Final Project Design Report [for IFAD funded Activities within the overall CCRIP Design] Volume I: Main Report

Transcription

1 GOVERNMENT OF BANGLADESH ADB KfW IFAD COASTAL CLIMATE RESILIENT INFRASTRUCTURE PROJECT (CCRIP) Final Project Design Report [for IFAD funded Activities within the overall CCRIP Design] Volume I: Main Report Asia and the Pacific Division Report No: November 2012

2 Main Report Table of Contents Fiscal year Currency and Equivalents Units and Conversions Abbreviations, Acronyms and Glossary Map of the CCRIP Project Districts Executive Summary Design and Monitoring Framework (DMF or Logframe) iii iii iii iii vi vii x I. STRATEGIC CONTEXT AND RATIONALE... 1 A. Background... 1 B. Country and Rural development and poverty context... 2 C. Rationale... 4 D. Scaling-up... 9 II. PROJECT DESCRIPTION A. Project area, poverty and target group B. Project Goal and Objective ( Impact and Outcome ) C. Components D. Lessons learned and compliance with IFAD policies III. PROJECT IMPLEMENTATION A. Approach B. Organisational Framework C. Planning, monitoring and evaluation, learning and knowledge generation D. Financial management, disbursement, procurement and governance E. Supervision F. Risk identification and mitigation IV. PROJECT COSTS, FINANCING, BENEFITS A. Project Costs B. Summary benefit and economic analysis C. Sustainability KEY FILE TABLES Table 1: Rural poverty and agricultural sector issues Table 2: Organisational capabilities matrix Table 3: Complementary donor initiative / partnership potential Table 4: Target group priority needs and project proposals Table 5: Stakeholder matrix / project actors and roles Volume II: Annexes 1. Country and Rural Context Background 2. Poverty, Targeting and Gender 3. Country Performance and Lessons Learned 4. Value Chain Development and Infrastructure 5. Detailed Project Description 6. Review of Rural Infrastructure Needs Under CCRIP 7. List of community (village) markets and union/village roads selected for development 7A. Project Cost and Financing 7B. Summary and Detailed Cost Tables 8A. Structural Design: Road Infrastructure 8B. Detailed Cost: Roads Infrastructure 8C. Unit Costs: Market Infrastructure 9A. Structural Design: Market Facilities 9B. Structural Design: Ghats ii

3 Main Report 9C. Detailed Costs: Market Facilities 10. Institutional Aspects and Implementation Arrangements 11. Compliance with IFAD policies 12. Planning, Monitoring, Evaluation and Knowledge Management 13. Financial Management and Disbursement Arrangements 14. Procurement 15. Beneficiary Calculation 16. Economic And Financial Analysis 17. Draft Project Administration Manual 18. Contents of Project Life File iii

4 Main Report Fiscal Year 1 July to 30 June Currency and Equivalents Currency Unit = Bangladesh Taka (BDT) October 2012 USD 1.00 = BDT Units and Conversions 1 lakh (lk.) = 100,000 1 crore (cr.) = 10,000,000 1 acre = ha 1 decimal = 0.01 acre Abbreviations, Acronyms and Glossary ADB ADP AE Aman Aus BARI BBS BC Boro BIDS BRRI BUET BWDB CARE CBO CC CCP CDSP Char COSOP DAE DC DD DFID DLS DPHE DTW EIRR ERD FAO FY GB GDP Ghat GMC GoB HBB Haat Asian Development Bank Annual Development Plan Assistant Engineer Main rice crop grown during the rainy season Early rice crop grown during the early part of the rainy season Bangladesh Agricultural Research Institute Bangladesh Bureau of Statistics Bitumen carpeted Irrigated rice crop grown during the winter season Bangladesh Institute of Development Studies Bangladesh Rice Research Institute Bangladesh University of Engineering and Technology Bangladesh Water Development Board An international NGO Community Based Organisation Climate Change Community Collection Point Char Development and Settlement Project Newly accreted land Country Strategic Opportunities Paper (IFAD) Department of Agricultural Extension Deputy Commissioner (head of district administration) Deputy Director Department for International Development (UK) Department of Livestock Services Department of Public Health Engineering Deep Tubewell Economic Internal Rate of Return Economic Relations Division Food and Agriculture Organisation Financial year Grameen Bank Gross Domestic Product A Bangla word of boat landing boat platform Growth market centre Government of Bangladesh Herringbone brick bond A Bangladesh word for a rural market or bazaar, which assembles everyday with small number of buyers/sellers but meets twice a week in a large-scale where buyers/sellers from wider areas converge to do business iv

5 Main Report hh/hh household HIES Household Income and Expenditure Survey HILIP Hoar Infrastructure and Livelihood Improvement Project IFAD International Fund for Agricultural Development IRRI International Rice Research Institute JICA Japan International Cooperation Agency Khal Drainage channel (natural or man-made) Kharif Summer cropping season LCS Labour Contracting Society LGD Local Government Division (of MLGRD&C) LGED Local Government Engineering Department M&E Monitoring and Evaluation MIDPCR Market Infrastructure Development Project in Charland Regions (IFAD) MFMSFP Micro Finance for Marginal and Small Farmers Project (IFAD) MFTSP Micro Finance and Technical Support Project (IFAD) MFI Microfinance Institution MIS Management Information System MLGRD&C Ministry of Local Government Rural Development and Cooperatives MMC Market Management Committee MOF Ministry of Finance MoU Memorandum of Understanding MTR Mid-Term Review NATP National Agricultural Technology Project (World Bank IFAD) NGO Non Governmental Organisation O&M Operation and Maintenance p.a. per annum PCR Project Completion Review PD Project Director PAM Project Administration Manual PKSF Palli Karma-Sahayak Foundation, Government established apex funding agency for MFIs/NGOs PMO Project Management Office PSC Project Steering Committee PY Project Year QA Quality Assurance Rabi Winter cropping season RCC Reinforced cement concrete (e.g. road) RIMS Results and Impact Management System SAE Sub-Assistant Engineer SCBRMP Sunamganj Community Based Resource Management Project SDC Swiss Development Cooperation TA Technical Assistance UE Upazila Engineer UNO Upazila Nirbahi (Executive) Officer UP Union Parishad Upazila Sub-district USAID United States Agency for International Development WFP United Nations World Food Programme XEN Executive Engineer (of LGED) v

6 Main Report Map of the CCRIP Project Districts vi

7 Main Report Executive Summary 1. Background: The Coastal Climate Resilient Infrastructure Project (CCRIP) jointly funded by ADB, KfW, IFAD and Government of Bangladesh is a merger between the former Sustainable Market Infrastructure for Livelihoods Enhancement project (SMILE) of IFAD and the Climate Resilient Infrastructure Improvement in Coastal Zone Project (CRIICZP) of ADB/KfW. The overall design of CCRIP project had already been accepted by all three donor agencies and the Government, and approved by ADB Board in September ADB, KfW, and IFAD have signed an aide memoire on June 19, 2012 accepting the overall scope, financing and implementation aspects of the project. Later on, the Government confirmed the aide memoire. This project design report (PDR) presents the final design of IFAD funded activities as part of the overall project design. CCRIP is the first of two projects to be funded under the new Country Strategic Opportunities Program (COSOP) of the International Fund for Agricultural Development (IFAD). 2. Rationale: Bangladesh is expected to be among those countries to be seriously affected by the adverse effects of climate change. Today, Bangladesh is already one of the most disaster prone countries among the least developed countries. Severe flooding and cyclones during the monsoon season is regularly causing serious damage to crops and properties, with severe adverse impact on rural livelihoods. Climate change is expected to increase the severity and frequency of cyclones and floods causing widespread destruction of land, roads, houses and other assets. In addition to the adverse climate change effects, rural producers, especially the poor and the small producers, suffer from two sets of constraints that limit the development of their livelihoods: a) poor road and market infrastructure that limits access to larger markets, increases cost of production because of higher input and transportation costs, and lowers prices due to remoteness; and b) limited access to demand-driven financial services, especially seasonal agricultural credit and loan for microenterprises, and limited access to good technology and inputs, knowledge and support services such as vaccination services for livestock etc. 3. CCRIP will build climate resilient road infrastructure, cyclone shelters, and improve access to market to address acute poverty and climatic vulnerability in 12 south-western districts. By joining the ADB/KfW funded project and forming the CCRIP, IFAD will be able to render the former SMILE to a climate smart project in addition to the focus on connectivity and accessibility for smallholder producers. This is fully aligned with the COSOP objectives 1 and Currently, the above two sets of constraints are being addressed at a comparatively small scale by two IFAD-funded projects: MIDPCR for rural infrastructure development; and FEDEC for agricultural and ME lending, and value chain development. The CCRIP project will scale-up MIDPCR s successful experiences mainly in rural roads (Union and village roads), boat landing platforms (ghats) and community (village) markets which are strategically located in the designated project areas. The experiences of MIDPCR, CDSP (I, II, and III), SCBRMP and similar rural infrastructure development projects have demonstrated that paved roads and markets improve communication and benefit households income through higher farm prices, increased wages, enhanced investment in agri-business and trade, better access to higher quality inputs, support services, credit and reduced cost of production and transport. Access to child education and primary health care also improves due to better transport facilities, especially in wet season. Overall, protection and enhancement of livelihoods is greatly expected. Moreover, MAPP, which will be designed as the follow-on project of FEDEC in 2014 to scale up the value chain and financial services development in the same area and to complement CCRIP hardware investments. CCRIP and MAPP each, will be implemented by specialized agencies: LGED for infrastructure and PKSF for rural finance and value chain development. 5. CCRIP Project Area: The IFAD funded activities under CCRIP will be implemented in 32 Upazilas of 12 South-western districts (Satkhira, Khulna, Bagerhat, Gopalganj, Madaripur, Shariatpur, Pirojpur, Jhalkati, Barisal, Bhola, Borguna, and Patuakhali). These district are known as very poor, least developed and vulnerable to natural disasters such as tidal surges, cyclones, and floods. The 32 Upazilas have been selected on the basis of seven indicators related to poverty, vulnerability, remoteness and quality and scale of infrastructure. IFAD expects that activities ( sub-projects ) funded by ADB (Upazila roads and growth centre markets) and KfW (cyclone shelters and disaster preparedness capacity building) should also be implemented in these 32 upazilas to maximize project impacts. vii

8 Main Report 6. Target groups and expected benefits: The project target group comprises the population in the catchment areas of project markets and user of roads, in particular, small and marginal farmers, small traders and micro-entrepreneurs, landless people and poor women. It is estimated that 3.5 million people will benefit from the project. Direct beneficiaries include 5,000 people contracted to LCS (of which at least 80% will be very poor women, with priority for women-headed households); 162,400 traders in the markets under the project; 52,600 transport owners; and 235,000 households living in the areas of influence of roads/markets. The benefits will come in the form of being able to use all weather communications, increased sales, reduced cost of transportation, higher farm price, future investments opportunities in agri-business and trading, and improved quality of agricultural inputs and support services. The improved road access is expected to encourage private investors to increase investments and service providers to expand into the project areas. 7. The project goal (ADB: Impact) of CCRIP is to achieve Improved livelihoods (higher incomes and food security) for poor households (women and men) in selected Upazilas of 12 coastal districts. The development objective (ADB: Outcome) is to achieve enhanced climate resilience of coastal road and market infrastructure and people in selected Upazilas of 12 project districts. 8. Components: The project will have the following three components: 1. Improved Road Connectivity: The outcome of this component is Improved road connectivity for men and women living in project Upazilas to access markets and social services. Under this component, 130 km upazila road (ADB funded), 501 km union and village roads (IFAD funded) along with associated small bridges and culverts (2,455 meters) will be built. Roads will adopt climate resilient and or climate adaptation features. Roads that benefit highest the number of people, connect project markets (see below) and other important markets and remote villages will receive high priority. 2. Improved Market Services: The outcome of this component is Enhanced marketing of farm and non-farm produce in project markets. This component will build/improve physical markets (common shed, fish shed, open paved/raised area, women section, toilet bloc, internal drainage etc), build commodity collection points (CCP), build boat landing platform (ghats), form market management committees (MMCs), and create employment for the poor women (LCS members). The plan is to develop 88 growth centres and large rural markets (ADB funded), and 197 community (village) markets, 5 CCPs. 15 women sections and 38 boat landing platform (IFAD funded), and for LCS group and MMC management system. 3. Enhanced climate change adaptation capacity: The outcome of this component is Rural communities and local authorities are able to cope with volatile climate events and meet their basic needs during climatic shocks. The following activities, funded by KfW, are planned under this component: a) construction or extension of 15 cyclone shelters; b) improvement of 10 existing shelters; c) upgrading 15 km access tracks; and d) complementary support measures to enhance capacity for disaster preparedness. In addition, IFAD will fund the training of LCS in construction skills and on social issues, and MMC members on planning, supervision of works and management of the markets. 9. Project management: A Project Management Office (PMO) at the LGED headquarters in Dhaka and three regional project offices (RPOs) located in Khulna, Madaripur and Barisal district headquarters will be established. A technical assistance team will assist the LGED officials in Dhaka, 12 districts and upazila level to implement the project. The PMO will be responsible for implementation of all project activities, supervision and monitoring, quality control and project progress, train staff members, and gather lessons and disseminate knowledge generated from the project. IFAD and ADB will jointly monitor and supervise the project. 10. Selection and implementation of IFAD funded infrastructure: It is important to note that IFAD funded union and village roads and community (village) markets have already been selected through a rigorous process and are part of the approved DPP ( development project pro-forma, the Government s project report). The PMO with the help of XENs and Upazila engineers will finalize cost estimations for individual roads before tendering out and developing a master plan for the development of each selected market. Basic engineering design and viii

9 Main Report typical unit cost estimation for roads and markets have already been completed. The selected roads and markets are ready for development. The PMO will prepare annual implementation plan only. No additional selection exercise will be necessary unless a unforeseen incidence occurs. Since the selection of IFAD funded roads and markets is already final they will not be linked with the selection of ADB funded subproject. It is clearly emphasised that this approach aims at avoiding any delays of implementation of IFAD funded activities due to subprojects selection and related studies of ADB/KfW funded activities. 11. Project costs and financing: CCRIP s total cost of US$150.0 million will be financed by IFAD for up to US$40.5 million during the current PBAS period The additional financial needs will be, as applicable, funded as a second loan from the PBAS and will be submitted to the Executive Board in 2016 for approval. The current co-financing for CCRIP will be in the amounts of US$50 million by ADB, US$8.8 million by KfW and US$31.2 million by GoB. ADB s funding breaks up as follows: US$20 million from ADB s Special Funds resource (loan), US$20 million through ADB Strategic Climate Fund loan and a US$10 million grant. KfW will provide its funding to the project of as a grant. The Government of Bangladesh will finance LGED staff salaries and operating costs, land acquisition and resettlement costs as well as identifiable taxes and duties as no taxes or duties could be financed out of the proceeds of the IFAD loan. 12. Timeframe: The anticipated duration of the project would be six (6) years beginning July Project implementation and coordination: The project implementation will be led by the Local Government Engineering Department (LGED) of the Ministry of Local Government Rural Development and Cooperatives (MLGRDC). Overall coordination will be through an Inter- Ministerial Steering Committee, chaired by the Secretary of the Local Government Division of MLGRDC and represented by relevant line ministries and agencies including the Economic Relations Division (ERD) of the Ministry of Finance. The project will also participate in District and Upazila Development Coordination Committees. 14. Sustainability and exit strategy: The roads will be maintained beyond project period by LGED with resources from the Government. The markets will remain the property of the Government and be managed by the MMCs, whose head is the Union Parishad chairman. Based on the experience of MIDPCR and similar infrastructure projects, project benefits are expected to become sustainable when the local rural economy is linked and integrated with national economy due to improved connectivity in terms of infrastructure and market networks. ix

10 Main Report CCRIP: Design and Monitoring Framework (DMF or Logframe) Design Summary Performance targets and indicators Monitoring Mechanism & Information Sources Project Goal [ADB: Impact] Project Goal Improved livelihoods (higher incomes and food security) for poor households (women and men) in selected Upazilas of 12 coastal districts Development objective [ADB: Outcome] Enhanced climate resilience of coastal road and market infrastructure and people in selected Upazilas of 12 project districts. [Project Target: Overall approximately 600,000 HHs; 3.5 million people] ADB - by 2021: Household incomes in project areas increased by 20% in 2012 prices (2012 baseline: Tk70,000) IFAD - by 2018 (from baseline): 20 % increase of households reporting improvements in household asset ownership index (RIMS) 30 % reduction in the prevalence of child malnutrition (RIMS) 60 % increase in incomes in 50%of poor households from a range of farm, fishery and non-farm sources, disaggregated by sex By 2018: < 5# of days of inundation of infrastructure reduced (baseline 20 days) 60 % more beneficiaries reporting improved food security, by women/men (RIMS) 50 % reduced loss of lives and assets during disaster Bangladesh Bureau of Statistics Multiple Indicator Cluster Survey (MICS) of the RIMS surveys Impact surveys at baseline, mid-term and completion Qualitative assessment (PRA) with target HHs in project Upazilas/Unions/Villages. Independent evaluation of robustness and resilience of infrastructure design. CCRIP project assessment report after each monsoon season and natural disaster event. IFAD annual supervision report. PRA after each monsoon season and natural disaster event. Assumptions Climate change related impacts are within predicted level COMPONENT 1: Improved Road Connectivity Outcome 1: Improved road connectivity for men and women living in project Upazilas to access markets and social services. By 2018, ADB: Increased average traffic volume per day on project roads (target: 500; baseline: 200 ) Reduced average vehicle operating costs on project roads (target: BDT 10 / km; baseline BDT15 /km ) IFAD (from baseline): 50% increase in average traffic volume per day on project roads 25% reduced transportation costs on project roads 50% reduced travel time Traffic data surveys (volume and price) Transport worker and user surveys Government sustains or increases funds for road and market maintenance. Investments in polder protections by other programmes and projects continue x

11 OUTPUTS: Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Main Report Design Summary Performance targets and indicators Monitoring Mechanism & Information Sources Upazila, union and village roads upgraded to climate resilience standards Bridges and culverts built COMPONENT 2: Improved market services Outcome 2: Enhanced marketing of farm and non-farm produce in project markets OUTPUTS: Market infrastructure expanded and upgraded Women market sections built Boat landing (facilities) platforms (ghats) built Market Management Committees (MMC) established LCS formed, trained and employed By 2018, ADB funded: 130 Km Upazila road upgraded and climate proofed 780 meters of bridges and culverts in Upazila roads IFAD funded: 160 Km union road upgraded 341 Km village road completed or upgraded 2245 m length of bridges and culverts By 2018, ADB funded: 90% increase in the volume of goods marketed in growth centre markets, (baseline: 23,000kg in 2012) % increase of traders (disaggregated by sex) IFAD (from baseline): 20% additional income from construction of infrastructure 50% increase in the volume of goods marketed in village markets 25% increase of traders (disaggregated by sex) By 2018, ADB funded: 88 growth center and rural markets; All 88 growth centers and rural markets have a women section. IFAD funded: 197 community (village) markets of different categories 15 community markets with a women section 5 Community collection points built 38 new landing ghats built COMPONENT 3: Enhanced Climate Adaptation Capacity Outcome 3: Rural communities and local authorities are able to cope with volatile 5,000 poor women and men employed in construction of markets through LCS (IFAD) Climate resilient rural infrastructure management plan is operational Independent monitoring of construction of roads, bridges and culverts Site inspections Environmental assessment Project reports and MIS Market surveys (at baseline, mid-term and completion) Assumptions No major delays due to price escalation of materials and labour Public procurement process remains adequate and adheres to ADB/IFAD requirements Sufficient availability of labour Roads properly maintained LGED remains committed to apply acquired knowledge Services of MAPP are reinforcing CCRIP interventions Site inspections and surveys Adequate functioning of MMCs Qualitative surveys: Focus group discussions and key informant Climate trends do not reduce onand off-farm productivity, or quality ; production levels remain stable Public policy continues to allow procurement of works with the participation of LCS Local Government maintains emergency and recovery plans xi

12 Main Report Design Summary Performance targets and indicators Monitoring Mechanism & Information Sources climate events and meet their basic needs during climatic shocks % of population using shelters during natural disasters [Target: -- %] interviews after completion of shelters Post-climate shock surveys, PRA on effectiveness of response, management of shelters Assumptions OUTPUTS: Village authorities develop and LGED approve climate resilient rural infrastructure management plan LGED pilots sustainable road maintenance plan Climate disaster shelters built/improved LGED and local Government are trained on climate-proofing of rural infrastructure Knowledge management framework for climate change developed Innovations on garbage management tested KM effective By 2018 LGED approved plan by 2015 Sustainable road maintenance plan 15 of multipurpose cyclones built/extended 10 existing cyclone shelters improved 15 km of cyclone shelter access tracks upgraded 5 killas constructed 100 training units on climate proofing infrastructure ; > 15% female participant >4 knowledge products published >3 Rural radio programs developed LGED reports, workshop minutes Project reports Site inspections and surveys Management & maintenance plans are integrated into policies and enforced xii

13 Main Report I. STRATEGIC CONTEXT AND RATIONALE A. Background 1. This project design report (PDR) represents the final design of IFAD funded activities under the overall scope and design of the Coastal Climate Resilient Infrastructure Project (CCRIP) jointly funded by ADB, KfW, IFAD and Government of Bangladesh. A six members IFAD mission 1, which was working from 1 October to 3 November 2012 in the project area, prepared the project design report (PDR) that presents overall project activities and management system in order to (i) offer greater details of IFAD funded activities, (ii) address observations and recommendations of the QE review on the IFAD Briefing Note of CCRIP and (iii) refine activities along with project targets, cost estimates, co-financing arrangements, and implementation modalities. 2. The design of CCRIP is the outcome of a merger of the Sustainable Infrastructure for Livelihoods Enhancement (SMILE) project of IFAD and Climate Resilient Infrastructure Improvement in Coastal Zone Project (CRIICZP) of ADB and KfW had been accepted by all three donor agencies and the Government, and approved by ADB Board in September ADB, KfW, and IFAD signed an aide memoire on June 19, 2012 accepting the overall scope, financing and implementation aspects of the project. Later, the Government of Bangladesh confirmed the aforementioned aide memoire. 3. ADB, KfW and IFAD had designed independently from each other CRIICZP and SMILE, respectively, until May 2012, when both agencies met and decided to merge the projects. It had become clear at that time that the scope of the two project was similar and both projects were designated to be implemented in the same 12 districts. The main intention of the merger was to generate synergies from (i) a joint focus on rural transport and market infrastructure development, (ii) a common project area, (iii) a reduction of adverse impacts of climate change on livelihoods, and (iv) reduced management costs. 4. The objectives of CCRIP place considerable emphasis on adaptation to climate change and assistance to livelihoods through rural infrastructure development, which is fully aligned with the COSOP and the priorities of the Government of Bangladesh. ADB and IFAD agree to bring together their dedicated loans and grants under a collaborative co-financing arrangement. Total project costs would amount to about USD 150 million while the outreach would increase from households (as it was assessed for SMILE) to about households or 3.5 million people under CCRIP in 12 selected districts in coastal, south-west Bangladesh. Out of this large target group, it is estimated that at least 46% or 1.6 million people are poor or very poor. 5. Furthermore, IFAD and its national partners in Bangladesh designed the concept of CCRIP together with the Micro-enterprise and Agriculture Promotion Project (MAPP) as part of the project pipeline under the new COSOP Both, the project pipeline and the new COSOP were approved by the OSC in December 2012 and subsequently by the Government of Bangladesh in a validation meeting held in Dhaka in January The COSOP for Bangladesh for including the two project concept notes were also supported by the IFAD Executive Board in April IFAD has scheduled the presentation of the loan and grant for CCRIP to the Executive Board in April The ADB loans and grants and the KfW grant have been approved during October It is expected that the financial resources of both, ADB and IFAD would be available during 2013, maybe within a small time gap of a few months. 7. The final design mission a) finalized selection of community (village) markets and union/village roads to be built/upgraded under the project, b) updated engineering design and costs by incorporating climate resilient and adaptation features, c) finalized allocation 1 Mr. Dewan A.H. Alamgir (Mission Leader), Prof. Dr. Shamsul Hoque (Rural Infrastructure Engineer), Mr. Harry W. Denecke (Rural Infrastructure Engineer), Ms. Alexandra Sokolova (Economist), Ms Lakshmi Moola (Finance Officer, IFAD) and Mr. Shankar Achutan Kutty (Regional Procurement Adviser, IFAD). Mr. Thomas Rath (Country Program Manager, IFAD) joined the mission as of 8 October 2012 and participated in the wrap-up meeting on 22 October Mr. Golam Md Hashibul Alam, Country Program Officer, IFAD, supported the mission and participated in various meetings. Mr. Rezaul Karim Khan, ADB Task Manager for CCRIP project participated the mission from 17 to 22 October, 2012 and attended wrap-up meeting on 22 October

14 Main Report and related cost tables for the components funded by IFAD, d) revised the project management including accounting, financial management, and procurement systems and e) updated financial, economic analysis related to IFAD funding and in line with IFAD s requirements. Prior to the arrival of the mission, LGED with IFAD s assistance conducted a survey of community (village) markets and roads as per criteria agreed previously. The PDR includes final list of markets and roads to be developed/upgraded under the project. 8. The final design of IFAD funded activities, management system and co-financing had been approved at a wrap-up meeting held on 22 October 2012 chaired by ERD and attended by representatives from ADB, LGED as the executing agency, and various Bangladesh Government departments. LGED is committed finalizing the project DPP as per design presented in this report. B. Country and Rural development and poverty context 9. Overview. CCRIP will be implemented in 12 south-western coastal and low-lying districts of the country, where people are poor and vulnerable to natural disaster and where recent development activities had only limited effects. The project plans to build climate resilient and or adaptive road and market infrastructure in about 32 Upazilas (sub-districts) 2, which will help boosting agricultural development and food security while reducing rural poverty. Poverty has been a pervasive problem in rural Bangladesh because of limited availability of land and other natural resources, low agricultural productivity, lack of non-farm economic opportunities, high population density and poor governance. Bangladesh is home to the third highest number of poor people world-wide. About 80% of the population live in rural areas and are mainly engaged in agriculture and related non-farm activities. More than two thirds of the rural population are landless or functionally landless (i.e. owning less than 0.2 hectares of land), 44% are below the national poverty line and 29% are classified as very poor. 10. Climate change. Bangladesh is expected to be among those countries to be seriously affected by the adverse effects of climate change. Today, Bangladesh is already one of the most disaster prone countries among the least developed countries. Two-thirds of the country lies less than 5 meters above sea level, making it one of the most flood prone countries in the world. Severe flooding during the monsoon season causes regularly serious damage to crops and properties, with severe adverse impact on rural livelihoods. Climate change is expected to increase the severity and frequency of cyclones and floods which will likely cause more widespread destruction of land, roads, houses and other assets. 11. National water adaptation master plan: Bangladesh prepared national water management plan (NWMP) 3 in The coordination of the activities under the NWMP lies with the National Water Resources Council (NWRC) part of the Ministry of Water Resources. The NRWC through its Executive Committee can issue directives as needed to enhance the different stakeholders implementing projects and programmes to be congruent with the policies and strategies of the NWMP. Within the Ministry of Water Resources the Water Resources Planning Organization (WARPO) maintains a database to facilitate the work of the NWRC. 12. The NWMP report states that in the dry season less rainfall than usual may be expected while during the wet season rainfall could increase by 29% until 2050 as a result of climate change. Relative sea level rise (versus land levels) is stated to be difficult to predict as it is the combined effect of sedimentation (land accretion), land subsidence, and increase in amplitude of the tidal waves (from 1.8 to now already 3.0 m approximately). The range of sea level rise based on different studies and assumptions is from cm by the year Other impacts of climate change are the expected increase in intensity and frequency of cyclones or storm surges. The consequences are already taken into account as needed e.g. by constructing cyclone shelters. The magnitude and impact of saline water intrusion is more difficult to assess in view of increased rainfall and uncertain river discharges. The potential 2 IFAD funded activities will be in 32 selected upazilas whereas ADB funded roads and market development subprojects could be in any of the 82 upazilas of 12 project districts including IFAD selected 32 upazilas. IFAD proposes that CCRIP gives priorities to subproject proposals located in these 32 upazilas in order to obtain maximum synergies. 3 ( 2

15 Main Report impacts of climate change have been taken into consideration while designing infrastructure under CCRIP as explained in relevant sections and annexes. 14. Economic outlook. In spite of all its limitations, Bangladesh has continued to accumulate economic gains over the past decade with a steady economic growth of 5 6% annually, a relatively low inflation and fairly stable domestic debt, interest rates and exchange rates. However, growth has not reached the rate of 7.5%, which would be needed for Bangladesh to graduate to a middle-income status country within the next 10 years 4. After a slowdown in GDP growth to 5.7% during 2008/09 5, growth recovered to 6.0% in 2009/10 with a 6.3% forecast for 2010/11. The inflation rate has been increasing to double digit figures (i.e. more than 12%) in 2011/12 which has become a major concern for the consumers and also the Government. The high inflation hurts mostly the poor and people with a fixed income. 15. Increased import 6 and decreased inflow of foreign direct investment (FDI) and aid have shifted the balance of payments into a deficit (net outflow of USD 586 million for July to November 2011, compared with surplus of USD1,585 million for the same period a year earlier). After a long period of stability, the value of the Bangladesh Taka has depreciated over the last six months from Taka 70 to Taka 83 per USD 1 in January 2012, which causes the upswing in import costs and deteriorates the current account balance. The national macro-economic management has been under severe stress lately. Besides, the fall of the stock market index has caused massive losses for small investors. 16. Agriculture. Rural development in Bangladesh is explicitly linked to the development of agriculture and the farming community. Most programmes aim at infrastructure development, higher agricultural production, improved access to financial services, better farm prices, lower input prices and improvement in school education and health services. Over the last decades, agricultural growth has been around 4% per annum. The country is currently almost rice self-sufficient in a normal year: rice production increased from 10 million tons in 1971 up to 33.9 million tons in 2009/10. There is, however, no room for complacency as Bangladesh has to import rice in times of large flooding and severe droughts - especially if they occur during the critical crop growing period. Due to the dense population and the continued loss of arable land, caused by urbanisation and other reasons 7, the need persists to enhance the productivity of rice cultivation and other staple food. 17. Among agricultural commodities, fruits, vegetables and fisheries are considered to be more profitable than rice which in turn is encouraging farmers to diversify production away from rice. Consultations with farmers reveal that they are increasingly looking for more profitable commodities. The price of rice remains usually steady at the time of harvest, whereas cost of inputs and labour goes up causing a drop of the net profitability of rice production. CCRIP may contribute to reduce production costs, simply by lowering transport costs through better connectivity to farm areas. 18. Land holdings are becoming increasingly fragmented as farms are inherited by and divided among the sons and daughters (54% of converted land is used for house construction), and more land (especially that of the larger land owners) is sold or rented out as people move into non-farm occupations 8. Although staple food production has kept pace with the growing population, it is expected that with rising incomes the demand for better quality foods fruit, vegetables, meat, milk, eggs and fish will increase as well. Diversification into these higher value products will put further pressure on land for paddy rice and on the national goal of rice self-sufficiency. Agriculture also suffers from severe damage caused by natural disasters and climate change. 4 Bangladesh: Strategy for Sustained Growth, World Bank 2007 projected that a rate of growth of GDP of 7.5% would result in the country joining the ranks of middle-income countries within a decade (by 2016) /09 and similar numbers in the text refer to the financial year in Bangladesh starting 1 July and ending 30 June of the following year. 6 Imports grew to 36% during July 2010 to January 2011, partly due to rising commodity prices and large fuel imports for power plants. 7 It is estimated that about 0.56% of agricultural land is converted into non-agricultural use annually. (Source: Md Abul Quasem (2011). Conversion of Agricultural Land to Non-Agricultural Use in Bangladesh: Extent and Determinants, Bangladesh Development Studies, Vol. XXXIV, March 2011, No. 1). 8 Source: Md Abul Quasem (2011). Conversion of Agricultural Land to Non-Agricultural Use in Bangladesh: Extent and Determinants, Bangladesh Development Studies, Vol. XXXIV, March 2011, No. 1. See also Hossain, Mohabub and Abdul Bayes (2009). Rural Economy & Livelihoods: Insights from Bangladesh. A H Development Publishing House, Dhaka, Bangladesh. 3

16 Main Report 19. In the context of poverty and development, the concept for the CCRIP project has been developed to contribute to the development of agriculture by building climate resilient infrastructure, improving access to local and outside markets, reducing production costs and dealing with inconveniences related to communication. The COSOP reflects GoB s priorities and the concept of the CCRIP (former SMILE project) is fully in line with the Government s sixth five-year plan. In the sixth five-year plan rural roads and markets, agriculture, livestock, community-based fisheries, etc. are all focal areas for pro-poor growth. The plan emphasises the need to create employment opportunities for rural poor and women in agriculture and livestock and building rural infrastructure for ensuring good prices. Annex 1 and Annex 2 offer for further discussions on poverty and country social and economic conditions. 20. The broad directions for development over a longer time-span are set out in the Perspective Plan for Bangladesh Amongst other things, this plan would like to see genuine devolution of power to the local Government level, and also says that in the process of socioeconomic development of the country, agriculture will still continue to play a vital role in the long run in terms of food security, generation of income and employment for multitudes living in the countryside and eradicating poverty. 21. Poverty in the CCRIP area. While national headcount rates of poverty declined from 49% to 40% between 2000 and 2005 (using the upper poverty line), those in the southwest changed very little. The World Bank attributed the widening gap between the south-west and, in particular, the eastern part of the country, to the lack of access of the southwest to the development opportunities in form of garment industry and remittances. In particular, the incidence of poverty measured by head count rate (HCR) shows that the Barisal division is a lot poorer than the national average: 26.7% of people in Barisal division are below the lower poverty line (and considered extreme poor) compared to a national average of 17.6%. The Khulna and Dhaka divisions are slightly better off except for three project districts in the Dhaka division Gopalganj, Madaripur and Shariatpur. The Barisal region is one of the poorest regions in the country where 25% of population live at the lowest wealth quintile. Furthermore, other social indicators - such as access to sanitation, safe drinking water, and access to primary health care - are worse than the national average in the targeted districts. Female-headed households are also high in the area. Salinity in river water and soil is on the rise in three project districts of Khulna division. Discussions with numerous village groups revealed the following main reasons for poverty in the project area: less productive land; one crop instead of three crops such as in other parts of the country; frequent natural disasters including floods and river erosion; negligible non-farm employment; and poor infrastructure. Poor people tend to migrate from the targeted project area to Dhaka and other places to avoid hardship. See Annex 2 for detail discussion on poverty. 22. A similar pattern emerges in terms of sources of livelihoods notwithstanding some differences in within and between Upazilas: a) field crops (rabi and aman rice, oil seeds, pulses, jute); b) vegetables, fruits and spices; c) livestock, pond fisheries, shrimp and open water fisheries including sea fishing; d) small trade; e) petty jobs; and f) agricultural labour. C. Rationale 23. Vulnerability to Climate change. The rationale of the project has been well elaborated in the overall CCRIP design document and aide memoire signed by GOB/IFAD/ADB/KfW. Bangladesh is one of the most vulnerable countries to climate variability and change because of its geographical location, low deltaic floodplain and hydro-meteorological influence or erratic monsoon rainfall and other extreme climate events. Climate change threatens the significant achievements made by Bangladesh in the last two decades in raising incomes and reducing poverty. By 2050, climate change impact could make an additional 14% of the country extremely vulnerable to flooding and dislocate more than 35 million people in the coastal districts. The climate change impact will aggravate the infrastructure vulnerability as a result of sea level rise, increased wet season rainfall; increased annual temperatures and increased frequency of severe cyclones. The culmination of these impacts will be a rapid deterioration of rural infrastructure. The project will pilot and demonstrate ways to mainstream climate resilience in rural infrastructure. 24. The area suffers under river erosion (almost all of the Bangladesh rivers flow through the project districts), and low-lying river char areas where crop intensity is low (some areas produce only one crop per year). Two major cyclones (Sidr in 2007 and Aila in 2009) affected several of the designated project Upazilas resulting to large-scale losses of lives, 4

17 Main Report livelihoods, houses and rural infrastructure. The frequency of such natural disasters and floods is expected to increase with climate change. The low-lying coastal zone is highly vulnerable both to the normal tidally enhanced monsoon floods and to regular impact from tropical cyclones. Fifty eight (58) tropical cyclones have impacted Bangladesh during the period ( ). Of these, 28% hit the coast of Sundarban (Satkhira, Khulna and Bagerhat), 22% west central coast (Borguna, Patuakhali, Barisal, Bhola and Meghna estuary), 26% east central coast (Noakhali and Chittagong) and 24% south-eastern coast (Chittagong, Cox s Bazaar and Teknaf). The vulnerability of the physical infrastructure to the impacts of the current climatic environment is a consequence of the impact of monsoonal rainfall and floods and in addition, the severe rainfall, flood and wind effects of tropical cyclones. The climate changes as predicted thus far will increase this vulnerability as a result of sea level rise, increased wet season rainfall, increased annual average temperatures and increased frequency of strong cyclones. Therefore, the people would require climate resilient infrastructure, social and economic opportunities to protect and develop lives and livelihoods. 25. The focus of the project is placed on climate-proofing of rural infrastructure in 12 rural coastal districts vulnerable to climate change. The project, while enhancing longevity and sustainability of rural infrastructure, will improve livelihoods in 12 rural coastal districts of Bangladesh. The project primarily addresses acute rural poverty in South-western Bangladesh by reducing adverse impact of climate change by building resilient and adaptive infrastructure and improving access to market to enhance livelihoods. The South-Western districts of Bangladesh are poor due to poor connectivity, predominance of small-scale agriculture as the main source of income, absence of industries and related job opportunities, limited availability foreign remittance as compared to the Eastern part of the country, adverse effects of natural disasters, especially in coastal Upazilas. 26. Specific impacts of climate change on infrastructure: A common understanding is that with increased water level and frequency of cyclones roads need to be strengthened and raised for physical protection and reduction of number of days of inundation. Scientific predictions on the extra rainfall resulting from climate change impact on the drainage capacity, which may have to be enlarged. The consequences for design of union and village roads are discussed in detail in Annex 5. They differ as to the development within or outside polders. Areas protected from flooding (polders) will take into account the extra rainfall, areas not protected from flooding (chars) will take into account both the extra rainfall and sea level rise. Eventually the detailed designs will be assessed by the project s hydrologist. 27. Constraints faced by the poor and small producers. During the development of the COSOP 2012, IFAD s portfolio was reviewed in terms of its effectiveness and relevance for poverty reduction and rural development in Bangladesh. The process concluded that poverty reduction should remain priority for Bangladesh and consequently, for IFAD. The rural population, especially the poor and small producers, remains the core target group for IFAD. Within the population, IFAD funded projects target in particular poor women and men, landless, small and marginal farmers, other professional groups such as fishers, small traders and other small producers. In almost all situations, these groups depend directly or indirectly on agriculture for supporting their livelihoods and are producers and consumers at the same time. As such, the development of agriculture benefits all categories of rural population in the form of higher income and productivity, and improved livelihood opportunities. Table 1 presents priorities of various groups of beneficiaries 28. Besides the above constraints caused by climate change, rural producers, especially the poor and the small producers, suffer basically from three sets of constraints that inhibit the development of their livelihoods: a) poor transport and market infrastructure that limits access to larger markets, increases cost of production because of higher input and transportation costs, and lowers commodity prices due to remoteness; b) limited access to demand driven financial services, especially seasonal agricultural credit and loans for microenterprises, and limited access to appropriate technology and inputs, and knowledge and support services such as vaccination services for livestock etc.; and c) vulnerability to the effects of climate change. Lack of all-weather road connections limits their access to markets, increases the cost of production because of higher transportation costs, lowers commodity prices due to the remoteness, and hinders access to education and health services. Poor road connectivity also restricts their access to financial services, technology, and development support services provided by various agencies. During extreme climatic events, the poor lose their assets as well as livelihood options. Often after extreme conditions, men tend to migrate, leaving their families behind. Poverty incidence is widespread, with many households headed by women. The women are more vulnerable than 5

18 Main Report men because of (i) poorer access to education and health services, and economic opportunities; (ii) limited mobility; and (iii) other social restraints. Table 1: Priority needs of different occupational and social groups Prioritized Needs Wage labor Small farmer /producer Small trader Women/ children Employment opportunity Businessmen/ well off class Potable water Irrigation water Rural access road Market infrastructure Educational institutions Electricity Hospitals Cyclone shelters Loan with lower interest rate than NGOs Source: Field interviews by IFAD design mission 29. Infrastructure. The lack of adequate transportation and marketing infrastructure in the project area is limiting the development opportunities for agricultural commodities value chains and impacting negatively farmers and traders income. With regard to agricultural value chain development, the current situation is characterized by: Weak and unbalanced linkages among value chain stakeholders, who are dominated by very few input suppliers. These suppliers rarely visit remote villages and markets or supply them with low quality inputs. This in turn results in low yields and low quality. Moreover, a handful of buyers, mainly wholesalers, often purchase the crops just after harvest when they are generally at their lowest price level or at prices which were fixed unilaterally; Very limited access to improved technologies and technical advisory services leading to a low quality of the crops; Limited access to adequate financial products such as agricultural loans. Branches of most agricultural banks are inadequate due to poor communications, which puts additional burden on developing satisfactory terms and conditions for farmers. Microfinance institutions may also not be present in remote villages; and Unattractive market facilities affecting the increase in local agricultural production and sales. Annex 4 offers additional discussions on agricultural value chain development issues. 30. The construction of adequate infrastructure is seen as a necessary but not sufficient condition for the establishment of sustainable value chains. Once the required infrastructure is in place, other critical value chain factors such as access to financial services, technology and extension, high quality inputs, market information and buyers need to be addressed by dedicated projects such as MAPP. 31. Harsh weather conditions such as storms and inundations are affecting already livelihoods today. Climate change is expected to aggravate the current, negative impacts especially on the poor. Infrastructure like roads are often flooded or destroyed after storms and rendered unusable, with high repair and maintenance costs to follow. During the design of SMILE in spring 2012, IFAD and ADB/KfW decided to join SMILE and CRIICZP given the similarity of these projects. Implementing one jointly funded project, IFAD will be able to render the SMILE project to a climate-smart one (i.e. CCRIP) and add value to the original focus of connectivity (roads) and accessibility (markets) for smallholder producers. Moreover, by this approach, CCRIP addresses the COSOP objectives 1 and Impact of infrastructure in IFAD funded projects. Based on results of the on-going, IFAD funded Market Infrastructure Project in Charland Regions (MIDPCR) activities, the construction of roads and markets combined with the provision of technical assistance and advisory services have led to the following changes: Sale prices increased as a result of an increased competition among a larger group of buyers; 6

19 Main Report Production and marketing costs for some inputs and crops decreased due to factors such as access to improved technologies, equipment, other inputs and affordable transportation due to an increased volume of trade; Yields increased and the quality of production improved, and Access to adequately designed financial products and services improved. 33. Such changes represent triggers for a substantial increase in farmers and producers income and for a structured and sustainable value chain development. 34. Table 2 illustrates the changes in production yields and in farmers net income for six products after two years of MIDPCR support: infrastructures, provision of technical advisory services, linkages among value chain stakeholders, introduction of improved technologies and access to adequate financial products. Although it is difficult to attribute the results to different project activities, at least a part of the incremental income can be safely attributed to the infrastructure activities. A more detailed analysis on value chain and financial services has been prepared in the working paper 1 for CCRIP and placed in project life file (PLF). Table 2: Changes in yield and net income for six selected products Product Yield/ dec. Baseline Prod cost / kg Mkt cost / kg Selling price per kg Income per kg Yield / kg Current situation Prod cost / kg Mkt cost / kg Selling price per kg Income per kg Change Yield 'dec. Net income per kg kg/dec. Taka Taka Taka Taka kg/dec. Taka Taka Taka Taka % % Paddy- Rice Fish Tomato Cucumber Country bean Mungbean Source: MIDPCR (value chain component) 35. The experience of the Char Development and Settlement Project (CDSP) phases I to III, Sunamganj Community Based Resource Management Project (SCBRMP) and rural infrastructure development projects funded by other agencies demonstrate that paved roads and markets improve communications and subsequently livelihoods. The main benefits to the households comprise better access to markets to sell own produce and purchase inputs, improved access to agricultural and financial services, leading to increased production and higher farm gate prices, higher agricultural labour wage rates, increased investments in agribusiness and trade, and additional private investments in markets. 36. The access to school education and primary healthcare is usually improved with better communication, especially during the wet season, when river and canals are difficult to cross, pathways and roads are inundated. Poor women particularly benefit from health care services as their mobility within the area increases greatly. Another benefit from all-weather roads is the protection of lives and livelihoods (as roads include embankments and drainage systems). 37. Overall, protection and enhancement of livelihoods would be greatly enhanced if adequate transport and market infrastructure were in place in the Southwest and other disadvantaged areas in Bangladesh. The demand for adequate infrastructure from the population is enormous, especially from the poor population. Following the demand, CCRIP will focus on building rural markets and roads in some of the poorest and most vulnerable Upazilas in South-western districts of the country. For more details, Annex 3 offers a discussion on experiences and lessons in IFAD-financed projects in Bangladesh. 38. Value chain development. Once the infrastructure is being addressed, the implementation of a project addressing the constraints for agricultural and non-farm production and marketing faced by the IFAD target group becomes important. This will be the task of the Micro-enterprise and Agricultural Promotion Project (MAPP), as outlined by the approved 7

20 Main Report COSOP MAPP will follow CCRIP one year later, as the approval for this loan is scheduled for the Executive Board in April MAPP will scale-up the successful experience of rural enterprise development (RED) activities of MIDPCR (besides the market and road development) and FEDEC, another IFAD-funded project. The latter is implemented by PKSF and provides microfinance and agricultural and micro-enterprise loans, while it promotes technologies and facilitates training and other support services to rural small producers. Building MAPP on top of CCRIP is part of the COSOP s programmatic approach. CCRIP will expand the infrastructure approach of MIDPCR into 32 Upazilas of 12 districts, MAPP will expand the successful activities of FEDEC, MFSTP, MFMSFP and the RED activities of MIDPCR into the entire CCRIP area and probably throughout the country. MAPP will build on the physical infrastructure of CCRIP as a foundation to promote better access to agricultural and microenterprise loans as well as the promotion of agricultural technology and support services. This means that the two new projects will serve the same communities and will capitalize on the comparative advantages of two implementing agencies LGED in infrastructure and PKSF in financial, technological and support services. 40. The rationale for the above described, programmatic approach, i.e. designing two complementary projects with a distinct focus on infrastructure and access to finance and value chain development, was developed during the development of the new COSOP, when all partners concluded that the project activities of MIDPCR cannot be simply replicated in a larger area like CCRIP would cover. The combination of infrastructure and value chain development activities would simply overwhelm LGED s capacities as an engineering institution. The promotion of value chain activities at a larger scale requires a specialised institution with sufficient capacities. It was therefore decided to separate infrastructure development and value chain activities into two distinct projects, but connect them through the same geographical area. LGED would design and implement infrastructure activities in CCRIP. 41. LGED has a proven track record as a solid and fast implementer for infrastructure projects in rural areas, with IFAD and other international agencies. After successful projects such as SCBRMP and MIDPCR, LGED has mainstreamed the use of Labour Contracting Societies (LCS) in their institutional policies and implementation approach. The LCS approach substitutes the usual contractors for small infrastructure works by forming community groups of mainly destitute women the Labour Contracting Societies or LCS. These women receive a wage and premium for the work accomplished and then can build their own development path by either continuing this works or investing it in agricultural or other economic activities. 42. PKSF would be leading the value chain activities in MAPP, which would start implementation by PKSF is one of the four largest microfinance institutions in Bangladesh, besides BRAC, Grameen Bank and ASA. It works as an apex organisation for microfinance institutions and has developed a number of promising new approaches within the IFAD country program. PKSF led projects like MFTSP, MFMSMFP and FEDEC have piloted efficient ways for linking microfinance with smallholder agriculture, for example, through agricultural loans and livestock insurance. PKSF has developed a large micro-enterprise loan program with FEDEC where value chains for agriculture and non-agricultural business proliferate and grow at an impressive pace. PKSF is interested to work with IFAD to scale up these successful experiences to a national scale. See also Annex 3 for detail discussion on IFAD Bangladesh portfolio and lessons learned. 43. Complementarity and synergies. The rationale for merging SMILE and CRIICZP projects lies in their complementarity and in obtaining synergies. Both projects had been designed to work in the same project area and focus on roads and market improvements, although they would support different types of roads and markets. While ADB funds will be improving mainly Upazila roads, large markets and growths centres, the IFAD funds will be used to build union and village roads and community (village) markets. By their scope of works, both projects will complement each other. 44. CCRIP has placed considerable emphasis on climate change adaptation and resilience. This would benefit also the IFAD funded roads, now designed with climate resilient and adaptation features in villages. Climate adaptation standards would apply for union and village roads in vulnerable areas and link them to the higher level road network (upazila) and markets. 45. The challenge for CCRIP is to obtain synergies between ADB-funded Upazila roads and growth centres development and IFAD funded village markets and union/village roads to create a maximum impact for the rural poor and other dwellers. The ideal situation would be to 8

