male and female residents, business operators, street vendors and other road users including pedestrians, motorbikes and cars users. Consultation methods used were 6 group discussions with the total participants of 92 of whom 47 were the women, and 120 individual interviews of which 65 interviews were carried out with the women. Selected villages and streets where consultations were undertaken are summarized in the Table A12.1. Guiding questions group discussions and questionnaires for individual interviews are in Annexes 1 and 2 of this appendix.

Table A12.1: List of Surveyed Villages and Streets

No. Village Participants in Group

Discussions

Street District

Total Women

1. Watchanh 14 7 Chanthabouly

2. Xiengngun 15 8 Nokeokhouman: 5 interviews of whom 3 were women

Chanthabouly

3. Haysok 19 9 Chanthabouly

4. Anou 16 12 Chanthabouly

5. Simuang 10 5 Sisattanak

6. Kaongot 18 6 Sisattanak

7. The three most frequently mentioned urban transport issues expressed by the different focus groups were related to (i) traffic congestion; (ii) rules-behavior of drivers and pedestrians, and; (iii) accidents and disputes amongst road users.

8. The number of vehicles has increased significantly in Vientiane capital but the road networks as well as public transport services have not been improved to cope with the traffic growth in

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Vientiane Capital and as a result it has created road congestions particularly during rush hours along the roads to business centers, schools and government offices.

9. Individual interviews with road users in downtown mentioned that there is insufficient parking space for road users so they are force to park in other available (illegal) spots that can block the entrance to private businesses and residence. Figure A12.1 shows that 83% of car drivers and motorbike riders do not have parking area at their work places.

Figure A12.1: Availability of Parking Space in Downtown Vientiane

A. Specific Traffic Congestion and Parking Problems

10. Residents living downtown often cannot park their own cars in front of their houses; and even those residents who have their own off-street parking spaces are often prevented from entering or leaving these spaces because of illegally parked vehicles blocking the driveway/entrance. Tuk-Tuks are permitted to park around the fountain (Namphou) in Xiengngun Village; and they have created line of sight problems for drivers making turns from the side streets. Big trucks of wholesale businesses often deliver the merchandise during day time and block the road. The residents complained that employees of private companies and government workers park their cars along Samsenthai Road for extended periods (often the entire day) in front of private residences in Anou village.

11. Road users’ lack of respect of traffic rules as well as road signs are also one of the main issues expressed during group discussions and individual interviews. Alternate odd and even parking-date signs are not working well, and there is still regular parallel parking on both sides of the roads regardless of the signs or date. Sometimes the cars are double and triple parked and block the entire roadway. The main reason mentioned for ignoring the rules are poor (or complete lack) of law enforcement. Sometimes traffic rule breakers are foreigners who cannot read the road signs which are written only in Lao; very little signage is in English.

12. The lack of respect to traffic rules, lack of parking spaces and unregulated parking have cause many disputes amongst the road users as well as between roads users and residents living along the road. It has also increased traffic accidents in town. Lack of law enforcement on Tuk-Tuk drivers often creates social problems like fighting with the foreigners (passengers) and also fighting among Tuk-Tuk drivers themselves.

B. Suggested Solutions from Consultations with Different Road Users

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13. Both consultations from focus group discussions and individual interviews have suggested the need for (i) improvement of parking in town, (ii) the improvement of bus management services and (iii) better law enforcement are required to solve the growing transport problems in Vientiane Capital. In addition, the group discussions also suggested the improvement of the environment along the road site such as maintenance of side drains and solving problem of pollutions along the roads. Figure A12.2 reveals that the majority of both male and female road users prioritize improvement of parking lots, followed by bus service management and law enforcement.

Figure A12.2: Suggested Solutions from Individual Interviews

14. The suggestions of the residents for solving the problems of parking along the roads in town are: (i) the construction of public parking lots, and the need to promote, build and operate private parking lots (which could be underground or multi storage buildings), (ii) use temple grounds for parking, (iii) the requirement that each office must have the own parking lot, (iv) the need to find more suitable places for Tuk-Tuk parking, (v) the suggestion to move offices particularly government offices from the downtown area, and (vi) a restriction on allowing employees to drive their private cars into the downtown area.

15. Suggested improvement of transport services includes increase public transport, buses must be new with air condition and good driver, the service must be regular with at least 15 minutes interval, bus timetable must be put at the bus stop and the signed board must be in both Lao and English, and the bus tickets must be available at the shops in town. Figures 3 and 4 below show that the majority male and female roads users are willing to use the improved bus services and most of them stated that they can afford the fees of between 3,000 to 5,000 Kip per trip.

Figure A12.3: Willingness to use improved bus service in town

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Figure A12.4: Affordability for improved bus service in town

16. Equal law enforcement must be applied to all offenders of traffic rules and regulations; and traffic police should make more effort to control the rules and regulations. Many suggested that more one way streets should be established, and the time for the delivery of good to the shops in downtown should be regulated.

17. The foreign tourists have made additional suggestions related to safety and public awareness that include policemen in intersections to manage the traffic; and that policemen should help visitors, and that Tuk-Tuk drivers and motorbike riders be trained in road safety.

IV. GENDER AND RESETTLEMENT ISSUES OF THE PROJECT

18. The Project can be classified as Category 3, with some gender benefits amongst the four ADB’s gender mainstreaming categories since it is unlikely to provide direct and substantial benefits to women, but significant efforts has been made during this study to identify potential positive and negative impacts on women. In addition where resettlement is involved, attention to women will be included in the resettlement plan such as compensation payments to men and women, joint-ownership of replacement land/housing, restoration of livelihoods initiatives for women.

19. This gender impact analysis is based on village consultations and the individual interviews with women that represent 51% and 54% respectively of the total participants. Figures 5 a nd 6 show the concerns identified by male and female road users during the individual interviews.

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Figure A12.5: Urban Transport Problems as Stated by Men

Figure A12.6: Urban Transport Problems as Stated by Women

A. Urban Transport Issues and Concerns

20. Most men use cars while most women ride motorbikes or bicycles thus the men are more affected by road congestion than the women who are more concerned about the lack of parking lots as shown in Figures A12.5 and A12.6.

21. Most shop owners and restaurant operators are the women so they are more concerned about lack of parking lots that their businesses. In addition, cars parked in front of their shops also hide their shops from attracting customers and sometimes it has created disputes between shop owners and road users who park the cars in front of the shops or residential houses.

22. Men are more concerned about security along the road at night than the women, it may indicate that more men use the road at night than the women, than the fact the men are actually more concerned about safety than women.

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23. Most street vendors are the women who carry fruits or vegetable to sell to residents or office workers. Some women also set up stalls to sell cooked food for office workers.

Table A12.2: Potential Benefits and Adverse Impacts

Sub-project Benefits Adverse Impacts

Sub-project 1 • Reduces road congestion in town and thus save time for both men and women that can be spent on increased productivity and income

• Reduce emission of carbon dioxide

• Reduces disputes related to parking

• May involve involuntary resettlement

• Creates additional expenses for parking and bus tickets

Sub-projects 2, 3, 12, • Improve parking problems and thus reduce road congestion and blocking of access to houses and shops

• Residents along the road will have additional expenses for parking

• Residents along the roads may not agree to park their cars elsewhere.

Sub-projects 4, 5 • Improve walking path

• Reduce emission of carbon dioxide

• Provide convenience for pedestrians to walk along the roads

• Revive businesses along the road and thus creates more income

• Resolve disputes in connection with parking

• Width constrictions, surface treatments and landscaping along the proposed streets will lead to disruption of existing residents and businesses.

• Residents along the road will have additional expenses for parking

Sub-projects 6 & 11 • Maintenance of streets will reduce vehicle operation costs

• Improve walking path and thus reduce risk of accident for pedestrians whom presently are force to walk on the road

• During the construction some shop owners and street vendors may lose their income

Sub-projects 7,8,9 &b 10

• Increase road safety and thus reduce traffic accidents, save human as well as financial resources for care of injured persons that are mainly the responsibility of the women.

• None

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24. ADB’s Screening questions for resettlement categorization have been applied to categorize each sub-project and the resettlement planning requirements. Table 2 reveals that sub-project 1 on construction of parking lots can be classified as category A because it may have significant resettlement impact so a full resettlement plan is required; resettlement impact of sub-projects 4, 5, 6 and 11 is non-significant and can be in category B thus a short resettlement plan is required; sub-projects 2, 3, 7, 8, 9, 10 and 12 have no resettlement impact so no resettlement report is required. Annex 3 provides a sample of resettlement framework for sub-project 4. Annexes 4, 5 and 6 provide an outline for the development of resettlement plan, a guideline for census, socio-economic, and replacement cost survey, and voluntary contribution consent form.

25. During the PPTA a resettlement framework will need to should be developed to provide guidelines for the development of full and short resettlement plan for sub-project 1 and sub-projects 4, 5, 6 and 11 for the subsequent phase after PPTA.

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Table A12.3: Screening Questions for Resettlement Categorization

Country Project Title: Vientiane Sustainable Urban Transport Project. TA 7243-REG

Probable Involuntary Resettlement Effects Preliminary findings Remark Recommendations for PPTA

1. Will the project include any physical construction

work?

Yes, for Sub-projects: 1, 4, 5, 6 & 11.

• If the proposed construction of parking lots will be built in the water park compound or private lands will be classified as category A.

• Width constrictions, surface treatments and landscaping along the proposed “Woonerf” streets will lead to disruption of existing residents and businesses. Resettlement framework will be required.

Preparation of initial resettlement plan for Sub-project 1as well as four sub-projects 4, 5, 6 & 11.

2. Does the project include upgrading or rehabilitation

of existing physical facilities?

Yes, for Sub-projects: 3, 6, 7, 11, 12

3. Are any project effects likely to lead to loss of

housing, other assets, resource use, or

incomes/livelihood?

Possible, for Sub-project 1 • The proposed location on the east edge is adjacent to Khuadin market and city bus station. For the west edge is surrounded by residential, commercial and government building.

Resettlement plan is required for sub-project 1

4. Is land acquisition likely to be necessary? Possible, for Sub-projects: 1 • If the proposed construction will be built in the water park compound or private lands.

Resettlement plan is required for sub-project 1

5. Is the site for land acquisition known? Not known, for Sub-projects: 1 • At this stage the sites for parking lot have not been decided yet. Proposed construction will be built in the water park compound or private lands

Site for land acquisition need to be identified for development of entitlement schemes for AP of sub-project 1

6. Is the ownership status and current usage of the

land known?

Not known, for Sub-projects: 1 • At this stage the sites for parking lot have not been decided yet

Ownership status and current usage of land need to be identified for development of entitlement scheme for the AP of sub-project 1

7. Will easements be utilized within an existing right of

way?

No, for all Sub-projects

8. Are any non-titled people living or earning their

livelihood at the site or within the right-of-way?

Possible, for Sub-project 1 • If the proposed construction will be built in the water park compound or private lands.

All APs need to be identified for development of entitlement scheme for sub-project 1

9. Will there be loss of housing? Possible, for Sub-project 1 • If the proposed construction will be built in the water park compound or private lands.

All APs need to be identified for development of entitlement scheme for sub-project 1

10. Will there be loss of crops, trees and fixed assets? Possible, for Sub-project 1 • If the proposed construction will be built in the water park compound or private lands.

All APs need to be identified for development of entitlement scheme for sub-project 1

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11. Will there be loss of businesses and enterprises? No, for all Sub-projects

12. Will there be loss of income and livelihoods? Yes, for Sub-projects 4,5,6 & 11 • During the construction shop owners and street vendors are going to temporary lose their income.

Entitlement scheme need to be developed and consulted with the APs.

13. Will people lose access to facilities, services, or

natural resources?

No, for all sub-projects

14. Will land use related changes affect any social or

economic activities?