21 Main Report implement all activities, i.e. large and minor roads and market improvements, within the same most vulnerable Upazilas. Compromises are likely to be made for the selection of the sub-projects due to the limited availability of resources, different types of roads and markets, number of Upazilas and locations of roads and markets that are already fixed because existing markets will be improved and roads will be built on existing alignments The final design mission took into consideration the needs and maximum possible linkages of selected union/village roads and village markets with the proposed upazila roads and growth centres to be built by ADB funds. By this, close links and hence, the project is expected to create synergies in terms of transport and marketing are expected to develop. 46. The merger of the two projects is expected to generate efficiency gains, as only one project management unit will be needed and one technical assistance team. Admittedly, due to the large size of the project, the units need to strengthened, for example 2 deputy project directors will be needed to coordinate the implementation of the ADB and IFAD funded operations. However, the required staffing of the PMO will be less than for two single projects. 47. In the same vein, the coordination requirements at LGED headquarter and at its district and upazila offices are expected to decrease with one project management structure, one project administration manual and a well aligned financial management system. There will be one AWPB and procurement plan, one annual supervision and audit, one mid-term review and one M&E and knowledge management plan and so forth. 48. LGED has a proven track record to implement large infrastructure project and MIDPCR and SCBRMP experiences show that the procurement of contractors alongside with contracting LCS have been well managed within one project. D. Scaling-up 49. Pathways. The new COSOP foresees to scale-up successful projects and approaches to a level where high impact and high efficiency gains can be obtained. Scaling up requires an early definition of its pathway or sequence of steps to be taken to ensure that they are appropriate in the context of Bangladesh. The dimension, drivers, spaces and risks of upscaling are presented below following IFAD guidelines and framing questions approach. 50. Scale and Dimension. The scaling-up of MIDPCR activities is mainly the expansion to a larger project area in terms of a horizontal replication from 5 to 12 districts. This represents an increase in terms of scale of operations, which is expected to deliver considerable impact on poor rural livelihoods. LGED has implemented successfully other operations of similar scale. In terms of vertical scaling-up, the main issue for policy dialogue will include the confirmation of Government funds for road and market maintenance. Other project features such as the women market section and the organisation of market management committees (MMC) will be monitored and successful practice distilled for the attention of policy makers and eventual inclusion in national policies. 51. Drivers and spaces. The models and implementation modalities for scaling-up are being delivered by MIDPCR. Supervision, mid-term review and project surveys confirm the success of the LCS approach for market infrastructure development. LGED under the Ministry of Local Government, Rural Development and Cooperatives (LGRD&C) has taken the leadership for implementing CCRIP by replicating successful MIDPCR approaches. This opens up also opportunities for policy dialogue and further scaling up. LGED and LGRD&C are monitored and held accountable by the Government of Bangladesh against the project targets as per a Government ratified Development Project Pro-forma (DPP). 52. The policy space is probably the most relevant one for this project. LGED through LGRD&C has promoted CCRIP and its precedent concepts namely SMILE and CRIICZP. It received full support through the inclusion of CCRIP in the planning cycle of the Government. The wrap up meeting for the design of CCRIP was chaired and concluded by the Economic Relation Department (ERD). The institutional space is clearly addressed with LGED as the lead implementing agency with a proven track record. ADB and KfW are the partners that support the scaling up financially with additional resources, which will allow reaching up to 3.5 million people. In addition, the financial resources will include the provision of technical assistance to boost the capacities of LGED. The learning space will be devised through the M&E and KM frameworks as detailed in the design report. MIDPCR produced significant knowledge in areas dealt with constructions and their management that has been fed directly into the CCRIP design. A dedicated PMO and its branches in the districts will be set up as per usual and successful practice by LGED to be supported by a technical assistance team. The PMO will be 9

22 Main Report staffed with current LGED personnel to ensure that experiences and learning remain within LGED and be used for similar interventions in the future. 53. Risks. The risk that is usually associated with a larger geographical replication includes that the institutions are not well suited for implementation and may be overwhelmed with the new challenge without proper training and coaching. CCRIP balances this in two ways. First, project management is designed in a way that a dedicated deputy project director who is well familiar with union/village road construction and LCS works will coordinate IFAD funded activities. Secondly, the MIDPCR approaches like LCS, MMC and women section have been well documented and there is a wealth of experienced project staff who will be ready to deal with the implementation and to train new staff. This can be done as CCRIP will cover districts where MIDPCR is already working such as Bhola, Patuakhali and Barisal. Last and most importantly, CCRIP will not scaling up the value chain approach and will focus on engineering works for which LGED has a proven track record in the country, and with IFAD and other donor agencies. II. PROJECT DESCRIPTION A. Project area, poverty and target group 54. Project Upazila selection process. To reduce high incidence of poverty in the southwestern region of Bangladesh, the project will cover selected vulnerable Upazilas in Satkhira, Khulna, Bagerhat, Gopalganj, Madaripur, Shariatpur, Pirojpur, Jhalkati, Barisal, Bhola, Borguna, and Patuakhali districts. IFAD had evaluated data for 77 Upazilas from 13 districts to identify project upazilas. The criteria and weighting of scores aim to reflect an emphasis placed on poverty, vulnerability to disaster, remoteness and present level of infrastructure development in order to ensure that poor, vulnerable, remote (char and low-lying areas) and least developed Upazilas are identified and included in the project area. In addition, quantitative data are used for scoring, field observations are used when quantitative data are insufficient to possibly include those Upazilas that were excluded by quantitative scores. The data sources are BBS/WFP/World-Bank poverty maps, LGED inventory on rural roads and markets, district and union information, and field observations. The following criteria have been applied for the selection of project Upazilas (See Working Paper 2 to obtain detailed information on the evaluation process and data used for the selection of Upazilas) and were completed and validated by field observations: percent of population below poverty line, agricultural labour rate, vulnerability to tidal surge, storm, floods and river erosion, remoteness, poor communication (percent of paved road to total road), road density by population, percent of undeveloped markets, and 55. The process has produced a list of the least developed and most vulnerable Upazilas. In qualitative terms, the coastal, flood-prone, char, low-lying, and infrastructure-poor Upazilas have received the highest priority, which is in line with GoB and IFAD policies with regards to poverty reduction and targeting of vulnerable communities. In Bhola and Patuakhali, two districts under MIDPCR, the project will continue to complement the MIDPCR project, where several Upazilas that are still poor in communication even after MIDPCR have been included through the same selection process. Annex 5 offers additional information and further detailed project description. 56. The process led to selection of 32 Upazilas form 12 districts (See Table 3). IFAD will fund activities in these 32 selected vulnerable upazilas while ADB funded subprojects may be selected from any of upazila subjected to the outcome of the approval process during implementation. It means that ADB s design process did not identify specific Upazilas for implementation of sub-projects from 12 project districts as all Upazilas are eligible to submit a proposal for sub-projects. IFAD has suggested that if the ADB funded upazila roads and growth centres and large markets were developed in above identified vulnerable Upazilas, CCRIP could increase significantly its impact on the basis of the complementarity of the project components and activities. 57. The IFAD final design mission validated the selected markets and roads in order to support expediting the start-up of the project implementation, as no time would be required anymore 10

23 Main Report to select the project sites and launch feasibility studies. The selected markets and roads will become part of the DPP to be approved by the Government prior to implementation of the project. 58. CCRIP will not spread thin its resources over too many Upazilas and instead, it will follow a strategy of having rather a significant impact and reduced management costs by working in fewer and well selected Upazilas. Table 3 provides a full list of the target districts and upazilas of the IFAD funded activities in CCRIP. Table 3: Project Area: Districts and Upazilas District Project Upazilas Names of CCRIP Upazilas 1 Barisal 3 Uzirpur, Banaripara and Babuganj 2 Bhola 3 Charfasion, Borhanuddin, and Lalmohan 3 Patuakhali 5 Sadar, Galachipa, Rangabali, Kalapara, and Mirzaganj 4 Borguna 4 Amtali, Betagi, Bamna, and Patherghata 5 Pirojpur 2 Matbaria and Zianagar 6 Jhalkati 1 Kathalia 7 Madaripur 2 Shibchar and Rajoir 8 Gopalganj 2 Tungipara and Kotalipara 9 Shariatpur 2 Zanjira and Naria 10 Bagerhat 2 Sarankhola and Moralganj 11 Khulna 3 Botiagata, Dacope, and Koyra 12 Satkhira 3 Shymnagar, Ashashuni, and Kaliganj Total: Target group. The target group will be the population in the catchment areas of project markets as road communication and markets benefit everybody irrespective of income and profession. It is expected that small and marginal farmers, small traders and microentrepreneurs, landless people and poor women will particularly benefit. The economy and livelihoods in the selected Upazilas is predominantly dependent on agriculture (rice, jute, vegetables, fish, livestock, pulses and oil seeds) and agricultural labour. 60. Targeting. The Upazila selection process has ensured the inclusion of very poor and vulnerable Upazilas to allow that most of the project benefits reach the poor (geographical targeting). The second level of targeting has focus on rural markets and connecting roads in the least developed villages/unions within each Upazila, especially rural markets from char, low-lying and disaster prone (floods/tidal surge) and infrastructure poor villages. LGED has carried out Upazila level survey before the final design mission to identify markets and connecting roads in remote unions/villages within the selected Upazilas. The IFAD final design mission has verified the survey data and finalized selection or markets and roads. A household level targeting will apply at the time of implementation for the specific activities such in the case of the Labour Contracting Societies (LCS), whereby destitute women and men will be organised as wage labour to carry out the infrastructure works. 61. Gender Issues. IFAD attaches great importance to addressing issues in the project design process that affect the women, especially the poor women to help them engage in economic opportunities and enhance their capacity and mobility. The experience of MIDPCR and also SCBRMP show that poor women can benefit in a number of ways: LCS members who constructed markets received wage and profits; poor women received IGA training and loans from MFIs; training on constructions of markets (masonry) have enabled them to work in other construction works; number of women buyers and sellers has increased and; the mobility of women in the project area has increased due to road communication. It is noted in MIDPCR and SCBRMP project areas that the improved communications have given women an increased access to health services. Similar opportunities are expected to be available for the poor women in CCRIP. 62. Appendix 7 of the ADB/IFAD/KfW report outlines a summary Gender Action Plan for planning and monitoring purpose. The project will target the poorest women to create employment opportunities and livelihood support by involving them in construction of markets and some roads and linking them with microfinance institutions and another IFAD-funded value chain development project (MAPP) to be implemented by PKSF in the project areas. The gender action plan presents income generating opportunities, capacity building for technical skills as well as for women empowerment. Especially the latter aligns fully with the COSOP objective 3. 11

24 Main Report Targets will need to be set at or before projects start aiming that the women obtain equal opportunities in all project activities. See also Annex 2 and Working Paper 2 in the Project Life File for further discussion on gender issues. 63. Safeguards. IFAD project design report, specifically in the environmental and social assessment note, addressed the potential environment and social issues for implementation of community (village) markets and rural roads. Design and implementation arrangements will not be in conflict with the ADB environmental and social safeguards standards B. Project Goal and Objective ( Impact and Outcome ) 64. There are some differences in terminologies and structure of project design and monitoring framework (DMF) or project logframe between IFAD and ADB. IFAD follows a four-tier framework - Project Goal, Project Objective, Outcome and Output, as opposed three-tier design and monitoring framework Impact, Outcome and Output - of ADB. IFAD has accepted the overall CCRIP DMF (Impact and Outcome) along with approved indicators but adapted it to the IFAD structure and added several indicators to meet IFAD s requirements. Resources have been allocated to conduct appropriate studies to measure additional indicators. 65. Accordingly, the project goal (ADB: Impact) of CCRIP is to achieve Improved livelihoods (higher incomes and food security) for poor households (women and men) in selected Upazilas of 12 coastal districts. The development objective (ADB: Outcome) is to achieve enhanced climate resilience of coastal road and market infrastructure for people in selected Upazilas of 12 project districts. C. Components 66. The ADB/KfW/IFAD report (page 13-16) presents the overall description of all project components referred to as outputs. The project have three components - 1) Improved Road Connectivity, 2) Improved Market Services, and 3) Enhanced Climate Adaptation Capacity, and Project management. Each component is briefly described below: Component 1: Improved Road Connectivity 67. The outcome of this component is Improved road connectivity for men and women living in project Upazilas to access markets and social services. The outputs under this component are: upgrading of upazila roads (ADB funded); and improvement or partly newly constructed BC union roads (Scenario B 9 : Climate resilient; Scenario C 10 : Climate adaptive) and village roads (Scenario B only, with either a BC, RCC or block pavement) along with associated minor bridges and culverts. The project will build 130 km of upazila roads by utilizing ADB resources. With IFAD funding the project will build approximately 501 km of union and village roads, 2455 meters of associated small bridge/culverts and individual bridge (see table 4). The exact quantities will depend on actual cost during implementation. Prior to final design mission in October 2012, LGED conducted a survey in all project Upazilas on the basis of which the IFAD design mission has finalized the list of proposed union and village roads. Priority has been given to those roads that benefit the highest number of people and connect village markets (see below) with each other and growth centres. 68. The survey and mission field visits confirmed that most of the proposed roads are within existing embankments. It has been agreed that union roads within embankments will be of Scenario B type and outside embankments and in low-lying char will be of Scenario C type. In all cases, the actual road type will be chosen on a case to case basis. In the case of village roads, Type B roads will be built only. 69. Three different types of union and village roads are envisioned under the project: a) Bituminous roads; b) Reinforced Concrete Cement (RCC) roads where roller (road compacting machine) cannot be taken and in flood prone areas; and c) block roads where frequent flooding is expected. The selection of roads type will depend on it suitability for prevalent local situation. In some areas, HBB roads may be upgraded to bituminous or even RCC roads. 9 Scenario B: 600 mm above highest flood level under normal climatic condition; plus additional climate proofing design parameters such as extension of sub-base up to slope, embankment protection based on variable impacts (such as flood, erosive flood, wave action and overtopping). 10 Scenario C: Additional (above scenario B) 200 mm to address forecasted climate conditions for next 20 years. 12

25 Main Report 70. The project will aim to strike a balance between the proportion of village BC roads and RCC roads, which will depend on the local conditions. The unit costs of BC roads are lower than those of RCC roads, but the former is less durable and requires a higher maintenance than RCC roads. Commonly, RCC roads will be built in those areas where the machinery for BC roads such as rollers cannot be moved because of the narrowness of the road or the area is so remote that transporting machines and materials is difficult for construction and maintenance. The advantage of RCC roads is that they are durable and resilient to flood and tidal surges, while they require very little maintenance as compared to other road types. The mission will provide basic designs of all road types in the main report. 71. The project target for road/bridge constructions will be divided according to the demand from 32 project upazilas. The names, connecting points, LGED identification numbers and lengths of selected roads by project upazilas have been identified through a survey and are available in Annex 7. LGED has incorporated this list in the project DPP for Government approval. It is important to stress that CCRIP activities will not overlap with other projects in terms of roads selected. The project will recruit poor women for road-side tree plantations and maintenance for a two years period. 72. Table 1 below presents physical targets for construction under this component. According to design mission estimates that adopted scenario B and scenario C for union roads and scenario B for all village roads, CCRIP under this component will build 160 km union roads and 341 km of village roads, 2,445 meters of small-bridge/culverts including 110 meters of individual bridges. A total of 5 km of block road is planned in the whole project area, which will be suitable for areas which are frequently submerged. However, if these are not required, the target can be converted into RCC or BC village roads. As given in Annex 7, the demand for paved roads is varied due to past investments. The identification has also avoid overlapping with other projects in the selection of roads. See Annex 7A for physical total and annual targets and Annex 7B (XL file electronic version) for Tables extracted from COSTAB. Table 1: Project targets under Component 1 Description Infrastructure type or activity Quantity Component 1: Improved Road Connectivity Upazila road (km) 130 Union Road (Scenario B and Scenario C) (km) 160 Village Road [All Scenario B: BC, RCC and block road] (km) 341 Total road length (km) 631 Small bridge/culverts/individual bridge (m) All union roads are planned as BC roads. Village roads may be BC, RCC and block roads. See Annex 8A for structural design of transport infrastructure, Annex 8B detail cost calculation for various road types (XL file), and 8C for unit costs for both transport and market infrastructure (XL file). 74. The construction and rehabilitation of roads will be by contractors while block roads will be constructed by LCS. Since the small local contractors do not have the financial capacity to purchase and maintain expensive equipment, CCRIP will acquire compacting machinery (rollers) to be owned and managed by LGED, who will rent it out to local contractors. 75. LCS members will be trained (25 members per LCS for one km of block road). The project will also do road-side tree plantation in 75 km by LCS members, as has successfully been done under MIDPCR. Component 2: Improved Market Services 76. The outcome of this component is Enhanced marketing of farm and non-farm produce in local markets and growth centres. The outputs of this component include: improved community (village) market facilities (multi-purpose shed, fish shed, open paved/raised area, women section, toilet block, internal road and drainage), improved hygienic conditions, functioning MMCs, employment for poor women as LCS members; construction of commodity collection points (CCP) for farmers and fishermen who live in remote locations and want to bring their produce for sale to be transported to nearby markets. 13

26 Main Report 77. IFAD so far fielded three missions that visited all project upazilas and almost all proposed village markets. The following four different types of community (village) markets have been identified: Type I: Special markets (approx. more than 200 permanent shops): They are large rural markets known for transacting specific commodities in large quantities. For example, in Amtali Upazila, Fakir haat, is situated near the sea and is an important fish landing centre. In addition to the typical items, it needs a large landing platform ( ghat ) for the fish catch and sheds to accommodate the numerous fishing boats at a given time in order to sort and pack large quantities of fish. Such markets will have unique design and unit cost. Type II: Medium market (approx. more than 100 permanent shops): They are important rural markets that serve 7-10 villages and act as assembly markets where a large number of traders (beparis) assemble to buy farm produces to be transported to distant and larger markets. This type of markets will have two sheds, one open platform, toilet block, internal roads and drainage system, and garbage pit. Type III: Small village markets (approx shops): They are located in remote areas and normally serve 3-4 villages. They are usually poorly connected to larger markets due to insufficient roads network. This type of markets will have one shed, open sale platform, toilet block, internal roads and drainage system, and garbage pit. CCPs, managed by sellers of farm produce, are information spots in rural areas where farmers/fishers assemble their products to be transported by buyers. CCPs provide access to sellers and buyers and are simple facilities allowing for motorized vans and alike to on and off load goods. 78. The experience of MIDPCR and similar projects indicate that physical improvement of rural market facilitates the access of villagers including the poor to markets and moreover, they may obtain higher price for their farm produce. In addition, improved markets facilitate the purchase of farm inputs. The CCRIP project is also expected achieve similar benefits. 79. CCRIP project will expand and develop 197 community (village) markets among the three aforementioned categories, build 5 additional commodity collection points and 38 ghats (Table 4) (all IFAD funded). Besides, the project will improve 88 growth centres and large rural markets with ADB funds. 80. LGED with IFAD have already identified the community (village) markets to be developed in each Upazila. The list is presented in Annex 7 and LGED has incorporated it in the project DPP. The selection of sites within a market and size of market infrastructure may vary for each market. CCRIP will prepare a master plan for each market before construction, and development cost for each market is expected to vary. IFAD/LGED has used the following selection criteria for this purpose: 81. Basic pre-conditions: i) the market is strategically located and serves as an assembly market to benefit a large number of villages and connect other larger market and growth centres; ii) the location is not vulnerable to river erosion in the short and medium term; iii) there is considerable potential for development in terms of availability of space and placing suitable layouts; iv) the market stakeholders (UNO, UP, market leaseholder, and MMC) support the proposed construction; and v) there is an agreement to share lease income with the MMC as per GoB rules. 82. Secondary criteria: Markets which meet the basic pre-conditions have been prioritized according to the following criteria: i) the potential for poor women to participate in the construction of the market and as buyers and sellers; ii) stakeholders share a part of the development cost to be used for the further expansion of the works; and iii) stakeholders agree to reserve a part in all sections of the markets for temporary sellers, especially for women and small producers. As practiced in the MIDPCR project, markets will be built in collaboration with MMCs. MMCs will also be responsible for properly maintaining the markets for which they receive 25% of the lease revenues, in accordance with GoB rules. This practice is expected to ensure sustainable operations of the markets. 83. The project will not acquire any land for market development, because all development activities will be carried out on Government owned land only. Infrastructure for markets 84. Type I: Special market: Beside from special needs such as large ghat and large fish platform, or any different structure, a special market will have other common structures similar to a 14

27 Main Report large market (see below). Demand for special structures has to be determined for each such market. That is design and structures will be unique for each such market. 85. Type II: Medium markets: Subject to availability of land, a medium market under CCRIP may receive the following package of infrastructure: a) a fish shed; b) a multi-purpose shed; c) an open air platform; d) internal, paved roads; e) internal drainage and a garbage collection pit; f) a toilet block; g) a women section (8-12 shops); h) a boat landing ghat, if the market is located near a river or canal; and i) a paved truck parking area. 86. Type III: Small markets: Subject to availability of land, a small market under CCRIP can receive the following package of infrastructure: a) one to two sheds; b) an open air platform; c) a toilet block; d) internal road and drainage; and e) a ghat and truck parking space, if needed. 87. Community collection points: Subject to the needs, a community collection point may receive the following infrastructure: a) a ghat, if market is located near to a river or canal; b) a paved truck parking space for three trucks; and c) an open air platform or simply paved space with or without shed. 88. Women section: The women s market section is a special facility provided women, especially widows and other independent women. It may host 8-10 shops. The need a for women s market section may not be limited to special markets but also some large markets may need this facility. 89. Project Target for Markets Development: Table 4 presents project targets for this component. The detail annual plan is presented in Annex 7A and 7B. 78. Structural design and unit costs: The structural design for each structure of markets is given in Annex 9A and Annex 9B (ghats). The detail cost calculation for individual structure of markets and unit costs for all types of markets are given in Annex 9C and Annex 8C respectively. MIDPCR/LGED has electronic version of the drawing and design information. Table 2: Project target for main activities under Component 2 Component 2: Improved Market Services Community (Village)Markets and growth centres Growth centres and large rural markets (#) 88 Type I: Special markets (#) 4 Type II: Medium markets (#) 33 Type III: Small markets (#) 160 Community Collection Points (#) 5 Women market sections (#) 15 Boat landing platform (ghat) All markets and collection points except special markets will be built by LCS groups. The project will form LCS groups at the rate of one group of 25 poor women per market who will be trained in construction and management. Each market will have a market management committee (MMC), which will supervise the construction and later manage the market and do routine maintenance. MMCs will be trained by the project. See Annex 7A and Annex 7B for details plan for LCS and MMC as well as training for these two groups. 80. Functions of MMCs; As per GOB rules each rural market should have a 11-member MMC headed by Chairman of respective Union Parishad (UP). Other members include representative of shop owners, local UP member, female UP member, representative of land administration department (Tahsildar), and representatives from temporary traders, rickshaw pullers etc. MMCs are supposed to ensure security of buyers and sellers and cleanliness of the markets, and do routine maintenance. However, often the MMCs are not active at all. The project, based on the experience of MIDPCR, will organize training courses for MMC members to help them participate in market development process, supervise LCS works and more importantly, strengthen their institutional capacity so that they perform well beyond the project period. Special attention will be given to receiving 25% of the annual market lease funds from the Office of UNO and use that for routine maintenance and future development. 15

28 Main Report 81. The cost for each type of market has been reviewed and COSTAB has been revised accordingly. Component 3 - Enhanced climate change adaptation capacity 82. The outcome of this component is Rural communities and local authorities are able to cope with volatile climate events and meet their basic needs during climatic shocks. Resources from three agencies ADB, KfW and IFAD will be utilized to finance activities under this component. The following activities are planned under this component to be financed by KfW and/or ADB: a) Construction or extension of 15 cyclone shelters; b) Improvement of 10 existing shelters; c) Upgrading of 15 km access tracks; d) Construction of about 5 livestock shelters - killas in selected locations; e) Enhancement of LGED MIS/GIS system enhanced; e) Design and operate special web-portal (SCF financed); f) Establishment of Communities of Practice - CoP; g) Organization about 100 training sessions on climate-proofing of rural infrastructure and knowledge management; h) Development of a climate change assessment and adaptation strategy; and i) Development of a climate resilient rural infrastructure management plan for LGED. 94. Resources from IFAD will be allocated to train: a) LCS members ( ca persons) on construction of village markets and RCC roads and social issues; and b) MMC of 197 village markets on: - participation in development of village markets, - supervision of LCS works and - management of markets beyond project period. 95. Innovation, Rural Radio, Studies and Project Design: IFAD has mobilized USD one million in grant to be placed under project management unit to carry out activities under two specific categories: a) Innovation: i) development of bio-digester based garbage management in two markets, ii) research on climate resilient slope protection, and iii) introduction of quality test protocols for road and market constructions. The three activities will be contracted out to reputed national academic institution(s) (See Annex 5 for concept notes of the three innovative activities); iv) rural radio for mass information on agricultural, markets, cultural and social topics as well as project related information. b) The project will conduct a baseline survey, impact and environmental studies. These will be managed by the PMO. IFAD will manage directly, with the concurrence of GoB, a portion of the grant resources to finance the Mid-Term Review of CCRIP and the design of the forthcoming IFAD-funded project in Bangladesh. Lessons Learned D. Lessons learned and compliance with IFAD policies 81. The ongoing and recently completed projects offer the most relevant lessons learned in terms of project activities, implementation processes and the selection of institutions. The most relevant lessons for CCRIP can be summarised as follows (see also Annex 3): 82. Small-scale infrastructure in terms of rural markets and communication roads showed impressive impact on the local economy and employment. The trade volume increased substantially within a short period of time, while cost of transport could be halved and local wages doubled with the increased demand for labour. Prices increased as demand increased due to more buyers arriving from far away. The village roads built in Sunamganj have boosted the local economy and improved livelihoods. A study carried out by SCBRMP found a major change in terms of increased use of light-motorized vehicles, increased cropping intensity and expanded area under crops, especially with high value cash crops grown, and sales of crops. The cost of transporting crops and fertilizer could be halved, and more labour was being hired for both farm and non-farm businesses. Survey respondents reported increased employment opportunities, increased wages and income, better access to education and health services, and finally, greater mobility of women. Land values near the road had more than doubled. Similar benefits have been found in the MIDPCR project area. Additional benefits would 16

29 Main Report include a decrease in losses of perishable products as goods are sold more rapidly, decreased transport time and costs and increased value of land and construction of other facilities (such as shops) in the area around the market. These points form also the justification of scaling up markets and communication infrastructure in the CCRIP project. 83. The on-going IFAD-funded SCBRMP project has pioneered the construction of village (community) roads using reinforced concrete (RCC). Unlike conventional bitumen road pavements, concrete roads are submersible and can withstand flooding. It has also successfully tested use of concrete blocks in flood prone areas. Maintenance seems easier for this type of roads, as LCS can recover and place back dislocated concrete blocks after floods. 84. Roads would preferably be BC, RCC and Block roads. These roads require less maintenance and are more durable than brick based roads. RCC and Block roads are more climate resilient than the BC type as they withstand better flooding and inundation with salt or brackish water. Earthen roads may be replaced by a paved road if justified. 85. Climate resilience design requires higher and wider road shoulders (see ADB/IFAD/KFW report) and may also require adding culverts in the road infrastructure to cope with higher extreme discharge volumes than previously foreseen. In addition, water control gates may be added at the culverts for improved water control. 86. The use of LCS as a principal mechanism for constructing markets and some village roads is an effective way of targeting the poorest women. A baseline survey for MIDPCR showed that 68% of the women members were the principal bread-winners for their families with twothirds of respondent households. The use of LCS instead of a commercial contractor for construction of markets and roads creates employment, enhances skills, increases cash in the hands of the poorest women and boosts their self-esteem. All village markets and block roads under CCRIP are expected to be built by LCS. 87. Agricultural development and financial services remain critical to ensure food security and employment. IFAD-funded projects show that the combination of agricultural development with access to financial services and adequate extension services augment the scale of impact and sustainability of a new technology. A value-chain approach can ensure the input supply and diversification alongside the promotion of technology to assist farmers and microentrepreneurs to enhance profits, generate business and employment. Microfinance including microcredit remains critical although the financial services have expanded greatly in the country but the emphasis needs to be on developing demand driven services and customizing the service as much as possible. 88. Management issues. It is important that the right institutions and the right mix of activities are chosen to successfully implement a project and ensure impact. LGED s core competence is implementation of infrastructure projects, and it has skillfully implemented both SCBRMP and MIDPCR infrastructure components whereas it struggled to deal with MFIs and managing value chain activities. In addition, combining infrastructure with financial services and value chain development means also managing very diverse activities under one project. It seems to be more efficient to separate financial services and value chain development from infrastructure and to have LGED focusing mainly on infrastructure. Compliance with IFAD policies 86. Targeting: CCRIP has followed IFAD s policy on targeting by applying a rigorous geographical targeting process for the selection of the least developed and most vulnerable Upazilas. CCRIP will also employ a specific focus on household level targeting to reach the most destitute echelon of the population which are very poor men and women headed households, as only they will be selected for participating in LCS and related construction works. 87. Gender: CCRIP s approach is compatible with IFAD s gender policy. Poor and destitute women will directly benefit as they will participate in LCS for the construction of markets and selected village roads. The experience in MIDPCR and SCBRMP confirm that by obtaining own income and learning new skills women feel socially and economically empowered leading to a strong rise in gender equalities. Besides, the construction of roads contributes to increased social and physical mobility, access to additional wage employment, access to village markets as buyers and sellers and access to school and health services. See Annex 2 for detail discussion on gender. In the ADB/IFAD/KfW report, appendix 7, a detailed gender action plan is presented. 88. Land: There will not be any relocation of housing settlement to build roads and markets under CCRIP project component 1.2 (union and village roads) and 2.2 (village market development), and as such, no acquisition of land is foreseen. All roads and markets will be built on existing 17

30 Main Report alignment and khas land (or land donated) for market development respectively. Resettlement or eviction has neither been an issue in MIDPCR project nor is it foreseen in the CCRIP project component 1.2 and 2.2. The other component 1.1 and 2.2 foresee some limited land acquisition and resettlement. This will be dealt with in line with ADB land settlement frameworks as detailed in the report. 89. Environmental assessment: There is no major environmental concern in CCRIP. In fact, the development of markets with internal roads, drainage and garbage collection system will improve the micro-environment in and around the markets. Since the markets are expected to be managed by MMC, the cleanliness in markets is expected to be maintained beyond the project period. The project must remain constantly vigilant about design specifications of culverts/bridges so that water flows in canals and small rivers are not obstructed due to narrowing width of culverts/bridges built by the project. The design mission has prepared an environmental note (see Annex 11). As per GoB rules, it is mandatory to receive an environmental clearance from the Department of Environment by submitting a properly done environmental assessment report. This will be conducted right at the beginning of the project, as has been the case in HILIP, when funds will have been allocated under the CCRIP budget. 90. Private sector: The project may not have direct participation from the corporate private sector but the second IFAD-funded MAPP project is expected to work with and promote private sector as part of value chain development activities. However, road and market constructions will promote business of small farmers, traders and other producers who in effect supply to large markets as part of supply chain. It has been found in MIDPCR and other similar project areas that with good roads and improved markets large companies such as pharmaceutical, seed, fertilizer, processed food, consumer durables, construction material companies expand their marketing networks even in formerly disconnected remote areas. Therefore, the project in fact would assist larger business as well as increase access to better quality goods and services in rural areas. Donor and GOB policy harmonisation 91. The project fits very well with the Government s sixth five-year plan. The COSOP 2012 reflects GoB s priorities and the Project Concept Note (PCN) of CCRIP is fully in line with it as well. In the sixth five-year plan (6FYP), rural roads and markets, agriculture, livestock and community-based fisheries are all focal areas for pro-poor growth. The 6FYP emphasises the need to create employment opportunities for rural poor and women in agriculture and livestock and to build rural infrastructure to develop the rural economy. 92. The broad directions for development over a longer time-span are set out in the Perspective Plan for Bangladesh Amongst other things, this plan would like to see genuine devolution of power at the local Government level, and also states that in the process of socio-economic development of the country, agriculture will still continue to play a vital role in the long run in terms of food security, generation of income and employment for rural poor and poverty eradication. 93. Other donors are also supporting the development of infrastructure in the project area. CCRIP intends to complement rather than overlap these initiatives. The World Bank will fund a Coastal Embankment Improvement Project ( ) which will strengthen polders in a number of Upazilas within the CCRIP project districts. CCRIP Upazilas will benefits where embankments will protect the whole Upazilas and in these cases there will be less needs to raise the level of union/village roads, which in turn would save costs and eventually may increase lengths of roads. The design assumption is that any roads within a polder will consider scenario B that is less expensive to construct. 94. More information on lessons learnt can be found in Annex 3 country performance and lessons learned, Annex 4 value chain development and infrastructure and Annex 6 review of rural infrastructure needs under CCRIP. These provide detailed insights and justifications for the proposed IFAD funded interventions under CCRIP. III. PROJECT IMPLEMENTATION A. Approach 95. The overall project development approach has been explained in the ADB/IFAD/KfW CCRIP project document. The Upazila roads, growth centres, large markets and cyclone shelters funded by ADB/KfW will be built contractors selected through competitive bidding process. 18

31 Main Report The project will follow the successful strategy of MIDPCR regarding the construction of union/village roads and community (village) markets funded by IFAD. The union/village roads excluding block roads will be implemented by contractors recruited by LGED/XEN office in each project district following routine LGED contracting procedures. Block roads construction and road-side plantation will be done by LCS groups. 96. All community (village) markets except the Type I: Special markets will be constructed by LCS composed mostly of poor women (destitute women will be given preference) recruited and trained by the project. MIDPCR has developed a set of strict standard guidelines for the formation, training, management and assistance from LGED, and profit sharing in LCS groups. CCRIP will follow also the management guidelines for market development under MIDPCR. Women sections and ghats will be built by LCS and contractors, respectively. 97. Prior to starting development of a market, an agreement will be signed with the respective Market Management Committee (MMC) formed according to GoB rules and regulations. The 11-member MMC is headed by UP chairman and represented by permanent shop-owners, women, temporary traders, van/rickshaw pullers, farmers etc.. The project, in collaboration with MMC and other local participants, prepares a master plan for each market, which is later approved by UNO to be accepted for development by the project. The MMC supervises the construction and takes over management of the market. Each market is leased out by the respective UNO and 25% the lease value will be transferred to the MMC for routine maintenance of the market. 98. IFAD funded union and village roads and community (village) markets have already been selected through a rigorous process and are part of approved DPP. The PMO with the help of XEN and Upazila Engineer will finalize cost estimation for individual road before recruitment of contractor(s) and develop master plan for development of each selected market. These roads and markets are ready for development. The PMO will prepare annual implementation plan only. No additional selection exercise will be necessary unless any unforeseen incidence happens. It is important to note that since the selection of IFAD roads and markets is already final they should not be linked with future subproject selection under ADB funded activities. There should not be any delay of implementation of IFAD funded activities due to any delay in subproject selection and analysis under ADB/KfW funded activities. B. Organisational Framework 99. The project management, supervision and financial management have been devised in the ADB/IFAD/KfW report (page 19-20). In addition, a project administration manual has been prepared incorporating implementation procedures of IFAD funded activities The executing agency will be Local Government Engineering Department (LGED) in the Local Government Division of the Ministry of Local Government, Rural Development, and Cooperatives. A project steering committee will provide policy guidance for project implementation. 11 The committee will meet twice a year to review the progress of project implementation A Project Management Office (PMO) will be established at the LGED headquarters in Dhaka, with three Regional Project Offices (RPOs) located in Khulna, Madaripur, and Barisal district headquarters. The PMO will be responsible for overall management, implementation and monitoring and the RPOs will be responsible for progress supervision, monitoring of LCS works, quality control, impact monitoring and for maintaining close links with other stakeholders, for example, UNO, MMCs, UP. The construction of roads under the Improved Road Connectivity Component except for the block roads will be outsourced to professional contractors. LGED district XENs and Upazila Engineers would be responsible for managing these contracts. The PMO will be assisted by consultants with expertise in engineering design and supervision, climate resilience, economics and finance, social and gender development, participatory approaches, environmental and climate assessment, monitoring and evaluation, and local governance. The LGED district offices, headed by executive engineers, will be responsible for implementing subprojects under the guidance of the PMO. The project will need to coordinate with Bangladesh Water Development Board for development 11 The secretary of the Local Government Division will chair the committee, which will include representatives from the Local Government Division; LGED; Roads and Highways Department; Planning Commission and Implementation, Monitoring, and Evaluation Division of the Ministry of Planning; Economic Relations Division and Finance Division of the Ministry of Finance. 19

32 Main Report interventions. See also Figure 1: Project Organization Structure. See Annex 10 for further details GOB will provide 179 fulltime staff members for the project in all four tiers of project management, namely at PMO, RPOs, XEN offices and Upazila Engineer s offices. A TA team comprising of international and national professional staff and support staff (8 international and 37 national professional staff, and 16 support staff with a total of 1967 men-months) will directly work as design and supervision consultants and management support consultants Additional Human resources: The IFAD design mission has analysed functions, skill requirements and responsibilities of each tier of technical and support staff. The mission has recommended the following additional project staff financed from IFAD resources: i. One full time Market planner at PMO level (Dhaka) to develop a master plan for each community (village) market in collaboration with LGED Upazila office and respective market management committee; ii. One part-time financial management specialist (Chartered accountant) at PMO to set up a double entry and software based accounting system and assist the project keep records and prepare reports according to ADB/IFAD/KfW s requirements. This will complement services of financial management specialist in the ADB funded TA team; iii. One accounts assistant to strengthen accounts keeping; iv. One full time GIS specialist and one full-time hydrologist at PMO; and v. 32 Sub-assistant engineers, one in each project upazila, to ensure full supervision and quality of construction of all IFAD funded infrastructure. C. Planning, monitoring and evaluation, learning and knowledge generation 104. Planning and implementation. The PMO will be responsible for overall implementation and achieving the quantitative and qualitative targets of the project. Specifically, it will perform the following functions: Start Up: a) Recruit and mobilize all staff members as per plan of the project; b) train all staff members as per plan; c) recruit TA team; d) procure goods and services as per plan; d) conduct start-up workshops as planned; e) Install accounting and financial management system; d) Install full management system; Studies: a) Conduct baseline study; b) Conduct RIMS studies (baseline, mid-term and completion); and c) Conduct environmental study and receive environmental clearance from the Department of Environment; Planning: a) Prepare an annual plan for CCRIP to be cleared by ADB/IFAD/KfW; b) revise DPP; Implementation: a) Develop village markets and union/village roads already selected by IFAD/LGED; b) prepare a road maintenance plan ; c) Prepare master plans for each market and prepare/customize engineering design for each market by following typical designs already prepared during the final design mission; c) Customize design for union/village roads already selected; e) Select upazila road subprojects and growth centres and large markets, and complete analysis and design; f) Authorise tendering of all construction works; g) Perform all activities related to LCS, MMC, staff development and similar. Supervision: a) Upazila engineers will supervise progress and quality of work done by the LCS groups and contractors; b) Professional staff members from RPOs will perform additional supervisions of construction works; c) Engineers from TA team will perform independent monitoring of construction works. Financial payment: Payments against goods and services will be made by the PMO through XENs after clearance from RPOs and Upazila Engineers. Fund withdrawal: PMO will be responsible for the function. Progress report: PMO will prepare all reports including financial reports for all activities. It will prepare quarterly reports and annual reports to be presented to to IFAD, ADB and KfW. 20

33 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Main Report Coordination: PMO will be responsible for coordination with IFAD, ADB/KfW, LGD, MLGRDC, ERD and other stakeholders of the project Monitoring and evaluation. The design and monitoring framework guides the project monitoring and evaluation along with indicators and tools The PMO will have a Monitoring Specialist and an assistant to a) organize the baseline survey by a consulting firm, b) organize three RIMS Studies at start-up, mid-term and completion of the project, c) conduct studies on impacts of markets development, LCS, construction of roads, and other project impact, d) prepare case studies, and e) mid-term and completion project impact studies. The team will carry out daily monitoring of progress and quality of (i) LCS activities and training, and (ii) MMC activities and training. The quality/supervision engineers of the TA team will perform independent monitoring of construction works. The PMO will prepare reports to be shared with ADB/IFAD/KfW. Details are referred to in Annex 12 and PAM Women Empowerment in Agriculture Index (WEAI) which was launched earlier this year by USAID, IFPRI and Oxford Poverty and Human Development Initiative was piloted in Bangladesh and its use has now been scaled up by the Government in the national system. The WEAI is being considered by IFAD s gender team as a tool for strengthening IFAD s impact assessment studies and will be considered for application in CCRIP Learning and Knowledge management. The project is expected to produce important lessons and knowledge in areas such as market waste management using bio-digester, protection of slopes of roads, quality assurance for constructions by developing engineering testing protocols, management of rural infrastructural project, impact on livelihoods, overall impact of the project, appropriateness of various types of roads (RCC, BC, block road), role of and impact on LCS and poverty, complementary role of value chain project etc. These will be gathered in the form of implementing three pilot initiatives mentioned earlier, impact studies, case studies, field visit observations, progress reports, newsletters, occasional papers etc. The project will share them with IFAD/KfW/ADB, Government and other national and international stakeholders by widely distributing, publishing them on websites as well organizing seminars and workshops. It will use IFAD s knowledge management network to publish all activities as well as studies and publications. IFAD will have a KM Specialist in Bangladesh who may also be involved in disseminating project information and other documents and publications. See Annex 12 for further discussion on planning, M&E and knowledge management The project will support the recently start rural community radio initiative in Bangladesh to enhance the dissemination of important information for farmers and small producers such as market days, commodity prices, weather forecast and messages for extension of crop, fish and livestock production. CCRIP will explore collaboration with the FAO-supported Krishi radio. This activity will be funded from the built-in IFAD grant Supervision and evaluation: IFAD, ADB and KfW will carry out joint supervisions. Besides ADB/IFAD/KfW annual supervision mission, an independent mid-term and final evaluation will also be conducted. As in the case of MIDPCR and other projects, mission reports will be the important sources of knowledge about the progress, quality, lessons and impact of the project. 21

34 Main Report Figure 1: Project Organization Structure Local Government Division (LGD) Ministry of Local Government, Rural Development and Cooperatives Local Government Engineering Department Chief Engineer Project Steering Committee Chairperson Secretary, LGD Project Management Office 1 Project Director; 2 Deputy Project Directors Design and Supervision Consultants Regional Project Office (Barisal) Deputy Project Director Regional Project Office (Khulna) Deputy Project Director Regional Project Office (Madaripur ) Deputy Project Director and Management Support Consultants Project Implementation Units (ADB/SCF 12 districts, KfW 3 districts and IFAD - 12 districts) Executive Engineers, Upazila Engineers at Upazila Offices Project Stakeholders (Upazila/Union Parishad Chairpersons, Market Management Committees, Beneficiaries 22

35 Main Report D. Financial management, disbursement, procurement and governance Financial management and disbursement The mission has sought to ensure that the financial management arrangements proposed for CCRIP are sufficient for the effective and efficient usage of funding in alignment with those of the other financiers. To this end the Financial Management Assessment Questionnaire (FMAQ) at Design and the Risk Analysis using the Guidelines for Financial Management at Design, conducted for SMILE, has been revisited and updated (See Annex 13). Additionally, this mission visited a village in the Noakhali District of the MIDPCR project to further explore the workings of the Labour Contracting Societies (LCS) to assess the sufficiency of the financial management systems and ensure that arrangements are adequate to mitigate risks of funds flow to the ultimate beneficiaries The mission has reached the conclusion that fiduciary risk is rated at medium and the financial management arrangements, as they exist in MIDPCR, would not provide the maximum assurance that the funds are used, efficiently and effectively, for the purposes intended. Therefore, the areas in which change is recommended are (1) procurement and installation of a multi-lingual accounting software before implementation begins; (2) hiring of a financial management specialist or a chartered accountancy consulting firm, on a parttime basis to ensure the appropriate use of the system and of the financial management arrangements; (3) ensuring that sufficient accounting staff, with appropriate qualifications and experience, are recruited; and (4) to maintain sufficient liquidity in the accounts, payments will be made from the PMO to the District bank account based on receipt of a certified summary sheet of works performed by contractors from the XEN. Note that the financial management risks assessed (see Annex 13, Appendix 3) are mitigated by the fact that IFAD and the collaborating co-financier (ADB) will assign the responsibility to a quasiindependent Project Management Unit (PMO) within the LGED structure Budgeting: The PMO will be responsible for the budgeting as part of the AWPB exercise. With respect to Government of Bangladesh (GoB) financing, the counterpart funds are budgeted in the DPP and released in four instalments. Occasional delays in release of GoB funds are noted Funds flow and Disbursement Arrangements: The Project will use the revolving fund method for the Designated Account advances. Advances to the Designated Account(DA), for the Loan and the Grant, will be transferred in USD to two separate accounts held in USD at Bangladesh Bank. The funds from this account will be transferred to an operational account that is Project Account (held in a commercial bank in Taka) to be administered by the Project Director (PD) who will, based on type of expenditure and utilization, transfer funds to the 12 district bank accounts (held at commercial banks) administered by the respective Executive Engineers (XENs), who will follow the funds flow chart (See Annex13, Appendix 1) Documentation of expenditures made from the DA will be done, at a minimum, on a monthly basis following the statement of expenditures thresholds indicated in the Letter to the Borrower (LTB). To align IFAD with ADB, the SOE threshold is set at USD equivalent for all categories of expenditures. Direct payments from IFAD may be made to suppliers/ contractors/consultants per the instructions in the LTB Funds, for all activities, except contracts performed by contractors, will be transferred to the District Office Bank Accounts (maintained separately for the Project), at the start of each quarter or as per requirement from those offices. These requisitions must be prepared based on realistic forecasts for the upcoming quarter and must be net of the closing cash balance of the quarter just ended. To avoid delays in reporting from sub levels to the PMO, they will need to send only Excel files of their Cash Book (clearly indicating Category & Component of expenditure and source of funding), Bank Statement and bank Reconciliation Statement to the PMO on a monthly basis. It will be the responsibility of the PD and the Accountant to ensure that there is no build-up of idle funds in the project sub-accounts Funds for contractor payments: To ensure an efficient utilization of funds between 12 districts and limit the amounts of unutilized resources, the payments for all contractors will be made on receipt of a summary of contractors bills passed for payment at the District Offices.. The summary sheet, certified by Upazila and District engineers, will be prepared and submitted by the XEN to the PD, who will review and approve the payment to the 23

36 Main Report District bank account via electronic transfer. The summary sheet will be sent to the PMO on an expedited basis As the accounting system is expected to be in place before implementation begins, retroactive financing is recommended for the procurement of the software, the hiring of the project finance manager, the 2 accountants and training costs for the same Internal Controls: Internal control systems at the PMO were assessed based on those in existence for the on-going project also implemented by LGED and found to be weak with respect to segregation of duties; retention of records; security of information. The risks have been mitigated by ensuring the following is in place (as described in Section F) before implementation commences. Assessments of the internal controls will also be included in the TORs for the internal audit department of LGED. Procedural aspects related to Financial Management and Disbursements are detailed in the live document the Project Implementation Manual (PAM), allowing for revisions when these controls are assessed to be risky Financial Accounting and Reporting: GoB and all institutions under its purview maintain their records per Bangladesh Accounting Standards. The last Report on the Observance of Standards and Codes (ROSC) is dated (2003) but significantly states that gaps exist between the Bangladesh Accounting Standards and International Accounting Standards. It is noted that GoB maintains accounts using single-entry, cash basis accounting. At a minimum IFAD expects that projects maintain their books using IPSAS cash basis. As the single-entry account is deemed insufficient for this project, the procurement of an off the shelf accounting software, with local language capabilities should be in place before implementation commences. The mission had requested and received a demo of an off the shelf software and found the requirements compatible with the project. All finance and accounting staff at the PMO will be trained on double-entry accounting to build capacity to international standards. The project accounts will reflect all financial transactions during the project period, both of the IFAD loan/grant and other sources of financing by project component and separately by standard expenditure categories. Reporting requirements are detailed in the PAM Internal audit: The LGED internal audit unit has 15 internal auditors that prepare an annual work plan with respect to Districts and Projects selected for audit. In the internal audit of Districts, both, GoB and Donor funded projects are examined. The financial capacity and staffing of the IA department is adequate to perform this task. It is possible that a project might not get selected for internal audit and therefore clarification was sought and the following recommendations are made on the basis of the responses: (1) the project may request the internal audit cell to perform an internal audit on the project. IFAD recommends that in the event the project is not chosen for internal audit, a request will be made in all years after the first year of implementation; (2) draft TORs for the internal audit will be provided by the PMO (with the assistance of the Donors) to the Audit and Accounts Cell; and (3) in the event that IFAD is not satisfied with the internal audit arrangements and reporting, IFAD can recommend the hiring of an external chartered accountancy firm to conduct an internal audit External Audit: The external audit for all donor-financed programmes/projects is conducted by the Foreign-Aided Projects Audit Directorate (FAPAD). FAPAD will also conduct the audit for CCRIP. TORs, to ensure that all financiers requirements are being met, will be harmonized and presented to FAPAD before the audit exercise commences. Prior audit works of FAPAD have been rated as satisfactory, thereby showing FAPAD s compliance with its TORs and IFAD Project Audit Guidelines. FAPAD will utilize International Standards of Auditing when undertaking its audit work. As the fiscal year end of CCRIP will be June 30, the audited financial statements are due at IFAD no later than December 31 (within six months). The audit report will contain a separate management letter with an opinion on the Internal Control system of CCRIP and related audit observations; separate opinions on certified Statements of Expenditure (SOE), the Special Account and the Project Financial statements; a statement as to the adequacy of the accounting system and internal controls and whether IFAD funds have been used for their intended purpose; a confirmation that SOEs correctly reflect the expenditures incurred; and commencing with the second year audit a follow-up on the implementation of prior year recommendations. Annex 14 on Procurement, and are presented in details in Working Paper 4. Figure 2 further below show the flow of funds in CCRIP. Procurement 24

37 Main Report 122. Procurement of goods, works and services financed from resources provided or administered by IFAD will be undertaken in accordance with IFAD s Procurement Guidelines and Handbook (dated September 2010, or as amended from time to time). In all cases whereby procurement is packaged along with goods, works and services financed by ADB, the procurement would be undertaken in conformity with ADB s Procurement Guidelines (2010, as amended from time to time) and ADB s Guidelines on the Use of Consultants (2010, as amended from time to time) International Competitive Bidding (ICB) shall be undertaken in accordance with the rules and regulation for ICB as established by the World Bank in line with the provisions of the IFAD Procurement Guidelines. Goods and Civil works and goods procured using NCB will follow the Public Procurement Act, 2006 and Public Procurement Rules, 2008 of the Government of Bangladesh. All procurement to be financed by IFAD proceeds require the details of the procurement, types of procurement methods, the need for pre or post-qualification, estimated cost, prior or post review requirements to be respectively included in the Procurement Plan to be submitted by the PCO. IFAD s approval of the procurement plan is mandatory and any changes or modifications must be communicated and approved by IFAD All procurement for goods, works and services financed from resources funded or administered by IFAD require bidding documents and the contracts to include a provision requiring suppliers, contractors and consultants to permit IFAD to inspect their accounts,records and other documents relating to the bid submission and contract performance, and to have them audited by IFAD-appointed auditors. 25

38

39 Main Report Figure 2: Flow of Funds International Fund for Agricultural Development (loan & grant) (IFAD Loan, IFAD Grant) Asian Development Bank (ADB Loan, SCF Loan, SCF Grant) Kreditanstalt fuer Wiederaufbau (KfW Grant) Commercial Bank (Approved by Ministry of Finance) Project Account (LGED) (Operated by Project Director) Commercial Bank (Approved by Ministry of Finance) Disposition Fund (LGED) (Operated by Project Director) Foreign Suppliers of Works, Goods and Services (International) National Suppliers of Works, Goods and Services (Dhaka) Regional Project Offices Project Implementation Units (District Executive Engineers) National Suppliers of Works, Goods and Services (Project Area) Legend: Foreign currency flows Local currency flows 27

40 Main Report 125. All advance contracting and retroactive financing of resources provided or administered by IFAD regarded as an exception by the IFAD General Conditions must be clearly established (detailed cost and procurement packages) in the Project Design Document and approved by the IFAD and will be undertaken in conformity with provision of IFAD General Conditions and IFAD Procurement Guidelines and Procurement Handbook (2010, as amended from time to time). The issuance of invitations to bid under advance contracting and retroactive financing will be subject to IFAD prior review and no objection. The approval of advance contracting and retroactive financing does not commit IFAD to finance the Project Procurement of civil works should be undertaken in sizable bid packages ensuring road works are not split to accommodate contractors financial capacities to qualify for the bidding or to intentionally avoid seeking IFAD prior review. Any civil works which are to be split into small bid packages due to specific implementation consideration must to clearly established and highlighted in the procurement plan Civil works undertaken by the Labour Contracting Societies (LCS) which would be formed through a defined selection criteria, contracted directly by the CCRIP Project. The selection criteria and the operational and implementation arrangement for the LCS would be defined in the Project Administration Manual. While the LCS has been accessed as incapable of handling implementation, administration, financial management and procurement of the activities, the Project Administrative Manual (PAM) shall define the roles and responsibilities of the intermediaries who will assist the LCS in performing the activities Procurement of materials and goods by the LCS for the civil works contracted would be undertaken in accordance with the provision of the IFAD Procurement Guidelines and shall be largely limited within the markets in each district. Any requirement for the Project to purchase specific goods from markets in outside of the district shall be justified and documented by the Project. This justification should provide details of materials and goods to be purchased and reasons for the purchase which included a comparative analysis of the cost of procuring the materials in markets outside the district where these activities are implemented As highlighted in the FM section, a double entry accounting software would be introduced and this ERP software would facilitate in the tracking of monitoring of contracts, inventories and vendors payments. The software however would be managed by the PMO which requires manual monitoring of these contracts by the District and Upazila Offices IFAD shall introduce as a control measure as part of its annual supervision mission or as separate mission biennial reviews of the LCS contract performance with regards to the implementation of activities contracted which includes the accounting and procurement of goods and materials carried out by the LCS (with the assistance of the intermediaries) IFAD will undertake to review the provisions for the procurement of good, works and services to ensure that the procurement process is carried out in conformity with its Procurement Guidelines. The extent to which these review procedures will be applied to CCRIP will be defined in the letter to the Borrower/Recipient and the procurement plan Project Procurement Thresholds. International Competitive Bidding (ICB) shall be the mandatory procurement method for activities estimated to cost: (i).goods estimated to cost above USD 200,000 or equivalent; (ii). Civil works estimated to cost above USD 1,000, or equivalent; and (iii). Services estimated to cost above USD 100,000 or equivalent. All other threshold shall be defined in the letter to the borrower/recipient. Governance 133. A framework for good governance has been included in the ADB project document and the PAM. These address important governance aspects such as anti-corruption, accountability, assessment of financial management and procurement system, internal and external audit and institutional arrangement for project implementation. This framework aims to ensure: (i) transparency, with information in the public domain; (ii) accountability in the use of resources; and (iii) participation with the people having a voice in decisions that may affect them. The involvement of affected communities in all stages of projects can simultaneously improve development outcomes and reduce the scope for fraud and corruption. Key features of this framework are: Inclusive targeting of women and disadvantaged households. Local level participation in planning with participation from Union Parishad (UP) representatives. 28

41 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Main Report Community and participatory monitoring of project activities, training of MMC, and LCS members in accounting and management, making payments in public to LCS members. Audits of project accounts both internal and external. IFAD supervision and support, including spot checks by regular supervision missions, implementation support for financial management and procurement, and technical audits if needed. Regular outcome surveys will provide information on how well project outputs are being delivered both in terms of coverage and quality. Reporting of results to IMSC, ADB, IFAD and KfW and to local Government institutions, with key information published on a project website. Complaints and remedies mechanism including circulation of phone numbers of project group leaders and project managers In addition, the ADB/IFAD/KfW report presents a detailed Gender Action Plan (appendix 7) covering issues from women involvement in the infrastructure construction to enhance their capacities and empower them. The environmental examination (appendix 8) assist the design in assessing the potential impact of project interventions. The resettlement framework (appendix 10) will assist in dealing with issues of land acquisition for the infrastructure improvements which are eventually needed. E. Supervision 135. The main responsibility of project supervision will remain with the PMO. LGED is charged with detailed preparation of tender documents for Market Development (physical) and Transport Infrastructural works. After an independent evaluation of bidders and awarding of contracts, supervision staff is assigned to supervise the implementation of contractors. The staff in charge must be fully independent and be given adequate allowances to function independently. They should be provided with transport (motorbikes + fuel), a small digital GPS equipped camera, technical equipment, allowances to stay at sites, do routine supervision and make surprise visits. They should report their findings of contractors performance to the RPO and PMO and call on LGED to intervene as needed according to prevailing procedures IFAD, KFW and ADB jointly will conduct regularly supervision and review missions to verify the performance of the project and to monitor physical progress as well impact. It also provides detailed technical and management recommendations to PMO, which were found very useful and effective in MIDPCR. All partners will conduct the MTR, impact studies and a final project completion review as per standard practice. F. Risk identification and mitigation 137. The revised project design and monitoring framework reflects the summary of some of the key risks which have been presented in the ADB/KfW/IFAD draft final report (page 25 and appendix 11). The risks and proposed mitigation measures are presented in Table 5. Table 3: Risk analysis Design and Monitoring Framework Risk Probability of occurrence Impact on project objectives Mitigating measures Goal Natural disasters destroys project investments Real price of rice and other essential commodities consumed by the poor increases relative to wage increases. Medium-high High Coordinate with other agencies/projects for protection/climate adaptation measures and post-disaster rehabilitation; Accelerate construction works after disasters creating employment for the poor. Medium Medium MAPP project starts as planned and expands activities in project areas. MAPP will support diversification and commercialisation of smallholder production. 29

42 Main Report Design and Monitoring Framework Risk Probability of occurrence Impact on project objectives Mitigating measures Development Objective Outcome Outputs Lower than expected economic growth accompanied with inflation Project roads and markets are damaged by tidal surges, floods in some Upazilas Price escalation reduces project output Performance of implementing agencies including corruption GOB rules do not allow direct procurement of services from LCS groups Limited availability of khas land for market development Medium Low CCRIP and MAPP project complement each other to boost the local economy and render it more resilient to external shocks. Medium High Climate standards being introduced; strong supervision for road and market construction; hydrological issues properly considered in design, especially for construction sites located near rivers. Medium Medium Price & physical contingency have been included in total project costs. GoB rules for price escalations will be enforced and supervised. High High Internal and external audit being implemented and followed up; IFAD direct supervision assesses regularly the compliance of fiduciary aspects Low Medium Assurance to recruit LCS is sought for from GoB. Alternative will be to use contractors. Low Medium Only markets with assured khas land will be accepted for development; proper agreement will be signed with MMCs prior to development. IV. PROJECT COSTS, FINANCING, BENEFITS A. Project Costs 138. Project costs are estimated as of October 2012 prices. Estimates for vehicles, equipment, salaries, local technical assistance, DSA, operation and maintenance were based on recent data provided by LGED. The costs of the IFAD-funded activities were estimated by the IFAD team using revised 2012 LGED rate schedule. The costs of the ADB- and KfW-funded activities were finalized and presented during a joint fact-finding mission of ADB, IFAD and KfW in June Both teams used the same technical assumptions in the cost estimations of their respective activities: number of project years, physical contingencies, exchange rate and inflation rates. The costs of union and village roads were estimated on the basis of B and C scenarios; the C scenario applies only on the areas outside polders; village roads are all estimated on the basis of scenario B. During the final design mission carried out by IFAD, the IFAD-funded activities were updated in order to keep consistency between unit costs and to avoid duplication of the project activities. The project is estimated to cost $150.0 million. 30

43 Main Report Table 4: Components Project Cost Summary % % Total (BDT Million) (US$ Million) Foreign Base Local Foreign Total Local Foreign Total Exchange Costs A. Improved Road Connectivity 1. Upgraded Upazila Roads 2, , Upgraded Union and Village Roads 4, , Subtotal 6, , B. Improved Market Services 1. Upgraded Grow th Centers and Large Markets Upgraded Community Markets Subtotal 1, , C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Know ledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management 1, , Total BASELINE COSTS 9, , , Physical Contingencies Price Contingencies 2, , Total PROJECT COSTS 12, , , Interest During Implementation Total Costs to be Financed 12, , , The CCRIP is estimated to have an overall cost of US$ million (total investment and incremental recurrent project costs including physical and price contingencies), of which ADB will be financing US$ 20 million through ADB s Special Funds resource (loan), another US$20 million through ADB Strategic Climate Fund loan and a US$10 million grant, both to be administered by ADB. For the outputs proposed to be financed in parallel by KfW, KfW will provide a grant of million (US$ 8.8 million). The Government of Bangladesh will provide US$31.2 million equivalent, including LGED staff salaries and operating costs, land acquisition and resettlement costs as well as identifiable taxes and duties as no taxes or duties could be financed out of the proceeds of the IFAD loan IFAD financing. The IFAD loan for CCRIP will be in the amount of approximately US$39.5 million is herewith presented for approval by the IFAD Executive Board. An IFAD grant of US$1.0 million has been included in the project and will finance: a) innovation research, rural radio program and knowledge management, b) baseline survey, c) impact studies, d) RIMS studies, e) studies for the mid-term review and project completion, and f) studies to support the design of the next IFAD funded project 141. The financing plan is presented in Table 5. The details of project cost, financing and annual targets over the project period are presented in Annex 7A and 7B (XL file). Table 5: Financing Plan by Components (US$ Million) Components by Financiers (US$ Million) ADB SCF Loan SCF Grant IFAD First Loan To be determined a/ IFAD Grant KfW The Government Total Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % A. Improved Road Connectivity 1. Upgraded Upazila Roads Upgraded Union and Village Roads Subtotal B. Improved Market Services 1. Upgraded Growth Centers and Large Markets Upgraded Community Markets Subtotal C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Knowledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management Total PROJECT COSTS Interest During Implementation Total Disbursement a/ Additional financial needs will be, as applicable, funded as a second loan from the PBAS and will be submitted to the Executive Board in 2016 for approval. B. Summary benefit and economic analysis 142. Given the merging of the Sustainable Market Infrastructure for Livelihoods Enhancement (SMILE) Project with the Climate Resilient Infrastructure Improvement in Coastal Zone Project (CRIICZP) co-financed by ADB, the initial analysis carried out for the SMILE has been updated to include additional activities funded by ADB. The analysis of the ADB-funded activities has been done by the ADB team and included in the Bank s project documents 31

44 Main Report submitted to the Board. The CCRIP analysis aims to consolidate the analyses of both IFADand ADB-funded activities. Beneficiaries 143. The beneficiaries include (i) LCS groups; (ii) market operators, traders, and market users (iii) road users (i.e., bus and truck owners and operators, passengers, and businesses using freight services); and (iii) communities in the areas of influence of subprojects who will have improved access to services and increased employment opportunities An overall estimate of 3.5 million people will benefit from the project. Direct beneficiaries include: 5,000 participants contracted to LCS (at least 80% of who will be very poor women, with priority for women-headed households); 162,400 traders in the markets under the project; 52,600 transport owners; and 235,000 households members living in the areas of influence of subprojects. See Annex 15 for detail estimation Given the nature of investments and the interconnection between them, the same beneficiaries within the community might benefit from different investments. Beneficiary type Table 8: CCRIP beneficiaries Beneficiaries (#) Nature of benefits I. Overall beneficiaries 1 Households in market and road catchment areas [125 Unions: HH] 3.5 million Improved transport and access to market, educational institution, health services; improved livelihoods opportunities due to increased investments. II. Direct beneficiaries, of which 1 LCS members for construction of markets and block road (at least 80% are poor women) 2 Permanent shop owners and temporary traders (growth centers, community markets, and collection points) 5,000 Assured employment as day labour; profit from LCS contracts; skill development; investments in income generating activities. 162,400 Increased sales due to increased buyers and future investments; increased profits 3 Transport owners 52,600 Increases in income 4 HHs living within market and road catchment area [455,000 HH] HH: households 2, Improved access to buyers, better price, improved access to good quality inputs and support services. Benefits 146. Quantified Benefits. The project is expected to generate substantial net incremental benefits to farmers and rural entrepreneurs (shop keepers, traders, transport owners). The benefit stream comprises the following elements: 147. Market infrastructure development benefits. Improved and expanded market infrastructure (Growth Market Centers, village markets sheds, drainage systems, sanitary latrines, garbage pits, etc.) will have two categories of direct beneficiaries: (i) permanent traders (shop-keepers); and (ii) temporary traders of daily morning/afternoon markets and more, importantly of haat days (twice a week). Impact assessment of the MIDPCR project, as well as the field visits and interviews conducted by the ADB and IFAD missions, demonstrate that the incremental benefits for market infrastructure investments will come from: (i) reduction in spoilage of perishable products; (ii) increased sales, through higher volume and value of the agricultural produce traded; and (iii) increased number of traders at the village markets Upazila, village and union roads construction: The project will be building mainly three types of roads: (i) upazila roads; (ii) village roads and (iii) union roads. The benefits from 32

45 Main Report these rural roads are mainly derived from the generated commercial activities. The estimation of the benefits is made on the basis of the earnings expected from these new activities. Incremental benefits from these investments will be: (i) from upazila roads - vehicle operating cost savings from the existing traffic using the roads as well as from the new traffic generated; (ii) from village roads - increased volume of transported goods (mainly agricultural production) and reduced transportation costs; and (iii) from union roads - increased traffic, reduced transportation costs for goods and passengers (due to the vehicle operating cost savings) Agriculture production benefits: Farmers living within the market catchment area and the road catchment area will be able to increase the volume of the agricultural production sold due to the increased traffic and will be able to fetch higher selling prices due to larger numbers of buyers coming to the market and hence higher demand for the agricultural production. In addition, farmers will also benefit from the reduced transportation costs and better access to markets and inputs contributing to higher productivity at the household level Benefits to the transport owners: Construction of the village and union roads will have an impact on the small private entrepreneurs/vehicle owners. The vehicles operating on this type of rural roads will be of two types: (i) motorized vehicles (mainly CNG/Tempo/Motor cycle) and (ii) non-motorized vehicles (such as rickshaw/ rickshaw van). The results of the MIDPCR impact assessment study demonstrate that, even if the average fare per km decreases, it is more than compensated by the volume of traffic generated by a new road (and the number of additional journeys per vehicle) as well as by the travel time and the vehicle operating costs savings. The motorised vehicles will also benefit from the increased fuel efficiency while for the non-motorised vehicles the improved smooth surface of the road will reduce the pain and the difficulty of the driver to pedal the rickshaw Income Generating Activities undertaken by the LCS members: Some of the Local Contracting Societies members will be willing to invest a portion of wage and profit received after the completion of the construction works (about 10% of the construction cost) in sustainable income generating activities. A recent report on impact market assessment of the MIDPCR project (September 2011) demonstrates that almost 89% of the households participating in the LCS had invested some of their income in different IGA activities Non-quantified Benefits. In addition to the quantifiable benefits, the project interventions will yield some benefits related to the project activities that are much more difficult to quantify in monetary terms; thus they were not included in the economic analysis. However, they certainly amount to substantial socio-economic values. Among the non-quantified benefits are the following: a. Improved communication, better access to a wide range of social services including both educational and health facilities through improvement of the road network; b. Improved hygiene standards in the markets. During the interviews with the MIDPCR traders, many of them recalled the problems of the old market, when they had to move around in knee-deep mud in the monsoon and in dust in the dry season. The market improvements in terms of better water supply, toilet facilities, general cleanliness and security make the market more attractive to customers and vendors; c. Human lives saved with the cyclone shelters. Assessing the economic benefit of a cyclone shelter is fraught with difficulty, as it is difficult to predict how many people and the type and number of livestock that will actually use a shelter in any given circumstance and perceived risk. Furthermore, it is extremely difficult to attach a monetary value to a human life, compared with that of financial damage to or loss of assets. d. Capacity building of Market Management Committees and Banik Samities (Shopkeepers associations) and their higher involvement in market maintenance and functioning. e. Increased possibilities of income generation for women and positive impact on women s empowerment through LCS activities and development of women s market sections in the markets and increased women s trade. 33

46 Main Report Financial and Economic analysis and sensitivity 153. The detailed financial and economic analysis is presented in Annex 16 of the project design documents. The financial analysis aims at demonstrating that income-generating activities on farm (related to the main commodities supported by the project) and off-farm (mainly trade), as proposed in CCRIP, are profitable and sustainable. While the economic analysis aims at demonstrating that, from an economic perspective, the project as a whole is viable, taking into account, as much as possible, all quantifiable and additional costs and benefits in with and without project situations For the purpose of the financial analysis, a number of indicative economic activities, which will benefit from CCRIP, were identified during the project design process. In total eight illustrative models (six crop models, one livestock model/dairy and one fishery model) were prepared to illustrate the impact of the potential investments on agricultural production within markets and roads catchments areas For the economic analysis, the incremental quantifiable benefit stream comprises following elements: (i) benefits from upazila, village and union roads improvements; (ii) benefits from growth market centres (GCM) and village market infrastructure development; (iii) agriculture (crop, livestock and fish) production benefits The illustrative crop, livestock and fishery models prepared for the purpose of the financial analysis (as described above) have been used for the calculation of the overall benefit stream from the agricultural production, on the basis of economic prices. In addition to that, for the economic analysis, three separate models have been developed to illustrate the benefits from roads and market infrastructure development. The models are presented in the relevant Appendix of the Annex 10 of the project documents Cost Stream. In order to estimate the project's economic viability, in the form of the Economic Internal Rate of Return (EIRR), the cash flow calculated includes the project base costs (as extracted from the COSTAB tables) with their physical contingencies but without taxes and price contingencies (therefore in constant BDT). The costs include all investments for all project components as well as their replacement (for transportation, office and computer equipment/materials, etc.) and recurrent costs (mainly operation and maintenance for transportation, equipment and materials) Project Estimated Return. The base case Economic Internal Rate of Return (EIRR) is estimated at 16% over 20 years. The base case net present value of the project s net benefit stream, discounted at 12%, is BDT 2,414 million Sensitivity analysis. Sensitivity analysis assessed the effect of variations in benefits and costs and for various lags in the realisation of benefits. A number of scenarios were tested to establish the economic viability of the total project in the event of adverse factors. The EIRR is relatively stable with regard to cost increases, benefit reductions and lags. Even in the case of extreme delays of the realisation of project benefits of two years or a relatively unsustainable nature of project benefits, represented by an annual 20% decrease of benefits, the EIRR remains equal or above the assumed opportunity cost of capital of 12%. C. Sustainability 160. Three aspects of sustainability of the project are defined as follows: Sustainability of benefits to the population in general and direct beneficiaries in particular is defined as the continuity and the enhancement of benefits due to better access to transport and market infrastructure; Sustainability of transport and market infrastructure is defined as good usable conditions of physical infrastructure; and Sustainable management of market is defined as clean and properly maintained markets where number of buyers and sellers and sales increase over time Sustainability of benefits. The benefits to the households in the catchment areas in the form of access to health services and schools, access to better agricultural inputs and processed goods, increase in mobility and so forth are expected to be sustainable although may periodically be hampered due to poor maintenance. As seen in MIDPCR, roads and improved markets lead to increases in sales by traders in the markets, new shops and houses in their vicinity and additional investments in production. The number of motorized traffic is also expected to increase and continue. The increase in prices of agricultural 34

47 Main Report commodities due to an increased number of buyers is expected to continue once supply chains are established. Prices could decrease due a natural disaster but would recover quickly. Similar to MIDPCR, additional investments in high value agriculture such as livestock and fisheries are expected to increase and continue when good inputs such as fingerlings and support services such as animal health care are available in a reliable fashion. These aspects of impact are expected to be further strengthened due to the implementation of MAPP, which will bring agricultural finance and value chain development activities Sustainable infrastructure. The responsibility of road maintenance rests with LGED, which receives an annual budget to maintain roads constructed under various projects. However, the availability of resources may be uneven and not on time, which could cause the creation of potholes along the BC roads. To reduce such incidence the project would give emphasis on good quality construction as planned; and independent monitoring will be critical in this respect. Construction of RCC roads reduces maintenance problems Sustainability of market management. Cleanliness and proper repair and maintenance of markets depends on the capacity and responsiveness of MMCs. The project will construct garbage pits, and MMCs need to ensure that the market leasee (Ijarader) cleans the markets after hat days. The project will train market committees and encourage them to elect active persons in the MMCs. The repair and maintenance will depend on lease value and availability of 25% lease value to MMCs. IFAD should negotiate with GOB to ensure regular competitive bidding to lease out the markets Exit Strategy. The exit strategy is built in the design: roads will be handed over to LGED/GOB and markets will be taken over by UNO but will be managed by MMCs, where the UP chairmen are ex-officio presidents Assurances. Government confirmed that maintenance funds for all constructions built under CCRIP will be allocated throughout and beyond the project implementation period, in the amount that is sufficient to ensure that investments remain at the level of its original construction quality In addition, Government agreed to develop sustainable road maintenance plan for all constructions under CCRIP by 1. quarter in

48 KEY FILE TABLES: Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Main Report Table 1: Rural poverty and agricultural sector issues Priority area Major Issues Actions needed Rural poverty 80% population lives in the rural areas, 44% live below the national poverty line Employment generation through expanding local and 29% are classified as very poor. businesses Over 30 % of the net cultivable area is in the coastal region*, but these vast Extended safety net program cultivable lands are in great threat due to rapid climate change and natural disasters. Skill development for self-employment and IGAs through training Two major tidal surge and storms (Aila and Sidr) affected the coastal areas resulted major loss of lives, livelihoods, houses and rural infrastructure. Easy access to potable water and re-excavation of fresh water ponds Low intensity of crop cultivation (in some areas only one crop per year) and Land ownership increase; distribute khas land fishing and they remain frequently unemployed due to tidal flooding and other Access to health facility natural disasters resulting food insecurity in the areas. Ensure vaccination and other input services for poultry. Low crop productivity and less cropping intensity due to increased salinity, Build physical protection from floods and cyclones. incidences of pests & diseases, drought, tidal surges, cyclone, submergence, large fallow lands/water bodies, land degradation and unemployment. Disease of poultry and livestock Agriculture Mostly single crop Aman cultivated due to saline water and scarcity of fresh water Improve water control system. in dry season, therefore, farming is possible only for 4-6 months. In some places no vegetable is grown due to acute salinity. Introduction of saline friendly profitable crops/diversified crops with appropriate technologies. Scarcity of quality fry, seeds as well as limited access to water bodies and which Expansion of existing agricultural products with are almost controlled by the elite (Government lease). establishment of network with DAE, DoF and DLS Limited access to good technology and inputs, knowledge and support services such as vaccination services for poultry and livestock. Quality fry, seeds, fertilizer and other inputs need to ensure. Virus attack and risk of washing away of fish, shrimp and other crops due to Establishment of value chain and linkage among all heavy rain fall, tidal surge. stakeholders (the farmers, input suppliers, Submergence of rural access road hinders carrying the perishable commodities. Increases cost of production because of higher input costs, and lower price due to buyers/traders) build their capacity, which is likely to reduce producers operating cost and increase net income. remoteness Limited access to demand driven financial services, especially seasonal agricultural credit and loan for microenterprises Access to financial services (NGOs and Bank) Markets Gender equalities Poor road network cost high transport cost, poor marketing facilities. No shed and have to sit with produces in open space as a result cannot stay longer in the market, rather obliged to sell earlier in the rainy season and other inconvenient circumstances (no water and toilet facilities). Less buyer and whole seller comes because of poor connecting road with market. Inactiveness of MMC and thus poor management and maintenance of markets Market leasing system does not provide incentives for investment or maintenance. Women are disadvantaged and destitute group with inadequate access to education and health facilities. Less skilled and depend on manual work for minimal wage. Over burdened with household responsibilities along with scarcity of potable water, fuel wood, poor housing and sanitation Construction of rural access road and market infrastructure. Access to toilet facilities and water for drinking and cleaning. Women friendly environment such as separate place for women temporary and permanent sellers. Strengthen market management committees Reform leasing system to reduce costs of access to markets and provide incentives for investment and maintenance Year round employment opportunities and skill development training for the destitute women in market development, some access roads and tree plantation as well as maintenance Women friendly market environment for buying and 36

49 Main Report Priority area Major Issues Actions needed Less wage than male which varies Taka Dowry is practiced everywhere. selling (particular space for temporary as well as permanent women sellers need to allocate). Limited access to assets and employment opportunities Less participation in market due to unfriendly environment for selling and buying Training on IGAs (poultry, cattle rearing, vegetable gardening, handicrafts and so on) Limited mobility due to submerged road in the rainy season More access to potable water, health services and education. Increase awareness among men and women about gender issues and legal rights. BCAS 2010, Assessing long term impacts of vulnerabilities on crop production due to climate change in the Coastal areas in Bangladesh 37

50 KEY FILE TABLES: Table 2: Organisational capabilities matrix Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Main Report Organisation Strengths Weaknesses Opportunities Threats LGED Outreach offices in all districts and Upazilas; staff in all Upazilas Capacity to implement large rural infrastructure projects using contracted staff. Experience of implementing similar project (MIDPCR) Interface with local Government, and remit to support local Government. Flexible approach to use of LCS Skilled human resources; Established management system (financial management and program management) Efficient management Centralised management in Dhaka Large number of projects stretch management resources and weaken quality control.to utilise the capacity of LGED for developing the coastal region and disaster prone region. Utilise the enhanced capacity of UPs and greater availability of funds to assume greater responsibility for local development and maintenance of existing infrastructure. Ensuring the secondment of committed staff to CCRIP Maintaining quality of management Attempts of undue influence of local politician on infrastructure selection Local Government (Upazila and Union) Local presence and contact with local people Responsible for delivering a number of Government services such as safety nets Knowledge about local infrastructure needs and demand; Can assist CCRIP in market and road identification UP can complement CCRIP project by paying for part of market development costs, e.g. earth filling UP chairman is ex-officio president of MMC Regulatory, justice and disaster management functions. Limited financial resources. Election often on political grounds. Are not always pro-poor oriented. Not all UP chairmen members are active in local development Informal partnership with UPs may help speedy and smooth implementation of CCRIP project. Involvement helps enlist local support for the project. Utilise growing UP resources to supplement CCRIP expenditure Opportunity to transfer some of infrastructure maintenance functions to them. Political interference.. 38

51 Main Report KEY FILE TABLES: Table 3: Complementary donor initiative / partnership potential Major Donor Project Geographical Area Remarks JICA South-Western Rural Development Project Core activities: Construction of 110 upazila roads, 18 union roads, amounting to 1034 km of roads. Project budget: USD 140 million 14 districts of 3, i.e. Greater Barisal, Greater Khulna, Faridpur The roads built under CCRIP are typical village and Union roads. There is no overlap, moreover the information is known in local LGED offices and must be verified. World Bank Emergency Cyclone Recovery and Restoration Project (ECRRP) Core activities: 1. New construction of Multi-purpose Cyclone Shelters; 2. Rehabilitation of existing cyclone shelters; 3. Roads connecting population centers with cyclone shelters (it includes construction of Killa s (mounds) to provide for shelter of livestock and ponds for drinking water) Project budget: USD 121 million Coastal Areas, 9 districts In as far as the area covered by CCRIP is located within areas covered by the World Bank project; CCRIP does not construct cycle shelters; coordination for rehabilitation of roads should be established. World Bank Coastal Embankment Improvement Project ( ) which will strengthen polders in a number of Upazilas within the CCRIP project districts 17 upazilas in Southwestern districts Feasibility studies are being conducted. ADB Participatory Small-Scale Water Resources Project (PSWRP) Core activities: construction of canals, regulators, rubber dams, flood mitigation of areas smaller than 1000 ha Project budget: USD 82 million 61 districts (all districts except for 3 hill districts) CCRIP must consult with ADB where projects are bordering rural roads rehabilitated by CCRIP and for operation of water control gates DANIDA Rural Roads & Market Access Infrastructure Development Project (RRMADP) Core activities: labour-based (LCS) construction of earthen roads, small structures, carpeting of roads (combination of LCS and contractors); functional training of women, navigable canals (excavation) Project budget: DKK 170 million Patuakhali, Borguna, Laxmipur) (9 Upazilas) There is no overlap, CCRIP should consult the project for information on their intervention areas. ( ( FAO Several Projects Country-wide Consult with FAO on available knowledge on specific topics (agricultural data, markets, trade, livestock, fisheries) 39

52 Main Report KEY FILE TABLES: Table 4: Target group priority needs and project proposals Typology Poverty level and causes Coping strategies Priority needs Support from other programs Extreme Landless Daily wage labor work in Employment generation ASA, BRAC, GRAMEEN, poor Food crisis almost throughout agricultural field, fish ponds, Self employment World Vision, UNDP (no the year earth cutting for road, house Access to potable water and other local homestea Limited wage labor work in the and other purposes Development of rural organizations provide d and rural area Seasonal migration (both roads and markets loan, training on IGAs. arable Affected by any kind of natural national and international) and Food assistance land) disaster permanent migration for Training on IGA No or very little access to searching temporary Health support micro-credit and bank Poor (homestea d land) Housing structure is weak (mostly with local materials and tin which they received as relief after Aila and Sidr) Open pit toilet Crisis of potable water due to salinity No livestock, only some poultry Many HHs are female headed (abandoned, widow, disable husband) Limited health access and suffer from various diseases Children go to school but high drop out No arable land but homestead land Food crisis almost 6 months of the year Insufficient wage laboring work for the year round relative to need Very few have livestock and poultry Little access to NGO and no access to Bank House is made with local materials and ring slab sanitation Crisis of potable water due to salinity employment Starvation or consumption cut GoB safety nets through union parishad (40-day program for the extreme poor, twice per year), VGD, VGF cards Women work in others house as maid-minimal pay Make local quilt and mat with local materials Children become involved with earning Women collect fuel wood from Sundarban Catch fish and fry in river (twice within 24 hours according to ebb and flow tide) Same as extreme poor Take dadon (advance sale of crops/fish) Employment generation Self employment Access to potable water Development of rural roads and markets Food assistance Training on IGA Health support ASA, BRAC, GRAMEEN, World Vision, UNDP and other local organizations provide loan, training on IGAs Project response - Employment generation for the destitute women in LCS; - IGAs through MAPP implemented by PKSF in the CCRIP project areas - Improved infrastructure will increase local employment opportunities - Health services may improve due to better access Employment generation for the destitute women in LCS; - IGAs through MAPP implemented by PKSF in the CCRIP project areas Improved infrastructure will increase local employment opportunities Health services will be improved 40

53 Main Report Typology Poverty level and causes Coping strategies Priority needs Support from other programs Chronic debt Vulnerable to natural disaster Marginal Vulnerable to natural disaster, Loan from NGO with high Agricultural farmer probability of crop damage by interest development through /functional heavy rain and water logging Loan from Bank by mortgaging access to extension poor (up Virus attack on shrimp and the land services including to 1.5 wash away by flood, lack of Seasonal migration inputs acre land) quality fry Rear poultry & livestock Development of market Food crisis for 1-2 months (due Small trading based on local and rural roads for to salinity mostly one crop is production better price and easy cultivated) Very few HH have petty job transportation Poor access to health facilities holders in NGO and SME loan and potable water Government level Access to potable water No or limited access to Sell land agricultural information or technology Less price of produce due to undeveloped market and thus less bargaining scope High carrying cost because of earthen road that is totally difficult in monsoon Lack of cold storage facility at the local level, therefore bound to sell to the fixed customer/businessmen Limited access to Bank Middle Vulnerable to natural disaster, Business Improved access to class (1-5 probability of crop damage by Own boat, nets, cold storage, information and acre) heavy rain and water logging lease in land services regarding Virus attack on shrimp Service holder HH member agriculture and fish No or limited access to Own livestock, poultry production agricultural information or Access loan to bank, NGO Developed market and technology Sell land rural connecting roads Less price of produce due to Improved economic undeveloped market and thus opportunities less bargaining scope about the price High carrying cost because of earthen road that is totally difficult in monsoon Lack of storage facility at the local level, therefore forced to sell to fixed Project response Improved infrastructure will increase the volume of production and transaction Agricultural and fisheries extension services will be increased with improved communication Input supply will be improved Value chain activities under MAPP; NE loan under MAPP Access to health service and education will be improved Improved infrastructure will increase the volume of production and transaction Agricultural and fisheries extension services will be increased with improved communication Value chain support and agri/me loan under MAPP 41

54 Main Report Typology Poverty level and causes Coping strategies Priority needs Support from other programs customer/businessmen. Non-poor Vulnerable to natural disasters Access to bank loan Better infrastructure (above 5 Own assets and business Businessmen acre) Poor rural access road and Move to the town and lease market facilities, input services out the lands Project response Improved infrastructure will increase the volume of production and transaction; ME loan and value chain support under MAPP 42

55 Main Report KEY FILE TABLES: Table 5: Stakeholder matrix / project actors and roles Component Activity Coverage Perennial Institution(s) Involved Transport infrastructure Construction of Union and village roads Construction of block road Construction of bridges and box culverts for Union and village roads 31 Upazilas 12 project districts (mostly coastal and flood prone areas) LGED via district level XEN and Upazila Engineers. Funds disbursed from the PMU HQ to XENs. Potential Contractors/ Periodic Inputs Construction contractors Other Possible Partners in Execution Collaboration with Small Scale Water project of ADB/IFAD; Collaboration with MAPP project of PKSF/IFAD Market development Management Support Selection and development of four types of rural markets (Special, Large, small and collection points) Construction of rural markets Formation of LCS and training Train MMCs Build boat landing ghats Project management Project coordination Staff development training Monitoring and evaluation Conduct surveys, impact studies, environmental assessment Lesson learning and dissemination 31 Upazilas 12 project districts (mostly coastal and flood prone areas) 12 project districts LGED (CCRIP PMU via its offices at the Upazila level) Union Parishads LCS groups MMCs LGED CCRIP PMU Project Steering Committee District Development Coordination Committee Upazila Development Coordination Committee Labour Contracting Societies (LCS) Consulting firms specialised in M&E, environmental assessment International training providers BUET on design of village roads Incorporate experience of MIDPCR and SCRMB project. Academic & research institutions Other donor agencies including LCG 43

56 Annexes Annexes 1. Country and Rural Context Background 2. Poverty, Targeting and Gender 3. Country Performance and Lessons Learned 4. Value Chain Development and Infrastructure 5. Detailed Project Description 6. Review of Rural Infrastructure Needs Under CCRIP 7. List of community (village) markets and union/village roads selected for development 7A. Project Costs and Financing 7B. Summary and Detailed Cost Tables 8A. Structural Design: Road Infrastructure 8B. Detailed Cost: Road Infrastructure 8C. Unit Costs: Road and Market Infrastructure 9A. Structural Design: Market Facilities 9B. Structural Design: Ghats 9C. Detailed Costs: Market Facilities 10. Institutional Aspects and Implementation Arrangements 11. Compliance with IFAD Policies 12. Planning, Monitoring, Evaluation and Knowledge Management 13. Financial Management and Disbursement Arrangements 14. Procurement 15. Beneficiary Calculation 16. Financial and Economic Analysis 17. Draft Project Administration Manual 18. Contents of Project Life File

57

58 Annex 1 Annex 1 Country and Rural Context Background

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60 Poverty and Economic Growth Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 1 Annex 1 Country and Rural Context Background 1. Introduction: The Coastal Climate Resilient Infrastructure Project (CCRIP) jointly funded by ADB, KfW, IFAD and Government of Bangladesh is a merger between former Sustainable Infrastructure for Livelihoods Enhancement (CCRIP) project of IFAD and Climate Resilient Infrastructure Improvement in Coastal Zone Project (CRIICZP) of ADB/KfW. It will be implemented in 12 south-western districts though IFAD funded activities will be limited to 32 coastal and low-lying upazilas, which are poor and vulnerable to natural disasters and suffer from low level of past development activities. The country and rural context analysis prepared during design of the CCRIP project remains valid for CCRIP. The final design mission of IFAD updated wherever necessary to reflect merged project. The IFAD-funded activities plans to contribute to overall development of 32 Upazilas (sub-districts), especially in agricultural development to reduce rural poverty. These activities will also complement other activities of CCRIP. The country had undertaken projects with similar activities with good success. CCRIP will contribute to bringing the level of development South-western part to that of Eastern part of the country. That means CCRIP will be implemented in wider country development context. Note that the analysis presented here also complements analysis prepared by ADB/KfW PPTA team. 2. Population and poverty: Poverty is a pervasive problem in rural Bangladesh because of limited land and other natural resources, low agricultural productivity, lack of non-farm economic opportunities, high population density, and overall governance factors. Bangladesh has the third highest number of poor people in the world. With a population of over 150 million 1 living in an area of 147,570 square kilometres (or 1,045 persons per square kilometre), Bangladesh is one of the most densely populated countries in the world. About 80% of the population lives in rural areas and is mainly engaged in agriculture and related non-farm activities. More than two thirds of the rural population is landless or functionally landless (owning less than 0.2 hectares of land), 44% are below the national poverty line and 29% are classified as very poor 2. Many people have an inadequate diet and suffer from periods of food shortage half of all rural children are chronically malnourished, and 14% suffer from acute malnutrition. 3. Climate change and Poverty: Bangladesh would be one of the worst affected countries to temperature rise and climate change. Bangladesh is one of the most disasters prone of the least developed countries. Two-thirds of the country is less than 5 meters above sea level, making it one of the most flood prone countries in the world. Severe flooding during a monsoon causes significant damage to crops and property, with severe adverse impacts on rural livelihoods. Climate change seems likely to increase the destruction by monsoon floods, while the frequency of cyclones may increase. Between 1970 and 1998, 171 large-scale water-related hazards such as cyclones, storm-surges, droughts, floods, and river erosion disasters killed an estimated half million people and affected more than 400 million. The poor are hit hardest because they live at greater density in the most poorly constructed housing in settlements on lands prone to hazards. The project areas are most vulnerable to natural disasters. 4. Two areas within Bangladesh stand out as being particularly at risk to climate change. The coastal belt of the Jamuna-Padma-Megna delta is among the world s largest and most populated river delta. Although continued supplies of river sedimentation may limit land loss resulting from sea level rise, drainage problems will increase where protection schemes exist. Salinity levels are likely to rise in delta rivers in the dry season, mainly due to increased upstream abstraction of water. 5. Economic growth and inflation: Bangladesh had continued economic gains over the past decade with steady annual economic growth of 5% to 6%, relatively low inflation and fairly stable domestic debt, interest rates and exchange rates. However, growth has not reached the rate of 7.5% that is needed for Bangladesh to graduate to middle-income status within 1 Bureau of Statistics of the Government of the People s Republic of Bangladesh Population Census Preliminary Report ( ) 2 Household Income and Expenditure Survey 2005, Bangladesh Bureau of Statistics. 1

61 Annex 1 the next 10 years 3. After a slowdown in GDP growth to 5.7% in 2008/09, growth recovered to 6.0% in 2009/10 with 6.3% forecast for 2010/11 4. But the inflation rate has been increasing and reached double digit figures (more than 12%) in 2011/12 that has become a major concern for the consumers and the government. The high inflation is hurting the poor and fixed income groups of the society. 6. Macro-economic management: Together with increased imports (growth of 36% from July 2010 to January partly due to rising commodity prices and large fuel imports for power plants), and lower inflows of FDI and aid, have meant that the balance of payments has moved into a deficit (net outflow of USD 586 million July to November 2011, compared with surplus of USD 1,585 million for the same period a year earlier). 7. After a long period of stability, the value of the Bangladesh Taka (Bangladesh currency) has depreciated over the last six months from Taka 70 per USD to Taka 83 per USD in January 2012 making the imports expensive and deteriorating current account. GoB macro-economic management has been under severe stress lately. At the time of final design mission (October 2012) the exchange was Taka 82 for one US dollar. Besides, massive fall of stock market index has been responsible for massive loss to small investors. 8. Government expenditure on subsidies on food, fuel and fertiliser are being driven up by rising commodity prices, and the government has ambitious plans for investment in infrastructure and services. Although tax revenues have increased at 9.3% of GDP, they are low as compared to other countries in South Asia. It has been difficult to increase direct taxes, and much revenue has to be raised from sales taxes. The fiscal position remains weak with a government deficit of 3-4% of GDP. 9. Export and Remittance: Bangladesh has managed to maintain its exports in garments and reported to clinch the No. 2 position after China (excluding EU countries) by replacing India. But remittance growth has slowed down because of fewer people are leaving for overseas jobs, mainly in middle-eastern countries. Annual remittance through official channel has stood USD 12 billion in 2010/11. Agricultural sector 10. Long-term growth scenario: Since CCRIP project aims to directly contributing to agricultural sector and assisting farming families, it is important to have correct perspective of agricultural sector. Agricultural production has increased substantially in Bangladesh over the past 20 years. Cropping is dominated by rice and annual rice production has grown from 10 million tons in 1971 to just under 33.9 million tons in 2009/10 5. Agricultural sector growth was 4.4% in 2009/10, an increase from 4.1% in the previous year. Expansion of farm output has come from a transformation of rice production from extensive low input subsistence systems to highly intensive high input systems using modern rice varieties, a large increase in fertiliser use, and a substantial increase in irrigation during the dry winter. The country is now more or less self-sufficient in rice in a normal year. There is, however, no room for complacency as Bangladesh has to import rice following bad floods or droughts at critical crop growth periods, and with continued population growth and loss of land to urbanisation (about 1% of land per year), there is an ever increasing need to produce more rice every year. 11. Diversity and Subsidizes: In the light of the soaring food prices seen globally in 2008, the Government became concerned that imports may no longer be available at affordable prices; a new policy of self-sufficiency is being purposed by the present government. Although there is some scope to increase production, the yield gap between research and farmers output for the major rice crops has narrowed. Agricultural land is decreasing due to increasing population and urbanization, within agriculture land is being diverted away from staple cereal crops to uses such as horticulture, fish ponds, and to grow maize to feed poultry. To increase production while keeping prices as low as possible, the government has also expanded a programme of subsidies for inputs (fertilizer, fuel and seeds). These subsidies account for over three-quarters of government expenditure for agriculture. But subsidies in urea fertilizer have been reduced by increasing price from Taka 12 per Kg to Taka 20 per Kg. This may also reduce wasteful use of urea. 3 Bangladesh: Strategy for Sustained Growth, World Bank 2007 projected that a rate of growth of GDP of 7.5% would result in the country joining the ranks of middle income countries within a decade (by 2016). 4 Bangladesh Quarterly Economic Update, ADB, June Quarterly Economic Update, ADB, June