No, for all sub-projects

15. If involuntary resettlement impacts are expected:

• Are local laws and regulations compatible with

ADB’s policy on involuntary resettlement?

Yes In general, the main principles of the

government policies on land acquisition,

compensation, assistance and

resettlement reflect those reflected in

ADB’s SPS (2009).

1. Will coordination between government agencies be

required to deal with land acquisition?

Yes Stakeholder analysis need to be carried out

2. Is sufficient skilled staff available in the executing

agency for resettlement planning and implementation?

Not known Some staff members of VUDAA have

gained this experience from Vientiane

Urban Infrastructure and Service Project

Training need assessment needs to be carried out

3. Are training and capacity building interventions

required prior to resettlement planning and

implementation?

Not known High turnover of VUDAA staff those who

have gained experience from Vientiane

Urban Infrastructure and Service Project

may not be available for the proposed

project.

As above

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Question for Interview Public (Road Users)

1) About yourself: 1.1 gender 1.2 occupation 1.3 your working place

2) Transport use to go to town/work

2.1 What type of transport do you use to go to town/work? 2.2 time spent from home to your work place 2.3 Are there enough parking lots at your working place? 2.4 Enough for all staff and workers? 2.5 If not have enough, how you solve it? Where do you park your car/motorbike? 2.6 Do you see any traffic problems? 2.7 Any suggestion for solving these problems?

3) Alternatives • If there is a public parking lot (nearby the water park) and Lao will have public transport from

this public parking lot to the town core area. 3.1 Are you going to use this public parking lot? 3.2 Are you going to use the new bus line? 3.3 How much do you think about the reasonable parking fee? 3.4 How much do you think about the reasonable bus ticket’s price? (for the one who already paid

the parking fee) 3.5 How much do you think about the reasonable bus ticket’s price? (for public) 3.6 If provide these services (parking lots and new bus line), do you think that will help to diminish

the traffic jam and the crowded town? 3.7 In case there is an office bus, are you going to use it?

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Questions’ Check List for Tourists

1) About yourself: 1.1 Gender……………………. 1.2 Age …………………… 1.3 From (which country)………………… 1.4 Occupation…………………………….. 1.5 First time visit Laos…………………….

2) About the trip: 2.1 How long have you been in Vientiane ……………………………………. 2.2 What type of transport do you usually use during your stay in Vientiane…………… 2.3 Comfortable enough……………………………………………………….. 2.4 Reasonable cost……………………………………………………………. 2.5 Do you see any specific traffic problems here?............................................. 2.6 Do you have any suggestions for improvement (to provide better service to tourists)? .................................................................................................................................................................................................................................................................................................................................................

3) Other choice: • In case Lao will have public transport (new, clean, reliable bus service) to service the town

core area 3.1 Are you going to use it?............................................................................. 3.2 How much do you think about the reasonable bus ticket’s

price?.................................................. 3.3 Any suggestions for further better managing the bus service especially for the foreign

tourists? ………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

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Preliminary Resettlement Framework and a Sample Resettlement Plan for Sub-Project 4: ‘Woonerf’ Street Improvements – Nokeokhoumane.

A. Introduction

1. The Vientiane Sustainable Urban Transport Project (VSUTP) is part of phase 1 (2010_2011): “ studies on pilot testing of new types of sustainable transport operations”. The proposed Project will be implemented in the core areas of Vientiane Capital and comprises three components or packages: (i) institutional strengthening and capacity development; (ii) a pilot public transport service and facilities; and (iii) a demonstration traffic management scheme.

2. Under Component 2, 12 sub-projects have proposed: (1) construction of multi-story car park; (2) traffic management action area plan market/Nongchan zone; (3) Review and rationalization of parking restriction areas; (4) Woonerf’ street improvements – Nokeokhoumane, Francois Ngin, Manthathourath, Chao Anou, OngTeu; (5) street improvement near Nam Phou fountain; (6) Various streets improvement; (7) Improvement of pedestrian light crossing facilities; (8) Improvement of light control junction; (9) Set up additional light-controlled junctions; (10) Improvement at non-light-control junctions; (11) Walkability improvement; (12) Road marking. Of the 12 sub-projects, those with potential implications for resettlement will be sub-projects 1, 4, 5, 6 and 11. This RF will also provide a sample of resettlement plan for Nokeokhouman road of sub-project 4.

3. Sub-project 4 will involve width constrictions, surface treatments and landscaping along the proposed streets will lead to temporary loss or disruption of the use of land or other assets caused by construction works and the movement of construction plant and materials to and from work sites.

B. Objective of Preliminary Resettlement Framework (RF) 4. The RF presents the specific policies and guidelines to guide the process for land acquisition and resettlement. RPs will be prepared for each of the subprojects after feasibility studies have been conducted, and where there are potential resettlement implications.

5. The RF shall be built upon the laws of the Government of Lao PDR in particular, the Draft National Resettlement Policy Degree No 192/PM dated 7 July, 2005 and Degree No 699/PMO - WREA dated 12 March 2010 on Compensation and Resettlement of the Development Project (Improved), as well as ADB’s Policy on Involuntary Resettlement (1995) and its SPS (2009). It will be applied to all subprojects where there will be land acquisition and/or resettlement

6. The legal and policy framework addressing the resettlement impacts of sub-project 4 is provided by relevant policies and laws of the Lao PDR and the ADB’s Involuntary Resettlement Policy, June 2009 (as articulated under its SPS 2009). The following section outlines the relevant policies and laws, and highlights where differences exist, and the specific policies and principles adopted for the proposed Project.

C. Legal Foundation and Entitlement Policies

1. Asian Development Bank Policies

7. The objectives of the ADB social safeguards policy are to avoid involuntary resettlement whenever possible; to minimize involuntary resettlement by exploring project and design alternatives; and to enhance, or at least restore, the livelihoods of all displaced and vulnerable persons in real terms relative to pre-project levels; and to improve the standards of living of the

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displaced poor and other vulnerable groups. The policy indicates four important elements in involuntary resettlement:

Mitigate the need for resettlement and compensation as much as possible; Compensate for lost assets and loss of livelihood and income; Assist in relocation including provision of relocation sites with appropriate facilities and

services, and, Assist with rehabilitation so as to achieve at least the same level of well-being with the Project

as before.

8. The policy further stipulates that the absence of legal title to land cannot be considered an obstacle to compensation and rehabilitation privileges. All persons affected by the Project, especially the poor, landless, and semi-landless persons should be included in the compensation, resettlement, and rehabilitation package. The Safeguard Policy Statement stipulates that those APs who are unable to demonstrate a legalizable or recognizable claim to the land being acquired will be eligible for compensation with respect to non-land assets only, and not the land itself. They will however be provided with other benefits and allowances as provided other APs.

2. Laws and Polices of Lao PDR Regarding Resettlement

9. In the Lao PDR, compensation principles and policy framework for land acquisition and resettlement are governed by the following laws, decrees and regulations:

• the Constitution (1991), • the Land Law (2003), • the Road Law (1999), • Regulations for Implementing the Decree of the Prime Minister on Compensation and

Resettlement of People Affected by Development Projects (No.2432/STEA, dated 11 November 2005), and

• The new improved decree 699/PMO-Water Resources and Environmental Agency (WREA) dated 12 March 2010 on Compensation and Resettlement of the Development Projects.

In general, the main principles of the government policies on land acquisition, compensation, assistance and resettlement reflect those reflected in ADB’s SPS (2009).

3. Reconciliation of Government and ADB Policies

10. Both Lao PDR law and ADB policies entitle APs to compensation for affected land and non-land assets at replacement cost. However, Government and ADB policy differ in the definition of severely affected APs. The ADB (Operational Manual Section F2 para. 5) set a threshold of 10% or more of productive assets to define severely affected APs, while the Government Decree 192/PM (Article 8) adopts a t hreshold of 20% of income generating assets. Using a 10% threshold is, however, in accordance with Decree 192/PM (Article 6) which entitles all APs to economic rehabilitation assistance to ensure they are not worse off due to the proposed Project.

11. Both Lao PDR law and ADB policies entitle APs to compensation for affected assets at replacement cost and other assistance so that they are not made worse off due to the proposed Project. Decree 192/PM goes beyond ADB’s policy and provides APs living in rural or remote areas, or APs in urban areas who do not have proof of land-use rights and who have no other land in other places, compensation for loss of land-use rights at replacement cost, in addition to compensation for their other assets and other assistance. Should APs be found to be non-titled and required to relocate, the proposed Project will ensure they are provided replacement land at no cost to the APs, or cash sufficient to purchase replacement land.

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Table A12.4: Comparative Compensation Approaches

Key Item Internationally Applied Best Practice

Lao PDR Legislation Sub-projects

Scope of impact Include all affected areas including construction and operational sites/facilities

All

Listed

Key

Items

Are

Mandatory

Shall include all residential, agricultural and commercial areas:

(i) Permanently /temporarily acquired, (ii) Construction and O&M related, (iii) Private and/or public areas

Definition of assets All fixed and movable assets Shall define all assets:

(i) Legally acknowledged, and

(ii) Socio-economically surveyed as used by households

Compensation to formal owners / users of assets

Compensation legally required

Shall be offered and provided to:

(i) Private users (shop owners, restaurant operators, etc.)

(ii) Public users (street vendors) Compensation to informal / unregistered owners / users of assets

Compensation to be provide to users of assets and resources based on traditional rights

Shall be applied to households or individuals:

(i) Whose user rights are proven by tax or other formal payments

(ii) Socio-economically surveyed as users of affected assets

Special support to vulnerable groups

Special mitigation measures throughout the project cycle

Shall be for households or individuals:

(i) Formally known or acknowledged at community level as related to one of these groups

(ii) During pre-construction, construction and post-construction phases

Livelihood restoration Compensation to be provided in addition to loss of assets, etc.

Shall include, among others:

(i) Income rehabilitation measures (ii) Others to be defined

Relocation Avoiding displacement Shall be applied and shown through:

(i) Technical optimized design of proposed infrastructure

(ii) If not avoidable, relocated house- holds shall receive (for no costs or payments) issued land titles for their new compounds

Timing of compensation and support measures

Before start of construction:

(i) Funds made available and proven to be accessible conditional to release of construction funds

(ii) Paid and/or provided to affected individuals/ households

Notes: (i) Best international practices as applied by ADB, the World Bank, others; and (ii) final resettlement planning shall provide details of these and other items.

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4. Anticipated Involuntary Resettlement Under Sub-project 4

12. Five streets: Nokeokhoumane, Francois Ngin, Manthathourath, Chao Anou, and OngTeu are covered by sub-project 4. Rapid social assessment was conducted along Nokeokhoumane Street in Xiengngun village, Chanthabouli district, which resulted that resettlement impact may occur when land is required for storing construction materials or other impacts cause by construction activities such as temporary loss of income for hotel, restaurants operators and other businesses operators that rely on walk in customers. The construction activities will also prevent street vendors with pushed cart for selling food, vegetable and fruits along the roads. In addition there is also possible loss of parking of residents along the road. List of affected households and businesses is summarized in the table below.

Table A12.5: Preliminary List of Businesses and Residential Houses along Nokeokhoumane Road.