62 Annex Profitability: Within agricultural commodities fruits/vegetables and fisheries are more profitable than rice that is encouraging farmers moving away from rice production. Consultations with farmers reveal that increasingly they are looking more profitable commodities compared to rice. The price of has remained steady, sometimes low at the time of harvest, whereas cost of inputs and labour has gone up by making rice production less profitable. The project such as CCRIP may contribute to reducing cost of production. 13. Land holdings are becoming increasingly fragmented as farms are divided between sons on inheritance, and land (especially that of the larger land owners) is sold off or rented out as people move into non-farm occupations. Agriculture is increasingly in the hands of marginal and functionally landless farmers 6, many of whom produce primarily for subsistence. Although staple food production has kept pace with rising population, with rising incomes there is increasing demand for better quality foods fruit, vegetables, meat, milk, eggs and fish. Diversification into these higher value products puts further pressure on land for paddy and on the national goal referring to the self-sufficiency in rice. Agriculture also has to take the brunt of damage from natural disasters and climate change. 14. GoB Development plan: The broad directions for development over a longer time-span are set out in the Perspective Plan for Bangladesh Amongst other things, this plan would like to see genuine devolution of power to the local government level, and also says that in the process of socio-economic development of the country, agriculture will still continue to play a vital role in the long run in terms of food security, generation of income and employment for the multitudes living in the countryside and for eradicating poverty. More elaborate plans are available at the 6 th five-year plan, which clearly identifies rural and agricultural development as the priorities for the government. Rural infrastructure development and broadening access to financial service are important elements in the plan. Donor programmes 15. The World Bank: The World Bank s Country Assistance Strategy for FY2011 to FY2014 has the overall objective of promoting accelerated, sustainable and inclusive growth along with stronger governance. Sectors identified for support include infrastructure, dealing with climate change (including water management) and agricultural and food security. The ongoing NATP (co-financed by IFAD) is likely to have a second phase. Two World Bank ongoing projects a) Coastal Embankment Improvement Project (CEIP) and b) Emergency Cyclone Recovery and Restoration Project (ECRRP) with focus of building embankments and cyclone shelters will have complementary effects on CCRIP as they are implemented in the same area. 16. ADB: ADB s Country Operations Business Plan for includes investments in agricultural and natural resources and in transport infrastructure. Pipeline projects (including those planned in 2010) include a crop diversification project in the southwest of the country, climate resilient infrastructure in the coastal belt and a rural infrastructure improvement project. 17. USAID: Under its Feed the Future programme USAID is planning two projects: one with focus in rural infrastructure and another one for value chain development in South-western districts although exact scope of the projects is under development. 18. EU: The European Union s Bangladesh Country Strategy Paper ( ) identifies food security as a focal sector. The specific objective of the EU food security programmes is to eliminate food insecurity through holistic and integrated concepts and by strategically strengthening the capacities and responsibilities of decentralized government institutions for participatory planning and implementation of food security interventions. This is achieved through a focus on innovative approaches and interventions by primarily targeting extreme poor and food insecure women who have not benefited from mainstream poverty reduction programmes. EC interventions link food security with education, health, good governance and Disaster Risk Reduction. 6 In 1960, 84% of land was operated by the 48% of farmers who had medium and large size holdings (over 2.5 acres of land. By 2005, only 12% of farmers still operated over 2.5 acres, and 60% of all land was in the hands of the 88% farmers with less than this amount of land (BBS, Agricultural Census 1960, Agricultural Sample Survey 2005) 3

63 Annex 1 COUNTRY DATA Bangladesh Land area (km2 thousand) / 130 GNI per capita (USD) / 520 Total population (million) / GDP per capita growth (annual %) / 5 Population density (people per km2) / 1,229.2 Inflation, consumer prices (annual %) / 9 Local currency Taka (BDT) Exchange rate: USD 1 = BDT ***ADD RATE*** Social Indicators Economic Indicators Population growth (annual %) / 1.4 GDP (USD million) / Crude birth rate (per thousand people) / 21 GDP growth (annual %) 1/ Crude death rate (per thousand people) / Infant mortality rate (per thousand live births) / Life expectancy at birth (years) / 66 Sectoral distribution of GDP / Total labour force (million) / % agriculture 19 Female labour force as % of total / 41 % industry 29 % manufacturing 18 Education % services 53 School enrolment, primary (% gross) / 93.8 Adult illiteracy rate (% age 15 and above) / 45 Consumption / General government final consumption expenditure (as % 5 of GDP) Household final consumption expenditure, etc. (as % of 79 Nutrition GDP) Daily calorie supply per capita n/a Gross domestic savings (as % of GDP) 16 Malnutrition prevalence, height for age (% of children under 5) 43.2a / Malnutrition prevalence, weight for age (% of children under 5) / 41.3 Balance of Payments (USD million) Merchandise exports / Health Merchandise imports / Health expenditure, total (as % of GDP) / 3.4 Balance of merchandise trade Physicians (per thousand people) 1/ n/a Population using improved water sources (%) / 80 Current account balances (USD million) Population using adequate sanitation facilities (%) / 36 before official transfers / after official transfers / Agriculture and Food Foreign direct investment, net / 973 Food imports (% of merchandise imports) / n/a Fertilizer consumption (hundreds of grams per ha of arable 1,912.5 land) / Government Finance Food production index ( =100) / 117 Cash surplus/deficit (as % of GDP) / -1 Cereal yield (kg per ha) / Total expense (% of GDP) a/ / 11 Present value of external debt (as % of GNI) / 20 Land Use Total debt service (% of GNI) / 1 Arable land as % of land area / 61 Forest area as % of total land area / 7 Lending interest rate (%) / 16 Agricultural irrigated land as % of total agric. land / n/a Deposit interest rate (%) / 9.7 a/ Indicator replaces "Total expenditure" used previously. 1/ World Bank, World Development Indicators database CD ROM

64 Annex 2 Annex 2 Poverty, Targeting and Gender

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66 Annex 2 Annex 2 Poverty, Targeting and Gender A. Poverty Issues 7 Overview of poverty incidence and food security 1. Bangladesh has made commendable economic and social progress since independence in terms of economic growth, poverty reduction, increasing domestic food production and women empowerment. The economy currently grows at a rate of around 6% per annum, poverty has been reduced by more than half and rice production tripled. Bangladesh achieved gender parity in education, especially primary and secondary education in terms of enrolment and completion. Nevertheless, poverty is still ubiquitous and Bangladesh remains a low income country with substantial inequality, marginalization, exclusion and deprivation. 2. The Bangladesh Bureau of Statistics (BSS) conducted the Households Income Expenditure Survey in 2010 to ascertain inter alia the incidence of poverty, which provides the recent estimates of poverty-stricken people in rural and urban areas. In making poverty estimates BBS used the Cost of Basic Needs (CBN) Method, whereby any household with per capita expenditure below a given poverty line is considered as poor. Poverty measurement includes two types of poverty lines. These are upper poverty line and lower poverty line. Understandably, the upper poverty line represents a higher level of per capita household expenditure than the lower poverty line. The survey reveals that 31.5 per cent of people are living below the upper poverty line, while the percentage of people living below the lower poverty line is 17.6 per cent. Often they are referred to as extreme poor, ultra- poor and/or hard core poor. The following table presents incidences of poverty in seven Divisions 8. Table 1: Head Count Rate (HCR) of Incidence of Rural and Urban Poverty 2010 Division Lower Poverty Line Upper Poverty Line National Rural Urban National Rural Urban National Barisal Chittagong Dhaka Khulna Rajshahi Rangpur Sylhet Source: BBS (2011), Preliminary Report on Household Income and Expenditure Survey The above table shows that incidence of poverty in rural areas is higher than urban areas and rural poverty is the highest in Rangpur followed by Barisal, Sylhet & Dhaka, Rajshahi and Chittagong and Khulna. Further disaggregation of poverty data for Dhaka Division is likely to provide evidence for considerably higher incidence of poverty in greater Faridpur (which falls under the Dhaka Division) region including Shariatpur, Madraipur and Gopalgonj districts 9 as road communications are relatively underdeveloped in these three low-lying districts and they are geographically separated from the Dhaka city (the main growth center of the country) by the mighty river Padma. While coastal districts of south-west namely, greater Barisal and Khulna regions, remain vulnerable to cyclones and tidal surges, which are induced by climate change and tend to cause tremendous loss and damages to lives, crops and livestock. The coastal districts of the South-west also experience sea intrusion and increasing salinity, which significantly contribute damaging potentials of food crop production. 7 Prepared by Mahbubul Islam Khan, IFAD Consultant 8 Administratively, Bangladesh is divided into seven Divisions, which are sub-divided into 64 Districts and 465 Upazilas. Further estimates of incidence of poverty at districts level are likely to be available after 3-4 months, when BSS is expected to releases relevant disaggregated poverty data and information. 9 Districts are further sub-divided into Upazilas (sub-districts). Each district has a Sadar Upazila. In terms of road communications and overall development, Sadar Upazila tends to be ahead of other Upazilas of the same district. 1

67 Annex 2 4. Despite remarkable increases in domestic food grain production over the past decades Bangladesh still remains a food deficit country. In normal years with no major natural calamities, food production falls short of requirement and Bangladesh needs to import around 3.0 million tons of food grain annually to meet the shortfall in aggregate domestic production. Annual import goes significantly up in case of crop failure caused by natural hazards such as floods, cyclones etc. There are also problems in relation to food entitlement. In some underdeveloped geographic pockets with depressed agriculture, some sections of rural population tend to suffer from seasonal food shortages (e.g. during the Bengali months of Bhadra to Kartik, which corresponds to mid-august to mid-november) despite availability of food grain in the markets because of low purchasing power. Char (i.e. newly raised land) and low lying areas (which are most vulnerable to floods) including parts of Shariatur, Madaripur and Gopalganj districts and coastal areas of the South-West including parts of Satkhira, Khulna and Bagerhat contain some of these food insecure pockets. Many parts of greater Faridpur, Khulna and Barisal suffer from very high to high relative food insecurity Poverty Indicators: Some other poverty indicators are given below: Per cent of Headship of HH Figure: 1, Source: National Institute of Population Research and Training (NIPORT), BDHS 2007, MIDPCR, Mitra and Associates Figure 1 states that according to BDHS (2007) only 13% of households are headed by women. The proportion of female headed households is slightly higher in rural areas than urban areas respectively 13.2 and Similarly, the baseline survey of MIDPCR conducted in 5 districts of project areas which showed 93% of male headed household and rest 7% are the female headed households. Incidence of poverty (CBN) by selected HH characteristics by CBN method (Lower poverty level) (Upper poverty level) Figure: 2, 3, Source: Bangladesh Bureau of Statistics (BBS), Household Income and Expenditure Survey (HIES) Figure 2 and 3 show that in 2010, the Head Count Rate of incidence of poverty using the lower poverty line is estimated at 14.6 per cent for the female headed households whereas it is 17.9 per cent for the male headed households. In the rural area, the HCR of female headed households is 17.3 per cent whereas it is 21.5 per cent for the male headed households. In 10 Government of Bangladesh & World Food Program (2004) The Food Security Atlas of Bangladesh: Towards a poverty and hunger free Bangladesh (2004) 2

68 Annex 2 urban area these rates are 5.5 per cent and 7.9 per cent respectively. 29.3% female headed households belong to the upper poverty level in the rural areas and 17.5% in the urban areas. Source of drinking water Access to sanitation Figure: 4, 5, Source: NIPORT, BDHS According to the BDHS 2007, access to an improved source of drinking water (figure 4) in Bangladesh is 97 per cent and 2.8 per cent having access to non-improved sources. Nonimproved sources of drinking water are higher (3.5%) in rural areas than in the urban areas (0.5%). On the other hand, non-improved sanitation facility (figure 5) is 74.6 in the country following with 62.5 per cent in the urban and 78 per cent in the rural areas. Wealth quintiles Figure: 6, Source: NIPORT, BDHS Figure 6 shows that among the administrative divisions people living in Dhaka are more likely to fall in the highest (28%) wealth ranking group than other divisions. In contrast Rajshahi and Barisal are the more poverty prone area having 28% and 25% of lowest wealth quintile respectively. Nutrition status of children Figure: 7, Source: NIPORT, BDHS 2011, Preliminary Report 5. This figure shows that rural children are more likely to be stunted (45%), wasted (18.2%) and underweight (43%) than urban children 36%, 14.4% and 33.4% respectively. 3

69 Annex 2 Place of delivery 6. BDHS survey 2011 (BDHS 2011 preliminary report) reveals that delivery at home is highest in both rural and urban areas respectively 77% and 50.5% than in a public, private and NGO facility. In addition, it shows that 90.1% of delivery takes place at home among the lowest wealth ranking group. Basic Characteristics of holdings classified by area size (sex of the HH head and district wise) Figure: 8, Source: BBS, Census of Agriculture The figure 8 describes well the land holding (including farm and non-farm) pattern in the proposed 12 districts of Bangladesh where a very less portion of lands are owned by female headed households. Current poverty reduction strategy for rural areas 8. The government s poverty reduction and improving food security strategy in rural areas includes pursuing growth-oriented policies both in agriculture and rural non-farm sectors. It also spends considerable amount of resources in implementing a wide range of safety net programs including direct employment creation during lean periods. Distribution of Households receiving Social Safety Net Program benefits by division, 2010 (% of HHs receiving benefit) Figure: 9, Source: BBS, HIES Figure 9 shows that highest numbers of rural households of Khulna division (43.27%) have benefited by the social safety net program and the lowest rural households (22.85%) have been benefited in Rajshahi division. 10. The government supports agriculture through providing highly subsidized crop, livestock and fisheries research and extension services and channelling loans to farmers through specialized agricultural banks namely, Bangladesh Krishi Bank (BKB) and Rahjshahi Krishi Unnayan Bank (RAKUB). It builds rural infrastructure such as village, union, upazila roads, markets and further develops rural growth centres, mainly through Local Government and Engineering 4

70 Annex 2 Department (LGED). It supports rural cooperatives through the Bangladesh Rural Development Board (BRDB). The government also develops relatively large surface water irrigation systems. On the other hand, the prolific Bangladeshi NGOs collectively operate a countrywide rural network mainly to provide financial services such as microcredit to the poor. The government provides loan funds to NGOs through an independent organization named Palli Karma Sahayak Foundation (PKSF), an apex financial organization formed by the government, which mainly wholesales loan funds to NGOs. Some NGOs provides primary health and education services alongside the government in rural areas. Target group: social and economic conditions and opportunities 11. The population of the market catchment areas under the CCRIP project represent the target group as well as the primary beneficiaries of the project. They are mostly small-scale producers (such as farmers, artisans), small-scale traders, agricultural and off-farm labourers. Women and girls will constitute a half of the primary beneficiaries. The existing constraints of different occupational groups related to poor communication and undeveloped markets are as follows as gathered through FGDs with sample beneficiaries: 12. Poor farm and off-farm labours: Agricultural production is limited in the coastal areas because of increasing water salinity and soil salinity as well as scarcity of good quality irrigation water in dry season. According to the FGD participants most of the villagers belong to either poor or extreme poor groups. Some of them are landless; some own only the homestead land and suffer from food insecurity for 4-6 months during the year. Single crop Aman rice, shrimp cultivation and Rabi (vegetable/fruits) create 4-6 months of employment opportunities for the labourers in most of the project Upazilas in Bagerhat, Satkhira and Khulna districts. For the remaining months they stay unemployed or under-employed. As a result, some catch fry, fish from the river, collect fuel wood from the Sundarbans, work as domestic help, pull van and rickshaw, migrate to different places to find temporary employment. Some women make mat and local quilt. In places where scarcity of drinking or sweet water is acute, women are seen to supply water from the ponds to the shops in plastic jar and bucket. During the field visit (May) many families were found where the male members had left the village for Gopalgonj to harvest paddy. Some extremely poor women also leave villages with men from the same locality. Usually the women cook for the labours and receive rice as payment. Some rural poor men and women in Khulna district have been found working in rice mill and fish processing industries which were established in Khulna city about 2 years ago. Many poor men also go to Dhaka, Khulna and other big cities to pull rickshaw and van. During the FGDs, the poor groups urged for employment generation at local level in order to ensure their livelihoods. The CCRIP project would generate employment opportunities for the poor and destitute women in LCS who will receive a daily wage as well as the share of profit. They can invest their profit money in income generating activities. Skill development training will be provided which is likely to generate further working opportunities in other infrastructure related projects. 13. Small farmers/producers: This group of rural population have small amount to 1.5 acres of cultivable land but may face food insecurity if crop is damaged by natural disasters. They commonly borrow from NGOs and local moneylenders (dadon, advance money against production). They also cultivate as sharecroppers and involve in small trading. This group of people lack access to quality input and services. One fish farmer said due to the earthen road and huge distance we cannot get the quality fry most of them die during carrying even what happened after Aila, some NGOs and government provided us fry of fish and shrimp; however, most of them died before reaching to our locality so whole the relief or assistance became meaningless/worthless. Moreover, the small farmers sell their commodities in the local markets but receive lower prices due to the poor infrastructure and high transport cost. It also takes much time to carry to the market during unfriendly environment to sell the produces. There is no shed in the market where producers can sit with their commodities. All sellers irrespectively male and female have mentioned the problem which compels them to sell quickly to leave the place earlier. They also reported that agricultural officers and fisheries officers are reluctant to visit their villages. They expect a better road will increase availability of agricultural technologies for rice, fish, poultry, and livestock and so on which will increase their productivity. Commodity price would increase as more buyers/wholesalers would come and more shop would be constructed in the market once the market infrastructure is developed. 14. Small traders: Input suppliers, vegetable/fish sellers, wood suppliers, vendors and the shopkeepers have been consulted in the market areas and villages. They need to travel catchment areas to buy goods but face serious difficulties due to undeveloped, muddy rural roads. Particularly it becomes hazardous during monsoon. Many poor women run tea shops, 5

71 Annex 2 tailoring shops and grocery shops. They have to depend on haat days (twice in a week) for most of their income earning. They expect if the market is constructed and access road is developed more people would come for buying and selling which would increase their earning as well. They do not have any water and toilet facilities in the market. Poor women also sell cosmetics, women clothes, household utensils etc. by hawking. But poor road communication hampers their business expansion two ways: 1) difficult to sell by walking on earthen road as no vehicle is available, 2) difficult to visit town or sadar to buy their business material which is time consuming and results high cost. As a result, they make less profit. 15. Households that own 1.5 to five acres of cultivable land are considered as middle class. They are involved in business, job, agriculture and fisheries production. They usually do not face food crisis and have access to Bank and NGOs. People of this group lease fish ponds and also own fish storage in the local market. They buy fish from the small producers and keep in the storage to bring to the big markets by boat. Usually small producers cannot afford to take their small production to the big market due to the high carrying cost and other requirement to keep the fish fresh. 16. The people who have more than 5 acres of arable land are considered as non-poor. According to the FGD participants, 10% of households could be considered non-poor. They own permanent shops, lease out the lands to others and manage bigger businesses. 17. Other professional groups: A very small number of people are employed as health workers, certified village healer (Rural Medical Practitioner), NGO workers and teachers. The FGDs report death of patients as they could not be taken to doctors due to poor road communication, especially in the wet season. Rural government clinics were found that provide basic health care, mostly by poorly trained health workers, not doctors. Moreover, in most of the undeveloped villages do not have high school, so the students travel long distance. Many poor households cannot afford to manage their transport cost. Only the rich families usually rent house and stay to the near the educational institutions. This is one of the major reasons of drop out of the students after primary school. Therefore, it is expected to improve rural people s access to health, education and other services through the proposed project. 18. People of different occupational groups suffer from some common problems irrespective of their economic condition and land holdings such as frequent natural disasters, scarcity of drinking water, poor communication system, access to market, technology, inputs and services, health facilities, educational institutions and so on. Particularly children and women suffer the most related to health and education services. From 10 out of 12 villages visited, villagers reported death of children and pregnant women. Only the well-off families can afford to take the pregnant women to the health complex in advance before the expected delivery date. 19. Therefore, the development of markets and roads is expected to hugely benefit the whole community, especially the farmers, small traders, poor people and destitute women. The expected outcome of CCRIP project is increased employment, increased wages and higher income, better access to education and health services, and greater mobility of women. Land values near the road would also increase. Convenience and comfortable environment for selling and buying of products would encoureage increased busiess. 20. Special care will be taken to make CCRIP markets women friendly. Women s representation in market management committee will be ensured. Each market will have a separate hygienic toilet facility for women and girls. Labour Contracting Societies (LCSs) comprising women labourers will be engaged in project construction work. Potential markets and connecting roads will be chosen in strategic places for development to maximize catchment areas and number of potential beneficiaries. How the target groups manages risks and vulnerabilities 21. For poor families illness is the most frequent cause of crisis that imposes a significant additional burden on scarce household resources. Other socio-economic shocks include litigation, payment of dowry, loss of livestock etc. Limited crop production due to salinity, problems of road network and communication, poor human health and nutrition, lack of employment opportunities, problems in fishing activities, population migration, unsafe 6

72 Annex 2 drinking water and problems of agro-based industries are the major socio-economic constraints. Natural calamities such as floods, cyclones, tidal surge etc. which affect certain geographic areas cause crisis by damaging/destroying asset base of households. Since people do not have ample employment opportunities round the year, their food security situation is vulnerable. Majority of the people in coastal areas are involved in crop cultivation and fishing and they remain frequently unemployed due to tidal flooding and other natural disasters resulting food insecurity in the areas. Poor families find it difficult to cope with natural calamities. Poor families often respond to crisis by taking loans preferably, from friends and relatives. They tend to use savings and capital and sell livestock and lease/mortgage out land. Advance labour sale and male migration are part of the coping strategies employed by extremely poor households. As a coping strategy of crisis period many poor people migrate to different places either temporary (seasonal) or permanent in within country as well as abroad. The following table shows the migration trend in Bangladesh: Per cent of HH reporting migration Total Rural Urban Total Within country Abroad Source: BBS, HIES 2010 Needs assessment for livelihoods support related to infrastructure and market access 22. Investment in physical market infrastructure and connecting roads can bring a thrust to the development of livelihoods in catchment areas. Rural markets and connecting roads, if developed properly in a planned way, can potentially become local growth centres. Local markets create economic opportunities and generate employment and income. Climate smart rural infrastructure helps reducing damages attributable to natural calamities. Improved markets and connectivity will enable small-scale producers to reduce hardship in and costs of transporting their products to and from markets. It can also attract more wholesalers and retailers leading to better prices and access to tertiary markets. Small-scale producers in catchment areas of will need capacity building on improved marketing practices such as cleaning, grading, packaging etc.to fetch better prices for their products. Improved markets with better road connectivity are likely to improve access to agricultural inputs too. All these will create stronger incentives for local level producers. The following prioritized needs have been found from field visits: Prioritized Needs Priority needs of different occupational groups Wage labour Small farmer /producer Small trader Women /children Employment opportunity Businessmen /well off class Potable water Irrigation water Rural access road Market infrastructure Educational institutions Electricity Hospitals Cyclone centres Economic support with less interest than NGOs Experience of MIDPCR 23. Impact studies in MIDPCR areas showed that investments in market and small-scale roads infrastructure developments brought development opportunities in people s livelihoods in rural areas. Improved infrastructures contribute to additional private investments in agriculture and other business. It has also been observed that due to market and communication system 7

73 Annex 2 development, production in agriculture sector increase, employment opportunities improve; labour productivity and their income also increase. 24. Out of targeted 65 markets under MIDPCR, 12 markets have women s market areas. The labour contracting societies completed all market construction including market sheds, open space, drain, internal road and toilets. According to the Annual Super vision mission September, 2011, 2741 poor women participated in the construction work who received training from the project staff. Among them 1,199 LCS members joined the project NGO MFIs groups for training on income generating activities and micro-finance services. All LCS members got paid work of about days in a year during the construction period and made taka 5-38,000 profit. More than 90% ex-lcs members invested the profits to IGA. The skills they acquired during construction of the market and roads enabled many women to find other employment. 25. More than 90% microcredit groups are women and have been receiving training and financial services from the project NGOs that included training on fisheries, livestock, and vegetable production. DAE also organize training for women and provide technical assistance for homestead gardening. Members of LCS under MIDPCR acknowledged that their involvement with market development activities assisted them in their social development. Members of LCS became self-sufficient or able in earning their livelihoods and earned respectable position in the society. LCS members are also happy that they need not to pay toll for selling their products in the market they constructed. MMC has issued identity cards to LCS team members to avail toll free support. These developments also increased access to common property resources for the rural poor. 26. A short-term impact study of MIDPCR showed that, on average, women had earned Taka 7,469 in wages and had received Taka 9,569 in profit share. Living on own land has increased 16.94% and remarkably reduced living on others land (35.74%). Wages and profit money have been divided between productive enterprises (34% in total, with 19% being used to buy cattle), 28% was used for household investments (leasing-in land 9%, land purchase 5% and house building 6%), and 38% for consumption (29% for food). The number of cattle owned by sample households increased by 169% and goats by 140%. This shows that benefits from LCS have been partly used to support families (the percentage of children going to school increased from 74% to 86%) and partly for purchase of assets. 27. In addition, Impact assessment on rural market (2011) found that the number of traders has increased by 44% (4,223) on a hat day and 33% (2,019) on a non-hat day. In addition, Short term impact survey report on the existing group member of NGOs (2011) has revealed that more adult family members (7.3%) are now engaged in IGA activities and 14% small and medium enterprise established and 22% enterprises expanded by loans from NGO- MFIs. Food insecurity for more than three months has been reduced from 32% (2008) to 20% (2012). B. Gender Analysis The south-western region of Bangladesh is one of the natural disaster prone areas, and particularly, Bagerhat, Khulna, Satkhira viisted by the inception mission and project formulation mission were severely affected by SIDR and AILA. The mission also visited Gopalganj, Madaripur and Shariatpur districts from 1 st February to 5th February. The mission conducted FGDs with groups comprised of rural poor women, UP members (women), traders/shopkeepers where women discussed situation regarding poverty, land ownership, housing and sanitation, access to potable water, health facilities, education etc. along with their various kinds of vulnerability as poor and as destitute women. These included life as widows, life as women abandoned by husband and having disabled male household head. In addition, women s perception towards construction related work and willingness to engage as contractual labour road and market construction also have been discussed. This report represents findings of the FGDs and review of some previous and on-going infrastructure development projects to provide gender related inputs to CCRIP project design. 29. Market infrastructure development offers a range of opportunities to support women empowerment. The Sustainable Market Infrastructure for Livelihoods Enhancement (CCRIP) project will be implemented in 32 coastal and flood prone Upazilas with high incidence of 11 Prepared by Sinora Chakma, Consultant (Gender Specialist), IFAD 8

74 Annex 2 poverty, poor communication and market facilities in south-western region in Bangladesh. The project proposes to develop women section, separate toilet facilities and create employment through construction work and maintenance as well as skill development of the poor women. Poverty situation of the visited areas 30. Disasters: All houses built with weak materials were damaged by the SIDR in Khulna and Bagerhat. On the other hand, the village of Satkhira district was affected by the AILA. These disasters had resulted loss of human lives, livestock and damaged communication infrastructure along with destroyed water and sanitation system. Many people became impaired. The people of these locations geographycally vulnerable in terms of lack diversified income earning opportunities that ensure earning for throughout the year. Among them women are the most vulnerable as women and as poor. Therefore, it was really difficult for the rural poor to cope with such kind of calamities receiving almost no support from government except food (not adequate). 31. Female-headed households: Female headed households have been found who are either widow or abandoned due to husband s second marriage. Usually men migrate to outside the locality to work in agricultural fields, brickfields, construction etc. and other works. It is common that they get marry again in the new place and rarely come back to village. As a result, many women became head of the household and responsible to manage livelihoods of the children and in some cases old parents. 32. Religious diversity: Hindu and Muslim communities have been found in the area of Khulna, Bagerhat and Satkhira district except Christian community found in Khulna area. Poor people have no arable land, even most of them live on khas or others land. Poultry rearing is common, but livestock raising is not practiced by the poor people due to absence of adequate grass and trees as well as the poor health services of the livestock department. 33. Housing and access to water: The poverty status of the rural people appear clear with their weak housing structure and katcha sanitation system particularly in Khulna and Bagerhat districts. There were insufficient government and non-governmental supports have been provided to the victims of SIDR and AILA. Scarcity of potable water due to salinity is common problem in the region. Since there is no tube well, people have to depend on the pond water, which is sweet but requires boiling. Therefore, women need to spend 2-3 hours to collect water from distant place (mostly pond) which is much difficult during rainy season since the road became muddy and submerged. 34. Dowry: Dowry is practiced in all the places; however, it has been observed that everybody is aware about the negative aspects of early marriage and known about the actual age of marriage for men and women. 35. Health service: Due to the geographical location the people are vulnerable to health hazards in regards to working in saline water, scarcity of potable water, poor infrastructure and natural disasters. Among the basic services poor people mostly face lack access to health facilities. They depend on pharmacies for medication as well as midwives for delivery; however, in case of serious situation many people die in these localities due to absence of proper communication with the hospital. The rural women stated that as the only communication system with the town is boat especially at night time and in the rainy season it is difficult to hire a boat regarding high charge or even in the day time they need to wait until the boat is full to move. They also shared that as it takes long time to move many patients die even on the boat. Therefore, this poor communication system costs high for the poor to get health services which often causes of death of pregnant women and new born babies. 36. Schooling: Poor women cannot afford money to send their children to school though they get free book, nevertheless, it is difficult to manage the cost for dress and other related materials for schooling. 37. Access to microcredit: Among the three visited places of Khulna, Bagerhat and Shatkhira, only the poor women of Satkhira district have access to NGO for savings and micro- credit. These women make mat with local materials and sell it to the local market. It requires 2 days to make a mat which is sold for 200 tk and above. On the other hand, other two villagers do not 9

75 Annex 2 have any involvement with NGOs due to their irregular income which prevents them to fulfil the requirement of access to loan. Income-generating activities 38. In coastal and riverine areas the employment opportunity is very limited and the rural poor households of these areas have to depend upon fisheries and off-farm labour. Due to salinity they can only produce Aman paddy, some vegetable and fish, mainly shrimp. Poor and destitute women lack access to wage employment. As the rural communication system is poor there are no or very limited commercial business/offices/ngo activities exist which can generate employment opportunities for the rural women. Thus, women of these locations have involved in agriculture labour, in construction especially earth work, domestic help and some in factories. However, these type of work is not available for the whole year in order to manage livelihoods. Since there are very few well-off households at the rural level, only one or two women can get access to work on a regular basis, it means that the women cannot earn money despite of their physical ability to work. Destitute women are paid rice or food according to the time they spent. As a result, when a very few number of women get any long termed work to anybody s household are considered lucky. Only one woman out of 27 expressed that she goes to the town of Morelgonj and Bagerhaat to work in offices and others house during rainy season when there is no work in the village. However, as it requires transport cost and other support, other women cannot follow her. The communication infrastructure of the adjacent villages of Baniashanta bazaar, Khulna and Bohorbunio bazaar, Bagerhat are poorly developed with submersible rural roads that have some connectivity during the dry season and boats which acts as the main source of communication during the flood season. 39. Among three areas only the women of the adjacent villagers of Khajra bazaar, Satkhira have been involved producing mat commercially with local materials. It is one of the major IGA activities for the women. However, many poor women cannot buy the raw materials to produce the mat and thus excluded from the earning activities. 40. Women also involve in small trading comprises temporary selling of consumer goods for example, bangles, cosmetics, saree and other women s accessories. Some sit in shop and some sell it by hawking to the adjacent villages. Some women also have been found to operate restaurant business, temporary teashop/sweetmeat, grocery shop and tailoring shop. These women sometimes own a small shop which have seen in Banishanta market and in other places. Some women run their small trade at household level. 41. Women of the visited villages of Shariatpur, Madaripur and Gopalganj districts normally take care of HHs and participate in agricultural production, harvesting and processing. Women from this village do work for road construction etc. although LGED has LCS groups from other areas. Access to finance is relatively easy from MFIs, where most major and local MFIs offer loans. 42. Sometimes the nature of the income generating work in local level is very risky for the women. For instance, most of the destitute women of Baniashanta manage their livelihoods for six months by fishing from the river which starts from late February or early March when the water comparatively less cold. They need to spend much time in the water and particularly three months of fish breeding period (March-May) is their most vulnerable period. Since fishing is prohibited at that time, they catch fish at night carefully, otherwise possibility to caught by the coast guards. This kind of working nature often causes different kinds of physical hazards. Nevertheless, rest of the six months they hardly can manage food for three times a day. 43. In all places wage discrimination by sex in all kinds of wage labour have been noticed which varies from tk per day. 44. Coping strategies of the destitute women with the vulnerability: Usually in the lean season men migrate to outside and some young girls also go to work as factory workers. However, extreme poor and destitute women cannot migrate. They stated that since their relatives and neighbours are also poor they cannot help each other. Moreover, they are excluded from NGO support due to absence of regular income and thus inability to repay the loan. Thus, their children are compelled to engage in labour and they reduce food intake or fast. 10

76 Annex In all places, the poor women have urged for creating working opportunity and showed their keen interest to involve in construction work to cope with their vulnerabilities. Women and the market 46. Many rural communities particularly the coastal zone areas lack road links and all-weather access to market centres and services. Poor women come to the market for both buying and selling purposes. They have no social or cultural restriction to visit the market and can visit the market without men s accompany. Mostly the poor women come to the market to sell their own agriculture produce such as vegetables, egg etc. Woman s membership in Market Management Committee has been found only in Khajra bazar, Shatkhira who operates a big shop in the market. 47. The sample markets faces the following problems: a) Lack of transport and fully depend on walking to carry products due to absence of road; b) Rainy season is the toughest season for them to visit market (roads become muddy and submerged); c) Time consuming; d) No water as well as toilet facilities at market, if has, the toilets are locked by the committee; e) No separate/remarked space for the women seller; f) In rainy season they need to sit with commodities in open space which is muddy as well; g) Less profit of the poor shop owners because of toll and rent of the shops as well as the charge for carrying water from distant places; h) Lack of capital to expand their small trade; i) Requires high cost to visit the next developed market. Problems with working in construction work 48. Women of three locations have experience to work in earthen road. The problems they faced during the construction are: a) Threat of exclusion from the male leader in construction work if they fail/refuge to carry excess than usual which is possible for men, but hard for the women worker; b) No water and toilet facilities during work particularly if there is no house along the working site; c) Problems with taking care of young child; d) Less wage than the male worker. Lessons learned from other projects 49. To complement the proposed CCRIP project some similar projects have been reviewed to show the effectiveness and impact of such intervention on the destitute women to enhance their livelihoods. Char Development and Settlement Project (CDSP-III): CDSP is the first and up to now the only project in Bangladesh where the woman s name has been included on the khatian (the official document of title to khas land). The project also treats landless female-headed households as a priority category in land settlement activities. In addition, CDSP-III NGOs have formed groups consisting exclusively of women covering almost 100% of all female settlers in the project area. Market Infrastructure Development in the Charland Regions (MIDPCR): The poor destitute women have access to wage employment during construction of rural market, rural road and maintenance. Training on IGAs and micro-credit support their economic development became sustainable. More women are encouraged to engage in such works and involve in small trading through increased mobility to market having separate places to sit with commodities, separate corner for the women and small shop allocated for the women shopkeepers and access to separate toilet and water facilities. According to the supervision mission September, 2011, 2741 poor women participated in the construction work who received training from the project staff. Among them 1,199 LCS members joined the project NGO MFIs groups for training on income generating activities and micro-finance 11

77 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 2 services. All LCS members got paid work of about days in a year during the construction period and made taka 5-38,000 profit. More than 90% ex-lcs members invested the profits to IGA. Sunamganj Community Based Resources Management Project (SCBRMP): Through the LCS groups, women (56 per cent) and men (44 per cent) were trained and employed in road construction work. More women than men were also involved in managing the construction of Concrete Block Roads (CBR), an innovation designed by the project. The work is organized through the LCS and COs and women members were coordinating and managing the construction work, went to markets to purchase cement and other materials, and kept accounts. Women and men were paid the same wage for the construction work. The roads were maintained by 100 per cent women workers who were mainly women heads of households, earning around US$33 a month. The roads, apart from improving access to markets, also improved attendance of girls and boys in school and access to emergency health services. The impact of above mentioned projects prove that women s positions have been improved in terms of access to better income-earning opportunities, savings and microcredit loans. These have improved their living standards, food security and access to health facilities, children s education etc. Women have got the ownership of land rights, decision making power at household level as well as public sphere, women s mobility has been increased and now more women are aware about the issues related to violence against women. Proposed intervention and expected outcome of the project 50. The project will replicate experience of building rural markets under MIDPCR by LCS.. The CCRIP project foresees the following benfits to poor women: a) Wage employment generation for the vulnerable group particularly local destitute women as they will be engaged (using LCS scheme) in village road construction and maintenance, rural market improvement and maintenance. All LCS will have women leaders and the male members will be skilled construction workers, masons and their work assistants; b) They will receive IGA training from PKSF partner NGOs in addition to financial services; c) More women will be encouraged to engage in trading in women friendly market infrastructure (access to separate toilet facilities and water, separate space for trading, toll free trading for the LCS members) as well as improved rural roads will enhance their capacity to spend much time for productive works. d) Income generating activities would be increased which will enhance poor people s sustainable livelihoods by skill development of the women workers, possessing household assets which will provide them a regular income and make them empower to take decision at household level and public level; e) NGO activities and other government services such as health facilities, education will be enhanced since the road communication will be improved; f) Poverty situation will be improved at rural level when vulnerable people will be able to intake adequate food, establish access to the basic services; g) Women s participation in the MMCs will be reflected through women s membership in MMCs; h) Moreover, through this project the LCS members will receive training on construction and maintenance. Later on this skill of construction work will enable women to work in future construction work by other donor funded projects. 12

78 Annex 3 Annex 3 Country Performance and Lessons Learned

79

80 Annex 3 Annex 3 Country Performance and Lessons Learned IFAD Portfolio and Institutional Mechanism 1. The recently completed, on-going and recently designed IFAD funded projects belong to projects under 2006 COSOP that created excellent development impacts in terms of poverty reduction and provided major lessons and inputs for designing follow-on projects including the present SMIL project. The project under IFAD Bangladesh portfolio focus broadly in three intervention areas: Microfinance services and value chain development although a number of value chain development initiatives are grouped with rural infrastructure projects: Three projects MFTSP, MFMSFP, and FEDEC implemented by PKSF- fall under this category. All these three projects are primarily financial services projects through PKSF and its partner organization but include also agricultural technology transfer, training and value chain development of farm and non-farm subsectors. MFTSP and MFMSF projects were closed in 2011 and 2012 and FEDEC is due to complete in Rural infrastructure projects: Rural infrastructure includes Union and village roads (all weather and submergible roads), rural physical markets development, small embankment and irrigation infrastructure. The on-going SCBRM and MIDPCR implemented by LGED focus on rural infrastructure in haor basin (SCBRM) and coastal areas (MIDPCR). SCBRM developed rural roads (all weather, and submergible roads) using LCS in one of the environmentally fragile zone of Bangladesh. MIDPCR has developed rural roads and markets in coast areas with very good results. Participatory Small-scale Water Development Project Phase III (SW-III) co-funded with the Asian Development Bank (ADB) where LGED builds minor irrigation structure (closed and open irrigation channels, sluice gates and minor embankments) to boost agricultural production. SCBRMP promoted self-help group approach of microfinance, which was later dropped due to poor performance. MIDPCR has assisted MFIs to provide microfinance services to groups of landless, and small and marginal farmers where it built markets. It has also managed a small value chain development program through an international NGO (INGO). Two other major infrastructure focused projects HILIP, which is a follow-on of SCBRMP project and CDSP-IV, which is replication of CDSP project have just started implementation. Although the lead agency for CDSP-IV is WDB but it has significant LGED component to build roads, markets, cyclone shelters etc. similar to MIDPCR. Agriculture and natural resources management: MIDPCR has an agricultural development component implemented by DAE of Ministry of Agriculture (MOA). DAE, DLS and DoF also implement the National Agricultural Technology Development Project (NATP), co-financed with the World Bank. SCBRMP promotes high-value crops in haor areas, which will be taken over by HILIP. One important activity under SCBRMP, which will be also expanded under HILIP, is management of beel (small water bodies within haor basin) by the poor people that increases access of the poor people to natural resources. Three projects under PKSF have directly financed farmers, and trained farmers on agricultural production technologies and promote many agricultural commodities with impressive success. 2. Two important institutions LGED and PKSF implement bulk of directly managed IFAD projects with huge success. LGED has a proven capacity to implement large and complex projects which link livelihoods development with rural infrastructure. LGED s use of Labour Contracting Societies (LCS) has channelled a share of construction work to the poorest women. PKSF has built a huge reputation in the management of micro-finance and calls more than 250 microfinance institutions (MFI) its partner organisations. By this, PKSF plays a key role in the microfinance sector in Bangladesh. It now faces fresh challenges in developing broader approaches to poverty reduction and has ventured into value chain projects, vocational training and the promotion of employment for the poor. BWDB has vital expertise in water engineering but faces institutional constraints in efficiently managing projects. Institutions that make up the Ministry of Agriculture, DAE and the National Agricultural Research System (NARS) have a great outreach and well established roles in leading this key sector. However, they have acknowledged problems in their human resources, with administrative tasks that leave DAE staff with little time to support development projects. 1

81 Annex 3 Past results, impact and performance 3. Data from project surveys provide evidence of the impact of projects in terms of better livelihoods, increased income and improved food security. Table 1 below summarises some of the improvements in food security reported in these surveys, while Table 2 presents data on the change in child malnutrition. Table 1: Changes in food security Project Indicator Change Notes Aquaculture Development Project Smallholder Agricultural Improvement Project Micro Finance and Technical Support Project Micro Finance for Marginal and Small Farmers Project Sunamganj Community Based Resource Management Project Per cent of households reporting improvement Decline in average length of period of food shortage Per cent of households reporting improvement Per cent of households reporting improvement Per cent of households reporting improvement 14% (control group 1%) Final impact survey % (control group 29%) Final impact survey, % Impact over a 4 year period % Mid-term impact survey Members of BUG* 15% Members of CO** 17% BUG over 2 years CO over 6 years *BUG: Beel (water body) User Group; ** CO: community organisations; Source: COSOP Table 2: Sunamganj - child malnutrition indicators Percentage of children Chronic malnutrition (height-for-age < -2SD) Acute malnutrition (weight-for-height < -2SD) Underweight (weight-for-age < -2SD) Source: RIMS anchor indicator surveys, SCBRMP, Mitra Associates as quoted in COSOP Three projects through PKSF have greatly expanded microfinance services to the poor, landless, marginal and small farmers, and micro-entrepreneurs. Agricultural technologies promoted by PKSF and other projects have made good impacts in boosting production and reducing cost of production. Value chain development activities, although small in terms of resources compared to respective project resources, showed evidence for growth in sales and profitability and opportunities for expansion. Lessons learned 5. The present and recently completed projects show most relevant lessons for designing new projects in terms of project activities, process of implementation and institutional choices. The COSOP completion review suggests the following as perhaps the most critical lessons by sector: Agricultural development remains critical to ensure food security and employment, whilst the support to enter the non-farm sector for employment is increasingly important for poverty reduction. IFAD funded projects show that the combination of agricultural development with access to financial services and adequate extension services augment the scale of impact and sustainability of a new technology. Extension services need to be specialised and could be delivered by both DAE and the private sector. A value-chain approach can ensure the input supply and diversification alongside the promotion of technology to assist farmers and microentrepreneurs to enhance profits, generate business and employment. Microfinance including microcredit remains critical although the financial services have expanded greatly in the country but the emphasis needs to be on developing demand driven services and customizing the service as much as practicable. The Self Help Group approach to micro-credit does not deliver the benefits in terms of poverty reduction, and is un-sustainable than the more usual Bangladesh microfinance model. Seasonal loans for agriculture meets well farmers demand, but needs close monitoring to ensure repayments. Increasingly larger loans for agriculture and microenterprises, and MFIs are better equipped to provide such follow-up than commercial banks. Savings and insurance products including livestock insurance remain important to cope with financial and natural shocks. A number of pilot projects in livestock insurance and savings products show great opportunities for further expansion. 2

82 Annex 3 Value Chain Development: A number of IFAD projects (FEDEC, MFMSFP, MIDPCR and MFTSP) have had success in using a value chain approach to developing enterprise and livelihoods. These activities include dairy farming, poultry such as backyard chickens, ducks an crops such as maize and horticulture particularly, tomatoes, brinjal, gourds and other vegetables, soybeans, mustard, oilseed crops, etc. The strategy of linking producers to service providers and markets has resulted in adoption of new technologies, increased yields, higher producer prices and significantly higher profits. The current project will also adopt such a value chain approach in identifying opportunities for livelihood protection. Small-scale infrastructure in terms of rural markets and communication roads showed impressive impact on the local economy and employment. The trade volume increased substantially within a short period of time, while cost of transport could be halved and local wages doubled with the increased demand for labour. Prices increased as demand increased due to more buyers arriving from far away. The village roads built in Sunamganj have boosted the local economy and improved livelihoods. A study carried out by SCBRMP found a major switch to the use of light motorized vehicles, increased cropping intensity and area under crops, especially high value crops grown for the market, and sales of crops. The cost of transporting crops and fertilizer had halved, and more labour was being hired for both farm and non-farm businesses. Survey respondents reported increased employment opportunities, increased wages, higher income, better access to education and health services, and greater mobility of women. Land values near the road had more than doubled. Rural Markets: Rural markets have been successfully developed in relatively remote coastal areas by the Market Infrastructure Development Project in Charland Regions (MIDPCR). Even before the link roads are complete, benefits from market development include: (i) an increase in the number of buyers and sellers (including women) by at least percent; (ii) an increase in the number of wholesalers coming to the market leading to greater competition (iii) a greater choice, variety and quality of goods; (iv) a good environment not only for selling and buying but also for community members to meet; (v) decrease in losses of perishable produce as goods are sold more rapidly; (vi) decrease in cost and time spent on transport; and (vii) increase in value of land and construction of other facilities (such as shops) in the area around the market. A survey recorded an increase in average sales per trader of 32% (from Tk11,755 to Tk15,475 per week). Based on this data and the increase in numbers of traders, the overall increase in volume of trade was reported to be 75%. Type of construction: The on-going IFAD project in the Haor Basin, the Sunamganj Community Based Resource Management Project (SCBRMP) has pioneered the construction of village (community) roads using reinforced concrete (RCC). Unlike conventional bitumen road pavements, concrete roads are submersible and can withstand flooding. Not only does this make them suitable for the flooding conditions of Sunamganj, but embankments do not need to be built to keep roads above flood levels. Such embankments can obstruct the flow of water and cause additional environmental problems as they block the free flow of water and can cause water logging. SCBRMP s further innovation was to make the roads from concrete blocks rather than RCC. This reduces the cost and because of the more labour intensive nature of using this technology it creates additional employment for women and enables them to adopt a more flexible work schedule. The block pavement is less vulnerable to major subsidence of the base structure. Even if the road is entirely eroded by flood water, the blocks (which represent most of the value in the road) can be recovered and the road re-laid. This makes it particularly suitable for flood prone locations. Labour Contracting Society: The use of Labour Contracting Societies as a principal mechanism for constructing village roads and other small schemes was an effective way of targeting the poorest women. A baseline survey for MIDPCR showed that 68% of the women members were the principal bread-winners for their families with two-thirds of respondent households. Households of women involved in the LCS generally did not even own land for a homestead and all had incomes that would place them in the poorest 10% category. Almost all of these households suffered from some period of food shortages, with 41% per cent experienced these shortages all year round. A follow-up survey of MIDPCR LCS found that, on average, women had earned Tk7,469 in wages and had received Tk9,569 in profit share. Wages and profit money have been divided between productive enterprises (34% in total, with 19% being used to buy cattle), 28% was used for household investments (leasing-in land 9%, land purchase 5% and house building 6%), and 38% for consumption (29% for food). The number of cattle owned by sample households increased by 169% and goats by 140%. This shows that benefits from LCS have been partly used to support families (the percentage of children going to school increased from 74% to 86%) and partly for purchase of assets. 3

83 Annex 3 Women also reported improved confidence and a better standing in their families and in the wider community. Natural resources management and community fishery is a successful poverty reduction approach. Secure long term leases for community fisheries can move fishing households from poverty all the way to prosperity, as shown in SCBRM project. Despite support from MoL, the transfer of water bodies to community management is a difficult and lengthy process, and may require some support by international agencies. Regular leadership elections via a secret ballot help ensuring that leadership in fishery groups remains accountable to members. Women empowerment. The use of LCS instead of a commercial contractor for construction of markets and roads creates employment, enhances skills and cash in the hand of the poorest women and boosts their self-esteem. Technical and skills training in agriculture has had limited impact on women as agriculture is mostly managed by men. Decision making power remains a key issue for gender. Although women benefit from membership of micro-finance groups, the realized gains are limited as men still dominate most major decisions. Project management issues: It is important that right institutions and right mix of activities are chosen to implement projects to ensure smooth implementation and impacts. LGED s core competence is implementation of infrastructure project, and it has skilfully implemented both SCBRMP and MIDPCR infrastructure component whereas it struggled to deal with MFIs and managing value chain activities. In addition, combining infrastructure with financial services and value chain development is also packaging wildly diverse activities under on project although there may be demand for these activities. Whereas it has been found perfectly alright to deliver financial services combined with value chain activities under PKSF both in terms of match between activities as well as implementation capacity where PKSF and its partner organizations are competent to manage financial service programs. Therefore, it is only prudent to separate financial services and value chain development from infrastructure and give LGED to manage infrastructure project only such as CCRIP. 4

84 Annex 4 Annex 4 Value Chain Development and Infrastructure

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86 Annex 4 Annex 4 Value Chain Development and Infrastructure In a selection of 30 poor, remote and with a limited infrastructure network Upazilas within 12 districts located in the South-West of Bangladesh, the situation with regards to value chain development can be assessed with the following data: (i) yield and income per hectare; (ii) market and storage facilities, and (iii) financial services. Yield and income per hectare. The most important crops and production in the sample of Upazilas are: paddy/rice; fish/shrimp farming; potato; tomato; cucumber; onion; country bean, and vegetables. The current situation can be described as follows: a/ weak and unbalanced linkages between value chain stakeholders dominated by very few input suppliers rarely visiting remote villages and markets or supplying them with low quality inputs resulting in low yield and low quality production, and by a handful of buyers, mainly wholesalers, purchasing local production just after harvest when unilaterally-fixed prices are at their lowest; b/ very limited access to improved technologies and technical advisory services which result in constant low quality production. Considering the lack of appropriate roads and adequate markets combined with low levels of production and below-average quality, buyers have no incentive to frequently visit these Upazilas and villages and when a few number of them come, generally just after harvesting season, they offer the lowest prices possible; suppliers have no incentive to establish a business through an agent so that farmers cannot access to high quality inputs. Lack of expertise and advisory services provided either by agricultural extension officers or by stakeholders of the value chain maintains the production at a low yield and poor quality. As a result of such a situation, selling prices are kept low; production costs per kg produced remain at a high level because cost of inputs and seeds is high and yield is low; transportation and marketing are expensive due to poor road and market connections, hence a low net profit for farmers. Low quality of production results also in a very limited bargaining power vis-à-vis wholesalers and collectors, hence low selling prices. Market and storage facilities. The proportion of under-developed markets in the 30 selected Upazilas ranges from 65 to 100% (with total number of markets ranging from 9 to 80). Unattractive market facilities for all value chain stakeholders are hampering any increase in local agricultural production and sales. With regards to storage facilities, the situation varies from Upazila to Upazila and from district to district with district sadars having sometimes up to 40 storage facilities with a capacity of tons and above and some districts having less than 5 storage facilities amounting to a maximum capacity of tons (14 districts on the 29-sampled districts). Lack of storage facilities of adequate capacity constitutes a hindering factor for the increase of any agricultural production. Due to this lack of storage facilities, farmers and producers (i) cannot store part of their production after harvest waiting for market prices to be higher than at harvest time; (ii) have to sell their production either to wholesalers with a limited bargaining power or to local markets at low prices, and (iii) have limited incentives to produce more. In one village visited, main crop after rice is potato. Price ranges from Taka 8/kg (during harvest time) to Taka 16/kg three months after harvest season. Most producers are selling at harvest time at the lowest price because of a lack of storage facility in the village allowing to store and wait for a higher price. Due to the remoteness of the village, only a handful of wholesalers are coming only a few times during harvest season to pick-up the village s production. The construction of a paved road combined with a collectively managed storage facility could enable these potato producers to store their production and target higher selling prices. 12 Prepared by Thierry Mahieux, Consultant, IFAD 1

87 Annex 4 Financial services. Excluding district sadars (centres), the presence in rural areas of financial service providers is moderate to low (ranging from 4 branches of financial institutions to 30 branches in one single district). Financial institutions include (i) microfinance institutions that are extending micro-credit loans mainly for trade activities (high interest rate short-term credits with inventories as collateral and daily or weekly repayments), however some of them have started to provide agricultural loans; (ii) commercial banks extending short- and long-term loans for individuals and enterprises able to provide sufficient collaterals (commercial bank branches are mainly to be found in district sadars), and (iii) agricultural state-owned banks which are extending agricultural loans at subsidized interest rate (ranging from 10 to 13% depending on the type of activity financed 10% for crop production, 11% for poultry, 12.5% for fisheries and 13% for dairy production) and are also extending joint)liable group loans to women s groups at an interest rate of 11% per year with a 52-week repayment schedule. Repayment rates range from a mere 70% for agricultural banks to 99.9% for microfinance institutions. If microfinance institutions can be found in many villages, even in some of the most remote ones, access to adequate financial services for producers and farmers is constrained by the low density of other financial service providers network. Interviews with branch managers of agricultural banks indicate that in most cases, their loan officers are waiting for clients to come to bank s branches and only when loan applications have been reviewed and screened a first time at the level of the branch, they visit potential borrowers (in one district, there are only 10 credit officers for 5 branches covering 16 unions and approximately 50 to 60 villages). 2. Sustainable and profitable agricultural activities in remote villages are constrained by several factors, the most important being the lack of proper infrastructures such as all-year long practicable paved roads connecting markets to main roads, thus facilitating the distribution of goods locally produced to new markets; rehabilitated markets with adequate facilities for exposing and storing goods complying with health and hygiene standards that will boost sales and consequently production; collection points enabling a decrease in production and transportation costs for farmers and producers and facilitating linkages with buyers, and finally storage facilities enabling farmers and producers to store part of their production waiting for higher market prices and enabling them to change their distribution pattern and to increase their production. Improved communication, storing and marketing facilities would strengthen linkages between value chain stakeholders (suppliers, producers, buyers, and technical and financial service providers). 3. The focus of CCRIP on infrastructures aims at addressing a major constraint identified during the mission field visits but also in the IFAD-supported MIDPCR, implemented in the same region. As a result of the construction of connecting paved roads from secondary markets to main roads, the rehabilitation of existing markets, and the construction of located collection points and eventually small storage facilities, access to technical and financial service providers and to other value chain stakeholders in a sustainable and balanced way would be facilitated and improved. Consequently, strengthened value chains would start evolving according to market principles with limited further involvement from projects. 4. Although pre-requisite and necessary, the implementation of infrastructures is not a sufficient condition for the establishment of sustainable value chains. Other activities would have to be implemented as well such as: a/ assistance to value chain stakeholders to enter into contractual arrangements and close collaboration (forward contracts could be developed as a way to strengthen the relationship between buyers/processors and producers). These contractual arrangements could also include the provision of technical assistance and advisory services by buyers and suppliers to farmers and producers; b/ assistance to service providers to develop their network and to adapt their products to the requirements of activities financed. In particular, in light of an increasing production of higher quality, suppliers will have incentives to provide better inputs and to establish a point of services in these villages. As a result of improved market linkages, increased level of better quality production and roads, loan officers will have incentive to visit these Upazilas/villages and promote new financial products such as agricultural loans or warehouse financing in case of storage facilities. 2

88 Annex 4 c/ provision of technical assistance for quality improvement and higher marketability of products (labels, packaging); d/ assistance for the identification of new markets and the implementation of new distribution networks; e/ assistance to all stakeholders to establish value chains governed by market principles as well as to implement a more even distribution of the product s profit margin between all stakeholders. 5. These activities would be implemented within the next IFAD-supported project focusing on value chain development. However, the sole implementation of these additional activities disconnected from infrastructure development activities would barely have any impact at all as infrastructure represents the main bottleneck and major issue for most villages in the CCRIP targeted area. 6. Although non-negligible, the impact of infrastructure development activities carried out under CCRIP on value chains is difficult to assess. However, based on results from the on-going MIDPCR activities, the construction of roads and collection points as well as the rehabilitation of markets combined with the above-mentioned provision of technical assistance and advisory services have led to the following changes: (i) increase in selling prices as a result of an increased competition between a larger number of buyers; (ii) decrease in production and marketing costs due to numerous factors such as access to improved technologies, equipment and inputs; access to cheaper transportation due to an higher volume traded; (iii) increase in yield and quality of production, and (iv) improved access to adequately designed financial products and services. Such changes are triggering factors for a substantial increase in farmers and producers income and for structured and sustainable value chain development. 7. It can be expected that part of the changes identified result from activities related with infrastructure development and part results from activities related to the provision of technical and financial services to all value chain stakeholders. The following table illustrates for 6 products the changes in production s yields and in farmers net income two years after the implementation of different activities (infrastructures, provision of technical advisory services, linkages among value chain stakeholders, introduction of improved technologies, access to adapted financial products) in the same region as the CCRIP one. Although difficult to breakdown between the impact of the different activities implemented, part of this incremental income can be allocated to infrastructure activities. Table 1: Changes in yield and net income for 6 selected products Products Baseline survey in 2009 Current situation as of Dec Changes Yield Prod. Costs Mark. cost Sales Net income Yield Prod. Costs Mark. cost Sales Net income Yield Net Income (Kg/dec) (Taka/dec) (Kg/dec) (Taka/dec) % Paddy/Rice Fish Tomato Cucumber Country bean Mung bean The following table shows the current yield and income for a group of farmers (average) as well as the yield and income for the best performing farmer among the group and compares them with the yield and income any farmer could achieve when complying with best practices (access to high quality inputs and supplies and improved crop management; adoption of improved varieties; soil and water testing) in a proper environment (connecting paved roads, rehabilitated markets). To avoid distortion, selling prices have been kept similar (although competition among buyers and production of higher quality would result in a substantial increase in selling prices. The table shows data for crops and products cultivated in the CCRIP projected area. 3

89 Annex 4 Table 2: Impact of adoption of best practices vs. current crop management Products Category Inputs cost Labor/renting cost Total expenditures Revenues Net profit (Taka/ha) Yield (t/ha) Changes (%) Net profit Yield Paddy/rice Average farmers ,6 Best farmer ,8 Best practices ,0 78,3 66,7 Fish Average farmers ,8 Best farmer ,5 Best practices ,8 107,3 102,0 Tomato Average farmers ,0 Best farmer ,5 Best practices ,0 325,0 185,7 Cucumber Average farmers ,0 Best farmer ,5 Best practices ,0 37,5 15,4 Potato Average farmers ,0 Best farmer ,5 Best practices ,5 112,9 70,0 Onion Average farmers ,9 Best farmer ,1 Best practices ,0 112,9 46,8 Country bean Average farmers ,0 Best farmer ,5 Best practices ,0 48,8 66,7 Mung bean (*) Average farmers ,8 Best farmer ,0 Best practices ,0 78,4 25,0 (*) yield in kg/ha 9. Table 2 shows the potential for increase in both production and income for different crops and products when applying best practices to current crop management. However, as previously indicated, adoption and implementation of best practices alone would not be sufficient without improved infrastructures. 10. Interviews conducted in villages and markets during the inception mission field visits with local farmers (in most cases, they are also retailers at the local market) show that farmers project an increase of the selling price about Taka 2 to 5/kg for paddy as a result of the development of infrastructure and the larger number of buyers. They also estimate that their production cost per kg produced would decrease (farmers estimation varies between 5 and 20%). 4

90 Annex 5 Annex 5 Detailed Project Description

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92 I.1 Upazila Selection Criteria Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 5 Annex 5 Detailed Project Description I. Upazila Selection Criteria, Process and Results 1. The Upazila selection was done in consultation with MIDPCR/LGED during the preliminary design mission and confirmed at the time of detail design mission and final design mission. Seven indicators (criteria) were used to select 32 Upazilas in 12 districts by evaluating 77 Upazilas from 13 districts. The indicators and corresponding weight in scores reflect emphasis on poverty, vulnerability to disaster, remoteness and present level of infrastructure development to ensure that poorer, vulnerable, remote (char and low-lying areas) and least developed Upazilas are identified and selected as project areas. In addition to quantitative data used for scoring, field observations were used when quantitative data were inadequate to include deserving Upazilas that were excluded by quantitative scores. The sources of data are BBS/WFP/World-Bank poverty maps, LGED inventory on rural roads and markets, district and union information, and field observations. See Working Paper 2 for Upazila selection process. I.2 Project Upazilas and Unions 2. Upazilas: By using seven criteria 32 Upazilas have been selected (Table 1). Amtail upazila of Borguna district is expected to be divided by the government into two Upazilas. In that situation the newly formed and named Upazila will also be taken up as a new project Upazila. However, that would not change the project activities as the same geographical area will be administratively divided into two upazilas only. Table 1: Selected Project Districts and Upazilas District Upazilas Names of CCRIP Project Upazilas 1 Barisal 3 Uzirpur, Banaripara and Babuganj 2 Bhola 3 Charfasion, Borhanuddin, and Lalmohan 3 Patuakhali 5 Sadar, Galachipa, Rangabali, Kalapara, and Mirzaganj 4 Barguna 4 Amtali, Betagi, Bamna, and Patherghata 5 Pirojpur 2 Matbaria and Zianagar 6 Jhalkathi 1 Kathalia 7 Madaripur 2 Shibchar and Rajoir 8 Gopalganj 2 Tungipara and Kotalipara 9 Shariatpur 2 Zanjira and Naria 10 Bagerhat 2 Sarankhola and Moralganj 11 Khulna 3 Botiagata, Dacope, and Koyra 12 Sathkhira 3 Shymnagar, Ashashuni, and Kaliganj Total: Unions: The above 32 Upazilas have 204 Unions. Initial estimation shows that the union and village roads and community (village) markets will be constructed in about 125 Unions. However, the exact names and numbers of project unions can be determined at the time of implementation of the project. II.1 Introduction II. Markets and Roads Selection Criteria and Process 4. One important activity was done by LGED before the final design mission was to conduct a survey in 32 project Upazilas to select a) three types of markets Type I: Special community (village) market, Type II: medium community (village) markets, Type III: Small village markets, and community collection points (CCP) (see below for definitions), and b) roads (union and village roads) for development under CCRIP (IFAD funded part). LGED used an 1

93 Annex 5 elaborate questionnaire (See Working Paper no. 2) to collect information about markets and potential roads as per strategy and criteria decided by IFAD and LGED (see below). A summary list of markets and roads had been prepared, which was used during final design mission to verify and identify markets and roads for development. Besides, it was used by the final design mission for consultation with potential project beneficiaries and recommend appropriate infrastructure. The process has led to selection of community (village) markets and union and village roads to be developed by IFAD loan. See Annex 7 for final list of community markets and union/village roads under CCRIP. LGED has included the list in DPP. II.2 Market Types 5. Market types: The CCRIP project Upazilas have a total of 967 undeveloped village/rural markets, i.e. on an average 32 rural markets but vary between 9 to 61 markets depending in the size of the upazila, and numerous informal community collection points, spread all over the Upazilas. Four different types of markets have been identified: Type I: Special type market that needed unique infrastructure such as large ghat and fish shed as the concern market is an important fish landing center, for example, Fakirhat in Amtali. Type II: Medium market: Several (3-5) markets are locally considered large markets with often more than 100 permanent shops, several hundred small temporary sellers assemble during two haat-days every week to do business; and organize cattle market. These large markets act as assembly markets, which serve 10 to 20 villages, where farmers bring their commodities on haat-days and outside (from the same or other Upazilas or districts) buyers (called bepari) come to buy agricultural commodities to export to other districts. Type III: Small markets: On the other hand, smaller rural markets may have 5-50 small shops, may or may not have haat-days, and serve small population of 2-5 villages. Smaller volumes of commodities are transacted in these markets but have potential to grow to bigger markets, if developed. Community collection points (CCP): The community collection points are not formal markets but informal places - often on the sides of road, bank of rivers/canal etc., where farmers call the buyers with vehicles to collect fish, vegetables and other commodities. This allows the farmers to harvest and sell every day and need not to go to markets or wait for haat-days. Although these places are important and convenient business places but there is no infrastructure such as shed, truck or boat-ghat to convenient keep, load or unload commodities. Small improvement may allow farmers/buyers do business more conveniently. II.3 Market selection strategy 6. Although demand is very high to build markets much more than availability of resource the basic strategy is as follows (See Annex 7, 7A and 7B of Project Design Report for exact number of markets taken for development and annual plan): a) A few special markets in the whole project area; b) One large market in each Upazila, which is strategically located (for example, next to good road, bank of a river that connect to growth centres or several other smaller markets), already serve as assembly markets, serve a large population of villages, and attract a large number of buyers and sellers; c) 5-8 smaller village markets that serve 3-5 villages, connect to large markets; and d) A few conveniently located community collection points, which are already used by the local communities (farmers, fishers) as business transaction points, to be developed on pilot basis. II.4 Market Selection criteria 7. Basic pre-conditions for markets: In addition to definitions and features mentioned above of large markets, small markets and collection points each selected market irrespective of size must meet the following basic pre-conditions: a) It must not be vulnerable to river erosion in short/medium term; b) It has land (khas land or private land to be donated for the market) for development and placing suitable layouts; c) Market stakeholders (UNO, UP, Ijarader, and MMC) support the proposed development or construction; and d) An agreement by UNO to share lease income with the MMC as per GoB rules. 2

94 Annex 5 8. Secondary criteria: Markets that meet the basic pre-conditions will be prioritized according to the following criteria: a) Potential for poor women to participate in construction of the market as well as buyers/sellers; b) Stakeholders share a part of development cost that would expand development works; and c) Stakeholders agree to reserve part of all sections of the markets for temporary sellers, especially for women and small producers. II.5 Infrastructure for markets 9. Type I: Special market: One or two unique infrastructure and infrastructure commonly allocated for a large market (see below); 10. Type II: Medium markets: Subject to availability of land, a large market under CCRIP can receive the following package of infrastructure: a) A fish shed; b) multi-purpose shed; c) an open raised platform; d) internal paved roads; e) internal drainage and garbage collection pit; f) toilet block; g) women section (6-8 shops); h) a ghat, if at the bank of river/canal; and i) paved truck parking area. 11. Type III: Small markets: Subject to availability of land, a small market under CCRIP can receive the following package of infrastructure: a) one to two multi-purpose sheds; b) open platform; c) toilet block; d) internal road and drainage; e) ghat and or truck parking space. 12. Community collection points: Subject to the needs, a community collection point may receive the following infrastructure: a) ghat, if next to a river/canal; b) paved truck parking space for three trucks; and c) a raised platform or simply paved space with or without shed. II.6 Selection of Rural Roads 13. The selection of roads under CCRIP project has been determined by selection of markets. Thereafter, the feeder roads connecting the villages within the service area of the markets are identified and assessed as for their conditions., i.e. rural roads connecting the selected markets have been taken up for development. However, due to resources constraints not all connecting roads could be taken up. The objective is to connect the selected rural markets with growth centres, or with large markets under the project or with already developed markets. It has been observed that large markets may be already next to paved roads, that is, roads connecting large markets need not to be selected. Mostly, smaller markets connected by earthen roads or HBB will be selected for development. However, the situation may vary in each Upazila and the actual determination will be done by conducting a final survey or re-checking of information of the survey already done. 14. Three different types of roads are envisioned under the project: a) Bituminous roads; b) RCC roads where roller can not be taken and flood prone areas; and c) block roads where frequent or surge floods or submersible situation is expected. The proportion of block roads is expected to be small under CCRIP. In some areas, present HBB roads may be improved to bituminous or RCC roads. 15. Subject to availability of resources, each Upazila on an average will receive 5 km of union roads, and about km of village roads. A total of 5km of block roads will be built. In some Upazilas, demand for paved roads may be lower due to past development where the plan is to focus on developing markets. The PMO may vary the lengths and types of road for each Upazila depending on needs and physical circumstances and location of roads. See Annex 7 for selected union and village roads. III. Lessons from MIDPCR Project III.1 Market Development (physical aspects) 16. The following observations from the field visits (MIDPCR) will have impact of market design for the CCRIP project. The new design and cost estimates have taken these factors into consideration: i. Often the garbage shed was found too small and this has been enlarged and reflected in the budget. ii. A women s market toilet has been added as optional for those situations where women need more privacy. 3

95 Annex 5 iii. Open drains will be provided with a bar screen to filter out solid waste prior to discharging the effluent onto public water or land. For larger or special markets a primary treatment may be included prior to discharging the effluent onto open water or land. iv. Solar panels will be provided to market places. Solar panel based electric supply This is becoming very popular in rural areas due to absence or poor quality of rural electric supply systems; load shedding is very high and therefore, to get uninterrupted power supply for the whole day, alternatively shop keepers are using generator based electric supply. This is for a limited time available often up to 10pm but markets remain open until 12pm. The quality of power generation is also not good, voltage fluctuation affects electric appliances and the rate (10-15 Taka/per night) is increasing steadily due to increasing fuel price. Nowadays a solar system is easily available and affordable and recommended is that CCRIP promotes renewable energy based electric system. For women market section it is needed to increase security; market surveys revealed that in remote areas about 60-70% permanent shops have a solar system. Costs of solar based system are as follows: 20 WP (2 points system) - 2 energy bulbs - taka 12,600/= 40 WP (4 points system) - 4 energy bulbs - taka 22,800/= 65 WP (6 points system) - 6 energy bulbs - taka 34,700/= 85 WP (8 points system) - 8 energy bulbs - taka 43,500/= One typical shed would need at least 6 points system and one women shop within WMS would need 1 shared point system. III.2 Union and village roads 17. The following three issues have been considered when designing transport infrastructure: i. Considering the fact that it would be better strategy to upgrade the polder system by incorporating the climate resilient and adaptation features than the infrastructures within the polder and also taking into cognizance that in the road hierarchy, union and village roads lie at the bottom tier and are not so sensitive to inundation due to availability of boat based connectivity during that period all the village roads would be improved considering the Scenario B where instead of raising crest-level climate proofing embankment protection would be provided by enhanced slope protection with some additional measures adjacent to structures and the union road would be improved with Scenario B and C by assessing polder-protectivity and vulnerability potentials of specific road on a case by case basis. In case of full crest level rising with Scenario C, if widening of base width is not possible due to land acquisition problem, road improvement with Scenario B option would prevail. ii. Roads would preferably be BC, RCC and Block roads. These roads require less maintenance and are more durable than brick based roads. RCC and Block roads are more climate resilient as they withstand better flooding and inundation with salt or brackish water. Earthen roads may be replaced by a paved road if justified. iii. Climate resilience design may also require adding culverts in the road infrastructure to cope with higher extreme discharge volumes than previously foreseen. In addition water control gates may be added at the culverts for improved water control. This will be studied by the proposed hydrologists. III.3 Modification of design and construction 18. The following small but important recommendations should be considered during design, construction and management of markets, as gathered from visits to MIDPCR markets: i. To reduce random cracks at the interface between brick wall and floor slab, the slab should be extended up to the plinth edge ii. To provide better access to tin shed a step and ramp should be provided iii. Raised level of shed: to provide better ventilation, height of tin shed should be raised by at least 600mm. iv. To strengthen tin shed and thereby to minimize its blown away potential particularly during the storm, extra flat bar bracings should be provided on the roof-top along each row of nut-bolt connecting interface. 4

96 Annex 5 v. To give a better look at the fish shed, instead of providing plain plaster wall, a pointed brick wall should be used vi. For large market instead of providing 1.5mx1.5m dustbin (garbage place), a 3mx1.75m should be provided vii. To minimize heat absorption and radiation related problems a neat finishing for open shed should be avoided viii. To provide more shops for women, smaller sized shop (like kiosk 2.4mx2.1m) with tin shed semi-pacca (to be consistent with other structures) should be considered (women shops are small capital based businesses like tea stall/tailoring/readymade garment/stationary, etc.) ix. To increase privacy the entrances of gents & ladies toilet should be placed in opposite direction x. To increase riding quality, blocks of CC block-road should be laid lengthwise aligning with travel direction xi. Put a small information plate in each market xii. For better operation and maintenance of the market and thereby to extend the lifetime of all structures, MMC should be given a checklist regarding all important daily and periodic maintenance activities (when to whitewash walls, painting of truss, clean roof, etc.) IV. Component 1 Improved Road Connectivity 19. The following section should be read as complementary to the project design report and Working Paper (WP) No. 5 and WP 6. IV.1 IFAD funded Activities under Component See Annex 7, 7A and 7B of the Project Design report for detail activities under this component. Four activities are planned: a) Construction of union (Scenario B and Scenario C) and village roads (Scenario B) (BC, RCC, or block road) as per target; b) Road-side tree plantation, and c) Formation and training of LCS groups, if block road is built in an Upazila. The LCS training will be for block road construction. d) Purchase of equipment and test instruments (see procurement policies) Feeder roads 21. Roads include union and village roads that are served (or service areas) by markets. From field surveys it would appear that the number of feeder roads fall mostly in the range of 3-10, these are roads serving a particular market. On average about 5 feeder roads provide the access to markets for the service areas. The status of the roads varies from poor moderate good. The types of roads are BC, RCC, CC, HBB, BFS, Block roads, Earthen Roads. Accordingly the distance over which road rehabilitation/construction is needed also varies per service area of the market place. The project will not construct new roads. 22. In case road rehabilitation is required than roads will be built as BC, RCC or Block roads. This is the preference based on long-time experience in the concerned Upazilas. Brick based roads, HBB or BFS, would be gradually phased out. The local population often favours BC roads, followed by RCC roads. 23. In case access is difficult or impossible for rollers than BC roads are no option. The same is true when inundation with salty or brackish water occurs. In these cases the preferred road is the RCC road. Overview of road types 24. Theoretical overview of possible road types connecting one administrative level with the same or a lower level, those that actually occur, and the road types envisaged to be rehabilitated or built under CCRIP. It concerns roads that are normally within LGED s mandate. 5

97 Annex 5 Project roads 25. The project will limit its intervention in the rural road infrastructure to two levels: Union Roads and Village Roads. The road types for these two levels will be mainly BC, RCC, and Block Roads. What type of road will be built depends on the economic data (villages importance and location in the service area of the particular market) and the relative cost. In addition, accessibility for rollers may prohibit the use of BC roads at both levels and salt water inundation may make RCC the only feasible option. 26. The following five (5) combinations are possible: Administrative level Union Width, in m Village Width, in m BC 3.00 BC 2.55 Road Type RCC 3.00 RCC 2.40 Block road - Block road At the Union level no Block roads and RCC roads will be built. But village roads could be BC, RCC, or Block Road Structural Designs 28. The drawings are given in Annex 8A for relevant road types that will be used under CCRIP. In case occasionally a different road is needed, then the designs are available in LGED and these were found adequate. The structural design of ghat is given in Annex 9B. Based on these designs BOQs were made and costs calculated as given in Annex 8B and Annex 8C. Road inventory per market place 29. After the identification of the market place that will be reconstructed as part of Market Development, the service area is determined based on maps. The road engineers do a survey of the status of the roads for the service area and measure length of roads that need construction or rehabilitation based on field surveys, maps and interviews with the village populations. Maps used would be mostly of two scales: location map (within polder) about 1:20000 and for the detailed field survey about 1:5000 (or 1:2000 as needed). Observations on feeder roads and choice of roads 30. The number of access or feeder roads that connect a market with its service area varied over CCRIP s proposed intervention area and ranges mostly from 3-10; the number of villages served by these roads varied from about The length of roads that need rehabilitation varied from mostly 3-15 km. A precise assessment will take place in the period July-October Existing feeder roads are of the following type: BC (bituminous), HBB (herring bone brick), BFS (brick flat soling), CC (concrete), Block roads (concrete blocks), Earthen roads). Invariably the preference of the local communities for the rehabilitation of existing roads, when needed, goes to BC and RCC roads. Rehabilitation and/or upgrading of roads will be assessed later. A justifiable investment will be proposed that relates the importance of the road as for trade volumes transported, traffic density, traffic categories, etc. with the potential benefit for the villages depending on the road for their communication, selling/buying goods and other services. 32. Other factors also determine the eventual choice for the road type and relate to local conditions. For instance, small earthen roads leading to more remote villages may not allow the passage of heavy equipment as rollers and this excludes BC roads. For areas frequently flooded and/or where salt or brackish water is often inundating roads, BC is excluded and RCC or Block roads may be a better solution. 33. The preference of LGED is to gradually phase out brick based roads (HBB and BFS). The reason is that these roads are subject to vandalism and that they would deteriorate rather fast. These factors will also be taken into account when deciding which road type is selected. In principle road building (rehabilitation) under CCRIP will be limited to BC, RCC, Block roads; however, back roads connecting smaller communities with more major roads (Union roads, RCC-village roads) may need a cheaper solution and occasionally BFS or HBB may be the choice. 6

98 Annex In general, the preference is for RCC roads because of lack of accessibility for rollers, and problems associated with boat based transport and lack of proper landing facilities. Moreover, maintenance work would also be difficult later on due to unavailability of rollers. Roads requiring rehabilitation 35. The impression from field visits differed as to the distances over which roads need rehabilitation since the sample differed, visiting three different areas. 36. On average there would be about 5 feeder roads leading to a market connecting 5-15 villages (service area around market). Boat landing places or ghats and bridges 37. The hydrologist advises the road engineers on the construction of ghats and bridges. 38. The engineers prepare designs, BOQs, and so on. Hydrology 39. Climate resilient design requires a hydrological assessment to verify if past design criteria are adequate for future circumstances. It is possible that e.g. more drainage capacity (more culverts) is required to evacuate faster flood waters. An allowance of about 10% is made on top of the customary drainage capacity (combined width of culvert openings or cross drainage capacity). This is a climate resilient design feature. Hydrological studies should conclude on eventual designs and probably more water control gates may be required; this has been allowed for in the budget (about 50 gates). As for the ghats, a hydrological evaluation of the concerned river section should conclude on the stability of the river section and the location of the ghat. Hydrology input 40. Besides the road engineers, CCRIP should receive technical inputs from hydrologist(s) to complement the road infrastructure staff. They will reassess the width and location of culverts needed, the need to add or replace water control gates, the type of water control gate, the O&M of water control gates, location of boat landing places in view river stability, location of bridges, advise on dimensions of bridges, culverts and ghats whilst maintaining cross-sections of river, khals, drains. 41. For the studies the hydrologist(s) make use of maps (from the GIS-section) and coordinates with BWDB who are the custodian of the polder in which many of the project s intervention areas are located. The hydrologist interviews farmers as to their perceptions on water control and the possible impact the project may have on their farm holdings. 42. The future impact of climate change is verified for the concerned areas and proposals made as to how to mitigate to some extent the effects; however, the project limits its mitigation effort to affordable interventions as e.g. adding culverts to add discharge capacity to evacuate extreme floods, design of bridges and ghats possibly adapted. O&M of Water Control Gates 43. Operation of the water control gate will arranged for in a similar way as existing gates or a special arrangement may be put into place. In general LGED coordinates with BWDB on opening or closing of the gates; the actual operation may be arranged for by a WMG or left to a trusted nearby farmer. Preparation of tender documents, awarding contracts 44. A detailed BOQ is prepared and maps are attached indicating exact locations where roads are to be constructed, and so on. A condition is that LCS is used as much as possible for the execution the work; moreover is detailed other inputs, e.g. by LGED as for rollers, surveyors, and so on. This is all prepared according to prevailing conditions and in the proper legal format. After receiving the bids the evaluation follows and the contract is awarded. O&M of Transport Infrastructure - Roads & Ghats 45. Market Management Committees will primarily be responsible for road maintenance of market internal road network by the utilization of 25% share of lease money to be received from upazila out of market auction fees. Besides, as per commitment the periodic maintenance of village and union market access roads would be the responsibility of Union Parishad, and to some extend it would be the obligation of LEGD as the said infrastructure developer. 7

99 Cost of road rehabilitation Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex The cost is given in Annex 8B and Annex 8C. the embankment is not included since the project will not built new roads, rather repair or upgrade existing roads. Costs include the standard allowance for drainage structures (culverts) of 7.5 m / km (Village roads) or 10 m /km (Union roads). In consideration of natural flow obstruction potential, in general more structures should be provided if the road is aligned in the E-W direction as compared to the road that is oriented along the N-W direction. Standard approach is also to include one gate / km. Anticipating the outcome of proposed hydrological assessments to be made for each subproject, one additional water control gate has been budgeted for per km for the CCRIP project. IV.2 Road Side Tree Plantation 47. Trees will be planted on both sides of roads where trees are not already planted. This procedure will be same as practiced under MIDPCR. The budget for tree plantation includes cost of saplings and payments to LCS members (poor women) for a period of two years to protect the trees. Besides, as a climate adaptation measure, grass turfing and shrub would be used on embankment slope above palisading. IV.3 LCS for Block Road construction 48. Block roads will be constructed by LCS members. One group of 25 poor women will be contracted for one km roads. They will be given training for three days on a) social issues, and b) block construction and road construction. The training will conducted by Upazila engineer and Upazila Sub-assistant engineer as per module developed by MIDPCR. V.1 Activities under the component V. Component 2 Improved Market Services 49. See Annex 7A and 7B for actual plan and project targets. The following activities are planned under this component: a) Construction of Special Markets by contractors; b) Construction of large market by LCS groups; c) Construction of small markets by LCS groups; d) Construction of collection points e) Construction of women sections; f) Construction of ghats; g) Formation and training of LCS; and h) Formation and training of MMcs 50. As for the market development component the physical aspects are mentioned here. 51. Types of markets: a) Type I: Special market, b) Type II: Medium market, c) Type III: Small markets and d) Community collection points (CCPs). 52. Typical facilities: The typical facilities include: open roofed building on pillars with a raised ground floor, fish-shed, multi-purpose shed, women s section, toilet block, open sales platform, open V-drain, deep tubewell, solar panels, and garbage place. Typical designs are attached. For the different market types, the only variation is the size and number of facilities. Sometimes the Market Management Committee requested that an office is built for them but this is not normally included. 53. CCPs are simple paved parking places where villagers can bring their goods to buyers that transport them further to markets. CCPs serve remote areas where fewer people live otherwise not connected with markets. A truck stand provides space for about 3 trucks. Boat landing facilities may constitute part of a CCP or market place and this has been treated above. 54. Structural designs: All designs are similar to previously used designs (MIDPCR), except for modifications as enlarging the garbage place, entrance to toilet block for women and men now placed opposite each other, drains evacuates waste water first in a stilling pit (treatment) and thereafter onto public water bodies, solar panels, raised ground floor. The structural designs 8

100 Annex 5 for each item, e.g. different types of sheds are given in Annex 9A. The unit cost for markets and details BOQs and costs are given in Annex 8C and Annex 9C. 55. O&M Market Development (physical): The Market Management Committee (MMC) is in charge of the O&M of the facilities. The tasks include a weekly inspection, especially after a haat day. In case repairs are necessary the MMC prepares a maintenance report with estimated costs. Through the contribution of the leaseholder and others (shop owners) the money should be secured to pay for the maintenance. This will mostly concern small amounts and a dedicated craftsman should be identified and the works to be done agreed with. MMC further supervises the repair. Routine maintenance as e.g. painting, plasterwork, and so on, will also be handled by the MMC in a similar way. Physical Infrastructure Type I: Special markets 56. Special markets are wholesale markets that serve large areas for wholesale but also serve directly end-consumers. There are few of them and they are functioning facilities; however, often deferred maintenance requires that facilities are rehabilitated. The facilities they include are the same as for large markets and this is discussed below. The major difference is that wholesale markets often need a boat landing platform (ghat) and that one extra fish shed is provided. In addition the V-drain s effluent requires some simple form of waste water treatment (bar screen and one stilling pit as primary treatment); also protective gloves for the cleaners/sweepers are foreseen); this is further investigated, the cost is estimated as a lump sum. A women s section may be added, see below. Type II: Medium markets 57. The majority of markets would be large markets and have typically more than 100 shops. They include the following facilities: multi-purpose shed to sell agricultural produce or other items. fish-shed exclusively for selling fish, prawns, shrimp. a toilet block located at a small distance from the market for both men and women; a new feature is that the entrance for men and women will now be built opposite to each other at opposite site of the block providing more privacy. deep tubewell, built at the market place or a near as possible to provide for drinking water and for water to clean the concrete floor and sheds and the open sales platform. open sales platform: this is a paved area where sellers and buyers do business and where there is no need for a building with a roof. internal road: separating sales areas. V-drain (or sometimes U-drain): the market facilities are cleaned by sweepers and they flush the waste towards the open drain that evacuates the effluent into a khal, pond, or onto land. A new feature is that prior to discharging the effluent, the waste water passes through a bar screen (filter) where solid waste (plastic bags, wood, branches, etc.) accumulates. This is from time to time removed. Depending on the size of the market a simple form of primary treatment may be added. Garbage pit: garbage is deposited in the pit and sometimes burned or destroyed using bleaching powder. A new feature is that it is now somewhat larger than before. Paved area: to serve as parking facility for loading and offloading goods from trucks. Raising the floor level of covered market facilities. This is a new feature and was requested by MMCs since this separates more clearly the open sales platform and covered areas to avoid spill over of goods and enhances cleanliness. It involves additional earth work. Type III: Small markets 58. Small markets have typically 5-50 shops. The difference between a large market and a small market is that in the latter case often no special fish shed is needed and that the internal road and V-drain are shorter. Community Collection Points (CCPs) 59. CCPs are located in more remote areas at road sides or near river banks and provide farmers with an opportunity to take their goods to buyers using e.g. trucks for further transport. They consist basically of a paved platform and truck stand (paved parking area for three trucks). Occasionally a ghat may be constructed as well when located near a river, khal or canal. Women s market section 60. The women s market section is a special facility to provide for women more privacy especially in case of widows, destitute, other independent women. It may host 8-10 shops. The need for 9

101 Annex 5 a women s market section may not be limited to special markets but also some large markets may need this facility. Due to security reason, preferably women section should be provided at the market s front area. V.2. DRAINAGE OF MARKET FACILITIES AND POSSIBLE TREATMENT OF WASTE WATER Specific drainage design per market type 61. Per market type the drainage and possible treatment of waste water are elaborated below. 62. Community collection points: The drainage of the small paved parking places does not require special facilities as the rainwater will flow from this paved area to adjacent areas (land, ditches); there is no hazardous waste. 63. Small Markets: Small Markets are drained by a small drain (u- or v-shaped) often of concrete and surrounding the market facility. In present designs the drainage effluent flows often to (agricultural) land or is directly discharged onto open water bodies (canals, khals, ponds). The volume of effluent is minor during dry periods but is larger when it rains. 64. Proposed is to investigate new designs that may include a small flow field where sediment and waste can deposit and from where the effluent can be directly discharged onto public water bodies. At the bottom end of the drain a small flow field can be constructed, e.g. 5*5 m 2. This flow field may be a small depression or basin of about 10 cm below the adjacent ground surface. In case of no or low rainfall then the flushing water of the Small Market places will settle in the small basin. Later a cleaner/sweeper can collect some solid waste and bring it to the garbage pit for destruction. 65. At the lower end of the small basin a screen may be placed to filter out some of the solid waste as plastic bags, paper, tree branches, etc. After passing through the flow field the effluent discharges on the adjacent land and from there it discharges onto canals, khals, and ponds in case of higher discharge volumes during rainfall. 66. The flow field may be fenced by a low vegetative fence to clearly separate this from the surrounding area and to avoid easy access by children and animals. 67. Medium markets: For medium markets the new designs are similar as for the Small Markets albeit of a larger size. The basin size may be 10*10 m 2. Other features are similar. 68. In case of some Very Large Markets, it may be considered to include a small sedimentation basin before the waste water enters into a flow field. This is very much a site-specific design and should be assessed in relation to the effluent volumes (in dry periods and during the monsoon period) and the amount and type of waste. 69. Special Markets: Special Markets are few in number. They are always of the size of Very Large Markets and often function as wholesale markets. No standard designs are used to establish or rehabilitate the market facilities. Similarly the design of the drainage system and the possible treatment of waste water are dimensioned as per the requirements for the specific Special Market. The volumes of the effluent are larger; therefore the sedimentation tank and flow field are larger as well. 70. Appropriate designs for Special Markets may go beyond the above mentioned sedimentation tank and fenced flow field. In addition to possible treatment of the waste water from the Special Market, this may be combined with treatment of waste water from the village or town where the Special Market is located. For instance a Chinese Dome digester may be opportune to construct. There are millions of these treatment facilities operating in China. In case the construction of a Chinese dome would be considered than this requires the involvement of a relevant Bangladesh university engaging their relevant department and research staff; this activity would be an R&D component under the CCRIP project (See Annex...) 71. More information can be found at websites as:

102 Annex 5 Hygienic aspects 72. At all market facilities the cleaners or sweepers, who are flushing the markets with hoses often using water from a tube well, need to be provided with protective clothing, gloves, hose, rake, broom, wheelbarrow. This will prevent them from touching directly the waste, for instance when taking it to the garbage places. This will also have an educational impact on the visitors of the market places as they watch how the cleaners are handling waste water and will induce them to handle more careful waste themselves. Other issues 73. Land availability: In virtual all cases sufficient khas land is available to construct the market infrastructure. If not, voluntary donations of land complete the space needed for the market. The project will not engage in land acquisition. In case of donated low land, raising by dredge fill may be considered if land development cost is within the allocated budget. 74. Slaughter places: At some markets a simple facility exists for slaughtering animals as cows, goats. These facilities fall under the responsibility of the Ministry of Local Government, respectively District, Upazila and Union Parishad levels. Monitoring is by the Department of Livestock Services. CCRIP will not include slaughter facilities in its project and will not engage in upgrading slaughtering facilities. V.3 Formation of LCS and training 75. One LCS group of 25 poor women and men will formed for construction of one market. They will be trained for a period of three days on a) social issues, b) construction of markets and management of contracts. The training will be provided by LCS officer and Upazila subassistant engineer. CCRIP will follow LCS manual prepared under MIDPCR project. A revised version has been annexed with PAM. V.4 Formation of MMC and training 76. Each market has a MMC. The project will sign an agreement with MMC. Members of MMCs will be trained on market management and supervision of LCS works and future repair and maintenance. CCRIP will follow the same procedure regarding as developed and practiced in MIDPCR project. VI.1 Staffing, Management and Supervision VI. Project Management 77. Staffing: The Project Management Unit (PMO) charged to implement CCRIP is part of the LGED. As described in the main report a TA team will assist the design and implementation of the project. IFAD has included additional staff members (See Appendix 1 for TOR) for strengthening supervision and monitoring, use of GIS and application of hydrological inputs. Supervision of implementation of contracts 78. Independent supervision is of crucial importance to safeguard the quality of the work and a small additional budget has been proposed to ascertain that the staff engaged in supervision is given the facilities they need to stay independent. Supervision engineers are appointed (by LGED) and provided all the facilities they need to check the performance of the contractors. GIS 79. More than before the use of satellite imagery for maps and hydrological studies is recommended. Involving the GIS Unit of LGED is an efficient working method as the GIS Unit of LGED possesses the required software (ARCGIS), and to some extent satellite imaginary and digital maps. At the GIS Unit Maps are available from Landsat (2010), resolution 30 * 30 m. Scales used may be about 1 : (regional studies, polders) and more detailed scales like 1 : 5000 to fit the detailed surveys for the detailed assessment of rural infrastructure and to prepare for tender documents. For the project s needs the available topographical details for the markets and the feeder roads are insufficient, moreover there is sometimes a mismatch for instance between the location of a particular market as given on the maps and the real location. To prepare better maps a surveyor needs to assess the coordinates in the field (using 11