Category Number Impacts during the construction

Average estimation of lost per day per

business (in USD)

Hotel 1 Number of walk in guest will reduce

300.00

Guest house 3 As above 150.00

Restaurant 7 Number of clients may reduce due to access constraint and disruption

200.00

Handicraft /souvenir shop 5 As above 300.00

Motorbikes and bikes lending operators

5 Number of clients may reduce due to access constraint

150.00

Boutiques 3 As above 100.00

Laundry shop 2 As above 50.00

Book store 2 As above 50.00

Street vendor 3 (Fruit, vegetable and pancake vendors with pushed cart)

Cannot access to the street

20.00

Travel agency 1 Number of walk in guest may reduce

200.00

Government flat houses (11 blocks)

Serve as residence for 20 families of officers working for Ministry of Education

Cannot park their cars on the street additional expense to park their car at the new parking lot along Mekong River

1.00

Residential houses 3 Lao style houses As above 1.00

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5. Entitlement Eligibility and Compensation 13. Eligibility will be determined with regards to the cut-off date, which is taken to be the date of completing the consultation and field survey for which land and/or assets affected by the sub-project are measured. The APs will be informed of the cut-off date for each subproject component, and any people who settle in the sub-project area after the cut-off date will not be entitled to compensation and assistance under the sub-project.

14. Cash Assistance for loss of income: Since resettlement impact of sub-project 4 will be minor and related only to the construction activities thus APs are entitled to compensation of loss of income from business during the construction phase. Estimation of net income of shops should be carried out during the resettlement plan preparation. It will then be used for calculation of cash compensation.

15. Voluntary Donation: Since sub-project 4 will positively impact on the income and well-being of local people and impacts are determined to be minor and the affected households do not want to receive compensation for the impacts, the voluntary contribution on sub-project 4 can be applied using the Voluntary Contribution Form (See Annex 6 for a sample form) must be attached to the subproject RP.

D. Implementation Issues

1. Information Disclosure, Consultation and Participation 16. According to the ADB SPS, the following documents are submitted to the ADB for Disclosure on the ADB website:

o Draft RP or RF endorsed by the Client before project appraisal o Final RP endorsed by Client after the Census of APs o Updated RP following any changes from the Census of APs or other changes introduced (if

any) o Resettlement monitoring reports 17. In the RP preparation following the Census of APs and formulation of the Inventory of Losses (IOL) the implementing agency will coordinate with the local authorities to provide information for local people on:

o Description of the subproject; o Potential resettlement impacts by the subproject; o Project Resettlement Policy Framework (concentrate on the entitlements); o Implementation schedule; and, o Grievance redress mechanism. 18. The local people and affected households and other stakeholders will continue to be consulted during RP updating and implementation, following a two-way process – information dissemination and gathering of feedback and suggestions.

19. Public Consultations: A first public consultation with local people and the affected households and other stakeholders will be held prior to the start of the inventory of losses (IOL), as a way of introducing the subproject and the resettlement policy to the local population. Focus groups are to be held with all households/businesses affected by the sub-project. During the focus groups participants can express their concerns that should be addressed in the resettlement process and on their preferences for compensation.

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20. A second Public Consultation will take place to share the results of the IOL, the entitlements and the resettlement plan. This public consultation will include discussing the results of the impacts survey with the affected households and getting feedbacks and suggestions on their compensation and entitlements. 21. Further public consultations will continue during implementation. These consultations should take place (i) following completion review and updating of unit costs for affected assets or businesses, where the resettlement committees consult with the affected households individually and/or in group in connection with the updating of compensation and entitlements and, (ii) following approval of the updated RP, to present to the affected households in the village (i.e., also referred to as “final disclosure meeting”) the validated/updated list of affected people, compensation and entitlements due to them, and schedule of delivery of compensation and entitlements. 22. Disclosure of RP: The draft RP will be uploaded on the ADB website. Following approval of the draft RP by the authority of Vientiane Capital and ADB, the final RP will again be disclosed to the affected households and uploaded on the ADB website. 23. The contents of the public meetings will cover the following:

o Subproject information. This includes the places where stakeholders can obtain more detailed information about the project.

o Subproject impacts. Anticipated impacts on the people living and working, making livings in the affected areas of the project including explanations about the need for land acquisition for the subproject components.

o APs rights and entitlements. The rights and entitlements for different categories of APs, including the entitlements for those losing businesses, jobs and income. Options for compensation or voluntary donation.

o Grievance mechanism and the appeal process. All APs are to be informed that project policies and procedures are intended to ensure their pre-project living standards are at least restored if not improved. All APs must also be informed that if there is any confusion or misunderstanding about any aspect of the project, the village or district resettlement committee can help resolve problems. If they have complaints about any aspect of the land acquisition, compensation, resettlement, and rehabilitation process, including the compensation rates being offered for their losses, they have the right to make complaints and to have their complaints heard. APs will also receive an explanation about how to access grievance redress procedures, according to Project’s mechanisms.

o Resettlement activities. All APs are to be given an explanation regarding compensation calculations and compensation payments, monitoring procedures (which will include interviews with a s ample of APs), reorganization, relocation to an individual location/self-relocation, and preliminary information about physical works procedures.

o Organizational responsibilities. All APs are to be informed about the organizations and levels of Government involved in resettlement and the responsibilities of each, as well as the names and positions of the Government officials with phone numbers, office locations, and office hours if available;

o Implementation schedule. All APs should receive the proposed schedule for the main resettlement activities and informed that physical works would start only after the completion of all resettlement activities and clearance from the project area. It should be clarified that APs would be expected to move only after full payment of compensation for their lost assets. Implementation schedules and charts will be provided to resettlement committees at all levels.

24. Following all public meetings with APs and stakeholders the District Resettlement Committee must complete the following activities:

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o Make a list of all APs who joined the meeting; o Make a complete record of all questions, comments, opinions, problems and decisions that

arose during the information and consultation meetings. o Deliver leaflets and project announcements to the APs.

25. Grievance Redress Procedure: In order to ensure that all APs’ grievances and complaints on any aspect of land acquisition, compensation and resettlement are addressed in a timely and satisfactory manner, and that all possible avenues are available to APs to air their grievances, a well-defined grievance redress mechanism needs to be established. All APs can send any questions to implementation agencies about their rights in relation with entitlement of compensation, compensation policy, rates, land acquisition, resettlement, allowance and income restoration. Otherwise, all APs are not ordered to pay any fee during the grievance and complaints at any level of trial and court.

26. In terms of grievance redresses, the APs will be made fully aware of their rights to grievance and the procedures by doing so verbally and in writing during consultation, survey and time of compensation. The APs may present their complaints to the concerned local administrative officials and resettlement committees. The complaint can be filed first at the village level and can be elevated to the highest or provincial level if the APs are not satisfied with the decisions made by the village and district levels/committees. APs will be exempted from all taxes, administrative and legal fees associated with their claims and grievance redress.

27. Attempts should be made to settle the issues at the village level through the village mediation committee. This shall be supported through involvement of social and resettlement experts as required.

28. In general, the following main steps shall be applied and serve as an orientation for the grievance main approach which shall be defined during the preparation of the detailed resettlement (action) plan. For each step details shall be described, agreed and explained to both resettlement responsible committees and the residents of affected villages. Additional steps can be incorporated as appropriate. Subproject APs shall understand the complaints and grievance mechanisms concerning related compensation and mitigation measures.

Step 1: In each village existing mediation committees would be the first contact for APs to address their concerns. It is recommended that in agreement with villages either this committee would be responsible for resettlement issues or the village would establish a project related resettlement committee. The village shall decide about its community internal approach.

Step 2: APs would address their complaints to these committee/s that would have to react within a defined time (5 days to be defined by village) after submission of the complaint.

Step 3: In case provided responses are not satisfying to affected people the grievance applications would be forwarded to the district council for resolution within a defined time (5 days) from the date of filing the complaint with this court.

Step 4: In case APs are still not satisfied next steps could involve concerned authorities at Vientiane Capital level that would have to issue a final decision within a defined time (10 days). Before applying step 4, the involved district staff shall undertake a f inal effort for an amicable solution at village level to avoid next legal steps.

Step 5: If subproject APs are still not satisfied with the response given or decisions made, the complaint can be elevated at national level either to the national court, if legal decision at the Capital level will require this.

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29. All complaints and resolutions will be properly documented by the concerned resettlement committee and be available for (i) the public and (ii) review for monitoring purposes.

E. Institutional Arrangement and Implementation 30. Resettlement committees at Vientiane Capital and district levels will be established to review and approve the sub-project RPs submitted by the implementing agency (VUDAA/DPWT). The resettlement committees will also act as an advisor and will assess and monitor the RP activities. They will also act as grievance officers.

31. Vientiane Capital Resettlement Committee will be established and will be h eaded by the Governor or Vice Governor. Members of this are, but not limited to the following: concerned district governors, Department of Finance (Land Property Office), VUDAA, the Department of Planning and Investment, and concerned DPWT heads.

32. The District Resettlement Committee will be headed by the district governor and will be composed of representatives from PWT of district, APs, Lao Women’s Union of district, heads of affected villages.

33. There is a n eed for capacity building in resettlement planning for the above mentioned implementing stakeholders expected to be involved and responsible for the final preparation and implementation of resettlement plans. Costs for the capacity building in respect of resettlement must be incorporated into the project budget. It is recommended to organize resettlement related training sessions prior to the start of resettlement activities, where the following topics have to be introduced:

• Latest policies, decrees and technical guidelines. • Basic principles of resettlement planning and the conceptual approach on entitlements for

losses. • Institutional requirements. • Staff and training requirements. • Others.

F. Implementation Schedule

34. The RP for each subproject will be prepared following the completion of concept design for that subproject (i.e. feasibility study stage). A detailed implementation schedule of the various activities to be undertaken will be included in each RP. The schedule for all resettlement activities must be agreed and settled by all stakeholders before resettlement activities begin. Satisfactory payment of compensation and provision of other rehabilitation entitlements and relocation, if that be the case, will be completed before a ‘no objection’ for ADB can be provided for award of civil works contract under each subproject.

G. Resettlement/Compensation Budget

35. Sub-project 4 will minor resettlement impact on temporary loss of income of businesses during the construction but it is expected that sub-project 1 will involve resettlement if private land is going to be acquired. Thus the major cost for compensation will be related to sub-project 1. It was

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beyond the scope of this TA to calculate a budget for resettlement, but based on judgment a lump sum amount 300,000 will be utilized.

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H. Preliminary Staffing Requirements and Budget

36. Resettlement is unlikely to be a significant issue in the implementation of the proposed Project in view of the identification criteria and the pre-screening activities already undertaken during the preparation phase. In order to address the national specialists will be engaged to assist the implementing ensure that resettlement procedures are followed in accordance with laws of Lao PDR and policies of ADB. It is estimated that one national resettlement specialist will be required with inputs of 6pm . Timing of input and budget are outlined in Table 12.6.

Table12.6: Resettlement Staffing Budget Budget Item Unit Cost ($) Units Total ($)

Domestic Specialist 3,800 6p.m 38,000

Census survey of APs and community consultation

10,000 Lump sum 10,000

Capacity building of government partners 10,000 Lump sum 10,000

Total 58,000

37. The specialists will assume responsibility for development of resettlement plan for the sub-projects, for the training of government staff at t he project, provincial and district level in resettlement issues and procedures. S/he will also be responsible for establishing procedures in respect of resettlement and assist in the identification of procedures to resolve any resettlement that might be needed associated with rural infrastructure rehabilitation. The national specialist will be an experienced specialist with a minimum of 10 years practical experience with appropriate tertiary qualifications. The national specialist will be conversant with the resettlement laws of Lao PDR and will also have considerable experience in internationally financed development projects where resettlement was an issue.

I. Monitoring and Reporting Arrangement

38. Internal Monitoring. VUDAA, in collaboration with DPWT and resettlement committees, are responsible for internal monitoring of RP implementation. VUDAA with DPWT assistance, will supervise the resettlement activities and provide quarterly reports to the national project manager for inclusion in the Quarterly Progress Report, which is circulated to ADB and members of the Project Steering Committee. The national project manager will ensure that the grant implementation consultants include in their progress reports the status of the RPs, and information on location and numbers of people relocated, compensation amounts paid by item, and assistance provided to APs. All reports will be submitted in English. ADB will also monitor these activities in its regular supervision missions during the period of project implementation.