103 Annex 5 a GPS) and together with pictures (Google Earth) and Upazila maps, a map must be prepared that show all important locations (villages, markets, roads, schools, and so on). At present a reconnaissance survey of the roads and markets exists but this needs to be updated to be done by the surveyors and Upazila level engineers. Thereafter, the BOQs can be prepared with maps attached to clearly indicate e.g. which road sections need to be rehabilitated. The maps also serve for impact assessment studies as villages and their population are indicated, distances to reach markets presented, and so on. 80. A printer is available and can be used to make prints to be used for field visits and for office work. Sufficient budget must be allocated to make use of GIS (prints, electronic copies, acquiring GIS data, and so on, estimated at about USD ) Geodetical instruments required 81. In addition to available geodetical instruments some additional instruments are required: Total stations (3), ranging rods, staffs, measuring tapes, chains, Handheld GPS (32); to be specified later, estimated as lump sum (USD 80000). VI.2 Innovation and piloting 82. As mentioned in the PDR, IFAD has mobilized one million USD grants for various activities. Three innovation or action research/pilot activities with a total resource of USD 150,000 will be implemented. All three pilots will be conducted by reputed Bangladeshi academic institution(s) to be identified during implementation. Three brief concept notes are described below, which will be further elaborated during implementation: A. Investigation of Prospects for Sustainable Waste Management of Markets Present situation 83. A typical market in the rural areas covered by the CCRIP project consists of a fish-shed, multipurpose shed, toilet block, women s section, open sales platform, internal road and open drains, and sometimes a slaughter place. Also livestock is brought to some markets for sale (killas). On normal days, markets may receive visitors, and on haat days, this may reach visitors depending on the area served by the market. In addition, markets are often surrounded by shops and restaurants. All these facilities produce waste, partly organic and partly non-organic. 84. Waste is now often cleaned from markets and surrounding areas by sweepers using brooms and/or flushed towards the drain (U- or V-shaped) and then conveyed to flow fields, khals or ponds. Solid waste is sometimes put in garbage pits or dumped on open spaces. 85. At present, the waste management practices are not hygienic, pollute the environment and facilitate transmitting diseases among humans. Justification and Objectives 86. As a result of the project intervention, it is expected that markets will attract more buyers and sellers and thus produce more waste than before. To enhance more hygienic conditions, better waste collection and treatment is needed. Therefore, it is recommended to test opportunities for anaerobic waste treatment (bio-digester) at two different locations, namely for a very large market and for a medium sized market. Apart from improving the cleanliness and hygienic conditions of the markets by proper removal of waste, it should be investigated if the products of the waste treatment (methane and digested slurry) are beneficial and can be sold to potential consumers. Thus the proposed tests have two objectives: i. Improving aesthetic and hygienic conditions of markets through environmentally safe removal of waste, and ii. Assessing the commercial value of methane and digested slurry derived from biodigester. 12

104 Annex 5 Description of requirements and of research activities 87. Major issues are : a. Inventory by researchers of factors that will determine the choice of options for a biodigester based facilities: size of market, estimated production of biodegradable organic waste, potential location of bio-digester facility, potential consumers of products of the biodigester, and so on; b. Inventory of bio-based digesting facilities, e.g. Chinese dome digester by researchers, and design of bio-digester facilities by researchers with assistance by consultants, procurement of gas analyzer by researchers; c. Design of garbage facilities by researchers; d. Engaging the MMC: awareness building for the justification of the test, the role of the MMC shall be discussed and agreed on, employing a cleaner (provide with protective clothing, gloves, mask, broom, rake, wheelbarrow, bleaching powder, hose, etc.) to work under the supervision of the MMC, data recording and processing; tasks to be carried out by the researchers; e. Construction of bio-digester facilities for treating biodegradable organic waste, and of garbage facility for non-biodegradable organic waste by LGED; f. Procedures for management of the bio-digester facility, collection and storage of waste, draining of the markets and separating the solid waste from the effluent, sell of the products of the bio-digester, ultimate disposal of non-bio-degradable solid waste, and so on; g. Reporting of activities and research test results; h. Conclusions to be drawn by the engaged researchers on the potential of application of the test results to other locations and the conditions needed for a sustainable operation of treatment for biodegradable organic waste and non-biodegradable organic waste. Topical information LGED Bio-gas project B. Investigation of Climate Resilient Slope Protection of Embankments: Prospects of biotechnology for environmental friendly slope protection Present situation 88. The traditional practice to protect embankments against erosion in Bangladesh is to use cement concrete (CC) blocks, sand bags, stone or wood revetments, geotextile, geo-bags and tree plantation. Usually, cement concrete (CC) blocks are used where storm surge is high, sand bags or wood revetments are used where flow of water is moderately high. Protection of embankment by plantation is another practice, but it is not effective during cyclone and flood because of overturning or uprooting of plants. Background, justification and objectives Background 89. Embankment stability can be augmented by using bioengineering techniques which techniques may be an alternative option for embankment protection. Bio-engineering techniques are being increasingly favored to control soil erosion in general and for slope protection in particular. 13

105 Annex 5 The technique envisages use of appropriate vegetation, single plants or sown, with minimum artificial human intervention resulting in economical and ecological benefits. Jute geotextile (JGT) is a suitable technique given its special features. 90. Plantation of long rooted fast growing vegetation system along the slope of embankments and river banks may be a solution to solving the problem of erosion. The vegetation cover not only serves the purpose of slope protection but also contributes to the green technology and provides for green jobs. Thereby It could reduce pollution and as well as preventing erosion of embankments and dykes. 91. Selected vegetation types must be suitable to environmental parameters as hydrology, soil, flood tolerance that influence and regulate the growth and propagation of the vegetation. Different plant species relate to different habitats given their peculiar characteristics. For the proposed test they should be tolerant to the prevailing aquatic and terrestrial conditions in order to guarantee their survival and propagation. Suitable plant species can be found in the coastal belt. The aquatic environment of coastal area is very unique and adaptive species have developed in the course of time. Plants in the coastal belt survive in different and often very dynamic conditions that vary depending on the distance from the sea or floodplains. Also interaction with fish environments occurs; environments may be biotic or a-biotic. 92. As the vegetation root system needs often several months to grow, during that time, the soil erosion can be protected or minimized by using of geo-jutes. If geo-jute is laid over the exposed surface it will prevent soil erosion and water will flow off the side slope without causing erosion. As the geo-jute will degrade over time, vegetation roots will grow and resume the function of geo-jutes. Geo-jute prevents the displacement of soil particles and eventually provides mulch to enhance vegetation growth. 93. Suitable vegetation must be selected that can survive even if submerged for several weeks; in addition plants should be salt tolerant as water inundating the land may be saline depending on the location. To identify and confirm that plant species are suitable, field trials are necessary. 94. In view of climate change more inundation of embankments may occur. Moreover increased rainfall and rainfall intensity may accelerate erosion of embankments. Adequate and cost effective side slope protection is required for future circumstances. Justification 95. The present methods used to provide for slope protection have disadvantages as they are relatively expensive and are often not sustainable as they break down or whither in the course of time and are subject to vandalism. Alternative options are sought and need investigation to assess their suitability. Objective 96. The objective of the proposed test is to identify suitable plant species that provide for an adequate sustainable and environmentally safe and economically feasible anti-erosion cover of embankments and dykes adapted to local conditions of flooding and saline water, thereby making road embankments more climatic resilient. Possible Outcomes 97. LGED as well as BWDB would be able to implement other road and flood embankment infrastructures with appropriate climate resilient slope protection measures. Description of requirements and of research activities 98. Major issues are : Inventory and selection by scientists of plant species that may be suitable for the most occurring conditions as prevalent in the CCRIP project area; Identification of some sectors of embankments and dykes that are suitable for testing plant species; Engaging the WMO (Water Management Organizations): -awareness building of the justification of the test, -the role of the WMO discussed and agreed on, -engaging a WMO member to work under the supervision of the WMO, -data recording and processing; tasks to be prepared by involved researchers; 14

106 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 5 Acquiring cover material (geo-textile) and plant species and transport to sites. Preparation of sites by LGED; Reporting of activities and research test results; Conclusions to be drawn by the engaged researchers on the potential of amplifying the results of the test to other locations and the conditions needed for use of specific plant species for slope protection. C. Introduction of quality tests protocols for road and market rehabilitation Present situation 99. The customary rules and regulations that apply need a reassessment as well as improvement with respect to supervision and use of different quality control (destructive and nondestructive) testing instruments. Rehabilitation of roads includes widening and elevating existing roads, and construction of small bridge and culverts along the roads. Traditional construction methods do not focus on proper selection of soil and proper methodology for widening and elevating existing roads. As a result, within a very short time, roads loose serviceability. Construction of bridges and culverts need Reinforced Cement Concrete (RCC). Market rehabilitation also needs RCC foundation and columns. Usually main focus for RCC works is given on strength of concrete. However, to make RCC resilient to climate change, durability should be a main focus for RCC in coastal regions where intrusion of saline water into porous concrete corrodes reinforcement resulting in increased volume of reinforcement. Thus RCC may disintegrate. During high tides and floods approach road of bridges and culverts may wash away. Adoption of proper methodology is needed for approach roads. Improvement of existing protocols Background 100. Sea level rise caused by global warming may locally cause inundation, drainage congestion and salinity intrusion especially when coinciding with storm surge inundation. Sea level rise is a growing threat for the coastal regions of Bangladesh. Bangladesh is one of the mostly densely populated countries of the world where 28% of the population are living in the coastal area. The trend in the number and severity of tropical cyclones hitting the Bangladesh coast is increasing. Higher population density increases vulnerability to climate change especially water related disasters in Bangladesh. Most of the casualties from cyclones in Bangladesh, as in other parts of the world, are caused by storm surges and because of climate change the height of storm surges may increase leading to more intensive coastal flooding To make the coastal region climate resilient, most of the rural roads and markets need rehabilitation. Putting soils on existing earthen crest and vegetated slope is usually done which is eroded during the monsoon. Therefore, sustainable methodology should be developed in this regards. Before construction of flexible or rigid pavement, locally available soil is placed on top of road and compacted. Performance of the road depends on type of soil, moisture content during compaction, compaction characteristics of soil, relative compaction achieved in field, etc. All factors are equally important for durability of roads in coastal region. For example fat clay or lean clay may become soft during monsoon or flooding. At that time, even light traffic could damage the serviceability of road. Therefore a comprehensive quality control program should be developed for such a situation where construction works are carried out by unskilled labors. Portable, easy and simple instruments should be developed for quality control of compaction in the field. Trainings are needed for LGED engineers for identification of soil as per USCS and AASHTO Construction of bridges and culverts is also a part of road rehabilitation which involves quality of control and specification of RCC. Market rehabilitation also needs RCC in foundation and column upon which tin shade is built. Many cyclone shelters were built in coastal areas of Bangladesh after deadliest cyclone of 1991 which took thousands of lives. However most of cyclone shelters are now in a dilapidated condition due to poor maintenance and poor quality of concrete during construction. Bridges, culverts and markets would not be durable for the same reason. Mean compressive strength of concrete of these structures is as low as 21 MPa which is good enough from strength consideration. However, concrete which is directly exposed to saline water and superstructure is exposed to air where humidity and salinity is high all year round. Therefore durability of concrete must be 15

107 Annex 5 considered during design and construction of any infrastructure in coastal regions. To achieve mean compressive strength of 21 MPa, ACI (American Concrete Institute) recommended a water-cement ratio of concrete of That means concrete with watercement ration 0.68 can produce sufficiently strong concrete but not durable. That is why from durability consideration ACI recommended maximum permissible water-cement ratio to be High water cement ratio leads to porous concrete which allows ingress of sea water containing sulfate, chloride and other salts to concrete. Corrosion of reinforcement takes place after ingress of sea water into concrete. Most of the reactions lead to products volume more than reactant volume. Thus concrete disintegrates due to expansion, cracks appear and finally spalling of concrete occurs. Use of brick chips in concrete may be another reason of high permeability of concrete. Use of saline water as mixing water of concrete also induces corrosion of reinforcement. Other reasons may be (1) Use of improper materials (aggregates), (2) Use of old stored cement, (3) Improper concrete mix design, (4) Poor construction control, (5) Insufficient cover to reinforcement, (6) High permeable concrete due to excess use of water (7) Poor compaction of concrete, (8) Distortion or displacement of forms, (9) Disturbances during placement leading to uneven and inadequate cover, (10) Inadequate curing and (11) Lack of proper supervision During high tides and floods, approach road of bridges and culverts may be washed away. Adoption of proper methodology is needed for approach roads Therefore, it is necessary to prepare a guideline of RCC construction in coastal areas so that low cost, durable concrete can be produced by local people. In addition to ACI method of mix design, it is necessary to investigate new mix proportions for durable RCC using local sand of FM less than 1.5. Use of fly ash and admixture should be investigated to make durable, impermeable and self compacting concrete. Quality control system should be formulated for local people so that they can produce durable concrete. Justification 105. The durability issue of conventional method of construction and maintenance needs to be reassessed. Maintenance costs of rural roads and markets would be minimized by adopting proper methodology of construction of roads which would be the outcome of this research. To produce durable RCC, cost of construction may increase by certain percentages. However, elimination of maintenance cost would compensate the initial higher cost of construction he proposed R & D has the following objectives: i. To prepare guidelines for sustainable rehabilitation of roads in coastal regions. ii. To develop portable equipment for quality control of field compaction iii. To prepare guidelines for making durable RCC needed in market rehabilitation and construction of bridges and culverts. iv. To prepare proper guidelines for sustainable construction of approach roads on two sides of bridges. Description of requirements and of research activities 107. Major issues are : Provide training to LGED engineers on identification of soil as per USCS and AASHTO, material tests and field tests for quality control using destructive and non-destructive modern equipment particularly which would be procured under CCRIP project. Collection of soil samples of roads and borrow pits from coastal regions. Identification of soil samples as per USCS and AASHTO. Determination of compaction characteristics and soaked CBR of collected samples. Development of portable device to measure relative compaction of soil. Development of correlation curves for the portable device to apply in field. Small scale model test on base widening of road embankment and formulation of proper methodology for application in field. Series of trial mixes using local sand, Sylhet sand, stone chips, brick chips and w/c ratio as parameter to find out durable cost effective mix proportion which would be implemented in the field. 16

108 Annex 5 Water penetration test of trial concrete cylinders to compare permeability of concrete. Preparation of guidelines for sustainable rehabilitation of roads in coastal regions. Preparation of guidelines for making durable RCC. Preparation of proper guidelines for sustainable construction of approach roads on two sides of bridges. Reporting of activities and research. Conclusions drawn by the engaged researchers on climate resilient road construction and market rehabilitation. 17

109 Appendix 1 of Annex 5 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 5 A. Impact of climate change as relevant for CCRIP IFAD components The context of the mission, the main emphasis of the project and the time available did not permit to provide for an elaborate and detailed analysis of the impact of global warming for the project area. Only major observations are given and the consequences for the project analyzed. 1. Brief overview of climate change phenomena There are several effects of global warming that impact on climate. The impact on climate further impacts on phenomena as sea levels, rainfall intensity and volume, storms (cyclones), temperature, river water levels and discharges, salinity, and so on. Detailed and scientific information is to be found a. o. in the 4th IPCC report of the UN. According to information obtained (WB, BWDB, others) the consequences for the CCRIP project area in Bangladesh can be summarized as follows: Sea level rise: two possible scenarios resulted from discussions and were found in literature: Rainfall Sea level rise would be 7 mm/year over the next 20 years. Given a land subsidence of about 3 mm/year, the combined result is a sea level rise of 1 cm / year or 20 cm over 20 years. Sea level rise would amount to 0.50 m for the year There would be an increase in rainfall and this is projected for the year 2050 to be as follows: 26% for the months of March, April and May and 13% for the months of June, July and August. Given an annual rainfall ranging from some mm in the project area, this means a significant extra amount of rainfall. Cyclones The frequency of cyclones and their intensity would increase, and consequently rainfall increases (see above). Temperature There would be an increase in temperature; however, the magnitude is not precisely known. River water levels and discharges There would be an impact on river discharge that may increase as a result of an increase in temperature in the catchments with additional snowmelt but a precise quantification could not be obtained. In addition more abstractions from the rivers may reduce the volume somewhat that reaches the delta and the coastal belt in Bangladesh. Salinity More salinity intrusion may occur as drainage by the river systems is somewhat impeded temporarily and the salinity propagates to more upstream parts in the system. Also flooding with slightly more saline water may occur temporarily. 2. Relevance for CCRIP IAFD components Sea level rise Location and impact Sea level rise at the river mouth is supposed to be about 20 cm over the next 20 years. This will impede the drainage by rivers somewhat and results in a back water curve. Given a river slope or rather a fall in river water levels of average a few cm/km, the impact of the sea level rise is only felt over a limited distance inland. The sea level rise comes on top of the tidal amplitude (e.g. 3 m) and propagates upstream in the river and affluent systems. It is expected that no more noticeable effect is felt for instance km from the shores. 18

110 Annex 5 The possible impact on areas depends on their location: areas protected by embankments (polders) or sea dykes will experience little or no impact areas unprotected by embankments (chars) will witness the impact, the severity of which depends on the distance from the river mouth or shore. Drainage capacity Drainage from polders is based on tidal sluice gates that drain whenever the outside (river) water level is lower than the inside (polder) water level. In case drainage would be significantly impeded than the solution is to add drainage capacity by adding sluice gates or vents. Increased rainfall Impact on polders To drain the extra rainfall resulting from climate change will require increasing the drainage capacity. Inside the polder this could mean to add or enlarge the capacity of culverts allowing for the excess water to reach the drainage outlet or sluice gates faster. In addition the tidal sluice gates capacity may have to be enlarged. To avoid over-drainage and to retain water when needed, some water control gates may be constructed on the culverts to provide for better water control. Impact on chars As chars are lands without hardly any water control, the extra rainwater will be evacuated by the natural khals towards the sea. Unless the chars are empoldered, not much can be done to improve water control. In general the extra rainfall will result in higher water levels at the lower lying parts of the chars. In the lower parts higher water levels as compared to the present situation will occur temporarily. It is difficult to estimate this impact as also the sea level rise is felt mostly in the lower parts of the chars. An order of magnitude could be that water levels may rise cm temporarily during some days/weeks in the monsoon. 3. Consequences for design Polders As far as the components Markets development and Communication infrastructure are located within polders, the consequences or Climate Resilient Design are as follows: Chars Roads: add additional drainage capacity (culverts) to accommodate the efficient evacuation of extra rainfall add water control gates to improve water control However, no raise in crest levels of roads is required inside polders. Increased rainfall may have a positive impact on salinity levels inside polders and possibly more saline water (if any) may be evacuated through the tidal sluice gates. Markets: Some markets located in the lower lying parts of the polders may need a slight rise in the floor level of e.g cm. As far as the components Markets development and Communication infrastructure are located within chars, the consequences or Climate Resilient Design are as follows: Roads: It is not possible to advise on a blanket approach of e.g. 20 cm rise in crest levels as this depends on the actual land levels and location. The ultimate recommendation as to the designs should be taken by the 19

111 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 5 project s hydrologist after seeking advice from BWDB, local inhabitants and based on the latest information of impact of climate change in the project areas. Moreover, it would not be realistic to here and there increase slightly a road section rehabilitated under the project. As there is likeliness that roads may be submerged more frequently it is recommended that roads are surfaced with e.g. RCC that is less susceptible to damage from submergence and from submergence with saline water; this is a Climate Resilient Design feature. Markets: Some markets located in the lower lying parts of the chars may need a rise in the floor level of e.g cm; this is a Climate Resilient Design feature. Preference and sequence of implementation There is a strong preference to give priority for market infrastructure and transportation infrastructure to be implemented in the polders first, as the polders are protected against flooding by rivers and sea. In case market infrastructure and transportation infrastructure is to be implemented in char land, than it is recommended to do this towards the end of the project since more knowledge on climate change effects will be available and it will be possible to prepare more accurate designs. Apparently out of the 32 Upazila s only 4 harbour char land within their boundaries and delaying the project implementation in these four Upazila s will have virtually no impact on the project s achievements. B. Additional Staffing related IFAD components and their TORs and staffing set-up in relation to the three operational levels and financiers B.1 TOR Hydrologist Background The CCRIP project is to develop market facilities and the connecting rural infrastructure. The rural roads are almost all existing roads. According to the local government administrative set-up, distinguished are Regions, Districts, Upazilas, Union Parishads and Villages. The project s (IFAD part) transportation infrastructure component will rehabilitate/upgrade roads at two levels: Union and Village roads to connect villages with market places and between markets. The roads traverse the area that is mostly part of a polder where sluice gates allow for some measure of water control. The polders are operated by BWDB. The roads infrastructure creates consequences for the water management of the polder, e.g. related to the obstruction of flow, impeded drainage, impact on storage, water management, storm water management (cyclones), and retention of water. Together with roads, bridges and culverts are constructed or rehabilitated. Culverts may be provided with water control gates. Proposed are two Senior Hydrologists. One Senior Hydrologist is engaged through ADB funding and the TOR is given in the concerned chapter of the CCRIP. Below is the TOR of the Senior Hydrologist engaged trough IFAD. Senior Hydrologist Duties 1. Primary responsibility for defining the hydrological factors to be considered in the detailed design of the roads and associated bridges/culverts structures for the finally selected subprojects; 2. Collect and analyze relevant hydrological data and in consultation with the road design and structures engineers, assess the requirement for additional cross-drainage capacity on 20

112 Annex 5 project roads in order to maintain natural drainage under present and forecast climate change conditions; 3. Establish technical design criteria as for the hydrological aspects for construction of roads, bridges, culverts and ghats, especially in respect of embankment orientation or possible obstruction of natural flow of runoff, site-specific designs, protection measures, cross drainage capacity; 4. Assessment of preferred locations for culverts, this may be at existing locations or elsewhere; 5. Obtain the needed survey information from the GIS unit of LGED, Dhaka; 6. Prepare analysis of hydrological and meteorological data and verify findings with other stakeholders as BWDB; identify climate change effects in relation to the analysis and results from scientific studies by international and national specialized agencies; 7. Assess the impact of climate change for project areas and assist in designing climate resilient infrastructure; 8. Determine the expected discharge for average and wet years and the consequences for flood control identifying command areas and using the customary catchment areadischarge formulas and local experience; 9. Design of dimensions of culverts; 10. Advise design engineers on dimensions of bridges, ghats; 11. Verify that planned bridges, culverts, ghats do not narrow and alter the cross-sections of rivers and khals; 12. Verify BOQ for culverts with cost estimate in view of recommended dimensions; 13. Determine if culverts need to be provided with a water control gate given climate resilient demands e.g. resulting from increased rainfall; 14. Select the type and dimensions of water control gate (e.g. sliding gate, automatic valves, flap gate, and so on); 15. To determine the sizes of the culvert and possible water control gate, a series of detailed interviews with farmers affected by the culvert must be held; 16. Determine if water control gates may also serve for the purpose of water retention for part of the year (boro season); 17. Enhance the establishment of a water control gate beneficiary group; 18. Discuss with farmers if salinity is a problem for them and if the operation of the water control gate can help to reduce the problem; 19. With respect to bridges, assess where bridges may be built or rehabilitated and the consequences for water management, if any; 20. Establish contacts with the concerned staff of BWDB, ADB, DANIDA, WB, JICA, others to coordinate interventions and efforts; 21. Consult with the relevant Disaster Management Agencies at the administrative levels for information regarding the flood levels of cyclones for project areas and to design for additional culverts as necessary; 22. The Hydrologist will work in close collaboration with LGED engineers at HQ, and at District, Upazila and Union level and with respective administrations; 23. Design the operation and maintenance of water control gates with beneficiaries and local government officials and LGED staff; 24. Examine the surface water quality/quantity (ponds) and groundwater quality in the project area and identify suitable sources for providing safe drinking water for growth centers/rural markets and cyclone shelters as well as for cement concreting works; 25. Advise on the location of tubewells (DTW) providing safe drinking water for villagers; 26. For the studies the Hydrologist makes use of maps (from LGED s GIS-section) and coordinate with BWDB who are the custodian of the polders in which many of the project s intervention areas are located; 27. The Hydrologist interviews farmers as to their perceptions on drainage and water control and the possible impact the project may have on their farm holdings; 28. The Hydrologist identifies if Water Management Organizations (WMOs) are engaged with the water management of areas of polders that area traversed by roads subject to 21

113 Annex 5 rehabilitation by CCRIP; together with the WMG the water control is investigated and concluded on possible addition of culverts with gates and on the operation of these. 29. The future impact of climate change is verified according to the latest insights and updated standard design criteria as applied by GOB s concerning agencies for the project s intervention areas, and proposals are made as to how to mitigate to a reasonable extent the impacts. However, the project limits its mitigation effort to affordable interventions as e.g. adding culverts to add discharge capacity to evacuate extreme floods, water control gates, adapted designs of bridges and ghats. 30. The Hydrologist establish contacts with other projects and stakeholders intervening in the same areas as CCRIP, e.g. Blue Gold, and so on to collaborate on issues of mutual interest and in the interest of the project s target population. 31. The Hydrologist perform any other related work, as may be reasonably instructed by the Project Director LGED; 32. The Senior Hydrologist will work under the supervision of the Project Director, LGED, Dhaka. Duty Station The Senior Hydrologist will generally be stationed in the PMO, LGED HQ Dhaka, but will be expected to be periodically based in each of the RPOs, and to visit construction sites when requested. The Senior Hydrologist will support the PD, two Deputy PDs, road structures design engineer and other national and international staff of CCRIP. The Senior Hydrologist liaises with relevant units in LGED, on all hydrological aspects of the project activities. The Senior Hydrologist communicates intensively with BWDB and other agencies responsible for water control and flood mitigation at the various levels in the water conveyance system and with river water management authorities. The duty station is Dhaka (40%) with frequent travel to the project Upazila s and Unions (60%). The Senior Hydrologist will be attached to the Project Management Office (PMO) at LGED HQ, Dhaka. The GIS-Unit will facilitate his/her work and he/she will work in close collaboration with the Director of the GIS-Unit concerning aspects of mapping. Transport is made available by LGED. Duration: The duration of employment of the Senior Hydrologist is 5 years. Qualifications: a) M.Sc. Degree in Water Resources Engineering, with special emphasis on hydrology especially surface water hydrology; b) Fully familiar with computer data processing, Hydrological models, MS Office (Word, Excel); c) Familiar with GIS software, especially ARCGIS; and d) Experience: 3-6 years relevant work experience. B. 2. TOR: Sub-Assistant Engineer Upazila level TOR for additional civil engineers at Upazila level within LGED by IFAD; in total 32 Sub-Assistant Engineers are attached for the duration of the project. Upazila level: Sub-Assistant Engineer (Upazila Infrastructure Supervision Engineer) (i) (ii) (iii) (iv) (v) Duties Works under the supervision of the XEN and the Upazila Engineer and Assistant Engineer Cooperate closely with the Project Director, the XEN and the Upazila Engineer in preparing, planning, coordinating and monitoring project implementation; Assists the XEN and the Upazila Engineer in preparing district-wise sub-project appraisal reports (SARs) for the districts covered by the Project. The XEN submits these SARs to the Project Director of LGED, for approval of the co-financiers; Advises in the preparation of specifications incorporating climate resilience measures in consultation with the Project Director, the XEN and the Upazila Engineer, in accordance with Government requirements, and co-financiers guidelines; Advises and assist the XEN and the Upazila Engineer in preparing a detailed project implementation plan and Annual Plans of Operation taking account of the need for timely completion of preparatory tasks, and of the construction constraints imposed by the monsoon season; 22

114 (vi) (vii) (viii) (ix) (x) (xi) (xii) (xiii) (xiv) (xv) (xvi) Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 5 Assists the XEN in the preparation of detailed designs and budgets; Assists the XEN and the Upazila Engineer on any modifications required to standard designs and technical specifications used by LGED in order to meet project requirements, particularly in relation to enhanced climate resilience measures; Assists the PMO, the XEN and the Upazila Engineer to establish and operate a system for monitoring and reporting on the performance of planned routine and periodic road maintenance in the Project area Assists the XEN and the Upazila Engineer on pre-qualification of contractors, preparation of standard contract documents, contract packaging, management of survey and design consultants, tender evaluation and contract award; Assists the XEN, the PMO and the Upazila Engineer to select the rural infrastructure subprojects to be improved by the Project, in accordance with the selection criteria established and agreed by the co-financiers and GOB for the Project; Assists on land acquisition and assist the XEN in participation, employment-generation and BME aspects of the project; Assists the XEN and the Upazila Engineer in the engagement of Construction Observers to assist monitoring of subproject works and/or where necessary intensity of monitoring is difficult to achieve by other team staff. Assists the XEN and the Upazila Engineer with preparation of reports describing progress, performance and future plans, and identifying any actions to be taken to ensure timely achievement of the project s outputs and objectives; Assists with the preparation of the completion report at the end of assignment; At the level of the Upazila assists the Upazila Engineer on matters as: selection of subprojects, design of road and market rehabilitation, identifying land necessary for development in consultation with MMC, conducting surveys, preparing BOQs, preparing tender documents, engaging LCS, independent day-to-day supervision of execution of works, checking sub-grade strength, testing construction materials and finished items, reporting all test results, quantity estimation for billing purposes, ensuring construction site conditions as per environmental requirements, awareness building among villagers, engaging MMCs, and so on. Assists with any other duties as may be reasonably assigned by the XEN and the Upazila Engineer. Duty Station: Upazila Capital / Engineer s Office Duration: The duration of employment of the Sub-Assistant Engineer is 5 years. Qualifications: Diploma Degree in Civil Engineering ; Relevant Experience: 2-5 years in road construction and market infrastructure. B. 3. TOR GIS Specialist Background on GIS More than is the case now the use of satellite imagery for maps and hydrological studies is recommended when rehabilitating or constructing infrastructure. Involving the GIS Unit of LGED is an efficient working method as the GIS Unit of LGED possesses the required software (ARCGIS), satellite imaginary and digital maps. At the GIS Unit Maps are available from Landsat (2010), resolution 30 * 30 m. Scales used may be about 1 : (regional studies, polders) and more detailed scales like 1 : 5000 to fit the detailed surveys for the detailed assessment of rural infrastructure and to prepare for tender documents. A printer is available and can be used to make prints to be used for field visits and for office work. Sufficient budget must be allocated to make use of GIS (prints, electronic copies, acquiring GIS data, and so on, estimated at about USD ) Geodetical instruments required In addition to available geodetical instruments some additional instruments are required: Total stations (3, for three Regions), Handheld GPS (32 for the 32 participating Upazilas), ranging rods, staffs, measuring tapes, chains; to be specified later, estimated as lump sum (USD 80000). Duties 23

115 The GIS specialist: Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 5 1. Works under the supervision of the Unit In-charge of LGED s GIS Unit; 2. Prepares the maps as required by CCRIP; 3. Acquires data from satellite imagery as available within the GIS Unit; 4. Assess the adequacy of these data and recommends purchase of hardware and software as needed; 5. Create maps and graphs, using GIS software and related equipment; 6. Gather, analyze, and integrate spatial data from staff and determine how best the information can be displayed using GIS; 7. Analyze spatial data for geographic statistics to incorporate into documents and reports; 8. Compile geographic data from a variety of sources including censuses, field observation, satellite imagery, aerial photographs, and existing maps; 9. Makes field visits to verify maps with ground truth data; 10. Train the Upazila s Sub-assistant engineers and surveyors on the use of the GPS systems and on data transmission to LGED GIS Unit at HQ. 11. Any other related work, as may be reasonably instructed by the PD-CCRIP or Senior-Assistant Engineer in charge of LGED s GIS Unit. Duty Station The duty station is Dhaka (80%) with travel to the project Upazila s and Unions (20%). The GIS Specialist will be attached to the Project Management Office (PMO) at LGED HQ, Dhaka. The GIS- Unit will facilitate his/her work and he/she will work under the supervision of the Unit In-charge of the GIS-Unit concerning the aspects of mapping. Field visits cost will be reimbursable based on customary allowances related to the professional s salary. Duration: The duration of employment of the GIS Specialist is 5 years. Qualifications M. Sc. Degree in GIS or Geography; B. Sc. Degree in Engineering, Natural resources, Computer Science or equivalent; Preferably a combination of education and experience or extensive professional experience as advanced user of GIS; He/she preferably has 6-8 years experience using various GIS software (primarily ESRI, ArcGIS, Arc/Info Workstation, and ArcView), as well as various geographic data formats and standard data conversion and transformation methods, for geographic analysis; Must have a high degree of computer literacy, must be familiar with databases for storing data, running queries, and report writing. 24

116 Annex 6 Annex 6 Review of Rural Infrastructure Needs under CCRIP

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118 Annex 6 Annex 6 Review of Rural Infrastructure Needs under CCRIP Introduction: Experiences indicate that market and transport infrastructure facilities assist producers to take commodities to nearest markets, which play very important roles for sustainable development of any area. These infrastructures contribute significantly to improving livelihoods in the area. For Bangladesh, it is truer as the country is vulnerable to common natural hazards such as cyclones, floods and droughts. These problems are further accelerated due to climate change and are becoming threats to sustainable livelihoods of poor people in Bangladesh. MIDPCR showed that investments in market and small-scale roads infrastructure developments bring development opportunities in people s livelihoods in rural areas. The infrastructure for example boost farm gate prices, facilitate taking products to nearby markets, enhance access to good quality inputs and increase demand for products from other markets. Improved infrastructures contribute to additional private investments in agriculture and other business. It has also been observed that due to market and communication system development, production in agriculture sector increase, employment opportunities improve; labour productivity and their income also increase. 2. GOB and Donor Rural Infrastructure Projects: As per the Rural Development Strategy of Bangladesh, GOB and development partners (including WB, ADB, JICA, DANIDA and Govt. Of Netherlands) under several projects financed growth centres, hat bazaars (markets) and rural roads for facilitating rural development. MIDPCR and similar other projects showed that market infrastructures and rural roads serve as nerve centres for economic growth. Infrastructures assist to increase availability of agricultural technologies to small farmers and helped to disseminate a range of technologies for rice, other crops, poultry, livestock and fish and are reaching people. Innovations in pro-poor infrastructure development such as involving poor and destitute women in market infrastructure development and certain sections of village roads through labour contracting societies (LCS) benefited extreme poor women. Members of LCS (formed and operated under MIDPCR) acknowledged that their involvement with market development activities assisted them in their social development. Members of LCS became self-sufficient or able in earning their livelihoods and earned respectable position in the society. LCS members are also happy that they need not to pay toll for selling their products in the market they constructed. MMC has issued identity cards to LCS team members to avail toll free support. These developments also increased access to common property resources for the rural poor. 3. Lessons Learned from Infrastructure Projects: In view of the achievements of MIDPCR and success stories of other infrastructure projects and considering needs of poor people the Government of Bangladesh (GOB) and IFAD is planning to implement an infrastructure development project. The will be called Sustainable Market Infrastructure for Livelihoods Enhancement (CCRIP) and implemented in initially identified 12 districts in the south-west part of Bangladesh. To gather first-hand information and to identify possible needs of rural people and similarities of the needs in relation the lessons learned from other infrastructure projects, inception mission members visited six districts (Madaripur, Gopalganj, Shariatpur, Bagerhat, Khulna and Satkhira) out of proposed 12 districts. Mission members visited several existing markets and communication facilities connecting these markets to existing growth centres and upazila road network. Six upazilas one from each districts visited by the mission members are: Zanjira (Shariatpur), Shibchar (Madaripur) and Kotalipara (Gopalpur), Morrelganj (Bagerhat), Dacope (Khulna) and Assasuni (Satkhira). Successes of MIDPCR were guiding points for discussion. The mission assessed views of possible such developments in the proposed project and participation of project beneficiaries in project implementation. Beneficiaries and representatives of Govt. institutions appreciated approach of the inception mission and expressed needs of market and road infrastructure developments. They appreciated roles of LGED in such works and offered their full cooperation in project implementation and subsequent operation and management of the infrastructures if developed in their area. Institutional arrangements such as MMC and LCS introduced under MIDPCR may be practiced in these areas without any resistance. Most important infrastructures requested by the stakeholders and endorsed by the inception mission are provided with justification for sustainable development of possible project area (Annex 1). 13 Prepared by Dr. Abdul Ghani, Consultant, IFAD 1

119 Annex 6 4. Through detail discussions among LGED management and Inception Mission, about 32 upazilas have initially been selected from proposed 12 districts for implementation of CCRIP. However, this is very preliminary idea and will require confirmation by GOB and IFAD managements during project formulation. Infrastructures that may be considered under CCRIP for providing effective development opportunities with brief importance are mentioned as; 5. Market Infrastructures Development: Market development under CCRIP will include rural markets (haat-bazaars) and smaller assembly markets. Rural (village and union level) markets are smaller than major growth centres and wholesale markets. Market infrastructures will be selected on the basis that they assist to channel significant volumes of products from producers to buyers and consumers in other project districts and the country. A flexible approach will be adopted in selecting types of infrastructures. However, entire market area should have paved areas to avoid uncomfortable movement of people due to mud during the rainy season. Areas will also be reserved for women in parts of the market used by temporary traders. As in MIDPCR, markets will be constructed by female LCS. 6. At some places there will be need for sheds at assembly centres (informal collection centres) and paved areas for parking of trucks. Some markets may need fish landing centres and require foreshore development of the river banks and construction of landing platform (ghats). Needs for such requirements may be finalized during more detail assessment. 7. Institutional Aspect: Along with physical infrastructures, market institutions will be developed in the project area which will include Market Management Committees (MMCs), collection centre committees and other stakeholder groups. Market Management Committees will manage operation and maintenance of markets; adopt improvement actions for further development by the best use of 25% share of lease money to be received from upazila out of market auction fees. For this purpose. Engagement of LCS should be ensured instead of a commercial contractor for construction of markets and roads (where applicable as per LGED procedure) to create employment and to enhance skills and financial capacity of the poorest women in the project area. Technical skills training for such construction and construction management will be ensured by LGED. 8. Infrastructure Requirement: Initial estimate indicates that 32 upazilas may be included from the proposed 12 districts in this project. For 32 upazilas, taking 1-2 Type II: Community (Village) markets and 5-6 Type III: smaller market/centres would require about 32 Type II and about 160 Type III small markets and 10 commodity collection points (CCP) along with market accessories.. Market infrastructures would also require women s section, collection points, MMC buildings, multi-purpose sheds, fish sheds, and toilet blocks with water supply, tubewells, open sale platform, internal roads (CC), drains, garbage pits paved area/parking area (HBB) and land rising. Actual numbers and volumes of works will be planned and cost will be estimated during formulation mission and finalized during project appraisal/design. 9. Transport Infrastructure: Experiences and outcome of several similar projects indicate that transport or communications infrastructures facilitate development of interior area and contribute significantly in improved livelihood of poverty prone areas. Therefore, CCRIP will include development of union and village (community) roads, along with bridges, culverts and ghats (landing platforms). These roads will be planned to connect rural markets to the upazila and district road network, and to other larger markets, growth centres and to farms. Experience of MIDPCR will be used in building roads and other infrastructures. Services of Labour Contracting Societies (LCS) composed of the poorest women will be utilized wherever is possible. Depending on the local conditions, roads will be constructed as BC, RCC and Block material types. Sizes of bridges, culvers and ghats will be decided as per LGED standards. However, local people during discussion with inception mission requested that wherever possible these structures should have provision for water conservation and flood protection. There should also be provision of sluices and inlet structures so that interested farmers can use them for irrigation and water retention through field level committees. Number and length of these transport infrastructures will be decided during formulation mission and LGED approved design 10. Standard will be followed for construction. Boat landing ghats will also be developed where markets are served by water transport. Small-scale water management interventions will be piloted in CCRIP, and would take place alongside road development. This could improve khals (canals) alongside or crossing project roads to enable them to store water for irrigation, supply water for aquaculture and drain agricultural land. 2

120 Annex Tree Plantation: Tree plantation besides roads and embankments is considered as national program for conservation of environment, bio-diversity and poverty reduction. Tree plantation under social forestry program has made significant progress in Bangladesh. It is one of the popular activities implemented by LCS, NGOs and GOB departments. There should be provision of road side plantation and maintenance by LCS under CCRIP. Tree plantation will be done following Tree Plantation Manual 9 and 1124 saplings will be planted per km of road (on both sides) for types of roads. Two women will be engaged in the first year and one woman for subsequent years per km of road for taking care of trees. This will provide employment opportunity for destitute women and will assist them in their improved livelihood. 12. Brief on some of the proposed infrastructure: Brief on some of the proposed infrastructure is given below: 13. Market Infrastructures: Markets such as growth centres, major and small markets and assembly centres along with improved transportation and communication networks serve as development centres for rural area. It will also assist farmers to get inputs at fair price and ensures opportunities for fair price for farm and non-farm products. Under this project 37 major (Type I and Type II), 160 small markets (Type III) and 5 collection points will be developed. 14. Market connecting roads: Roads connecting markets to villages and to growth centres and or or to upazila roads will be constructed under CCRIP. About 650 km of union and 341 km of village roads may be constructed under CCRIP in proposed 32 upazilas. Design of the roads and relevant infrastructures will be as per LGED approved procedures. 15. Bridges and culverts: To ensure free flow of water in the project area, required number of bridges and culverts will be constructed during road improvements. As per LGED procedures, there should be provision of cross-drainage. A total gap of 10 meters per km of road is considered for Union road and 7.5 meter per km gap for drainage per km of Village road is considered. Therefore, proposed Union and Village roads would have requisite amount of culverts/bridges. Bridges and culverts will be constructed on the gaps following LGED standard design. 16. Slope protection: Slope protection for proposed 501 km of roads, 197 markets (Type I, II, and III), ghats (landing plat forms) and approaches of bridges/culvers will be required for safety of the infrastructures from possible erosions and wave actions. As per present approved procedure, LGED will consider 300 square meters of protection per km of Union and 100 square meters per km of Village roads. 17. Tree Plantation: Tree plantation along 500 km roads under CCRIP will provide opportunities for income generating activities for LCS and will also ensue routine maintenance for road sides and road shoulders. 18. Earthworks: All roads will be developed on existing road alignments where some earth work exist. Re-sectioning and additional earthwork will be required. Estimated cost for earth work is Taka 5.75 Lakh for Union roads and Taka 1.00 Lakh for Village roads. Earth work during road improvement will also provide employment opportunities for local people. 19. Land Acquisition: No land acquisition should be undertaken for this project as most roads are supposed to be on existing road alignments. Moreover, attempts should be made to recover lands if grabbed by local people over time, which was part of existing roads. However, for realignment and widening some sections of roads and embankments, minimum possible amounts of land may be acquired. Existing LGED provisions allow land acquisition to the extent of about 820 square meters per km Union roads and market places and 410 square meters per km for Village roads. 20. Open Sales Platform: There will be open sales platforms in each market and assembly centres especially at landing places where farmers and fishermen bring their products by boats. At each landing place there should be provision of truck stand and sheds for providing safe place for agricultural products and sellers. These places are expected to be used all over the year and sheds will be of special help during rainy season. All sales platforms should be paved to avoid muddy condition. 21. Drains: There should be provision of well-designed drainage systems at each and every market and assembly centres for good working conditions. There should not be water stagnation in any of the markets and assembly centres for ensuring good working environment and protecting from breeding places for mosquitoes. Like MIDPCR, CCRIP should also provide support for drainage system development. 3

121 Annex Toilet Blocks: In each improved market, there should be toilet blocks for men and women but with separate entrances. Size of toilets as approved by LGED is 6 x 5 meters. In each market, there should be one toilet for females and two for males and an n urinal for males. There should also be washing facilities in each unit. Designs of toilet blocks will be as per LGED provision and as implemented under MIDPCR. A preliminary list of major items to be included in the project is prepared using LGED guidelines and is provided in Annex Labour Contracting Societies (LCS): Under MIDPCR, it has been proved that construction works (markets and sections of roads) completed by LCS are cheaper and of better quality than generally constructed by local contractors. Furthermore, it assists LCS members in earning their livelihoods and IGAs. Profits earned through construction works provide them capital for initiating business and other IGAs. Experiences of LCS may be replicated in CCRIP for ensuring sustainable income generation by poor and destitute women and for improvement in their livelihoods. 24. Environmental and Social Issues for CCRIP: Improved market system development, road communication, afforestation programs, construction works carried out by LCS, paved market places and assembly centres will contribute to better working environment in the project area. Income generating activities to be promoted during implementation of CCRIP and continued contribution of the services out of infrastructures will continue providing IGAs to poor women and agricultural producers. Improved communication system will assist project area people to avail health services mostly available at upazila level and improved market places. Increased income of common people and additional products and better price of the products will contribute to intake of more nutritious foods that will further assist to maintain healthy lives. Increased income will encourage producers and stakeholders to send their children to schools and in purchasing radio, television and other facilities for amusements and receiving messages from communication media. All these facilities will contribute to improved livelihood, which is one of the objectives of CCRIP. 25. Conclusions and next steps for CCRIP: Based on the above and contribution of other sections of CCRIP, it may be mentioned that CCRIP on implementation will contribute positively in sustainable improved livelihood in the project and adjacent areas. Therefore, CCRIP should move to next phase of project preparation (Project Formulation) phase. 4

122 Appendix 1 of Annex 6 Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 6 Inception Mission visited 12 upazilas of six districts and interacted with stakeholders to estimate their priority infrastructure requirement for the proposed CCRIP project. Request of the stakeholders with justification and comments of the mission is summarized as: A. Findings of Field Visits Serial No. Required Structure 1 Paved union and village roads 2 Access to health centre 3 Bridges & culverts Reasons for Requirement with Comments In most places, conditions of union and village roads connecting to upazila are bad and become unusable during rainy season. Most people in all six upazila visited demanded road improvement. This will facilitate connecting to nearest growth centre and upazila headquarter. Communication among adjacent markets will also improve. People of these remote villages suffer from health supports. Even if there is limited health service facilities, most people can not reach health centres due to bad communication and shortage of transport facilities. Pregnant women and elderly people suffer most. Therefore, development of road network will assist farmers and villagers to avail health services available at upazila level. There are strong demands for bridges and culverts along with all season paved roads. Bridges and culvers will ensure free flow of existing water bodies and canals and in removing drainage congestion. 4 Embankment In places where market is along river site, there was demand for embankment and protective works. Proposed embankments may be road cum embankment. 5 Sluice gates Farmers of Morrelganj, Dacope and Assasuni need sluice gates along with road improvement for storing sweet water during later part of rainy season and for protecting their area from inflow of saline water during dry season. 6 Ponds and ghats 7 Drainage system 8 Improved crop varieties 9 Afforestation along roads and embankments 10 Coordination committees Most people in coastal area still depend on ponds for their household water uses and for drinking water. Therefore, demanded adequate no. of ponds in the villages especially near the markets to be developed under CCRIP. These are required to provide clean water and for improving health condition. Stakeholders demanded landing platform (ghat) for loading and unloading commodities at market sites. These will facilitate movement of goods and people. Drainage congestion is also common in many exiting markets and stakeholders demanded for drainage system development. It will also assist in improved hygienic condition and will reduce mosquito problem in market area. In remote areas visited by mission members, improved and HYV seeds are not available. Stakeholders feel HYV seeds will be available with improvement of roads and markets. The project may facilitate agricultural extension services. Farmers, shop owners and LGIs believe plantation along roads and embankment slopes will provide job opportunities to local poor people and will also contribute to improved environment. As usual, LGED may include LCS for afforestation program for roads and embankment. Upazila and union level public representatives, Upazila Nirbahi Officer, village leaders and farmers assured the inception mission that they will coordinate among themselves for effective operation and management of infrastructures that will be built under CCRIP in 5

123 Serial No. Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 6 Required Structure 11 NGO support and union and upazila their areas. Reasons for Requirement with Comments NGO are working in the six upazila visited and their supports will be available if arrangements can be made. 12 Flood problem Flood due to heavy rain and inflow of surge during rainy season is problem in certain areas (Morrelganj, Assasuni) and will require flood protection measures as part of infrastructure development. 13 Homestead farming Homestead farming is becoming popular but shortage of quality seeds is a constraint. NGOs may be involved in CCRIP or similar projects may assist project area people in improving homestead farming. 14 IGAs People especially poor women will like to get training on IGAs and adopt it. NGOs and extension department may assist in developing IGAs. 15 Tubewells Tubewells are required for drinking water and as well as for irrigation purpose. 16 Market development Market improvement was of high demand even above road development in some places. The project will address this. 17 Paved market Entire market area should be paved as unpaved patches in market place make most part of the market muddy during rainy season. Fish market area may be muddy even during dry season if do not have paved floors. 18 Toilets at market Toilet with water supply facilities is very much required for good market and to make it clean and hygienic. Toilet facilities at markets established under MIDPCR will be included under CCRIP. 19 MMCs Most markets have management committees but will require formalizing with upazila management and have timely election to make them functional. Thus committees should avail share of income from leasing of markets by UNO. 20 LCS In all the sites visited in all six upazilas, local people informed that they will have no objection formation of LCS with destitute women and allow them to work for construction of markets and roads, plantation along roads and embankments, and operate shops in the markets. 21 Truck stand and sheds 22 O&M responsibility Construction of landing places along water bodies and truck stands for carrying agriculture (crops, fish) products. There should be sheds in such places to provide shelter for goods and sellers during rainy season. Stakeholders agreed to take part in O&M of the facilities to be created in their area and to follow standard LGED procedure for such works. 6