39. External Monitoring. Independent monitoring will take place by external organization for post-resettlement impact evaluation to assess whether impacts of the proposed sub-projects have

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been mitigated adequately and the pre-project standard of living of APs have been restored as a result of resettlement and project activities.

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Outline of a Resettlement Plan for sub-project 1 1. This outline is part of the Safeguard Requirements 2. A resettlement plan is required for all projects with involuntary resettlement impacts. Its level of detail and comprehensiveness is commensurate with the significance of potential involuntary resettlement impacts and risks. The substantive aspects of the outline will guide the preparation of the resettlement plans, although not necessarily in the order shown.

A. Executive Summary

2. This section provides a concise statement of project scope, key survey findings, entitlements and recommended actions.

B. Project Description

3. This section provides a general description of the project, discusses project components that result in land acquisition, involuntary resettlement, or both and identify the project area. It also describes the alternatives considered to avoid or minimize resettlement. Include a t able with quantified data and provide a rationale for the final decision.

C. Scope of Land Acquisition and Resettlement

4. This section: (i) discusses the project’s potential impacts, and includes maps of the areas or zone of impact of project components or activities; (ii) describes the scope of land acquisition (provide maps) and explains why it is necessary for the main investment project; (iii) summarizes the key effects in terms of assets acquired and displaced persons; and (iv) provides details of any common property resources that will be acquired.

D. Socioeconomic Information and Profile

5. This section outlines the results of the social impact assessment, the census survey, and other studies, with information and/or data disaggregated by gender, vulnerability, and other social groupings, including: (i) define, identify, and enumerate the people and communities to be affected; (ii) describe the likely impacts of land and asset acquisition on the people and communities affected taking social, cultural, and economic parameters into account; (iii) discuss the project’s impacts on the poor, and other vulnerable groups; and (iv) identify gender and resettlement impacts, and the socioeconomic situation, impacts, needs, and priorities of women.

E. Information Disclosure, Consultation, and Participation

6. This section: (i) identifies project stakeholders, especially primary stakeholders; (ii) describes the consultation and participation mechanisms to be used during the different stages of the project cycle; (iii) describes the activities undertaken to disseminate project and resettlement information during project design and preparation for engaging stakeholders; (iv) summarizes the

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results of consultations with affected persons (including host communities), and discusses how concerns raised and recommendations made were addressed in the resettlement plan; (v) confirms disclosure of the draft resettlement plan to affected persons and includes arrangements to disclose any subsequent plans; and (vi) describes the planned information disclosure measures (including the type of information to be disseminated and the method of dissemination) and the process for consultation with affected persons during project implementation.

F. Grievance Redress Mechanisms

7. This section describes mechanisms to receive and facilitate the resolution of affected persons’ concerns and grievances. It explains how the procedures are accessible to affected persons and gender sensitive.

G. Legal Framework

8. This section: (i) describes national and local laws and regulations that apply to the project and identify gaps between local laws and ADB's policy requirements; and discuss how any gaps will be addressed. (ii) describes the legal and policy commitments from the executing agency for all types of displaced persons; (iii) outlines the principles and methodologies used for determining valuations and compensation rates at replacement cost for assets, incomes, and livelihoods; and set out the compensation and assistance eligibility criteria and how and when compensation and assistance will be provided. (iv) describes the land acquisition process and prepare a schedule for meeting key procedural requirements.

H. Entitlements, Assistance and Benefits

9. This section: (i) Defines displaced persons’ entitlements and eligibility, and describes all resettlement assistance measures (includes an entitlement matrix); ( ii) Specifies all assistance to vulnerable groups, including women, and other special groups; and, (iii) Outlines opportunities for affected persons to derive appropriate development benefits from the project.

I. Relocation of Housing and Settlements

10. This section: (i) describes options for relocating housing and other structures, including replacement housing, replacement cash compensation, and/or self-selection (ensure that gender concerns and support to vulnerable groups are identified); (ii) describes alternative relocation sites considered; community consultations conducted; and justification for selected sites, including details about location, environmental assessment of sites, and development needs; (iii) provides timetables for site preparation and transfer; (iv) describes the legal arrangements to regularize tenure and transfer titles to resettled persons; (v) outlines measures to assist displaced persons with their transfer and establishment at new sites; (vi) describes plans to provide civic infrastructure; and (vii) explains how integration with host populations will be carried out.

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J. Income Restoration and Rehabilitation

11. This section: (i) identifies livelihood risks and prepare disaggregated tables based on demographic data and livelihood sources; (ii) describes income restoration programs, including multiple options for restoring all types of livelihoods (examples include project benefit sharing, revenue sharing arrangements, joint stock for equity contributions such as land, discuss sustainability and safety nets); (iii) outlines measures to provide social safety net through social insurance and/or project special funds; (iv) describes special measures to support vulnerable groups; (v) explains gender considerations; and (vi) describes training programs.

K. Resettlement Budget and Financing Plan

12. This section: (i) provides an itemized budget for all resettlement activities, including for the resettlement unit, staff training, monitoring and evaluation, and preparation of resettlement plans during loan implementation. (ii) describes the flow of funds (the annual resettlement budget should show the budget-scheduled expenditure for key items). (iii) includes a j ustification for all assumptions made in calculating compensation rates and other cost estimates (taking into account both physical and cost contingencies), plus replacement costs. (iv) includes information about the source of funding for the resettlement plan budget.

L. Institutional Arrangements

13. This section: (i) describes institutional arrangement responsibilities and mechanisms for carrying out the measures of the resettlement plan; (ii) includes institutional capacity building program, including technical assistance, if required; (iii) describes role of NGOs, if involved, and organizations of affected persons in resettlement planning and management; and (iv) describes how women’s groups will be involved in resettlement planning and management,

M. Implementation Schedule

14. This section includes a detailed, time bound, implementation schedule for all key resettlement and rehabilitation activities. The implementation schedule should cover all aspects of resettlement activities synchronized with the project schedule of civil works construction, and provide land acquisition process and timeline.

N. Monitoring and Reporting

15. This section describes the mechanisms and benchmarks appropriate to the project for monitoring and evaluating the implementation of the resettlement plan. It specifies arrangements for participation of affected persons in the monitoring process. This section will also describe reporting procedures.

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Guideline for Census, Socioeconomic Survey and Replacement Cost Survey

A. Census of APs and Inventory of Affected Assets

1. A census of APs and their households and the inventory of assets to be acquired serve two vital functions. The primary function is to identify APs eligible for resettlement entitlements, which is especially important if disclosure of subproject plans is likely to encourage land invasion and fraudulent claims for compensation. The census and inventory also supply an important part of the resettlement database to be used for project monitoring and supervision. The census and the inventory of assets can be done separately. As each requires visits to all affected households, however, doing them together is generally more efficient. Where establishing ownership or length of residency is difficult, the census should be conducted as soon as possible, to determine a cut-off date for eligibility for entitlements. In such situations an immediate partial inventory, sufficient to establish the number and general size of structures and other assets to be taken, may be advisable to supplement the census. The precise attributes of structures and an inventory of remaining fixed assets (such as boreholes) acquired or affected can be determined later. The census needs to be undertaken as soon as possible to ensure accurate determination of eligibility for entitlement. The formats for the census and the asset inventory must be adapted to the specific context and informational requirements of the subproject. In any case, the format needs to be field-tested, to ensure that the questions and the phrasing of them elicit the required information. The usual practice is for enumerators to code information while the teams are in the field. This way, incomplete or obviously incorrect information can be corrected on repeat visits. The information is then sent to the project office for data entry and filing.

2. Once the final technical design of the subproject is available, the Detailed Measurement Survey (DMS) needs to be carried-out, and the DMS results are used for the RP updating.

B. Socioeconomic Survey (SES)

3. The census and inventory are supplemented with data from socioeconomic surveys. The SES data and information are used to establish baseline information on household income, livelihood patterns, standards of living, and productive capacity. For the significant involuntary resettlement subproject 1, AP population can be sampled for the socioeconomic surveys. The sample should provide a sufficient number of cases for statistical analysis.

C. Replacement Costs Survey (RCS)

4. Compensation is based on the principle of replacement cost. Replacement cost is the amount calculated before displacement which is needed to replace an affected asset without deduction for taxes and/or costs of transaction as follows:

- Productive Land (agriculture, aquaculture, garden...) based on market prices that reflect recent land sales, and in the absence of such recent sales, based on productive value;

- Residential land based on market prices that reflect recent land sales, and in the absence of such recent land sales, based on similar location attributes;

- Houses and other related structures based on current market prices of materials and labor without depreciation nor deductions for salvaged building materials;

- Annual crops equivalent to current market value of crops at the time of compensation;

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- For perennial crops and trees, cash compensation at replacement cost is equivalent to current market value given the type, age and productive value (future production) at the time of compensation. Timber trees based on diameter at breast height at current market value.

5. The evaluation of replacement costs will be carried out based on information collected from both research and field work including surveys and data collection from people in the affected and adjacent areas, both those affected and those not affected.

6. Desk research will focus on relevant publications, decisions of Government authorities at national, city and district levels. However, these materials will play the supporting role only. As the work is aimed at obtaining reasonable replacement costs for different types of affected assets, market evidences are the factors which most strongly base the formulation of these costs. Surveys with people in the affected area, both those, whose assets are affected by the project, and those whose assets are not, will produce reliable data for evaluation.

7. For land, the objective of evaluation is to determine the prices or rates that will enable APs to purchase the same type and quantity of land. The evaluation of compensation for the loss of land is based on its market value. Direct interviews with land-owners in the subproject area, including those whose land is affected and those whose land is not; and consultation with the land and real-estate agency service staff, the District Site Clearance and Resettlement committee officer, etc. are required. The information to collect include the recent land use rights transfers (buying/selling transactions) in the area; the price, at which owners are willing to sell their land; or/and price of the recent transaction; type of land (Non – Agriculture land, Agriculture land with different categories); and the government established rates for land.

8. For perennial trees, the information about production and benefit of their fruit tree during last 3 years and the market price of the trees are needed.

9. For structures, the survey is to determine whether the government regulated prices enable APs to rebuild their affected structures. The evaluation of compensation for affected structures is based on the principle of replacement cost. The information to base the evaluation will mainly be collected from direct interviews with parties involved, including owners of structures in the subproject site and the owner of similar structures in the region whose are not affected, local construction contractors specialized in residential building; owner of newly built houses.

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Typical Voluntary Contribution Consent Form [INSERT NAME] Province

[INSERT NAME] District

[INSERT NAME] Village

CERTIFICATE OF CONTRIBUTION

I, [INSERT NAME, AGE, NATIONALITY, OCCUPATION], with residence located in [INSERT NAME] village, [INSERT NAME] district, [INSERT NAME] province,

Certify that I have been previously informed by local authority of my right to entitle compensation for any loss of property (house, land and trees) that might be caused by the construction of [INSERT ACTIVITY]in [INSERT NAME] village, ([INSERT NAME]) district. I confirm that I voluntarily accept the land of [INSERT AMOUNT LOSS] square meters located in [INSERT NAME] village ([INSERT NAME] district) to be provided by the local authority for compensation (If any). I also confirm that I do not request any compensation of loss of [INSERT OTHER LOSSES SUCH AS INCOME FROM BUSINESS, TREES STRUCTURES] and would request the local authority to consider this as my contribution to the Project.

Type of Loss Unit Quantity Unit Rates Total Comment

Land

Trees

Income from business

Total

Therefore, I prepare and sign this certificate for the proof of my decision.

[INSERT NAME] district

[INSERT DATE]

The owner of the land

[INSERT NAME AND SIGN]

Witnesses:

1. [INSERT NAME]

2. [INSERT NAME]

3. [INSERT NAME]

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Certified by the Chief of the Village [INSERT NAME AND SIGN]

The Chief of [INSERT NAME] district [INSERT NAME AND SIGN]

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RAPID ENVIRONMENTAL AND IEE ASSESSMENTS

I. INTRODUCTION

1. Management of urbanization and population growth in big cities in a manner of sus-tainable and environmental way becomes a significant challenge for both develop and de-veloping countries. In particular, sustainable urban transport seems to be one of the most concerned issues relating to urbanization. 2. Sustainable land transportation tends to be significantly important to Lao PDR as the country does not have an access to the sea transport. Though, transport system in Lao PDR comprises of land, water and air transport but economy of the country tends to be heavily relied much on land transport. It is anticipated both goods and passenger land transport have been increased of around 169% and 161% from 2000-2005 respectively1

. In particular, rapid increase in numbers of private vehicles in the capital, Vientiane, leaded to serious traf-fic congestions and road accidents due to there was a lack of investment on public transport improvement, poor enforcement of laws relating to traffic laws and poor urban planning in the past.

3. Vientiane Sustainable Urban Transport Project (VSUTP) is proposed with the finan-cial assistance from ADB TA early this year to improve urban environment, minimize air pol-lutions associated with car emissions by developing sustainable urban transport systems that encourage the use of non-motorized and public transport while still managing the use of private vehicles traffic2

.

A. Description of the Project

4. Proposed activities of package 2&3 will take place in the city core area covering of 12 villages (Nongdouang Tai, Anou, Haysok, Watchanh, Mixai, Xiangnheun, Hatsadi Neua, Hatsadi Tai, Nongchan, Simeung, Sisaket, Kaogot and Phiawat) from 3 Districts: Chantha-bouly, Sikhottabong and Sisattanak. The area is considerably regarded as having most sig-nificant economic importance to Vientiane, is enclosed by dense population, businesses, offices and hotels. Figure 13.1 indicates proposed activities and bus loops for VSUTP.

1 This result states in the draft report of The National Strategy and Action Plan on Environmental Sustainable

Transport 2010. Ministry of Public Works and Transport, Department of Transport. 2 Stated in Inception report of TA 7243: Implementation of Asia City Transport Vientiane Sustainable Transport

Project, September 2010.

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Figure 13.1: Proposed activities and bus loops for VSUTP

Source: VSUTP Team 5. There are 3 major packages in the VSUTP namely 1: Urban Transport Implementa-tion Program; 2: Public Transport Improvement and Pilot Route Development; and 3: Traffic Improvement Demonstration Project. Based on proposed sub-project components activities only package 2&3 are required to do REA. 6. Package 2 of the VSUTP comprises three primary public transport sub-projects (i) procurement and operation buses for two new shuttle bus loops within the core areas of the city; (ii) the construction of appropriate 25 bus stops (see Annex 1: photos of proposed loca-tions); and (iii) the implementation of various bus maintenance and administration facilities. 7. Package 3 of the VSUTP comprises of 14 traffic management sub-project compo-nents aiming to improve/expand existing traffic management facilities, to provide a new mul-ti-story car park facility, other related improvements to improve traffic operation within the city core area. Description of each sub-project is mentioned in Appendix 6, Table A6.10. 8. As stated in the ADB Environmental Assessment Guidelines, all projects financed by ADB have to conduct environmental assessment to assess potential impacts. Such as-sessments are needed in order to determine whether, based on an assigned environmental impact category3

, an Initial Environmental Examination (IEE) or an Environmental Impact Assessment (EIA) needs to be carried out for a specific project.

3 Category A-significant severe environmental impacts, needs EIA; B-some severe environmental impacts but

lesser than category A, need IEE; and C- unlikely to have adverse environmental impacts, no need IEE.

Nongdouang Tai

Anou Haysok

Watchanh Mixay

Xiangnhun

Phiawat

Kaogot

Nongchanh

Simuang

Hatsadi Tai Hatsadi Neua

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9. The Rapid Environmental Assessment (REA) standard form had been prepared to use for assessing potential environmental impacts for all sub-projects of the Vientiane Sus-tainable Urban Transport Project (VSUTP). The form has been developed from REA for Ur-ban Development of ADB. 10. Based on this methodology, surveys were carried out for all proposed sub-project components for VSUTP to assess potential environmental impacts that will occur during the project implementation stage. Surveys were based on proposed implementation activities and actual site conditions of each location. 11. In support of these surveys, interviews were carried with a n umber of boards of schools, located within/nearby proposed (Package 2) bus loops. These interviews were pri-marily concerned with current environmental issues relating to urban transportation in Vien-tiane, and in particular to highlight typical problems that are regularly encountered by stu-dents that relate to the existing urban transport system. 12. The VSUPT aims to promote sustainable urban transport, urban economic develop-ment, and minimize local pollution and greenhouse gas emissions by upgrading existing ur-ban transport system such as buses and its facilities to make the system becomes more re-liable and environmentally. I would help to reduce numbers of private vehicles out from key business areas which in turn would contribute a major part into minimization of traffic con-gestion in the city.

B. Existing Conditions Related to Urban Transport in Vientiane Capital

1. Land Use 12. Within the proposed areas of the sub-project components, majority of land use types were residential land with medium to dense dwellings. Many people who located along main roads usually transformed their residences to be as a shop, office or for other commercial purposes due to lands in the city core are very expensive and there are very high demands for land. Thus, it is very rarely to see empty lands being left without building structures on the lands. 13. Other land use types in the area were also mixed up with schools, government offic-es, temples, markets, wetlands and banks. In particular the banks which significantly play key roles onto transformation of its neighboring areas as commercial hubs of the capital, re-sulted in there were rapid constructions of new business buildings, located adjacent to the banks (see Annex 2). 14. It is noticed that no agricultural lands were found in the study area as lands have highly economic importance thus the lands or houses were commonly sold out to business people. Local residents who cannot afford to stay in the city or cannot resist to high demand of the land by outsiders later then shifted their houses to outskirt of the capital where the lands were cheaper. 15. Currently, the ongoing construction project of the Mekong river bank protection in the capital that reclaims the land from the river, will provide additional useful rest area for public after its completion due to there were only few parks available in the city that local people can benefit from. Though, the government has plans to create more public parks in the near future but these projects may face challenges especially from uncertainty of financial restric-tions.

2. Insufficient Parking

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15. Lack of parking spaces can be observed throughout working hours in many places along main roads in the city core areas. In places such as bank, government office, shopping and business areas many people parked their cars in prohibited locations such as at junc-tions, near traffic lights, on footpath or carriageway without having a thought of conse-quences chaos they created to other road users.

16. Available parking spaces cannot be matched with rapid increase in numbers of traffic volume especially private cars. Most roads in the study area as well as in the capital are relatively narrow (limited to around 2 to 4 carriageways per lane) due to its previous urban design constraints in the past which could not be enlargeable. It is very usual that one car-riageway and both sides of the footpath were commonly used as the parking lanes.

3. Lack of Investment on Public Transport Improvement

17. Currently it is estimated around 5% of the total land travelers in the capital were de-pendent on public transport as their main transport tools for daily travel4

. Majority of travelers preferred to use their own cars as the key traveling mode. Key reasons may be associated with a lack of investment on public transport. This could be indicated in no new buses have been replaced the existing buses which most of them are in very poor conditions.

18. The improvement of this sector tends to heavily rely on international aid reflecting in most buses that owned by the VSBC, the main bus service provider, mainly provided by Ja-pan and Korea. Though, many new roads had been built and existing roads in the capital have been fairly maintained but budgets to improve bus facilities are limited.

4. Substandard Vehicles

19. Rapid increase in uncontrolled numbers of used vehicles in the capital that is older than 4 years counting from its manufactured date5

, especially minivans and trucks from Ko-rea. This led to increase of substandard vehicles in the capital due to they are relatively very old and need intensive maintenance in order to make them in good and safe conditions for driving.

20. Though vehicles with age older than four years old mentioned above have been banned but it is very common to see them in big cities. Importers normally disassemble these vehicles and then import to Laos as spare parts to avoid the regulations and then reassemble them again. These vehicles are considerably cheap thus it could be seen many of these cars being displayed for sale along main roads in Vientiane capital.

21. Another key reason contributing to the rapid of substandard vehicles in particular Chinese motorcycles which are relatively very cheap and sold nationwide, compared to Jap-anese one such as HONDA or YAMAHA. After being used for one or two years most Chi-nese motorcycles are vulnerable to cause accidents as their head and turning lights tend to be broken down. Thus, riding these motorcycles in the dark conditions could post a severe risk to both riders and other road users.

5. Increase of Vehicular Traffic and Road Accidents

22. Department of Transport, Ministry of Public Works and Transport data indicates there were around 836,000 registered units of automobile vehicles throughout the country and

4 Verbal discussion with General director of Vientiane State Bus Company on 11 October 2010. 5 According to a recent agreement of MPWT on Import Vehicles; Vehicles are older than 4 years from the date

they were built will not be allowed to import to Lao PDR.

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1,838 2,091 2,2952,015 1,857

3,1793,572

4,1993,852

3,468

119 119 171 165 203

2005 2006 2007 2008 2009

Statistics of Road Accident in Vientiane from 2005-2009

Accident Injured Fatality

about 80% of these figures were motorbikes6. In the capital there were more than 365,000 units of vehicles with half of that figure drivers did not have proper driving licenses and more than 70% of the figures are motorbikes. Vehicle ownership rate for the capital is estimated at two persons per one vehicle (Vientiane population data in 2009 = 754,384)7

.

23. Each year in the capital had the highest numbers of the road accidents in the coun-try, compared to other provinces. A high percentage of the accidents involved motorcycles, with students playing a major part of such motorbike accidents. The accidents mostly oc-curred between 4pm and 11pm8

especially in locations where visual ability is poor and lack of safety facilities such as sufficient road lights, road marking and warning signs.

24. From 2005-2009 there were around 3,500 cases of the accidents taking place in the capital. More than a hundred of people were killed and more than 2,000 were injured (see Figure 13.2). There is no trend indicating that the number of accident will decline, in contrast, with the number of vehicles in the country continuing to increase rapidly, it can be predicted with some assurance the trend of increasing road accidents will continue nationwide. 25. Statistics of road accidents in the country from 2009-2010 reported by the Traffic Po-lice Department pointed out approximately 2 to 3 people were got kill daily in road accidents. The two primary causes of accidents have been related to driving vehicles without proper license (62%) and drunk-drive (32%)9

.

26. The situation of Vientiane urban transport, hence, is in urgent need for road safety measures including public campaigns and enforcement of traffic regulations in order to pre-vent loss of lives and reduce numbers of the accidents on the roads in the capital.

Figure 13.2: Statistics of Road Accidents from 2005-2009 in Vientiane Capital

Source: Vientiane capital Traffic Police Department

6. City Bus Transport Company

27. There are 2 bus es companies who provide alternative urban public transport for Vientiane residents, Vientiane State Bus Company and the Chinese bus company, Khingkham. The majority of buses provided by both companies especially the VSBC, the main bus provider, are old and in poor condition. 6 The data of vehicles in 2010 obtained from Traffic Management Division, DoT MPWT. 7 Reported in the Lao PDR Statistical Year Book 2009, National Statistics Center. 8 Reported in Vientianetimes on dated 30th July 2010. 9 Discussion with Police Major : Keomala Sengthong, Director of Traffic Accident Prevention Division

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28. During the interview with affected villagers there were repeated references to unreli-able of public transport in the capital. It had been reported by the villagers that main reasons affecting the reliability of the buses were poor bus drivers and the poor condition of buses that were being put into service. 29. Normally the city bus drivers will not receive a salary from the bus company for their service but they will make money from the net money remaining after they paid fees for the buses to the company for each month. Thus, the buses will not depart from bus stations un-less numbers of passenger are full. As a result, this significantly affects the reliability of the service for public transport in Vientiane10

. The net result being that commuters cannot de-pend on the existing public transport system as a means of urban transport.