124 Annex 7 Annex 7 List of community (village) markets and union/village roads selected for development

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126 Annex 7 Annex 7 List of community (village) markets and union/village roads selected for development A. Selected Community (Village) markets (IFAD Funded) Coastal Climate Resilient Infrastructure Project (CCRIP) Selected IFAD funded Small and Medium Sized Community (village) Markets SL. No. District Upazilla Name of Rural Market Market Type 1 Barisal Babugonj Postoffice Hat Medium 2 Barisal Babugonj Uttar Baherchar Small 3 Barisal Babugonj Rahamatpur Medium 4 Barisal Babugonj Steamerghat Bazar Small 5 Barisal Uzirpur Gutia Bazar Medium 6 Barisal Uzirpur Jugirkanda(Galla) Bazar) Small 7 Barisal Uzirpur Habibpur Bazar Small 8 Barisal Uzirpur Nayakandi Hat Small 9 Barisal Uzirpur Daberkool Bazar Medium 10 Barisal Uzirpur Solok Hat Small 11 Barisal Uzirpur Ganteswar Bazar Small 12 Barisal Uzirpur Saudi Bazar Small 13 Barisal Banaripara Naya Bazar Small 14 Barisal Banaripara Awar hat Medium 15 Barisal Banaripara Khalishakota Hat Small 16 Barisal Banaripara Janatar hat Medium 17 Barisal Banaripara Gaba Hat Small 18 Barisal Banaripara Guachitra Cow Hat Small 19 Barisal Banaripara Sher-e-Bangla Bazar Small 20 Barisal Banaripara Manik Miar Hat (Doctor Hat) Small 21 Bhola Lalmohan Harigonj Small 22 Bhola Lalmohan Peshkar Hat Medium 23 Bhola Lalmohan Patoari Hat Small 24 Bhola Lalmohan Chatla Bazar Small 25 Bhola Lalmohan Janata Bazar Small 26 Bhola Borhanuddin Mainkar Hat Medium 27 Bhola Borhanuddin Darun Bazar Small 28 Bhola Borhanuddin Sikder Hat Small 29 Bhola Borhanuddin Jaoyer Hat Small 30 Bhola Borhanuddin Janata Bazar Small 31 Bhola Borhanuddin Talukder hat Small 32 Bhola Charfassion Uttar Charmanika Bazar Medium 33 Bhola Charfassion Bhuyar Hat Small 34 Bhola Charfassion Pangashia Bazar Small 35 Bhola Charfassion Char Lulin Bangla Bazar Small 36 Bhola Charfassion Daser hat Small 37 Bhola Charfassion Nazirmajhi Hat Small 38 Bhola Charfassion Kukrimukri Hat Small 39 Patuakhali Sadar Pajakhali Hat Medium 40 Patuakhali Sadar Choto Beghai Officer hat Medium 1

127 Annex 7 SL. No. District Upazilla Name of Rural Market Market Type 41 Patuakhali Sadar Moddho Titkata Small 42 Patuakhali Sadar Tafalbaria bazar Small 43 Patuakhali Sadar Satghar Bazar Small 44 Patuakhali Sadar Katakhali Small 45 Patuakhali Kalapara Patua Bazar Medium 46 Patuakhali Kalapara Tegachia Hat Small 47 Patuakhali Kalapara Muktijoddha Hat Small 48 Patuakhali Kalapara Pakhimara Bazar Small 49 Patuakhali Kalapara Dablugonj Small 50 Patuakhali Galachipa Amkhola Hat Medium 51 Patuakhali Galachipa Chiknikandi Medium 52 Patuakhali Galachipa Siba Ismail Mridhar hat Small 53 Patuakhali Galachipa Naluabagi hat Small 54 Patuakhali Galachipa Gazalia Hat Small 55 Patuakhali Galachipa Bangla Bazar Small 56 Patuakhali Rangabali Rangabali Natun Bazar (Kachiabunia) Medium 57 Patuakhali Rangabali Moudubi Medium 58 Patuakhali Rangabali Charbestin Bazar Small 59 Patuakhali Rangabali Horidra Khali Bazar Small 60 Patuakhali Rangabali Tulatali Bazar Small 61 Patuakhali Mirzaganj Khalisakhali Bazar Medium 62 Patuakhali Mirzaganj Gabua Bazar Medium 63 Patuakhali Mirzaganj Chaita Bazar Small 64 Patuakhali Mirzaganj Sishur Hat Small 65 Patuakhali Mirzaganj Bhutiar Hat Small 66 Patuakhali Mirzaganj Kalagachia Bazar Small 67 Barguna 68 Barguna 69 Barguna 70 Barguna 71 Barguna 72 Barguna 73 Barguna Amtali(With Taltali) Amtali(With Taltali) Amtali(With Taltali) Amtali(With Taltali) Amtali(With Taltali) Amtali(With Taltali) Amtali(With Taltali) Fakir hat Amragasia Bazar Munsir hat Bazar Uttar Purba Tepura Bazar Kabirazpara Koroibaria Bazar Dafadar Hat Medium Medium Small Small Small Small Small 74 Barguna Betagi Mayer hat Medium 75 Barguna Betagi Mier hat Medium 76 Barguna Betagi DC hat Small 77 Barguna Betagi Kabil Akon Bandthghat Bazar Small 78 Barguna Betagi Laxmipura Bazar Small 79 Barguna Betagi Mpr Hat Small 80 Barguna Betagi Kumrakhali Hat Small 2

128 Annex 7 SL. No. District Upazilla Name of Rural Market Market Type 81 Barguna Bamna Bukabunia Bazar Medium 82 Barguna Bamna Gudhigata Bazar Small 83 Barguna Bamna Sonakhali Bazar Small 84 Barguna Bamna Ramna Baikalin Bazar Small 85 Barguna Patharghata Nasnapara Medium 86 Barguna Patharghata Miah Medium 87 Barguna Patharghata Sofilpur Small 88 Barguna Patharghata Baro Tengra Small 89 Barguna Patharghata Horidra Khali Bazar Small 90 Barguna Patharghata Badurtala Hat Medium 91 Pirojpur Mothbaria Tearkhali Bazar Medium 92 Pirojpur Mothbaria Amragachia Bazar Medium 93 Pirojpur Mothbaria Amtoli hat Small 94 Pirojpur Mothbaria Jawtala hat Small 95 Pirojpur Mothbaria Vagirathpur bazar Small 96 Pirojpur Mothbaria Kulurhat Medium 97 Pirojpur Mothbaria Boro Masua Small 98 Pirojpur Zianagar Chandipur Bazar Medium 99 Pirojpur Zianagar Ghoserhat Medium 100 Pirojpur Zianagar Lahuri hat Small 101 Pirojpur Zianagar Pather hat Small 102 Pirojpur Zianagar Chowkider hat Small 103 Jhalakati Kathalia Ghoser Hat Medium 104 Jhalakati Kathalia Marichbunia Hat Small 105 Jhalakati Kathalia Kathalia Bazar Small 106 Jhalakati Kathalia Kachua Bazar Small 107 Jhalakati Kathalia Tarabunia Bazar Small 108 Jhalakati Kathalia Sonar Bangla Bazar Small 109 Madaripur Rajoir Lundi bazar Small 110 Madaripur Rajoir Boiragir bazar Medium 111 Madaripur Rajoir Kodalia Natun bazar Small 112 Madaripur Rajoir Lakhanda bazar Small 113 Madaripur Rajoir Vandaria bazar Small 114 Madaripur Rajoir Chander bazar Small 115 Madaripur Shibchar Mollarhat Small 116 Madaripur Shibchar Kamlapur hat Small 117 Madaripur Shibchar Kalatolahat bazar Small 118 Madaripur Shibchar Kawarhat bazar Small 119 Madaripur Shibchar Korokchar Natun bazar Small 120 Madaripur Shibchar Saheberbazar (Gostir hat) Medium 121 Madaripur Shibchar Garirhat bazar Small 122 Madaripur Shibchar Farazirhat bazar Small 123 Sariatpur Janjira Kajirchar Small 124 Sariatpur Janjira Durger hat Small 125 Sariatpur Janjira Taher Madbar Bazar Small 126 Sariatpur Janjira Budair hat Small 3

129 Annex 7 SL. No. District Upazilla Name of Rural Market Market Type 127 Sariatpur Janjira Laukhola Bazar Medium 128 Sariatpur Janjira Rup babur Hat Small 129 Sariatpur Naria Nowadda Bangla Bazar Medium 130 Sariatpur Naria Mohiskhola Small 131 Sariatpur Naria Talipara Natun Hat Small 132 Sariatpur Naria Majir Hat Small 133 Sariatpur Naria Joy Bangla Bazar Small 134 Sariatpur Naria Char Atra Bazar Small 135 Sariatpur Naria Chandipur Bazar Small 136 Gopalgonj Kotalipara Wapda Hat Medium 137 Gopalgonj Kotalipara Suagram Hat Small 138 Gopalgonj Kotalipara Pererbari hat Medium 139 Gopalgonj Kotalipara Kushla Small 140 Gopalgonj Kotalipara Ramnagar Small 141 Gopalgonj Kotalipara Narayankhanna Small 142 Gopalgonj Kotalipara Kacharivita Bazar Small 143 Gopalgonj Tungipara Gopalpur Hat Medium 144 Gopalgonj Tungipara Modhukhali Hat Small 145 Gopalgonj Tungipara Korfa Small 146 Gopalgonj Tungipara Borni Hat Small 147 Gopalgonj Tungipara Dumuria Hat Small 148 Khulna Koyra Surikhali Small 149 Khulna Koyra Khorolkati Small 150 Khulna Koyra Zhiligata Medium 151 Khulna Koyra Vandarpol Medium 152 Khulna Koyra Suti Small 153 Khulna Dacope Banishanta Bazar Small 154 Khulna Dacope Pankhali Bazar Small 155 Khulna Dacope Moukhali bazr Small 156 Khulna Dacope Badua bazar Small 157 Khulna Dacope laxmikhola bazar Small 158 Khulna Batiaghata Titukhali Hat Small 159 Khulna Batiaghata Baintala Hat Small 160 Khulna Batiaghata Dhadua Bazar Small 161 Khulna Batiaghata Sukhdara Medium 162 Khulna Batiaghata Taliamara Medium 163 Satkhira Shyamnagar Munshiganj Medium 164 Satkhira Shyamnagar Bangshipur Medium 165 Satkhira Shyamnagar Garkumarpur Small 166 Satkhira Shyamnagar Patakhali Small 167 Satkhira Shyamnagar Chaltaghata Small 168 Satkhira Shyamnagar Verar Hat Small 169 Satkhira Shyamnagar Nildumur Small 170 Satkhira Assasuni Bisot Medium 171 Satkhira Assasuni Kalabagi Medium 172 Satkhira Assasuni Maddham Chapra Small 4

130 Annex 7 SL. No. District Upazilla Name of Rural Market Market Type 173 Satkhira Assasuni Puijala Small 174 Satkhira Assasuni Gabtala Small 175 Satkhira Assasuni Bashukhali Small 176 Satkhira Assasuni Paithali Small 177 Satkhira Kaligonj Moutala (Large Market) Medium 178 Satkhira Kaligonj Gorrer Hat Small 179 Satkhira Kaligonj Sannasir Chalk Small 180 Satkhira Kaligonj Jerrongacha Hat Small 181 Satkhira Kaligonj Tarail Medium 182 Satkhira Kaligonj Kadamtala Hat Small 183 Satkhira Kaligonj Kakshiali Bazar Small 184 Bagerhat Sharankhola Amragachia Bazar Medium 185 Bagerhat Sharankhola Khantakata Medium 186 Bagerhat Sharankhola Nalbunia Hat Small 187 Bagerhat Sharankhola Lakurtala Small 188 Bagerhat Sharankhola Chutukhar Hat Small 189 Bagerhat Sharankhola Taltaly Hat Small 190 Bagerhat Sharankhola Chaltabunia Small 191 Bagerhat Morrelgong S.B Bazar Small 192 Bagerhat Morrelgong Pachgoan Hat Medum 193 Bagerhat Morrelgong Jewdara Hat Medium 194 Bagerhat Morrelgong Boulpur Hat Medium 195 Bagerhat Morrelgong Lakmikhali Small 196 Bagerhat Morrelgong Madrasha Hat Small 197 Bagerhat Morrelgong Khawlia Hat Small 5

131 Annex 7 B. Selected Union Roads (IFAD Funded) Sl. No. Zilla Coastal Climate Resilient Infrastructure Project (CCRIP) Upazila Selected IFAD funded Union Roads Name of Village Market Road ID 1 Barisal Babugonj Rahamatpur Barisal Banaripara Sher-e- Bangla Bazar Barisal Banaripara Janata Bazar Barisal Uzirpur Habibpur Hat Barisal Uzirpur Daberkool Hat Barisal Uzirpur Gondeshar Barisal Uzirpur Gondeshar Road Name Rahamatpur Bazer- Madhabpasha UP Baisari College via PG School (Tetla to Sher-e-Bangla Bazar) South Illuhar Boro Bridge to Chander hat via Illuhar High School Habibpur Bazar to Kuralia bazar via Munsir Taluk Road. Chowdhurir Hat to Hastisunda via Daberkool Road Uzirpur to Gondeshar Bazar via Bamrail UP Office Guria Nutan Hat - Gondeshar Bazr Via Sikarpur Road Total Length Road (Km) Proposed Length (KM) Bhola Lalmohan Harigonj Hat Charvuta UP- Chatla Bazar Bhola Lalmohan Peshkar Hat Bhola Borhanuddin Janata Bazar Nazirpur Bazar- Paschim Char Umed via Farashgonj UP Dorgha (Hakimuddin Bazar) to Tobgi UP office via Dalal Bazar road Bhola Charfassion Bhuyar hat Bhola Charfassion 13 Bhola Charfassion Pangashia bazar Char Lulin Bangla Bazar Patuakhali Sador Pajakhali Hat RHD-Kaliakandi GPS to Jalil road Dinar Khea ghat via Bhuyar hat Usmangonj UP to Kasemmiar Hat via Pangasia bazar Muzibnagar Janatar Bazar Launchghat to South side of WAPDA embankment road Lohalia Up- Patuakhali H/Q

132 Annex 7 Sl. No. Zilla Upazila 15 Patuakhali Sador Name of Village Market Moddho Titkata Hat Road ID Patuakhali Sador Katakhali Hat Patuakhali Kalapara Patua Bazar Patuakhali Kalapara 19 Patuakhali Kalapara 20 Patuakhali Galachipa 21 Patuakhali Galachipa Old Mohipur Bazar Muktijoddha Hat Chiknikandi Hat Siba Ismail Mridhar Hat Patuakhali Galachipa Naluabagi hat Patuakhali Rangabali 24 Patuakhali Rangabali 25 Patuakhali Mirzaganj Rangabali Natun Bazar (Kachiabunia) Moudubi Hat & Tulatolir Hat Khalisakhali Bazar Patuakhali Mirzaganj Gabua Bazar Patuakhali Mirzaganj Chaita Bazar Barguna Amtoli Fakir hat Road Name BaraBighai Up- Patukhali GPS- Shechasebak Bazer-Marichbunia UP. Jainkati UP- Dholkhali (Sluice Launchghat)Bazer- Via Chandanbaria Bhuria rkhayaghat- Katakhali launchghat Road. PatuaHat- Dhakhali.U.P (College) Khapravanga UP to Dalbugonj Hat Lalua UP-Nilgonj UP Via Mithagong UP. Chiknikandi UP- Amkhola UP Chottosiba FRB to Barosiba Launchghat. Naluabagi Bazar- R&H road via UP Office Barobaisdia U.P. to Rangabali U.P. Chailtabunia UP- Borrobaisda UP- Moudube Mukharbandha Shelter. Mazidbaria UP office-khalishakhali bazar Rd. Kakrabunia UP office-kumrakhali- H/O Rashid Judge- Gazipurhat Rd. Chaita Bazar- Chaita Madrasha- Bazita Madrasha at Shishurhat. Taltali UP -Fakir's Hat via Amkhola Road Total Length Road (Km) Proposed Length (KM) Barguna Amtoli 30 Barguna Betagi 31 Barguna Betagi 32 Barguna Patharghata Amragachia Bazar Laxmipura Bazar Kabil Akon Bazar Boro Tengra Bazar Amragachia Bazar- Kukua UP Betagi UP- Laxmipura Bazar Hosnabad UP- Sonar Bangla Bazar Patharghata - Tengra bazar

133 Annex 7 Sl. No. Zilla Upazila 33 Barguna Patharghata Name of Village Market Natchnapara Bazar Road ID Barguna Patharghata Miah Bazar Barguna Patharghata Badurtala Bazar Barguna Patharghata Miah Bazar Barguna Bamna 38 Barguna Bamna 39 Perojpur Mothbaria Bukabunia Bazar Gudhigata Bazar Amragachia Bazar Perojpur Mothbaria Jawtala Hat Perojpur Mothbaria Tearkhali Bazar Perojpur Mothbaria Kulur Hat Perojpur Zianagar Chandipur Hat Perojpur Zianagar Pother Hat Perojpur Zianagar Luhuri Hat Jhalokati Kathalia Marichbunia Hat Jhalokati Kathalia Ghoser Hat Road Name Natchnapara UP - Natchnapara Bazar Lemua GC- C&B Bazar via Hemontopur Patharghata - Horinbaria- Badurtala Raihanpur UP - Pipulia Bazar Via Zamirtala Bukabunia UP - Kholpatua GC via Sonakhali Bazar Gudhigata bazar - Ramna UP via Uttar Kakchira Bazar Amrgachia UP- Amtoli hat at ch m & m Mirukhali UP- Jawtala bazar via Vagirathpur bazar at ch m. Gulishakhali UP to 22 Kura Bazar via H/O Hasem Howlader Betmore UP-Amtoli hat via Khunerhat road at ch. 3600m-5600m. Balipara UP-Battala hat via Uttar Kalaron Dhakil madrasha & Nuria Dhakil Madrasha road. Balipara UP-Battala hat via Uttar Kalaron Dhakil madrasha & Nuria Dhakil Madrasha road. Parerhat GC (Chalna)- Goperhat via parerhat UP & Luhuri hat road. Patikelghata UP Office - Datterpasuribunia Barzar - Tarabunia Bazar - Khaikhali GC. Patikelghata UP Office - Jhorekhai atun Hat Road. Total Length Road (Km) Proposed Length (KM)

134 Annex 7 Sl. No. Zilla Upazila 48 Jhalokati Kathalia Name of Village Market Tarabunia Bazar Road ID Jhalokati Kathalia Kachua Bazar Madaripur Rajoir Chander Bazar Madaripur Shibchar Kamlapur Hat Madaripur Shibchar Krokchar Natun Bazar Madaripur Shibchar Garir Hat Shariatpur Janjira Kaziarchar Bazar Shariatpur Janjira Durgarhat Shariatpur Naria 57 Shariatpur Naria 58 Shariatpur Naria 59 Gopalgonj Kotalipara Mohishkhola Bazar Telipara Nutan Hat Char Artra Bazar Wapda hat & Suagram hat Gopalgonj Kotalipara Suagram hat Gopalgonj Tungipara Dumuria Hat Gopalgonj Tungipara Gopalpur Hat Gopalgonj Tungipara Gopalpur Hat Bagerhat Sharankhola 65 Bagerhat Sharankhola Sl. No. Zilla Upazila Amragachia Bazar Amragachia Bazar Name of Village Road ID Road Name Patikelghata UP office to Dattar Pasurbunia Pazar to Tarabunia Bazar to Koikhali GC. Souljalia UP Office - Binapani Bazar via Dogona Bazar Road. Hossenpur UP- Kabirajpur UP road Boheratola UP office-baburhat via Vennatola bazar UZR-1,Bhadrason UP office- Korokchar natun bazar road via minakandi GPS,Uttar Korokchar hat & Beshai Dhonirkandi GPS Bashkandi UP Office -Chowdhurir hat road via Garirhat Bilashpur U.P.- Kaziarchar Bazar Road Kazirhat-Durgerhat road Bhojeswar- Mohishkhola Bazar road from ch. 4320m to 5820m.(UNR) Bhumkhara- Gulmaize road from ch. 2800m to 5700m.(UNR) Charatra UP - Khas Bazar road. Pubra WAPDA hat- Suagram UPC Road Suagram UPC- Kandi bazar road. Beltala-Chinguri- Labutola-Dumuria UP road Gopalpur UP- Guadhana Silna GC Road Gopalpur UP- Borauhati Road West Nalbunia- Rajapur Road Dhansagar UP- Rajapur GC road Road Name Total Length Road (Km) Proposed Length (KM) Total Length Proposed Length 9

135 Annex 7 Market 66 Bagerhat Morrelgong S.B Bazar Bagerhat Morrelgong Pachgoan Hat Khulna Batiaghata Titukhali Hat Khulna Batiaghata Taliamara Bazar Khulna Batiaghata Dhadua Bazar Khulna Dacope Banishanta Bazar Khulna Dacope Badua Khulna Koyra Suti Bazar Khulna Koyra Suti Bazar Sathkhira Assasuni Bichat Bazar Sathkhira Assasuni Gabtala and Maddam Chapra Sathkhira Shyamnagar Bangshipur Sathkhira Shyamnagar Bangshipur Sathkhira Shyamnagar Garkumarpur Sathkhira Kaligonj Moutala Sathkhira Kaligonj Kadamtala Morrelgonj Upazila HQ-Baharbunia Union HQ road. Baharbunia UP- Herma GC road. Batiaghata UP at Hetalbunia - Mailemara hat Baliadanga UP office (West) - Taliamara Hat Baliadanga UP office - Khoria Hat Banisanta UP office to Banisanta Bazar road Dacope UP Office to Badua UP office road Koyra UP - Suti Bazar Hogla GC- Maharajpur UP - Suti Bazar Ekshora Bazar- Bichat Bazar (Anulia UP) Raod. Kadakati UP- Gabtala hat- Kadakati GC Raod. Isswarypur UP- Gumantali- Jabakhali Hat Road. Banshipur- Paranpur- Ramjannagar Road. Padmapukur UP- Garkumarpur Bazar Road. Moutala UP- Sankarkati hat via Krisnanagar UNR Road Ratanpur UP - Bagmari Bazar Via Kadamtala Road. Road (Km) (KM) Grand Total:

136 Annex 7 C. Selected Village Roads (IFAD Funded) Coastal Climate Resilient Infrastructure Project (CCRIP) Selected IFAD Funded village Roads Sl. No. Zilla Upazilla Name of Rural Market Road ID 1 Barisal Babugonj Postoffice Hat Barisal Babugonj 3 Barisal Babugonj 4 Barisal Babugonj Uttar Baherchar Uttar Baherchar Steamer Ghat Bazar Barisal Uzirpur Gutia Bazar Barisal Uzirpur Gutia Bazar Road Name Amirgoer Hat - Mirgonj via Moydaner Hat Baherchar Hat - Baherchar Hospital Rakudia Polli Biddut subcentre (RHD) - Baherchar bazer LGED raod to Steamer Ghat Bazar and construction of market adjacent bridge Gutia Bazar to Kamlapur Hat Gutia Degree College to Masimkhan Dighi westside mosque starting from Milbari of Dohorpara Village Total Length Road (Km) Proposed Length Road (Km) Barisal Uzirpur Jugirkanda (Gala) Bazar Jugirkanda to DC road Barisal Uzirpur Jugirkanda (Gala) Bazar Barisal Uzirpur Solok Hat Barisal Uzirpur Solok Hat Barisal Uzirpur Solok Hat Barisal Uzirpur Habibpur Hat Barisal Uzirpur Daberkul Hat Barisal Uzirpur Saudi Bazar Jugirkanda Madrasha to Mohila College GCCR Raod Dhamura- Babarkhana- Sholok Hat road Solok Hat to North Solok Hazi MA Rashid High School via Solok hat Babarkhana to Kangshi Alhaj Adam Ali Madrasha and extended upto Uzirpur -Dhamura road viatashilder bari and H/O Sajahan Member. West Keshabkati to Bapary Bari RNGPS Fakir Hat (H/O Halim Khalifa) to Gazirpar (Surater Bari) Saudi Bazar to Mozam Sanirbar Khal Via H/O Hazi Answer Uddin Howlader with link road to Mozam Mohammadia Zame Mosque

137 Annex 7 Sl. No. Zilla Upazilla 15 Barisal Uzirpur 16 Barisal Banaripara 17 Barisal Banaripara 18 Barisal Banaripara 19 Barisal Banaripara 20 Barisal Banaripara Name of Rural Market Nayakandi Hat Khalishakota Hat Khalishakota Hat Khalishakota Hat Guachitra Cow Hat Guachitra Cow Hat Road ID & & Barisal Banaripara Gaba Bazar Barisal Banaripara Naya Bazar Barisal Banaripara Naya Bazar Barisal Banaripara Manik Miar Hat Barisal Banaripara Auhar Hat Bhola Lalmohan Harigonj Hat Bhola Lalmohan Peshkar Hat Bhola Lalmohan Patowari Hat Bhola Lalmohan Chatla Bazar Bhola Lalmohan Janata Bazar Road Name Nayakandi Bazar to Natherkandi Sluice Gate Simultala to Khalishakota Bazar via Khalishakota High School Starting from Madarkati GPS Khalishakota Hat to Chakhar UP office via H/O Farid Mohuri and extended upto H/O Matiar Rahman Roypasia Khalishakota to Haque Saheber Hat Via Sonahar Dasher Bari. Madarkati to Saliabakpur Road starting from Chakhar- Guachitra RHD at Alhaj Safder Ali Khan to Madarkati GPS Chowaripara (Starting from Guachittra- Banaripara RHD) to Saliabakpur via H/O Abdul Latif and H/O Mr. Mohabbad. Alta Faizul Haque Bridge to Sunil Sarkar Chowlakati Pravatia to Zangalia Primary School (Azad Market to Naya Bazar) Nayabazar to west side of Chalitabari GPS (Naya Bazar to Mirere Hat) H/O Maola Kazi - Nurul Haque Sarder Dridge- H/O Nazar Ali- Laskarpur Digihar Hat to Auhar Hat Horigonj Road-H/Q Alomgir Chairman- Dipshika School Farashganj UP road-house of Unus Fakir Degir par-patoari hat Mongol Sikder RHD- Chatla Bazar RHD (Muslim Bazar) to Lalmohon-Bhola R&H via Janata Bazar Total Length Road (Km) Proposed Length Road (Km)

138 Annex 7 Sl. No. Zilla Upazilla Name of Rural Market Road ID 31 Bhola Borhanuddin Mainkar Hat Bhola Borhanuddin Darun Bazar Bhola Borhanuddin Janata Bazar Bhola Borhanuddin Janata Bazar Bhola Borhanuddin Jaoyer Hat Bhola Borhanuddin Jaoyer Hat Bhola Borhanuddin Sikder Hat Bhola Borhanuddin Talukder Hat Bhola Borhanuddin Sikder Hat Bhola Charfassion 41 Bhola Charfassion 42 Bhola Charfassion Uttar Charmanika bazar Uttar Charmanika bazar Pangashia bazar Bhola Charfassion Daser Hat Bhola Charfassion 45 Bhola Charfassion 46 Patuakhali Sador 47 Patuakhali Sador 48 Patuakhali Sador Nazirmajhi Hat Kukrimukri Hat Choto Beghai Officer Hat Tafalbaria Bazar Satghar Bazar Patuakhali Kalapara Tegachia Hat Patuakhali Kalapara Pakhimara Bazar Patuakhali Galachipa Amkhola Hat Road Name Mainker hat kikobad road-lakkipur GPS DC road to wapda via vheri bad via Darga Mosque Chaire gess ails to kazir hat via abul bazar RHD near Patowari Bari to Lamchidali Road Jaya bazar wapda road Jaya Santer Hat to Sikder Char Topgi Khaishabari to RHD DC road - Majir Shop - Taluker Hat Kachia-Sikder hat- Kachia co road North manika Red crisent Cyclone shelter to Kachhopia Done Manika Embankment to Subid Char Pangashia Bazar to Moulovi Bazar Road Chairman Hat Road to Madraz Shamraj Via Daser Hat Ghosher Hat to WAPDA Veri Bundth via Nazirmajhi Hat East side of Kukri Bazar to H/O Elahi Bokshi Chottobeghi U.O. to UZR (Hartibaria GPS) Utter Purbo Baruanbaria Padhabari Mosque - Tafalbaria Abual Member Bari - Hazikhali Bazer Road. Sathgar bazer to janata H/S Utter charpara Abdul Bari khan house-lamupara wapda (Chapakhali bazar to Tegachia bazar) Ghoyatala Launch Ghat to Ghoyatala Sluice Road Amkhola U.P.office- Musarikati Sluice Total Length Road (Km) Proposed Length Road (Km)

139 Annex 7 Sl. No. Zilla Upazilla Name of Rural Market Road ID 52 Patuakhali Galachipa Gazalia Hat Patuakhali Galachipa Bangla Bazar Patuakhali Rangabali 55 Patuakhali Rangabali Charbestin Bazar Horidra Khali Bazar Patuakhali Mirzaganj Gabua Bazar Patuakhali Mirzaganj Chaita Bazar Patuakhali Mirzaganj Kalagachia Bazar Patuakhali Mirzaganj Bhutiar Hat Patuakhali Mirzaganj Sisur Hat Barguna Amtoli Munshir hat Barguna Amtoli Tepura Bazar Barguna Amtoli Dafadar Hat Barguna Amtoli 65 Barguna Amtoli 66 Barguna Amtoli Koroibaria Bazar Koroibaria Bazar Kabirajpara Hat Barguna Betagi Mayer Hat Barguna Betagi Miar Hat Barguna Betagi DC Hat Road Name Gazalia hat-kalaraja Hat. Nizamul Chatra-H/O Hashem Shikh Char Montaz Sluice Bazar - Charbestin Bazar Gohin khali C. Shelter-Horidrakhali RHD at Gabua Bazer Near the H/O. Pr.A.Rob How to Karam Ali Bridge. Bazita High School- Shishurhat- Dargabarihat. Kalagachia Bazar to Kalikapur GPS via H/O Habib Sikder Buittarhat- Santespur Reg. P.S- East Rampur Lunchghat Rd. Bagita to Sisur Hat to Dargabari Hat Road Munshir hat- Chalitabunia G.P.S South Tepura Madrasha -H/O Abdul Rahim mirdha Dulpukuria Bridge to Advocate Awlad Road Koroibaria Bazar to Amtali-Taltali Road via Uttar Jharakhali Nurani madrasha Total Length Road (Km) Proposed Length Road (Km) Barguna Betagi DC Hat DC Hat-Mira Bari Barguna Betagi Laxmipura Bazar Alibandar Kheyaghat bridge to Bogir Bundth Ghat via Uttar Jharakhali GPS Laupara Burir Khor - Kabirajpara Nidra Road Mayer Hat- Gourichana Buramajumder UP Office (Miar hat) - Mirzagonj Border via H/O Barek Mirdha -Kazir Hat Deshantarkati High School to Christian Para Road Khontakata- Laxmipura-Akon Bari Bridge

140 Annex 7 Sl. No. Zilla Upazilla Name of Rural Market Road ID 72 Barguna Betagi MPr Hat Barguna Betagi Kumrakahali Hat Road Name MPr hat(up office) to Talgachia GPS to Deshantarkathi Christan Para Church road Kumrakhali Bazar to Kapali Bari Uttar Kazirabad GPS Kazirabad Islamia Dhakhil Madrasha Total Length Road (Km) Proposed Length Road (Km) Barguna Patherghata Boro Tengra Bazar Tengra Bazar - Baleswar Road Barguna Patherghata 76 Barguna Patherghata 77 Barguna Patherghata 78 Barguna Patherghata 80 Barguna Bamna 81 Barguna Bamna 82 Barguna Bamna 83 Barguna Bamna Badurtala Bazar Horidra Khali Bazar Safilpur Bazar Safilpur Bazar Gudhigata Bazar Sonakhali Bazar Ramna Baikalin Bazar Bukabunia Bazar Perojpur Mothbaria Amtoli Hat Perojpur Mothbaria Jawtala bazar Perojpur Mothbaria 87 Perojpur Mothbaria 88 Perojpur Mothbaria Tearkhali bazar Boro Masua Bazar Boro Masua Bazar Charlatimara- Badurtala Horidrakhali Bazar to Pathargahta- Kakchira RHD road Safilpur bazar- Karim Munshi House via Chan Chowkider House Sofilpu Bazar to Kamarer hat Chalavanga - Gudhigata bazar Bamna Bukabunia - Sonakahali Bazar Khazurarar Khal Bridge- Kholpatua bazar (Road Cum Embankment) Bukabunia Bazar - Latabunia High School road (Muchibari to Singrabunia Mujib Nagar through Halta river bank embankment) Amtoli bazar- WAPDA Jawtala bazar R&Hhouse of Fazil Howlader road. Tearkhali bazar- Bandoppara R&H road. Nizamia Bazar - Masua Kheyaghat WAPDA Tushkhali - Boro Masua Road - Mothbaria-Boro Masua RHD (Starting from LGED bridge, Dhondoa Khal at North Mithakhali via H/O Hazi Yasin Howlader and Hazi Abdul Hamid Akond)

141 Annex 7 Sl. No. Zilla Upazilla Name of Rural Market Road ID 89 Perojpur Zianagar Gosher Hat Perojpur Zianagar Chowkider Hat Jhalakati Kathalia Kachua Jhalakati Kathalia 93 Jhalakati Kathalia 94 Madaripur Rajoir 95 Madaripur Rajoir Sonar Bangla Bazar Kathalia Bazar Bairagir bazar Bairagir bazar Madaripur Rajoir Lundi bazar Madaripur Rajoir Lundi bazar & Madaripur Rajoir Lundi bazar Madaripur Rajoir Lundi bazar Madaripur Rajoir Vandaria bazar Road Name Gosherhat bazar - Khajurtola bazar r oad. Balipara GC- Chowkider hat Embankment. Sonarbangla Bazar - Centerer Hat Road Sonarbangla Bazar to Souljariar Kheyaghat Kathalia UP Office to Chechrirampur Hat via Chnader Hat. Bairagir bazar- Damer Char Bazar road Bairagir bazar- Ragdi bazar road Mostofapur pacca road-charu Boser Dighirpar road Purbo Lundi Mosque-Pochim Lundi GPS road & Lundi more-mia bari road Nayanagar to Malek Memorial H/School via Krisnopur Road Kabirajpur GC to Sreenodi GC road Boulgram Baulirkatcha- Macharong GPS via Vandaria bazar road Total Length Road (Km) Proposed Length Road (Km) Madaripur Rajoir Kodalia Nutun bazar Bharot R&H-Kodalia bazar road Madaripur Rajoir 103 Madaripur Rajoir 104 Madaripur Shibchar 105 Madaripur Shibchar 106 Madaripur Shibchar 107 Madaripur Shibchar Kodalia Natun bazar Lakhanda bazar Mollarhat bazar Korokchar Natun bazar Charjanajat Khasherhat Charjanajat Khasherhat Kodalia bazar to Chourashi bridge road Lakhanda Bazar to Christopolli Road Banglabazarhat- Mollarhat via J.K GPS & Purankandi GPS road UNR-8, House of Tarai Hawlader- UZR-6 House of Anil bala via H/O Anower Khan road Charjanajat Khasherhat-Nepaler Kheyaghat road via H/O of Golap Khan Charjanajat Khasherhat-Bazlu Sarker's House road

142 Annex 7 Sl. No. Zilla Upazilla Name of Rural Market Road ID 108 Madaripur Shibchar Kolatola Hat Madaripur Shibchar Karokchar Natun bazar Madaripur Shibchar Kawer Hat Madaripur Shibchar Farazir Hat Madaripur Shibchar Saheberbazar (Gostir hat) Madaripur Shibchar Garir Hat Sariatpur Janjira 115 Sariatpur Janjira Laukhola Bazar Taher Madbar Bazar Road Name Kolatolahat-Lal Chander more via Golam Jahangir RNGPS Korokchar natun bazar-joynagor bazar road Kawerhat to Kabirazpur GC via Gosaidia UZR-12, near Sheruail Bazar to Surjer, Hat h/o Khaleque Hazi via H/O Habibi Master Shariatpur R&H road near the H/O Sarwar Bepari to Mithu Hazirkandi road Garirhat-Baburhat via Sonjoy pals bridge Laukhola Bazar- Bango Bazar road from ch. 0.00m to 5000m.(VR) Taher Mathbor hat- Shibchar Border via Hazi Abdul Mozid Reg. Pry.school. Total Length Road (Km) Proposed Length Road (Km) Sariatpur Janjira Taher Madbar Bazar Taher Madbor hat- UNR 04 road Sariatpur Janjira Bodair hat Sariatpur Janjira 119 Sariatpur Janjira 120 Sariatpur Naria 121 Sariatpur Naria 122 Sariatpur Naria 123 Sariatpur Naria 124 Sariatpur Naria Laukhola Bazar Rupbabur Hat Nowadda Bangla Bazar Mohishkhola Bazar Mohishkhola Bazar Mohishkhola Bazar Telipara Bazar Sariatpur Naria Majir Hat Janjira Bilashpur- UZR-Boderhat road Laukhola Bazar to Gopalpur via Khoratola Dubishaheber Hat via Monai Saiyal Kandi Holaishar-Ghorishar UP via Bangla Bazar road from ch. 0.00m to 1750m.(VR) Mohishkhola Bazar East side-naria Battala road from ch. 0.00m to 460m.(VR) Moroler Baor- Mohiskhola road from ch. 0.00m to 1000m.(VR) Mohiskhola to Budair Hat road Manda-Golar Bazar road Nasashan GPS-Akon Kandi road from ch. 0.00m to 2000m.(VR)

143 Annex 7 Sl. No. Zilla Upazilla 126 Sariatpur Naria 127 Sariatpur Naria 128 Sariatpur Naria Name of Rural Market Joy Bangla Bazar Joy Bangla Bazar Chandipur Bazar Road ID Gopalgonj Kotalipara Perarbari Hat Gopalgonj Kotalipara Wapda Hat Gopalgonj Kotalipara Narrayan Khanna Bazar Gopalgonj Kotalipara Wapda Hat Gopalgonj Kotalipara 134 Gopalgonj Kotalipara Kacharivita Bazar Kacharivita Bazar Gopalgonj Tungipara Korfa Gopalgonj Tungipara Dumuria Bagerhat Sharankhola Khantakata Hat Bagerhat Sharankhola Nalbunia Hat Bagerhat Sharankhola Nalbunia Hat Bagerhat Sharankhola Lakurtala Bagerhat Sharankhola Chhutukhar Hat Bagerhat Sharankhola Taltaly Hat Bagerhat Sharankhola Chaltabunia Bagerhat Morrelgong Jewdara Hat Bagerhat Morrelgong Boulpur Hat Bagerhat Morrelgong Pachgoan Hat Bagerhat Morrelgong Lakmikhali Bagerhat Morrelgong Madrasha Hat Road Name Joy Bangla Bazar- Char Atra UP road Joy Bangla Bazar- Nowpara road Chandipur Bazar- Padma River Bank road Pirarbari hat- Nabagram UP Road WAPDA hat R&H - Bandabari Bazar Road Narrayan Khanna Bazar -WAPDA Embankment at Satla Road Bujurgikona Bazar- Baro Dakhinpar via Wapda hat Road Shibpur kheyaghat to Kacharivita Bazar Kacharivita Bazar - Kandi Bazar - WAPDA Embankment Pakurtia Bazar- Karfa Bazar Road Chhota Dumuria Road Khontakata- Charerper Nalbunia-Baniakhali road Janerpar Engoluddin House to Abdul Latif Akon house road Jilbunia-Lakurtala road Pallanbari - Khejurbaria road Taltoly Bazar- Nalbunia (Bezitana) Bazar road Chaltabunia- Terabaka- Khuriaskhali road Gulishkhali Bazar to Gorarbazar via Amurbunia Forest Office. Boulpur-Madurkati road. Panchakaran Bazar to Amurdanga road Madrasha Bazar- Dewatala Bazar via H/O Anawer Member Goalbunia Bazar (at Goalbunia High school)-joy Bangla Bazar. Total Length Road (Km) Proposed Length Road (Km)

144 Annex 7 Sl. No. Zilla Upazilla Name of Rural Market Road ID Road Name Total Length Road (Km) Proposed Length Road (Km) 149 Bagerhat Morrelgong Khawlia Hat Khulna Dacope 151 Khulna Dacope 152 Khulna Dacope 153 Khulna Dacope Banishanta Bazar Pankhali Bazar Moukhali Bazar Laxmikhola Bazar Khulna Batiaghata Titukhali Hat Khulna Batiaghata Baintala Hat Sl. No. Zilla Upazilla Name of Rural Market Road ID 156 Khulna Batiaghata Baintala Hat Khulna Batiaghata Dhadua Bazar Khulna Koyra Surikhali Khulna Koyra Khorolkati Khulna Koyra Zhiligata Sathkhira Assasuni Kalabagi Sathkhira Assasuni Puijala Sathkhira Assasuni Gabtala Sathkhira Assasuni Madham Chapra Sathkhira Assasuni Paitholi Sathkhira Assasuni Bisot Sathkhira Assasuni Madham Chapra Gabtola Cyclone center-khawlia bazar via H/O Jobbar Mia road Khajuria WDB Gora N/H/O Krishnapada to Dhangmari Biswashnath P/School via Binapani GPS Pankhali Ferry Ghat to Laxmikhola Bazar road Yasin School near Hoglabunia Khal road Khatail CARE Pucca Road to Khatail near Kali Mondir Titukhali Hat - Sukdara Hat Baintala Hat - Narayanpur School Road Name Nijgram -Baintala Hat Dhadua Primary School - Joypur Hela Battala Hatiardanga Culvert - Patnikhali Foot Bridge Malikhali UZR - Khorolkati Bazar Kashirkhal Bridge - 6No. Koyra Launch Ghat Khashbagan- Sreedharpur- Kharihati Road. Mohishkur-Puijala via Boudirghat Raod. Gabtala-Agordari Road. Mahsharkati- Baushuli via Baddach Chapra Road. Sweetpur Pry. School-Gazirhat Road. Manikkhali Ferryghat- Kallyanpur- Khayaghat Road. Chapra R&H- Maddhan Chapra Kheyaghat Raod Total Length Road (Km) Proposed Length Road (Km)

145 Sl. No. Zilla Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 7 Upazilla Name of Rural Market Road ID 168 Sathkhira Assasuni Basukhali Sathkhira Shyamnagar Munshiganj Sathkhira Shyamnagar Chaltaghata Hat Sathkhira Shyamnagar Verar Hat Sathkhira Shyamnagar Nildumur Hat Sathkhira Shyamnagar Patakhali Sathkhira Kaligonj Gorrer Hat Sathkhira Kaligonj Jerrongacha Hat Sathkhira Kaligonj Tarail Sathkhira Kaligonj Tarail Sathkhira Kaligonj Sannasir Chalk Bazar Sathkhira Kaligonj Moutala Sl. No. Zilla Upazilla 180 Sathkhira Kaligonj Name of Rural Market Kakshiali Bazar Road ID Road Name Baliapur more- Basukhali Road. Munshiganj Bazar- Garrage Hat Bridge Road. Chaltaghata- Bhurulia Mindi Nagar - Kalindi Nildumur-Porakatla GPS Patakhali WDB- Sardar Bari Road. Gorrerht - Probajpur Road Jherrongacha- Charapattala- Moutala-Uvakur Road East Trali UZR - Kashibati GPS Road Jafourpur - Tetulia Via Nonamath Road Kazla LGED road - Sannasir Chalk Bazar Road Zhurukhamar H/Q.- Sontosh Dr. House Road. Road Name Bagbati GPS to Shuilpur BGP road Total Length Road (Km) Proposed Length Road (Km) Total Length Road (Km) Proposed Length Road (Km) Total:

146 D. Selected location for ghat Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 7 Coastal Climate Resilient Infrastructure Project (CCRIP) Ghats Improvements Subprojects Sl. No. District Upazila Union Name of the Ghat Name of the Connecting Market 1 Barisal Babugong Dehergati Uttar Baherchar Uttar Baherchar 2 Barisal Uzirpur Otra Gala Ghat Jugirkanda (Gala) Bazar 3 Barisal Uzirpur Gutia Gutia Hat Gutia Hat 4 Barisal Uzirpur Bamrail Ghonteswar Bazar Ghonteswar Bazar 5 Barisal Banaripara Chakhar Nayabazar Nayabazar 6 Barisal Banaripara Chakhar Khalishakota Hat Khalishakota Hat 7 Bhola Charfassion Muzibnagar 8 Patuakhali Sador Borobighai 9 Patuakhali Kalapara Lalua Char Lulin Bangla Bazar ghat Moddho Titkata Bazar Ghat Muktijoddha Hat Ghat Char Lulin Bangla Bazar ghat Moddho Titkata Muktijoddha Hat 10 Patuakhali Galachipa Amkhola Amkhola Hat Ghat Amkhola Hat 11 Patuakhali Rangabali Choto Baisdia Gohinkhali Bazar Ghat Gohinkhali Bazar 12 Patuakhali Mirzaganj Madhabkhali Chaita Bazar Ghat Chaita Bazar 13 Barguna Amtali (Taltali) Nishanbaria Fakir Hat Fakir Hat 14 Barguna Patharghata Nachnapara Nachnapara Nachnapara 15 Barguna Betagi Hosnabad Kabilaknad Bundthghat Bazar Kabilaknad Bundthghat Bazar 16 Barguna Bamna Ramna Kholpatua Bazar Ramna Baikalin Bazar 17 Perojpur Mothbaria Mirukhali Vagirathpur Ghat Vagirathpur Bazar 18 Perojpur Mothbaria Boro Masua Boro Masua Khal Boro Masua Bazar 19 Perojpur Zianagar Parerhat Luhuri Hat Ghat Luhuri Hat 20 Perojpur Zianagar Balipara Chandipur Bazar Ghat Chandipur Bazar 21 Jhalokati Kathalia Patikelghata Ghoser Hat Ghoser Hat 22 Jhalokati Kathalia Kathalia Kathalia Bazar Kathalia Bazar 23 Madaripur Rajoir Badorpasha 24 Madaripur Shibchar Vadrason Sankardirpar bazar Ghat Chrok Natun Char Hat Takerhat Sankardirpar Chrok Natun Char hat 25 Sariatpur Janjira Mulna Laukhola ghat Laukhola Bazar 26 Sariatpur Naria Ghorishar 27 Sariatpur Naria Char Atra Bangla Bazar River Bank ghat Char Atra River Nank ghat Nowadda Bangla Bazar Char Atra Bazar 28 Gopalgonj Tungipara Gopalpur Gopalpur Hat Ghat Gopalpur Hat 29 Gopalgonj Tungipara Dumuria Dumuria Bazar Ghat Dumuria Bazar 30 Gopalgonj Kotalipara Pirarbari Hat Pirarbari Hat 31 Bagerhat Sharankhola Khantakata Khantakata Khantakata 32 Bagerhat Morrelgonj Baharbunia S.B. Bazar S.B. Bazar 33 Bagerhat Morrelgonj Nishanbaria Jewadhara Hat Jewadhara Hat 21