7. Industrial Development Plan in the Nong Chanh Wetland

30. Discussion with responsible authorities for urban planning and development revealed there are serious proposals to develop whole area of the remaining Nong Chanh wetland for commercial/industrial buildings which will include the construction of Home Pro, Big C; and Tesco Lotus. Currently Vietnamese Shopping Center is under the construction (see Figure 13.3). Figure 13.3: Under consideration development projects in Nong Chanh Wetland boundary

Current Land Use at Nong Chanh Wetland (source: Google) Proposed development projects Source: VUDAA

31. It is not known yet whether, or what number of parking spaces these proposed projects will be included in the developments. The ongoing construction of the Vietnamese shopping center will have about 220 parking spaces11

but the numbers may be relatively small and not be able to match with actual demand for parking spaces in the surrounding areas as already evidenced in the New Morning Market Shopping Mall. In less than few years after its completion the parking spaces with the capacity of around 300 cars are full of cars and not to be able to provide sufficient parking spaces for their customers.

32. Although there are plans be studied to build the proposed buildings on Nong Chanh wetland but there is no plan (or study) to enlarge or improve the road/street network in the adjacent areas. Such improvements would be critical to reduce traffic congestion as a result

10 Discussion with village authority of Ban Watchanh on 3rd November 2010 11 Numbers of parking space counted by VSUTP Team from final drawing of the market provided by VUDAA

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the large influx of vehicles that would be attracted into this area12

. Traffic jams in this area is already in a serious condition, thus any plans/studies to develop this area should be recon-sidered, and other alternative locations outside of the city center should be considered.

C. Discussion of Key Survey Results

33. REA results indicated that most sub-projects of the VSUTP would not generate se-vere environmental impacts to surrounding areas as most of them will not require significant changes of physical landscape. Sub-project component improvements will be carried out within the limits of existing sidewalks, i.e. not beyond existing street rights-of-way. Thus, en-vironmental impacts will be minor as no additional land acquisitions or resettlement works will be required for the proposed (see Annex 3 for the rapid environmental assessment checklist). 34. Sub-project 1 of package 3 is the only one that tends to cause environmental con-cerns, as location of the proposed car park will be near wetlands (Nong Chanh and Nong Douang Wetland). In particular the car park proposed to be constructed at the site of the ex-isting (abandoned) water slide property, may need to have compensation to owner of the property as the proposed land was granted land concession to the current owner of the slide. In addition to the construction of the new car park the demolition of the existing water slide structure will cause a great of noise, dust and silt runoff. An IEE will be required at this loca-tion to deal with demolition, runoff and construction activities. 35. Current city buses of the Vientiane State Bus Company have been in service for a long time. Although they have been regularly repaired by the VSBC, it is still quite common to see the buses broken down on roads throughout the city. 36. The ongoing increase of both traffic vehicles and road accidents in the city which claimed lives daily (mostly from riding motorcycles) could explain how the public transport system need to be improved urgently. Major part of the accident is related to the use of pri-vate vehicles in particular motorbikes for the transportation as travelers cannot rely on the public transport. Motorbike is an option to get through the traffic congestion in the city quick-ly. 37. The capital recorded highest cases of road accident in the country13

. Most accident cases occurred due to drivers did not have proper licenses and were underage. As most ac-cidents took place from evening to midnight when visual ability is weak hence installation of street lights and necessary signs can help to prevent risk of accidents.

38. Air emissions from vehicle exhausts particularly from private cars are becoming a major threat to ambient air quality in the core area of Vientiane. There have been recent rap-id increases of car ownership rates in Vientiane, especially of import of used cars from Ja-pan and Korea. These used cars tend to disproportionally cause the deterioration of air quality; which problem is acerbated by the lack of proper vehicle inspection or regular main-tenance. It is estimated that only a very small percentage of such vehicles have been prop-erly maintained inspected. 39. Air pollution associated with emission gases releasing from exhausted pipes of the vehicle traffics could become a major problem for the city as currently there are no estab-lished stations to monitor ambient air quality regularly in the capital. Most updated air quality survey was implemented by ADB in 2006. The results of the survey suggested the city had

12 Verbal discussion with concerned parties VUDAA and DPWT and VSUTP team 13 Road accident statistics published in Vientianetimes dated 5th October 2010.

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excessive ambient concentration of SO2, CO2 and Particulate Matter (PM), a small particle, were above the limit set by World Health Organization14

. Thus, it could lead to an increase of respiratory diseases. Hence, it would be very helpful to set up ambient air quality monitoring stations to monitor air quality in the city as the capital lacks of useful air quality database.

40. The parking issue within the VSUTP core boundary is of major concern for all road users. S ince there are not enough parking spaces, many drivers illegally park their cars in prohibited areas such as on roadside and walkway. This caused traffic congestion, blocking pedestrians and may lead to road accidents. This is especially a problem near banks and government offices where severe traffic congestion usually takes place. 41. Indigenous people would not have a significant impact from the project as no reset-tlement works are needed. Most impacts will only be a temporary during the construction such as an inconvenience to enter to their residences/shops particularly residences/shops located adjacent to the Mekong River such as Pangkham, Khoun Boulom, Fa Ngum and Samsenthai road. Many residents in these areas either already sold or rent their houses to outsiders as the areas were regarded as one of main business areas in the capital. By con-trast, local people will have great benefits from a b etter traffic flow in the areas and better public transport. 42. Discussions were had with boards of a number of schools located within the service areas of the proposed bus loops. These discussions revealed a real concern regarding road accidents in the core urban area of Vientiane. For instance, it was reported by Pakpasack College that every year there is a record of at least 30 severe cases of road accidents affect-ing their students, with 1 or 2 fatal student accidents a year. The vast majority of the fatali-ties are related to motorbike accidents; with the apparent cause of most accidents being drinking (alcohol) after evening classes. The school boards of all schools contacted were of the opinion that providing reliable public transport, as an alternative to motorbike usage, would significantly help to reduce the accident rate. 43. The other issue that most concerned the boards of schools are pedestrian accidents for students (and others) while crossing roads near the schools. This issue particularly con-cerned students from Phiawat School when trying to cross the street near the Kaongot Junc-tion (on Samsenthai road). The junction is especially dangerous during commute rush hours in the morning and in the evening. Cars refuse to stop or even slow down for students. It has been reported that accidents often take place at this location, and it causes a significant loss to property and severe injuries to pedestrians (and students). Building a pedestrian bridge near the junction will greatly benefit all pedestrians. D. Anticipated Environmental Issues Anticipated During Construction

1 Drainage System Blockage

44. One of major potential concerned issues associated with the proposed activities dur-ing its construction phase may lead to blockage of drainage system resulting from construc-tion wastes. In general, Vientiane was built on low land areas of the Mekong floodplain with low filtration but high ground water. Most urban drainage channels in the capital had rarely been maintained after completion of construction. Uncontrolled dispersal garbage coming along with surface runoff is likely to end up in the drainage systems. This factor plays a ma-jor part to stagnant water on roads during storms events as it always blocks channel water-ways.

14 Ambient air quality of Vientiane capital stated in Country Synthesis Report on Urban Air Quality Management

Lao PDR 2006, conducted by ADB.

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45. Construction activities proposed in the sub-projects of the VSUTP such as new bus stops and other physical change requirement works may potentially cause negative impacts upon the existing drainage systems that are already in poor condition. All proposed activities will be located in the city core with highly populated areas and commercial buildings. There-fore, attentions have to be made by the contractors to minimize the impacts relating to the construction. Construction wastes have to be properly discarded in designated or provided areas.

2 Inconvenience to Local Residents and Road Users 46. It is inevitable that access to vehicles in some proposed areas during the construc-tion will be closed in order to maximize safety environment of the sites and to allow proposed works continuing as planned. This temporary impact will affect local residents and others businesses as they may not be able to enter or run their businesses as normal condition be-fore the construction started. Thus, accessibility to the sites has to be enterable by foot all the times. Necessary mitigations have to be implemented to assure the safety of road users.

3 Increased Traffic Congestion and Road Accidents

47. Traffic congestion and road accident are of main concerns for the Vientiane city. Un-controlled parking with limitation of the parking spaces and lacking of strong traffic laws en-forcement altogether already worsened urban transport. Especially on some economically important roads located along the Mekong river bank such as Pangkham, Khoun Boulom, Fa Ngum and Samsenthai road. Uncontrolled parking is going to be the most difficult problem to be sorted by the government. 48. Proposed sub-projects activities would have added more adverse impacts to the ur-ban transport of the city if without having good plan during the construction. Transportation of construction materials and equipments to the sites may worsen road accident records which the city was already ranged as having the highest accident records in the country. Thus, attention must be made on road safety programs during the construction to reduce the risks.

II. SUMMARY OF FINDINGS

1. General

49. The sub-projects in the Packages 2 and 3 will not create a significant environmental concern upon degradation of existing infrastructures, natural water resources, cultural and/or heritage values. No major physical changes of landscape and land acquisition are required, except the proposed construction of multi-story car park. The demolition of the existing water slide park and the construction of a new car park will need an IEE. It can be expected that this project will be designated as environmental category B.

50. Road accidents, particularly those associated with the use of motorbikes (no proper

driving licenses and drunk-drive), is the major traffic safety concern in the city. Within the core area of the study, a significant number of students are killed each year as a result of motor-bike accidents. Additionally, students are also a risk when trying to cross busy streets when traveling to and from school. Therefore, (i) providing reliable public transport, as an alternative to motorbike usage, would significantly help to reduce the student accident rate; and (ii) the provision of pedestrian bridges at key junctions near schools would reduce pedestrian related accidents and benefit all road users.

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2. Sample Red Flag Issues that could Pose Problems during Project Im-plementation

Obtaining concession of lands to construct the proposed car park buildings is significant as land for the proposed car par on the east edge is still under contract of another project. While land for the west edge car park construction may not owned by the gov-ernment.

The construction of multi-story car parks has to be carefully planned as it would be lo-cated adjacent to wetlands.

Noise and dust relating to construction activities may become a problem as there is no responsible agency in Vientiane to monitor the problem.

Silt runoff during the construction also needs to be addressed. Traffic flow and road safety management during construction of proposed sub-projects

have to be carefully addressed in order to not add further congestion to the streets of the city due to Vientiane already recorded the highest number of road accidents in the country.

The reliability and affordability of the proposed shuttle bus service will be the key factors with regard to the overall success of the VSUTP.

Funds for public campaigns and educational programs relating to urban transport and raising awareness of public/drivers concerning traffic regulations in general, and to raise awareness of the VSUTP in particular should be made available.

Street lighting needs to be improved in locations where accidents often take place to reduce the risk of having accidents.

3. Other Issues to be Addressed under the PPTA

The operation and maintaining of bus facilities is not well-defined at this stage of the Project. This will need to be well defined during the PPTA stage, to determine the level of environmental assessment that will need to be carried out. The need for an IEE can be expected.

Vientiane urban planning guidelines are not well defined, and even when defined, regu-lations are not enforced. This needs to be carefully addressed between the Govern-ment and the ADB during the PPTA.

It would be important that current ambient air quality in key locations of Vientiane have to be addressed during the PPTA. This data would be used as a baseline data to moni-tor the air quality in the future as there is a lack of this data available.

Effective mitigations and enforcement to control underage driving, drunk-drive and sub-standard vehicles while also encouraging them to use the public transport as an alterna-tive for the transportation/travel have to be considers.

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Proposed Locations of Bus Stops

Photo 1: New proposed bus stop of blue loop B1N on Khounboulom, in front of Chalernxay Hotel and opposite of Department of Fore-stry.

Photo 2: New proposed bus stop of blue loop B2N, near Vang Thong Market.

Photo 3: Proposed bus stop for B3E, near Anou National Stadium.

Photo 4: Proposed bus stop for B4E on Khounboulom road, in front of KP fashion shop where road is narrow and parking along this area is very difficult

Photo 5: Proposed bus stop for B5N near Lao Development Bank.

Photo 6: Proposed bus stop for B6N near Kop Chai Der restaurant.

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Photo 7: Proposed bus stop for B7N adja-cent to the back of Mother and Child Hospit-al.

Photo 8: Proposed bus stop for B8N in front of Simeung Temple

Photo 9: Proposed bus stop for B9N at Ban Kaongot village

Photo 10: Proposed bus stop for B10N on Khouvieng road, near entry gate of Khuadin market.

Photo 11: Actual location for bus stop of B11N and R14N will use the same bus stop. It is not yet known about the location due to there is no response from the State Bus Company about where the bus stop can be built on the existing compound of the bus station, but preferably near the exit gate of the station.

Photo 12:

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159

Photo 13: Proposed bus stop for R1N, the red loop, in front of Vientiane Electric Com-pany. Parking issue is also critical during the working days.

Photo 14: Proposed bus stop for R2N oppo-site to Lao Wine Shop. Traffic moment is very poor during the rush hours on this road. Finding a parking is very difficult.

Photo 15: Proposed bus stop for R3E in front of National Cultural Hall

Photo 16: Proposed bus stop for R4N oppo-site to Lane Xang Jewelry Shop.

Photo 17: Proposed bus stop for R5E oppo-site to Lao Air Booking

Photo 18: Proposed bus stop for R6N adja-cent to the back gate of Sikhottabong Sec-ondary School.

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Photo 19: Proposed bus stop for R7N in front of Jotun Paint Shop

Photo 20: Proposed bus stop for R8N adjacent to dormitory of Pakpasack College

Photo 21: Proposed bus stop for R9N in front of Watchanh temple

Photo 22: Proposed bus stop for R10E in front of Xieng Gnhun temple

Photo 23: Proposed bus stop for R11N near the corner of the parking of Mahosot hospital

Photo 24: Proposed bus stop R12N opposite to Phiawat secondary school

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161

Current Land Use Situation near the Mekong River Bank

Photo 25: A new hotel recently completed on Fancois Ngin road, near the Mekong river bank and Lao Development Bank with no car parks provided inside the hotel.

Photo 26: Disordered parking in front of Lao Development Bank on Fancois Ngin road where customers of the bank park their cars blocking the walkway

Photo 27: The new building under construc-tion (right corner) on Norkeokummane.

Photo 28: Illegal parking on Norkeokum-mane. People always park their cars just right to the prohibited sign for even date but no one seems to obey the traffic sign

Photo 28: Situation of insufficient parking during daytime along Setthathilath road where many commercial buildings located

Photo 29: Triple parking on Pangkham road where most of the cars are BCEL Bank’s clients and their staffs, causing severe traffic congestion in this area

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162

Rapid Environmental Assessment Checklist for VSUTP Sub-projects

SCREENING QUES-TIONS SUB-PROJECTS

1. Multi-story car park for park and ride on east and west edges of core area

2. Traffic management action area plan for market/Nong Chan Zone

3&12. Review and ra-tionalisation of parking restriction areas and Road markings

4&5. Woonerf street improvements in 5 streets and near Nam Phou fountain.

6. Street improvement-various

7. Pedestrian light cross-ings facilities

10. Improvements at non-light-controlled junctions

A. Project Sitting Is the Project area adja-cent to or within any of the following envi ron-mentally sensitive ar-eas?

REMARKS REMARKS REMARKS REMARKS REMARKS REMARKS REMARKS

1. Densely populated? Yes. The proposed location on the east edge is adjacent to Khuadin market and city bus station. For the west edge is surrounded by resi-dential, commercial and government buildings.

No Yes. Mostly are com-mercial and office build-ings

Yes. These areas are famous for tourist attrac-tion with shops and restaurants surrounded. Full description of the development proposal (IEE with EMP) will be required.

Yes. Depending on selected locations

Yes. But, depending on selected locations.

Yes. The proposed route surrounded by shops, hotels and banks.

2. Heavy with devel-opment activities?

No. But, proposed locations are potential prime land for commercial development. Proposed parking construc-tion will require an IEE.

No Yes. The proposed routes are surrounded by shopping malls, banks, offices, restau-rants and tourist compa-nies located along the areas.

Yes. Description of the development proposal (IEE with EMP) will be required.

Yes. Depending on selected locations

No No. But, some indus-trial projects near Nong Chanh wetland compound are under consideration of the government.

3. Cultural herit-age/Historical site

No No No Yes. Watchanh, Mixai and Ong Teu temple. Full description of the development proposal (IEE with EMP) will be required.

No No No

4. Protected Area No No No No No No No 5. Wetland Yes. The east edge car park

is adjacent to Nong Chan wetland which its area has been rapidly declined as a result from ongoing urban development, in particular the construction of Vientiane Water Park in this wetland. The west edge car park is adjacent to Nong Douang

Yes. It is in Nong Chanh zone. If the new car park will be built, full descrip-tion of the development proposal (IEE with EMP) will be required.

No No No No No

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SCREENING QUES-TIONS SUB-PROJECTS

1. Multi-story car park for park and ride on east and west edges of core area

2. Traffic management action area plan for market/Nong Chan Zone

3&12. Review and ra-tionalisation of parking restriction areas and Road markings

4&5. Woonerf street improvements in 5 streets and near Nam Phou fountain.

6. Street improvement-various

7. Pedestrian light cross-ings facilities

10. Improvements at non-light-controlled junctions

wetland. Quality of Nong Douang wetland has been severely affected as a result from urban wastewater dis-charge and converting land for commercial building con-struction. Full description of the development proposal (IEE with EMP) will be re-quired.

6. Mangrove No No No No No No No 7. Estuarine No No No No No No No 8. Buffer zone of pro-

tected area No No No No No No No

9. Special area for protecting biodiver-sity

No No No No No No No

10. Bay No No No No No No No B. Potential Environ-mental Impacts

No No No No

11. Deterioration of surrounding envi-ronmental condi-tions due to rapid urban population growth, commercial and industrial activ-ity, and increased waste generation to the point that both manmade and natu-ral systems are overloaded and the capacities to man-age these systems are overwhelmed?

No. But, necessary preven-tive measures will be ad-dressed in EMP.

No No No. Positively, it will enhance green envi-ronment and less traffic congestion

No. The proposed pro-ject will significantly improve the surrounding environment, particularly facilitating traffic flow and road safety.

No No

12. Degradation of land and ecosystems (e.g. loss of wet-

No. But, description of the development proposal (with EMP) will be required.

No. If new car park will be built, full description of the development pro-

No. The proposed project does not require a physical change of

No No. No land acquisition required for the pro-posed project.

No No

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SCREENING QUES-TIONS SUB-PROJECTS

1. Multi-story car park for park and ride on east and west edges of core area

2. Traffic management action area plan for market/Nong Chan Zone

3&12. Review and ra-tionalisation of parking restriction areas and Road markings

4&5. Woonerf street improvements in 5 streets and near Nam Phou fountain.

6. Street improvement-various

7. Pedestrian light cross-ings facilities

10. Improvements at non-light-controlled junctions

lands and wild lands, coastal zones, watersheds and forests)?

posal (IEE with EMP) will be required.

landscape.

13. Dislocation or invol-untary resettlement of people

Yes. If the proposed con-struction will be built in the water park compound or private lands. Compensa-tion/resettlement plan will be required for Affected Per-sons

No No. No land acquisition work required.

No. But, necessary miti-gations to assist shop owners along the pro-posed routes during the construction needs to be addressed in EMP.

No No. No land acquisition work required.

No. But, description of the development pro-posal (IEE with EMP) will be required.

14. Degradation of cul-tural property, and loss of cultural heri-tage and tourism revenues?

No No No. Some shops may lose revenues from sell-ing goods to customers as their customers may not be allowed to park cars in front of their shops if it is in the red zone. However, this will be a minor impact.

Yes. Loss of tourism revenues will be tempo-rary and minor impact for shops located along the proposed routes during the construction. Appropriate mitigations to assist shop owners will be addressed in EMP.

No No No

15. Occupation of low-lying lands, flood plains and steep hillsides by squat-ters and low-income groups and their exposure to in-creased health haz-ards and risks due to pollutive indus-tries?

No No No No No No No

16. Water resource problems (e.g. de-pletion/degradation of available water supply, deterioration for surface and ground water qual-ity, and pollution of receiving waters?

No. But, necessary preven-tive measures will be ad-dressed in EMP to prevent runoff water from the parking not to be di rectly discharged into the wetland.

No No. But, ensure that proper mitigations moni-toring programme will be fully addressed in EMP.

No No No No

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165

SCREENING QUES-TIONS SUB-PROJECTS

1. Multi-story car park for park and ride on east and west edges of core area

2. Traffic management action area plan for market/Nong Chan Zone

3&12. Review and ra-tionalisation of parking restriction areas and Road markings

4&5. Woonerf street improvements in 5 streets and near Nam Phou fountain.

6. Street improvement-various

7. Pedestrian light cross-ings facilities

10. Improvements at non-light-controlled junctions

17. Air pollution due to urban emissions?

No. But it will become a problem for the city in the future. The issue will be addressed in the EMP.

No No No No No No

18. Road blocking and temporary flooding due to land excava-tion during rainy season?

No No. But, description of the development pro-posal (IEE with EMP) will be required

No No No No No

19. Noise and dust from construction activities?

Yes. Possible, ensure that proper mitigations monitor-ing programme will be fully addressed in EMP.

No. But, description of the development pro-posal (IEE with EMP) will be required

No Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

No No

20. Traffic disturbances due to construction material transport and wastes?

Yes. Possible, ensure that proper mitigations monitor-ing programme will be fully addressed in EMP.

No No. The proposed project will facilitate a better flow of urban transport.

Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

No. But, ensure that during the construction proper mitigations moni-toring programme will be fully addressed in EMP.

Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

21. Temporary silt run-off due to construc-tion?

Yes. Possible, ensure that proper mitigations monitor-ing programme will be fully addressed in EMP.

Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

No No. But, description of the development pro-posal (IEE with EMP) will be required.

Yes. Possible, ensure that proper mitigations monitoring programme will be fully addressed in EMP.

No No. But, description of the development pro-posal (IEE with EMP) will be required.

22. Hazards to public health due to ambi-ent, household and water depletion and/or degradation?

No No No. But, ensure that proper mitigations moni-toring programme relat-ing to road marking works will be fully ad-dressed in EMP.

No No No No

23. Overpaying of ground water, lead-ing to land subsi-dence, lowered ground water table, and salinization?

No No No No No No No

24. Contamination of surface and ground waters due to im-proper waste dis-posal?

No. But, description of the development proposal (with EMP) will be required.

No. But, description of the development pro-posal (IEE with EMP) will be required.

No No. But, description of the development pro-posal (IEE with EMP) will be required.

No. But, description of the development pro-posal (IEE with EMP) will be required.

No No. But, description of the development pro-posal (IEE with EMP) will be required.

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166

SCREENING QUES-TIONS SUB-PROJECTS

1. Multi-story car park for park and ride on east and west edges of core area

2. Traffic management action area plan for market/Nong Chan Zone

3&12. Review and ra-tionalisation of parking restriction areas and Road markings

4&5. Woonerf street improvements in 5 streets and near Nam Phou fountain.

6. Street improvement-various

7. Pedestrian light cross-ings facilities

10. Improvements at non-light-controlled junctions

25. Pollution of receiv-ing waters resulting in amenity losses, fisheries resource depletion, and health problems?

No No No No No No No

26. Social conflicts between construc-tion workers from other areas and lo-cal workers?

No. But, description of the development proposal (with EMP) will be required.

No No No No No. Construction activi-ties will be small sca le. Workers from the out-side the area may not be necessary.

No

27. Large population influx during project construction and operation that causes increased burden on social in-frastructure and services (such as water supply and sanitation sys-tems)?

No. But, description of the development proposal (with EMP) will be required.

No No No No No No

28. Risks to community health and safety due to the transport, storage, and use and/or disposal of materials during op-eration and con-struction?

No. But, description of the development proposal (with EMP) will be required.

No. But, description of the development pro-posal (IEE with EMP) will be required

No. But, ensure that proper mitigations moni-toring programme relat-ing to road safety works will be fully addressed in EMP.

No. But, description of the development pro-posal (IEE with EMP) will be required.

No. But, description of the development pro-posal (IEE with EMP) will be required.

No. Positively, it will enhance safety of pe-destrians when crossing roads

No. But, description of the development pro-posal (IEE with EMP) will be required.

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167

I.1 Reconnaissance Mission2 TA Report Preparation3 Prepare TOR for PPTA Consultant4 Prepare and Approve Concept Paper5 Recruitment of PPTA Consultant(s)6 Implementation of PPTA7 Grant Fact-Finding Mission8 Finalize Approval of RRP9 ADB Board Approval

II.10

11

12

13

14

15

16

17

III.18

19

- Design & Carry Out Awareness

Raising and Participation Program- Design & Carry Out Awareness

Raising & Training of Pilot EST Supervisory Board Members & PEA Staff

- Chief Technical Advisor for PEA

Equipment and Vehicle O & M Training & Preparation Final ReportCompletion Implementation and Monitoring Consultant Services

Recruitment of Capacity Development Consultants & Chief Technical Advisor (CTA)Deliver Capacity Development Consultant Services:

Phase

Project Preparation

Implementation

Operation and Maintenance

INDICATIVE IMPLEMENTATION PLAN

Recruitment of Implementation and Monitoring ConsultantCommence Implementation and Monitoring Consultant ServicesFinalize Civil Works Designs, Advertise, Tender and Award Package(s) Finalize Vehicle and Equipment Procurement Documents, Advertise and Award Packages

Construct Civil Works Improvements

2018 2019Year

2010 2011 2012 2013 2014 2015I II I II III

2016 2017Items

Deliver, Test and Commission Vehicles and Equipment Procurements

III IV I II III IV IV I II III IV I II III IV I II III IIV I II III IV I IIII III IV III IVI II III IV

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STAKEHOLDER WORKSHOPP0F

1P COMMENTS AND PROJECT RESPONSE

No. Workshop Discussion

GroupP1F

2 Category Description of Comment/Issue Project Response

1 1 Policy UVehicle Growth U. The majority thought private vehicle growth should be controlled: the means could be a quota system or fiscal measures (e.g. a tax or import duty). One minority opinion considered this would only yield a short-term solution: quotas would not be tolerated for long without an acceptable alternative mode of travel; an import duty would be unfavorable to Lao PDR’s application to join World Trade Organization, and under the terms of the ASEAN Free Trade Agreement might need to be removed in 2015.

Ownership and use of private motor vehicles need to be distinguished. The pilot VSUTP aims at reducing the vehicles use in the core area by a combination of parking policy and public transport (bus loops). The parking policy targets a substantially higher cost of parking in the core area to reflect its scarcity; linked external parking and bus service will be made a more cost effective and convenient mode of access to the core area; and combined pedestrianism and bus loops will be promoted as a key strategy for improved attractiveness and livability of the city core. Controlling the growth of private vehicle ownership should be the subject of a careful policy appraisal, more appropriately as a separate exercise to the project, before being undertaken.

2 1, 2 Policy

UCoordination U. (i) need to reinforce coordination policy among transport, road

All of the coordination policy issues are central to the success of the VSUTP. All

1 Work shop was held on 25 January 2011 2 Discussion Group 1 primarily consisted of the more senior workshop participants, and dealt with PEA institutional, funding and capacity development issues; Discussion Group 2 dealt primarily with the affectivity and efficiency of the identified Public Transport Service (Red and Blue Shuttle Bus Loops in Core City Area); and Discussion Group 3 dealt with the appropriateness, affectivity and efficiency of Identified Traffic Management Sub-projects (as per Report, Table A6.10).

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No. Workshop Discussion

GroupP1F

2 Category Description of Comment/Issue Project Response

and traffic/enforcement agencies; (ii) the Director General, DOT at MPWT proposed making better use of the three existing high-level committees dealing with transport-related issues can serve to strengthen coordination: the National Road Safety Council (chaired by a Deputy PM), the National Transport Committee (chaired by a Deputy Minister of MPWT) and the National Committee for Cross-border Trade and Transport (chaired by a Deputy PM); and (iii) coordinated policy between urban planning and urban transport agencies needs to be improved; particularly since the agencies are in the same ministry (MPWT).

such coordination issues need to be clearly addressed in the Memorandum of Understanding to be drafted for the establishment of the PEA.

3 2 Policy UTransport/Social Policy. Government policy with regard to urban public transportation, towards subsidies and related issues should be designed to promote the social welfare and to solve social problems.

This is taken up in the project design.

4 3 Policy UTraffic Management U. Traffic management policy should be adjusted to include consideration of the following: (i) the use of pedestrian underpasses in lieu of pedestrian overpasses in order to maintain historical environment, and also consider the use of additional “underpasses” to improve road safety; (ii) to upgrade and improve additional intersections, not just those proposed in the TA report; (iii) to consider additional parking areas along Fa Ngun Street by expanding the size of the 3 existing parking areas; and (iv) consider parking areas designated for tour buses.

(i) This comment is noted for consideration of the PPTA, including developing feedback from focus groups as to the social acceptability/safety of underpasses particularly at night. (ii) Upgrading of additional intersections is noted for consideration of the PPTA. (iii) and (iv) should be studied and appraised in the PPTA.

5 2 Policy UOne-Way Streets The present one-way street policy should be studied in order to determine if the present utilization of one-way street pattern should be revised. This would have to be coordinated with planned implementation of the public transport and traffic management components of the VSUTP

This is a well-considered comment that should be followed up during the PPTA phase of the project, in conjunction with additional traffic volume surveys and origin and destination surveys.

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170

No. Workshop Discussion

GroupP1F

2 Category Description of Comment/Issue Project Response

6 2 Policy UFuture Bus Shuttle Loops A Government policy should be adopted as soon as possible to encourage not only implementation of the Red and Blue bus loops, but also future loops as indicated in the TA report.

Planning of future loops should be considered as part of the PPTA. Such future loops would be phased in after implementation of the Red and Blue loops.

7 1, 2, 3 Institutional UPilot EST Agency. (i) All groups understood the purpose and need for a Pilot EST Agency’s (PEA) to act as a pilot integrated urban transport agency responsible for traffic, parking and public transport in the pilot core area; (ii) All groups agreed with its establishment under a (transparent) memorandum of understanding among stakeholders and a supervisory board manned by the stakeholders’ representatives; (iii) use of traffic control officers by the PEA should follow an agreement with the police, with regard to the responsibility and limits of authority of traffic control officers; and (iv) the PEA must report to the Government

This is taken up in the project design.

8 1 Financial ULao PDR Budget LawU. Agreed with the proposal for a special levy such as an EST Tax to fund the PEA capital and operation and maintenance, but the group noted that the funding mechanism will have to comply with the Lao PDR state budget law

The draft of the EST Tax Law to be carried out by the PPTA consultant will take into consideration state budget law, and other pertinent laws and regulations.

9 2 Financial UOperations and Business PlanU. Agreed with the concept of a PEA, but that the operation of the PEA should be based on a clear operations and business plan, and if subsidies from government are to be utilized (fuel tax, exemption from import tax on parts for bus maintenance, etc.), such subsidies should be clearly indicated in the business plan.

A fundamental principle governing the PEA will be that operations are based on a clear and transparent business plan, developed in the public interest and professionally implemented. The draft PEA MOU will include a clear statement of this principle.

10 Financial UShuttle Loop Bus FareU. The suggested Kip 2,500 fare for the shuttle bus system should be rounded to the nearest thousand Kip, i.e. use Kip 3,000

Details of the fare are still to be finalized. The suggestion will be considered in project preparation.

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171

No. Workshop Discussion

GroupP1F

2 Category Description of Comment/Issue Project Response

11 2 Regulatory UPublic Transport LawU. The is a need for a Public Transport Law for the country

Noted for consideration in the PPTA.

12 1 Regulatory UEST Law. The need for an EST Law was supported, with the understanding that it should be a clear and transparent statement of state policy, and as a tool for implementing the same (state) policy

The principle is assumed in the project design.

13 3 Regulatory UTransparency. Any new laws, regulations, etc. to be implemented under this new PEA program must be transparent,, including public participation, adequate publication and dissemination of new laws/regulations, and additional street side signing as necessary.

The principle is assumed in the project design.

14 1 Regulatory Existing regulations on parking, traffic management and public transport are adequate. Experience during the 25th SEA Games in Vientiane shows that, given the right motivation, the capital’s transport system can function well. To achieve the same result every day however means overcoming challenges that will require a permanent commitment to traffic management and enforcement of existing traffic and parking regulations.

This is taken up in the project design.

15 3 Regulatory UNew Major Commercial DevelopmentsU. New major retail and other commercial developments (Big C, etc.) should not be permitted in the core area, and wherever they are located they should follow zoning and urban master plan provisions.

The project design assumes that the authorities will implement approved and published urban plans in land use permitting.

16 2 Regulatory UIntegration with Existing Urban Planning RegulationsU. Implementation of bus loop shuttles must be integrated with existing urban planning parking space regulations, i.e. 1366/MPWT: hotels must provide 1 off-street parking space for each 3 hotel rooms, and restaurants must provide 1 off-street parking space for each 3 square meters of restaurant space.

Parking is a key part of the integrated urban transport solution of the pilot VSUTP, which will incorporate an appropriate parking policy.

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No. Workshop Discussion

GroupP1F

2 Category Description of Comment/Issue Project Response

17 3 Regulatory New regulations should be considered/established to promote use of public transport by students, not only to reduce the number of trips into the core area, but also to improve traffic safety (presently student driven motorcycles have a high accident rate).

The principle is taken up in the project design; details will be studied in the PPTA.

18 2 Regulatory Revision of regulation of “Time Release” for vehicles involved in road accidents, as required to satisfy certain vehicular insurance regulations pertaining to accident investigations, should be part of integrated traffic management (reform).

This is a constructive comment for the improvement traffic management. The legality and the practicality of this issue needs to be studied during the PPTA.

19 1 Other USelection of Core AreaU. The choice of the city core for the pilot project needs to be better explained in terms of the capital’s urban transport master planning.

This suggestion will be taken up in the PPTA.

20 2 Other UExtension of Red Bus Loop The Red Bus shuttle loop should be extended to the west to provide service to existing developments (Parkview Hotel, Novotel, Mekong Hotel, schools, etc.)

This extension was considered during this TA; but the existing geometry with regard inadequate weaving and merging distances and the location of the bus stops for the 180P

oP left turn west of the

Parkview Hotel made such an extension unsafe. It should be further studies during the PPTA.

21 2 Other UAwareness and Promotion Campaigns. The implementation of the program must include well designed awareness and advertisement campaigns to promote the pilot bus shuttles.

This is included in the project design.

22 2 Other URed and Blue Bus Shuttles U. Also introduce school buses to reduce trips into the core area; bus frequency as indicated in the TA report is sufficient; but strict enforcement of parking will be required to make it successful.

The suggestion is aligned with the project design objectives.