147 Annex 7 Sl. No. District Upazila Union Name of the Ghat Name of the Connecting Market 34 Khulna Dacope Banisanta Banisanta Bazar Banisanta Bazar 35 Khulna Koyra Moharajpur Suti Bazar Suti Bazar 36 Sathkhira Assasuni Anulia Bisot Bisot Market 37 Sathkhira Assasuni Budhata Maddham Chapra Maddham Chapra Market 38 Sathkhira Shyamnagar Burigoalini Nildumur Nildumur Bazar D. Selected Community Collection Points Coastal Climate Resilient Infrastructure Project (CCRIP) Selected Community Collection Points Sl. No. District Upazila Union Name of the Collection Point 1 Barisal Banaripara Banaripara Jambo Dip Main Commodities Sand,Timber, Poultry, Nursary Seedlings 2 Bhola Charfassion Zinnagar Chakbazar Rice, Rabi crops, Vegetables 3 Patuakhali Rangabali Choto Baisdia Koralia Fish, Rice, Water Melon 4 Barguna Patharghata Patharghata Sadar Patharghata BFDC Hilsha and Sea Fish 5 Sathkhira Assasuni Budhata Mohiswar Kati Fish 22

148 Annex 7 E. Second priority list of village road, CCPs and ghat District Upazila market Road ID name Bhola Bhola Lalmohan Lalmohan Kalirpak Bazar Kalirpak Bazar Bhola Lalmohan Chad Miar Hat List of VR (second priority) Chowmohani Bazar to Kalirpack bazar (Romagonj) Lalmohan UP Office to Kalirpack Bazar Madrasha Bazar Road to Veribundth Road Total lenngth proposed length for constrcution Bhola Bhola Barguna Barguna Borhanuddin Borhanuddin Amtoli Patherghata Naria Dacope Dolan Hat Mollar Hat Azimpur Bazar DC road to Arindabari Karamatpur Bazar Andarmanik Bazar Batbunia GC Nannu Bakli Bari to Banglabazar Road Kukua UP office to Kukua hat via Sugandhi Sluice Gate Road Singrabunia Robin Master Shop to Karamatpur Bazar Andarmanik-Thakur Kandi road from ch. 0.00m to 3000m.(VR) Sathkhira Shyamnagar Noabenki Sathkhira Shyamnagar Noabenki Sathkhira Kaligonj Nalta Batbunia GC - Laxmikhola Bazar via Kacharibari Noabenki Bazar- Saffurannesa H/S Road. Biralaxmi Madrasa- Jhapa WAPDA Road Bagbati GPS - Shuilpur BGP Road Sathkhira Kaligonj Nalta barguna betagi Mollar Hat Nalta Girls School - Nalta College Road. khaner hat rhd to kathaltali madrasha via h/o sujan chairman Shariatpur Janjira Banga Bazar Joynagar Hat to Banga Bazar via Gopalpur Launch Ghat Rpad Shariatpur Naria Andarmanik Bazar Gopalgonj Kotalipara Ramshil Bazar Andarmanik-Budairhat road from ch. 0.00m to 1600m.(UNR) Sathkhira Kaligonj Nalta GC Ramshil UP-Batra bazar road Nalta UP-Khanzia Bazar via Ghorapota UNR Road Barisal Gopalgonj Uzirpur Solok Hat Kotalipara Chowdhory Hat Jugihati Chowkder Bari Mosque to Damader Kati Trimukhi Road via Atak Pijuri School to Gopalpur Sluice gate

149 Annex 7 Patuakhali Mirzaganj Chaita Bazar List of Ghat New market HRS- Shishurhat-dargabari hat Rd Barisal Babugong Chadpasa Post Office Ghat Post Office Ghat 12 Barisal Banaripara Chakhar Haque Shaheber Hat Kahlishakota Hat 13 Patuakhali Rangabali Char Sluice Bazar Ghat Sluice Bazar Montaz 23 Perojpur Mothbaria Amragachia Baleshwer River Ghat Gulbunia Hat 30 Jhalokati Kathalia Kathalia Amribunia Ghat Kathalia Bazar 33 Sariatpur Janjira Borokandi Kazirhat Kazirhat GCM 36 Gopalgonj Kotalipara Ramshil Ramshil Ramshil Bazar 37 Gopalgonj Kotalipara Bandhabari Bandhabari Bandhabari GC 38 Gopalgonj Kotalipara Kolabari Kaligonj Kaligonj GC 48 Khulna Batiaghata Baliadanga Bujbunia Birat 53 Sathkhira Shyamnagar Gabura Gabura Gabura Bazar 2 Barisal Babugong Steamer Ghat Bazar Steamer Ghat Bazar 4 Barisal Uzirpur Otra Habibpur Bazar Ghat Habibipur Bazar 5 Barisal Uzirpur Borakota Daberkool Hat Daberkool Hat 7 Barisal Uzirpur Solok Solok Hat Solok Hat 9 Barisal Banaripara Iluhar Janata Bazar Janata Bazar 10 Barisal Banaripara Banaripara Gava Hat Gava Hat 11 Barisal Banaripara Udaykati Sher-e-bangla Hat Sher-ebangla Hat 12 Barisal Banaripara Chakhar Haque Shaheber Hat Kahlishakota Hat 15 Barguna Betagi Bibichini DC Hat DC Hat 21 Barguna Amtali 23 Barguna Patharghata Patharghat a Sadar Kukua Amragachia Bazar Amragachia Bazar Tengra bazar Tengra bazar 27 Barguna Bamna Bukabunia Bukabunia Bukabunia 34 Jhalokati Kathalia Souljalia Centerer Hat Kachua 37 Gopalgonj Tungipara Borni Borni Hat Ghat Borni Hat 39 Bagerhat Sharankhola Southkhali Chaltabunia Hat Chaltabunia Hat 42 Bagerhat Morrelgonj Jewadhara Mdrasha Hat Mdrasha Hat Collection Point 1 Barisal Babugong Rahamatpu r 2 Barisal Uzirpur Otra Rahamatput Rice, Jute, Rabi crops, Vegetables Habibpur Hat Fish, Rice, Fruits 24

150 Annex 7 Barisal Banaripara Chakhar Chakhar Bus Stand Timber & Agricultural Produce 3 Bhola Lalmohan Dhaligaour nagar 4 Bhola Lalmohan Dhaligaour nagar 7 Patuakhali Rangabali Char Montaz 8 Patuakhali Rangabali Boro Baisdia 9 Barguna Amtali Amtali Sadar Kamarer Khal ghat Batir Khal ghat Char Montaz Sluice Moudubi Nichkata bazar Bandra Rice, Rabi crops, Fish, Vegetable Rice, Rabi crops, Fish, Vegetable Fish, Rice, Water Melon Fish, Rice, Water Melon Rice, Rabi crops, Water Melon 10 Barguna Amtali Holdia Sugandhi Water Melon, Rice, Rabi crops 12 Jhalokati Kathalia Kathalia Kathalia Rice, Jute, Rabi crops, Vegetables 13 Jhalokati Kathalia Souljalai 14 Gopalgonj Kotalipara Kalabari Kachua Bazar Fish, Rice, Fruits Khejurbari Fish & Water mellon 15 Gopalgonj Tungipara Gopalpur Mittrodanga Fish 16 Bagerhat Sharankhola Khantakata Bhandhagata Paddy, Fish. 17 Bagerhat Sharankhola Dhansagar Pollimongal 19 Sathkhira Shyamnagar Bhurulia Khanpur Vegetables, Paddy and Fish. Paddy, Fish, Vegetables 25

151

152 Annex 7A Annex 7A Project Costs and Financing

153

154 Annex 7A Annex 7A Project Costs and Financing I. Main Assumptions 1. Introduction. This section describes the assumptions underlying the derivation of project costs, estimated programme costs and financing plan. Project costs were updated at the final design stage in October 2012, following the merging of the Sustainable Market Infrastructure for Livelihoods Enhancement (SMILE) with the Climate Resilient Infrastructure Improvement in Coastal Zone Project (CRIICZP). 2. Project Period. The proposed project would be financed over a six-year period beginning in July Inflation. Consolidating the strong recovery that emerged in fiscal year 2010 and benefiting from external demand that remained favourable, the Bangladesh economy is forecast to remain on a sustainable growth path, expanding by an average of 6.3 percent a year in fiscal years The increasing trend in annual average inflation started from November 2009 continued till the end of fiscal year The Bangladesh Bank has been taking measures to reduce inflationary pressure and is expecting to keep the inflation target at 7.5 percent in fiscal year The base rate of inflation has been set at 7.5 percent for the project period. For international foreign inflation, an annual average of 0.5 percent was applied. 4. Exchange Rate. Since the removal of its currency peg against the US dollar in May 2003, the Taka has been depreciating gradually reaching Taka 82 BDT to USD 1.00 in The base exchange rate for this analysis has been set at Taka 82 to USD Price and Physical Contingencies. Price contingencies are calculated on the basis of estimated inflation rates and applied depending on the estimated percentage of local versus foreign currency element of each cost item. Price contingencies using the inflation parameters described above have been applied to most goods and services that would be procured under the project. A physical contingency rate of 10% has been assumed for civil works and a rate of 5% for a limited portion of project costs in particular vehicles, equipment, trainings, workshops and studies; no physical contingencies were applied to TA costs as they have been estimated with reasonable certainty. 6. Taxes and Duties. The estimate of taxes and duties was based on the rates in effect at the time of project design in conformity with the principle that no taxes or duties would be financed out of the proceeds of the IFAD loan. In line with the practice of externally financed projects in Bangladesh, the government would finance identifiable taxes and duties. 7. Basis for Cost Estimates. Project costs are estimated as of October 2012 prices. Estimates for vehicles, equipment, salaries, local technical assistance, DSA, operation and maintenance were based on recent data provided by LGED. The costs of the IFAD-funded activities were estimated by the IFAD team using revised LGED rate schedule. The costs of the ADB- and KfW-funded activities were finalized and presented during a joint fact-finding mission of ADB, IFAD and KfW in June Both teams used the same technical assumptions in the cost estimations of their respective activities: number of project years, physical contingencies, exchange rate and inflation rates. The costs of union and village roads were estimated on the basis of B and C scenarios; the C scenario applies only on the areas outside polders; village roads are all estimated on the basis of scenario B. During the final design mission carried out by IFAD, the IFAD-funded activities were updated in order to keep consistency between unit costs and to avoid duplication of the project activities. 8. Expenditure Accounts. Almost all items procured under the project will be purchased locally. The foreign exchange allowance reflects the fact that vehicles, equipment and office supplies would be imported into Bangladesh. 9. Programme Structure. The project has three components, as follows: (i) Improved Road Connectivity; (ii) Improved Market Services; (iii) Enhanced Climate Change Adaptation Capacity and Project Management. 1

155 Annex 7A II. Project Costs 10. The total investment and incremental recurrent project costs, including physical and price contingencies, is estimated at USD million (BDT 14,664.0 million). Table 1 below presents the project costs by components, while the other summary tables and detailed cost tables are found in Appendices 1 and 2 to this Annex. Table 1: Components Project Cost Summary % % Total (BDT Million) (US$ Million) Foreign Base Local Foreign Total Local Foreign Total Exchange Costs A. Improved Road Connectivity 1. Upgraded Upazila Roads 2, , Upgraded Union and Village Roads 4, , Subtotal 6, , B. Improved Market Services 1. Upgraded Grow th Centers and Large Markets Upgraded Community Markets Subtotal 1, , C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Know ledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management 1, , Total BASELINE COSTS 9, , , Physical Contingencies Price Contingencies 2, , Total PROJECT COSTS 12, , , Interest During Implementation Total Costs to be Financed 12, , , III. FINANCING 11. The CCRIP is estimated to have an overall cost of US$ million (total investment and incremental recurrent project costs including physical and price contingencies), of which ADB will be financing US$ 20 million through ADB s Special Funds resource (loan), another US$20 million through ADB Strategic Climate Fund loan and a US$10 million grant, both to be administered by ADB. For the outputs proposed to be financed in parallel by KfW, KfW will provide a grant of million (US$ 8.8 million). The Government of Bangladesh will provide US$31.2 million equivalent, including LGED staff salaries and operating costs, land acquisition and resettlement costs as well as identifiable taxes and duties as no taxes or duties could be financed out of the proceeds of the IFAD loan. 12. IFAD financing. For the project activities proposed by IFAD, IFAD will provide two loans equivalent to US$59.0 million and a grant equivalent to US$1.0 million. IFAD first loan of approximately USD 40 million will be allocated in its three-year PBAS cycle of This has already been notified to ERD. From PBAS cycle of , IFAD will provide an additional USD 20 million loan. IFAD grant will finance: a) rural radio program and knowledge management, b) baseline survey, c) several impact studies, d) RIMS studies, e) mid-term review and project closing report mission, and f) design of MAPP project. 13. Table 2 below provides a summary by project components of the proposed financing arrangement. 2

156 Annex 7A Table 2: Financing Plan by Components (US$ Million) ADB SCF Loan SCF Grant IFAD First Loan IFAD Second Loan IFAD Grant KfW The Government Total Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % A. Improved Road Connectivity 1. Upgraded Upazila Roads Upgraded Union and Village Roads Subtotal B. Improved Market Services 1. Upgraded Grow th Centers and Large Markets Upgraded Community Markets Subtotal C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Know ledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management Total PROJECT COSTS Interest During Implementation Total Disbursement

157

158 Annex 7B Summary Cost Tables 1. Components Project Cost Summary 2. Expenditure Accounts Project Cost Summary 3. Expenditure Accounts by Components Totals Including Contingencies 4. Project Components by Year Totals Including Contingencies 5. Expenditure Accounts by Year Totals Including Contingencies 6. Components by Financiers 7. Disbursement Accounts by Financiers 8. Expenditure Accounts by Financiers

159

160 Annex 7B Summary Cost Tables Table 1: Components Project Cost Summary % % Total (BDT Million) (US$ Million) Foreign Base Local Foreign Total Local Foreign Total Exchange Costs A. Improved Road Connectivity 1. Upgraded Upazila Roads 2, , Upgraded Union and Village Roads 4, , Subtotal 6, , B. Improved Market Services 1. Upgraded Grow th Centers and Large Markets Upgraded Community Markets Subtotal 1, , C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Know ledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management 1, , Total BASELINE COSTS 9, , , Physical Contingencies Price Contingencies 2, , Total PROJECT COSTS 12, , , Interest During Implementation Total Costs to be Financed 12, , ,

161 Annex 7B Table 2: Expenditure Accounts Project Cost Summary % % Total (BDT Million) (US$ Million) Foreign Base Local Foreign Total Local Foreign Total Exchange Costs I. Investment Costs A. Civil Works Upazila Roads 2, , Union, Village and Block Roads 3, , Grow th Centers and Large Markets Village Markets and Collection Points Landing Stages (Ghats) Climate Disaster Shelters Subtotal 7, , B. Vehicles & Equipment Vehicles Field Equipment Office Equipment Subtotal C. Consulting Services International National Support Staff Equipment, Surveys and Operating Expenses Subtotal D. Training, Workshop, Studies E. Land Acquisition F. LGED Staff and Operating Costs Total Investment Costs 9, , , II. Recurrent Costs A. Infrastructure Maintenance Roads Markets Climate Disaster Shelters Subtotal B. Salaries and allow ances C. Vehicles operation and maintenance Total Recurrent Costs Total BASELINE COSTS 9, , , Physical Contingencies Price Contingencies 2, , Total PROJECT COSTS 12, , , Interest During Implementation Total Costs to be Financed 12, , ,

162 Annex 7B Table 3: Expenditure Accounts by Components Totals Including Contingencies (US$ Million) Improved Market Enhanced Climate Improved Road Services Change Adaptation Connectivity Upgraded Capacity Upgraded Grow th Enhanced Union Centers Capacity Upgraded Upgraded and and Upgraded and Climate Upazila Village Large CommunityKnow ledge Disaster Project Roads Roads Markets Markets ManagementShelters Management Total I. Investment Costs A. Civil Works Upazila Roads Union, Village and Block Roads Grow th Centers and Large Markets Village Markets and Collection Points Landing Stages (Ghats) Climate Disaster Shelters Subtotal B. Vehicles & Equipment Vehicles Field Equipment Office Equipment Subtotal C. Consulting Services International National Support Staff Equipment, Surveys and Operating Expenses Subtotal D. Training, Workshop, Studies E. Land Acquisition F. LGED Staff and Operating Costs Total Investment Costs II. Recurrent Costs A. Infrastructure Maintenance Roads Markets Climate Disaster Shelters Subtotal B. Salaries and allow ances C. Vehicles operation and maintenance Total Recurrent Costs Total PROJECT COSTS

163 Annex 7B Table 4: Project Components by Year Totals Including Contingencies (US$ Million) Totals Including Contingencies Total A. Improved Road Connectivity 1. Upgraded Upazila Roads Upgraded Union and Village Roads Subtotal B. Improved Market Services 1. Upgraded Grow th Centers and Large Markets Upgraded Community Markets Subtotal C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Know ledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management Total PROJECT COSTS

164 Annex 7B Table 5: Expenditure Accounts by Year Totals Including Contingencies (US$ Million) Total I. Investment Costs A. Civil Works Upazila Roads Union, Village and Block Roads Grow th Centers and Large Markets Village Markets and Collection Points Landing Stages (Ghats) Climate Disaster Shelters Subtotal B. Vehicles & Equipment Vehicles Field Equipment Office Equipment Subtotal C. Consulting Services International National Support Staff Equipment, Surveys and Operating Expenses Subtotal D. Training, Workshop, Studies E. Land Acquisition F. LGED Staff and Operating Costs Total Investment Costs II. Recurrent Costs A. Infrastructure Maintenance Roads Markets Climate Disaster Shelters Subtotal B. Salaries and allow ances C. Vehicles operation and maintenance Total Recurrent Costs Total PROJECT COSTS

165 Annex 7B Table 6: Components by Financiers (US$ Million) ADB SCF Loan SCF Grant IFAD First Loan IFAD Second Loan IFAD Grant KfW The Government Total Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % A. Improved Road Connectivity 1. Upgraded Upazila Roads Upgraded Union and Village Roads Subtotal B. Improved Market Services 1. Upgraded Grow th Centers and Large Markets Upgraded Community Markets Subtotal C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Know ledge Management Upgraded Climate Disaster Shelters Subtotal D. Project Management Total PROJECT COSTS Interest During Implementation Total Disbursement

166 Annex 7B Table 7: Disbursement Accounts by Financiers (US$ Million) ADB SCF Loan SCF Grant IFAD First Loan IFAD Second Loan IFAD Grant KfW The Government Total Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % A. Civil Works Upazila Roads Union, Village and Block Roads Landing Stages (Ghats) Markets Climate Disaster Shelters Subtotal B. Vehicles and Equipment C. Consulting Services Design and Supervision Management Support Subtotal D. Training, Workshops, Studies E. Land Acquisition F. LGED Staff and Operating Costs G. Infrastructure Construction and Maintenance (Government) Total PROJECT COSTS Interest During Implementation Total Disbursement

167 Annex 7B Table 8: Expenditure Accounts by Financiers (US$ Million) ADB SCF Loan SCF Grant IFAD First Loan IFAD Second Loan IFAD Grant KfW The Government Total Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % Amount % I. Investment Costs A. Civil Works Upazila Roads Union, Village and Block Roads Grow th Centers and Large Markets Village Markets and Collection Points Landing Stages (Ghats) Climate Disaster Shelters Subtotal B. Vehicles & Equipment Vehicles Field Equipment Office Equipment Subtotal C. Consulting Services International National Support Staff Equipment, Surveys and Operating Expenses Subtotal D. Training, Workshop, Studies E. Land Acquisition F. LGED Staff and Operating Costs Total Investment Costs II. Recurrent Costs A. Infrastructure Maintenance Roads Markets Climate Disaster Shelters Subtotal B. Salaries and allow ances C. Vehicles operation and maintenance Total Recurrent Costs Total PROJECT COSTS Interest During Implementation Total Disbursement

168 Annex 7B Detailed Cost Tables 1. Improved Road Connectivity 2. Improved Market Services 3. Enhanced Climate Change Adaptation Capacity 4. Project Management

169

170 Annex 7B Detailed Cost Tables Table 1: Improved Road Connectivity - (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 1.1. Upgraded Rural Roads Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Construction Cost 1. Upazila Roads a. Roads km , ,707,317 3,414,634 6,829,268 6,829,268 3,414,634-22,195,122 b. Structures m , , ,049 1,756,098 1,756, ,049-5,707,317 c. Drainage Improvement km , , , , ,304,878 Subtotal 2,743,902 5,146,341 9,439,024 8,585,366 4,292,683-30,207, Union, Village and Block Roads a. Union Roads BC type 'B' km , ,426,829 2,743,902 5,926,829 3,951, ,048,780 b. Union Roads BC type 'C' km , ,146 1,280,488 1,792, , ,097,561 c. Village Roads BC km , ,048,780 4,170,732 7,756,098 5,853, ,829,268 d. Village Roads RCC km , ,171 1,424,390 1,958,537 1,780, ,786,585 e. Block Roads km , ,537 58, ,073 58, ,683 f. Structures Bridges m , , , , ,732 Culverts and Small Bridges m ,345 3, , , ,512 3,402,439 2,524,390-8,579,268 Subtotal 841,463 1,024,390 1,213,415 3,646,341 2,524,390-9,250,000 Subtotal 5,382,927 10,702,439 18,764,634 15,930,488 2,524,390-53,304,878 Total Investment Costs 8,126,829 15,848,780 28,203,659 24,515,854 6,817,073-83,512,195 II. Recurrent Costs A. Maintenance Cost /a 1. Upazila/Union Roads sum , ,707 51, ,439 1,148, Union, Village and Block Roads sum , , ,659 1,125,732 2,549,341 Total Recurrent Costs , , ,646 1,903,171 3,697,793 Total 8,126,829 15,848,780 28,452,000 25,226,488 7,652,720 1,903,171 87,209,988 \a Estimated at 3% per year of cumulative construction costs. 1

171 Annex 7B Table 2: Improved Market Infrastructure (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 2.1. Upgraded Rural Markets Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Construction Cost 1. Grow th Centers and Large Markets a. Grow th Center Markets No , ,634 1,829,268 2,743, ,487,805 b. Village Markets No , ,756 1,524,390 2,134, ,268,293 Subtotal 1,524,390 3,353,659 4,878, ,756, Community Markets Type 1: Special Markets No , ,805 87,805 87,805 87, ,220 Type 2: Large Package No , , , , , ,408,537 Type 3: Small package No , ,610 1,463,415 1,463, , ,878,049 Collection Centers No , ,634 29,268 29, ,171 Women's Market Sections (in existing markets) No , ,927 43,902 43,902 43, ,634 Landing Stages (Ghats) No , , , , , ,756 Subtotal 1,474,390 2,185,366 2,185,366 1,540, ,385,366 Total Investment Costs 2,998,780 5,539,024 7,063,415 1,540, ,141,463 II. Recurrent Costs A. Maintenance Cost /a 1. Grow th Center and Village Markets sum - 15,244 48,780 97,561 97,561 97, , Community Markets sum - 6,866 23,537 39,439 48,951 57, , Landing Stages (Ghats) sum - - 2,439 6,098 10,976 10,976 30,488 Total Recurrent Costs - 22,110 74, , , , ,171 Total 2,998,780 5,561,134 7,138,171 1,683, , ,720 17,704,634 \a Estimated at 1% per year of cumulative construction costs. 2

172 Annex 7B Table 3: Enhanced Climate Change Adaptation Capacity LGED trainings and workshops - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 3.1. LGED Workshops and Training /a Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. LGED Training on Climate Resilience Training of Trainers /b event , ,534 Principles of Climate Resilience and Adapation event , ,217 Assessment of Road Condition event Infrastructure Risk Assessment event Climate Resilient Designs and Specifications event , ,217 Bioengineering Protection of Earthw orks event , ,217 Quality Control in Construction and Maintenance event , ,826 Climate Resilience/Adaptation Exposure Visit /c event , , ,598 Climate-proofing of Infrastructure Exposure Visit /d event , , , , , ,927 Development, Operation and Maintenance of Renew able Energy Systems event , ,826 Subtotal 108, , , , ,100 B. LGED Workshops and Training on Know ledge Management Know ledge Management Policy Workshop event , , ,542 Know ledge Management Concepts Training event ,304 1,304 1, ,913 Know ledge Management Exposure Visit /e event , , ,652 Subtotal 2,846 5,957 1, ,107 C. LGED Training on Safeguards Environment and Social/Poverty Safeguards event ,826 1,826 1, ,477 Gender and Development Training event ,826 1,826 1, ,477 Subtotal 3,651 3,651 3, ,954 Total 114, , , , ,161 \a LGED - Local Government Engineering Department. \b LGED trainers w ho w ill train local stakeholders. \c Attendance for 10 persons for 10 days at seminars/w orkshops overseas. \d Attendance for 5 persons for 1 days at seminars/w orkshops overseas. \e Attendance for 2 persons for 5 days at seminars/w orkshops overseas. 3

173 Annex 7B Table 3.2. Enhanced Climate Change Adaptation Capacity Government and project Institutions workshops and trainings - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 3.2. Government and Project Institutions Workshops and Training Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Climate Change 1. National Workshop on Climate Change Adaptation event , , , District Workshops on Climate Change Hazards event , Upazila Workshops on Climate Change Hazards, Impacts and Adaptation event ,369 1,369 1,369 1, , Project-level Workshops on Climate Change Hazards, Impacts and Adaptation event ,369 1,369 1,369 1, , Village Workshops on Climate Change Hazards, Impacts and Adaptation event ,845 6,845 6,845 6, ,378 Subtotal 11,946 10,404 10,404 9, ,335 B. Project Aw areness and Implementation 1. Project Orientation Workshops /a event , , Midterm Workshops /b event Sensitization Workshops event ,369 1,369 1,369 1, , Rural Market Participatory Planning Workshops event ,256 3,256 3,256 3, , Market Management Workshops event ,107 4,107 4,107 4, , Market Users and Stakeholders Workshops event ,024 12,024 12,024 12, , Local Contracting Society Awareness Workshops event ,256 3,256 3,256 3, ,024 Subtotal 29,423 24,012 24,834 24, ,281 C. Local training for project staff (IFAD) 1. Accounting and documents management training /c event Double entry accounting system training /d event , ,220 1, , Accounting softw are procurement, training and maintenance event , , ,000 Subtotal 2,610 1,220 1, ,049 Total 43,979 35,635 36,457 33, ,665 \a For upazila and union parishad chairpersons. \b For upazila and union parishad chairpersons. \c 2 days training; 25 per batch; 2 batches \d 6 days; 25 per batch; 2 batches 4

174 Annex 7B Table 3.3.: Enhanced Climate Change Adaptation Capacity Beneficiaries workshops and trainings - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 3.3. Beneficiary Workshops and Training Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Income Generating Activities Training Basic Income Generating Activities event ,804 1,804 1, ,411 Specialized Income Generating Activities event ,304 1,304 1, ,913 Management Training event ,003 4,003 4,003 4, ,012 Marketing Training event ,835 3,835 3,835 3, ,341 Market Linkages Workshops event ,012 6,012 6, ,037 Market Linkages Visits event ,348 4, ,695 In-country Exposure Visits event , ,660 3, ,649 Subtotal 19,618 25,296 21,306 7, ,059 B. Training and Visits on Marketing Marketing/Selling Training /a event ,304 1,304 1, ,913 Exchange Visits to Successful Markets event ,304 1,304 1, ,913 Subtotal 1,304 2,609 2,609 1, ,826 C. General Market Users Workshops and Training Market Users and Stakeholders Workshops event ,804 1,804 1, ,411 Market Rules and Regulations Training event ,304 1,304 1, ,913 Market Operation and Maintenance Training /b event ,609 2,609 2, ,826 Gender and Environment Aw areness Training /c event ,304 1,304 1, ,913 Subtotal 5,716 7,021 7,021 1, ,062 D. Women Market Users Workshops and Training /d Women Market Section Users Workshops /e event ,609 2,609 2, ,826 Environment and Social Safeguards Workshops event ,304 1,304 1, ,913 Shop Management and Skills Development event ,609 2,609 2, ,826 Market Management Committee and Banik Samity Functions Training event ,609 2,609 2, ,826 Women Temporary Market Users Workshops event ,464 Subtotal 9,130 9,951 9, ,854 E. Labor Contracting Society Workshops and Training 1. Orientation Workshops /f event ,485 4,485 4, , LCS Formation and Management Training event ,477 5,477 5, , Savings and Financial Management event ,411 5,411 5,411 5, , Procurement event ,304 1,304 1, , Contract Management event ,304 1,304 1, , Health and Hygiene event ,728 6,728 6,728 6, , Advanced Skill Development Training Cold Bitumen Emulsion event ,477 5,477 5, ,430 U-Drain Construction event ,651 3,651 3, ,954 Herringbone Brick Block Pavement Construction event ,651 3,651 3, ,954 Maintenance of Road Pavements event ,651 3,651 3, ,954 Maintenance of Road Slopes and Shoulders event ,651 3,651 3, ,954 Tree Plantation and Maintenance event ,651 3,651 3, ,954 Subtotal 16,430 23,733 23,733 7, ,199 Subtotal 41,140 48,443 48,443 19, ,467 5

175 Annex 7B F. MMC, WMS, training and exchange visits (IFAD) Upazila Market Management w orkshop /g per upazila ,671 15,793 15,793 10, ,927 Market User and Stakeholder w orkshop /h per market ,439 48,659 32, ,537 Market Management Committee initial training /i per market ,268 13,902 13,902 9, ,341 Subtotal 52,378 78,354 62,134 19, ,805 G. LCS trainings for union and village roads and village markets (IFAD) LCS group trainings for village markets event ,537 43,171 43,171 28, ,415 LCS group trainings for block roads event ,463 1, ,927 Subtotal 30,000 44,634 43,171 28, ,341 Total Investment Costs 159, , ,634 79, ,413 II. Recurrent Costs A. Operational costs related to the LCS market subproject preparation /j sum 3,902 3,902 3,902 3,902 3,902-19,512 Total Recurrent Costs 3,902 3,902 3,902 3,902 3,902-19,512 Total 163, , ,537 83,088 3, ,926 \a For income generating activity trainees and market users. \b To cover w ater supply, renew able energy, etc. Includes training related to climate disaster shelters (cyclone shelters, etc). \c For all market stakeholders. \d For users of w omen's market sections. \e Orientation meetings for potential permanent users of women's market sections. \f LCS objectives, management, operation, gender and environment awareness. \g 30 per batch, 1 day w orkshop; per Upazila \h 30 per batch; 1 day w orkshop; per market \i 20 per batch; 1 day training; per MMC or per market \j Stationary, miscelaneous, operational costs; Taka per Upazilla per year 6

176 Annex 7B Table 3.4.: Enhanced Climate Change Adaptation Capacity Knowledge Management Development - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 3.4. Know ledge Management Development Detailed Costs (US$) Quantities Unit Base Cost Unit Total Cost Total I. Investment Costs A. Know ledge Management Program Web Page Design, Hosting and Maintenance sum 24,390 6,098 6,098 6,098 6,098-48,780 Expansion of LGED Management/Geographic Information Systems sum 30, ,488 Design of Field Data Collection System sum 30, ,488 Field Data Collection Equipment sum 97, ,561 Field Data Collection sum - 9,756 9,756 9,756 9,756-39,024 Subtotal 182,927 15,854 15,854 15,854 15, ,341 B. KM, implementation, support, design (IFAD) /a KM and innovation /b sum 101,220 51,220 51,220 51,220 51,220 51, ,317 Studies and project design sum 645, ,067 Subtotal 746,287 51,220 51,220 51,220 51,220 51,220 1,002,384 Total 929,213 67,073 67,073 67,073 67,073 51,220 1,248,726 \a Baseline survey, MTR, \b Sponsoring Rural Radio Program, KM activities, garbage management research, independent construction quality monitoring and Climate resilience slope protection research 7

177 Annex 7B Table 3.5.: Enhanced Climate Change Adaptation Capacity Climate disasters shelters - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 3.5. Climate Disaster Shelters Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Cyclone Shelters Multipurpose Markets/Cyclone Refuges No , , , ,634 New Cyclone Shelters No , , , ,634 Improvement of Existing Cyclone Shelters No , , , ,951 60, ,756 Improvement and Expansion of Existing Cyclone Shelters No , , , , ,902-2,195,122 Improvement of Cyclone Shelter Access Tracks km , , , , ,341-1,097,561 Livestock Cyclone Refuges (Killas) sum - 195, , , ,854 Subtotal - 3,207,317 1,634, , ,220-6,222,561 B. Water Supply Mini Piped Systems No , , , ,854 Hand-operated Deep Tubew ells No , ,732 45,732 30, ,951 Subtotal - 289, ,683 30, ,805 C. Renew able Energy Supply Markets sum - 60,976 73, , ,902 Cyclone Shelters sum - 60,976 73, , ,902 Subtotal - 121, , , ,805 D. Complementary Support Measures /a sum - 97, , ,146 60, ,000 Total Investment Costs - 3,716,463 2,155,488 1,314, ,195-7,698,171 II. Recurrent Costs A. Maintenance Cost /b sum ,073 48,415 57,720 62, ,439 Total - 3,716,463 2,187,561 1,362, ,915 62,232 7,898,610 \a Includes ancillary facilties at social infrastructure sites, technical surveys, and community training in infrastructure operation and maintenance. \b Estimated at 1% per year of cumulative construction costs of cyclone shelters, w ater supply, renew able energy supply and. 8

178 Annex 7B Table 4.1.: Project management - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 4.1. Project Management Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Project Management Establishment 1. Project Management Office (Dhaka) a. Vehicles and Equipment Jeep (4 w heel drive) unit , , ,824 Motorcycle unit , , ,039 Subtotal 455, ,863 b. Office Equipment and Refurbishment Desktop Computer and Peripherals unit , , ,049 Laptop Computers unit , , ,854 Printer (Heavy Duty) unit , , ,151 Printer/Scanner/Copier (Small-scale) unit , ,829 Copier (Heavy Duty) unit , , ,079 Copier (Small-scale) unit , ,098 Digital Camera unit Airconditioning Unit unit , , ,756 Office Refurbishment and Netw orking sum , , ,488 Subtotal 83, ,609 c. Market planner (IFAD) month ,780 8,780 8,780 4, ,732 d. Financial management specialist (IFAD) month , ,000 4, ,000 e. GIS Specialist (IFAD) month ,317 7,317 7,317 7,317 7,317-36,585 f. Hydrologist (IFAD) month ,244 10,244 10,244 10,244 10,244 5,122 56,341 g. Accounts assistant (IFAD) month ,659 3,659 3,659 3,659 3,659 1,829 20,122 Subtotal 573,472 34,000 30,000 25,610 21,220 6, , Regional Project Offices (ADB) /a a. Vehicles and Equipment Jeep (4 w heel drive) unit , , ,912 Double-cab Pick-up (4 w heel drive) unit , , ,512 Motorcycle unit , , ,078 Subtotal 305, ,502 b. Field Equipment sum 652, ,439 c. Office Equipment and Refurbishment Desktop Computer and Peripherals unit , , ,220 Laptop Computers unit , , ,902 Printer (Heavy Duty) unit , , ,302 Printer/Scanner/Copier (Small-scale) unit , ,463 Copier (Heavy Duty) unit , , ,159 Copier (Small-scale) unit , ,463 Digital Camera unit LCD Projector unit , , ,927 Airconditioning Unit unit , , ,302 Office Refurbishment and Netw orking sum , , ,585 Subtotal 72, ,934 Subtotal 1,030, ,030,876 9

179 Annex 7B 3. Project Implementation Units (ADB) /b a. Vehicles and Equipment Double-cab Pick-up (4 w heel drive) unit , , ,805 Motorcycle unit , , ,351 Subtotal 358, ,156 b. Office Equipment and Refurbishment Desktop Computer and Peripherals unit , , ,622 Printer/Scanner/Copier (Small-scale) unit , ,293 Survey Equipment set , , ,951 Subtotal 37, ,866 Subtotal 396, , Regional Project Office (IFAD) /c a. Vehicles and Equipment Double-cab Pick-up (4 w heel drive) unit , , ,756 Motorcycle unit , , ,039 Subtotal 39, ,795 b. Road Construction and Maintenance Equipment (PMU) /d Road Roller (4-5 ton vibrating) No , , ,244 Thermometer Set No Rebound Hammer No , ,268 Digital Camera No , ,756 Salinity measurement kit No , ,000 Oddometer No , ,200 Moisture meter No , ,600 Plate compactor No , ,000 Ferro scanner No , , ,000 Survey Equipment set , , ,317 Subtotal 300, ,776 c. Office Equipment and Refurbishment Desktop Computer and Peripherals unit , , ,610 Laptop Computers unit , , ,951 Printer (Heavy Duty) unit , , ,151 Printer/Scanner/Copier (Small-scale) unit Copier (Heavy Duty) unit , , ,079 Copier (Small-scale) unit Digital Camera unit LCD Projector unit , , ,463 Airconditioning Unit unit , , ,151 Office Refurbishment and Netw orking sum , , ,293 Subtotal 36, ,467 Subtotal 377, , Project Implementation Units (IFAD) /e a. Vehicles and Equipment Motorcycle unit , , ,234 b. Office Equipment and Refurbishment Desktop Computer and Peripherals unit , , ,207 Printer/Scanner/Copier (Small-scale) unit , ,098 Subtotal 5, ,305 Subtotal 29, , Upazilla project office (IFAD) a. Vehicles and Equipment Motorcycle unit , , ,624 b. Infrastructure supervision engineers for upazilla project office (32) month , , , , , ,488 70, ,439 Subtotal 134, , , , ,488 70, ,063 Subtotal 2,541, , , , ,707 77,195 3,291,790 B. Land Acquisition sum 243, , , , , ,049 2,689,024 Total Investment Costs 2,785, , , , , ,244 5,980,815 II. Recurrent Costs A. LGED Staff and Operating Costs sum 195, , , , , ,341 1,317,073 B. Motorbikes operation and maintenance /f sum 22,537 22,537 22,537 22,537 22,537 22, ,220 C. Vehicles operation and maintenance at the regional project office /g sum 17,561 17,561 17,561 17,561 17,561-87,805 Total Recurrent Costs 235, , , , , ,878 1,540,098 Total 3,020, ,293 1,125,220 1,120, , ,122 7,520,912 \a Quantities show n are for tw o offices, one in Barisal and one in Khulna. \b Quantities shown are for 9 districts under Barisal and Khulna Regional Project Offices. \c Quantities show n are for one office in Perojpur. \d For use by labor contracting societies contracted for road construction. \e Quantities shown are for 3 districts under Perojpur Regional Project Office. \f 3500Taka per month and per bike (fuel and maintenance costs) \g per monthx3monthx12months 10

180 Annex 7B Table 4.2.: Project management Trainings and Workshops - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 4.2. Project Management Workshops, Training and Studies Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Project Management Workshops Inception Workshop (National) event , , ,542 Annual Workshops (National) event , ,542-1, ,084 Midterm Workshop (National) event , , ,542 Completion Workshop (National) event , ,542-1,542 Annual Review Workshops (Field Level) event ,738 2,738 2,738 2,738 2,738-13,689 Subtotal 4,280 4,280 4,280 4,280 4,280-21,399 B. Surveys and Studies /a Upazila/Union Roads and Grow th Center and Village Markets sum 243,902 60,976 60,976 60,976 60, ,805 C. Independent Safeguards Monitoring sum 121,951 48,780 48,780 48,780 48,780 48, ,854 Total 370, , , , ,036 48, ,058 \a Baseline surveys, social/environmental assessments, impact evaluation, etc. 11

181 Annex 7B Table 4.3.: Project management Consulting Services - Detailed Costs (USD) Bangladesh Coastal Climate Resilient Infrastructure Project Table 4.3. Consulting Services Detailed Costs (US$) Quantities Base Cost Unit Total Unit Cost Total I. Investment Costs A. Design and Supervision 1. International Rural Infrastructure Specialist - Team Leader month , , , , , , ,634 1,144,390 Quality Assurance Specialist - Deputy Team Leader month , , ,195 89,756 67,317 67, ,902 Senior Road Engineer month , ,878 22,439 22,439 22,439 22, ,634 Procurement/Contracts Specialist month , ,878 11,220 11,220 11,220 11,220-89,756 Subtotal 291, , , , , ,634 1,772, National Procurement/Contracts Specialist month , ,171 8,780 8,780 8,780 8,780 4,390 52,683 Resident Engineers - Construction Specialists (3) month , , , , ,878 65,854 21, ,951 Road Design Engineers (4) month , ,683 52,683 52,683 52,683 52,683 13, ,585 Road Structures Engineers (2) month , ,341 13,171 13,171 13,171 13,171 4,390 83,415 Quality Assurance Engineers (3) month , , , , , ,878 48, ,756 Road Supervision/Quality Control Engineers (3) month , , , , , ,878 26, ,805 Hydrologist month , ,171 13,171 13,171 13,171 13,171 13,171 79,024 Water Supply Engineer month , ,780 13,171 8,780 4,390 4,390-39,512 Geotechnical Engineer month , ,780 13,171 8,780 4,390 4,390-39,512 Rural Market Planner month , ,171 8,780 8,780 8,780 8,780 8,780 57,073 Market Buildings Structural Engineer month , ,171 13,171 13,171 13,171 13,171 13,171 79,024 Market Buildings Supervision/Quality Control Engineers (3) month , , , , , , ,463 Cyclone Shelters Structural Engineer month , ,122 17,561 17,561 17,561-87,805 Cyclone Shelters Supervision/Quality Control Engineers (4) month , , , ,878 96, ,805 Subtotal 254, , , , , ,659 3,863, Support Staff Construction Observers sum 9,756 24,390 24,390 24,390 18, ,220 Office Engineers/Administrators (4) month , , , , , ,780 64, ,098 CAD Operators (4) month , ,244 46,829 46,829 46,829 46,829 32, ,756 Office Assistants (5) month , ,390 80,488 80,488 80,488 80,488 32, ,537 Subtotal 240, , , , , ,780 1,485, Equipment and Operating Expenses year 122, , , ,549 55,988 8, , Surveys /a sum 45,732 45,732 45,732 45,732 45, ,659 Subtotal 955,768 1,866,061 1,815,744 1,717,061 1,344, ,512 8,125,037 B. Management Support 1. International Project Institutional Adviser - Team Leader month , , , , , ,634-1,009,756 Climate Resilience Specialist month , ,878 22,439 22,439 22, ,195 Know ledge Management Development Specialist month , ,878 22, ,317 Project Economist month , ,439 11,220 11, ,878 Subtotal 246, , , , ,634-1,234, National Economist/Benefit Monitoring and Evaluation Specialist (Deputy Team Leader) month , ,171 13,171 13,171 13,171 13,171 13,171 79,024 Training Specialist month , ,341 26,341 26,341 26,341 26, ,707 Climate Resilience Specialist month , ,561 8,780 8,780 8,780 8,780-52,683 Environment Specialist month , ,780 8,780 8,780 8,780 8,780 8,780 52,683 Resettlement Specialist month , ,341 26,341 26,341 26,341 26,341 26, ,049 Gender Specialist month , ,341 26,341 26,341 26,341 26, ,707 Livelihoods Specialist month , ,780 4, ,171 Project Finance Specialist month , ,171 4,390 4,390 4, ,341 Subtotal 140, , , , ,756 48, , Support Staff Office Manager/Administrator month , ,195 32,195 32,195 32,195 32,195 32, ,171 Office Assistants (2) month , ,195 32,195 32,195 32,195 32,195 32, ,171 Subtotal 64,390 64,390 64,390 64,390 64,390 64, , Equipment and Operating Expenses year 49,854 46,024 42,183 36,817 17,646 8, , Surveys /b sum 18,293 18,293 18,293 18,293 18,293-91,463 Subtotal 519, , , , , ,122 2,558,280 Total 1,475,622 2,416,232 2,335,244 2,219,976 1,689, ,634 10,683,317 \a Technical surveys, geotechncial surveys/investigations, etc. \b Socio-economic, beneficiary needs surveys, etc. 12

182 Annex 8A Annex 8A Structural Design: Road Infrastructure

183

184 Annex 8A Annex 8A Structural Design: Road Infrastructure Component 1 Improved Road Connectivity Feeder roads 1. Transport Infrastructure is the component that includes the areas served (or service areas) by markets. From field surveys it would appear that the number of feeder roads fall mostly in the range of 3-10, these are roads serving a particular market. On average about 5 feeder roads provide the access to markets for the service areas. The status of the roads varies from poor moderate good. The types of roads are BC, RCC, CC, HBB, BFS, Block roads, Earthen Roads. Accordingly, the distance over which road rehabilitation/construction is needed also varies per service area of the market place. The project will not construct new roads. Thus, the embankment as road foundation is available and not included in the budget. 2. In case road rehabilitation is required than roads will be built as BC, RCC or Block roads. This is the preference based on long-time experience in the concerned Upazilas. Brick based roads, HBB or BFS, would be gradually phased out. The local population often favours BC roads, followed by RCC roads. 3. In case access is difficult or impossible for rollers than BC roads are no option. The same is true when inundation with salty or brackish water occurs. In these cases the preferred road is the RCC road. Overview of road types 4. Theoretical overview of possible road types connecting one administrative level with the same or a lower level, those that actually occur, and the road types envisaged to be rehabilitated or built under CCRIP. It concerns roads that are normally within LGED s mandate. Level number Administrative Possible road types - Actual level connecting one level with occurrence of same or a lower level road types 1 Upazila BC yes Yes RCC yes Yes CC no no Block Road no no HBB no no BFS no no Earthen road no no 2 Union Parishad BC yes yes RCC yes yes CC no no Block Road no no HBB yes no BFS no no Earthen road no no 3 Village road BC yes yes RCC no yes CC yes no Block Road no yes HBB yes no BFS yes no Earthen road yes no Project roads CCRIP intervention Proposed road type 5. The project will limit its intervention in the rural road infrastructure to two levels: Union Roads and Village Roads. The road types for these two levels will be mainly BC, RCC, and Block Roads. What type of road will be built depends on the economic data (villages importance and location in the service area of the particular market) and the relative cost. In addition accessibility for rollers may prohibit the use of BC roads at both levels and salt water inundation may make RCC the only feasible option. 6. The following 5 combinations are possible: 1

185 Annex 8A Administrative level Union Width, in m Village Width, in m BC 3.00 BC 2.55 Road Type RCC 3.00 RCC 2.40 Block road - Block road Remark: at the Union level no Block roads will be built. Therefore, the following road types at the two administrative levels will be considered under CCRIP: Designs Union Roads: BC, RCC Village Roads: BC, RCC, Block Road 8. The drawings are given below for relevant road types that will be used under CCRIP. In case occasionally a different road is needed, than the designs are available in LGED and these were found adequate. Therefore, only the details of these roads are given below. In an attached PDF the design of ghats are given. Based on these designs BOQs were made and costs calculated as given in Annex 8B and Annex 8C. Union BC road Union RCC road 2

186 Annex 8A Village BC road Village RCC road Village Block road 3

187 Annex 8A Village Block Road - plan of blocks with Design Aspects of Transport Infrastructure As per Bangladesh Gazette, volume 1, 6th November, 2003 LGED has been given the mandated responsibility for development and maintenance of the following roads in rural areas: Upazila Road: Union Road: Village Road: Roads connecting Upazila HQ/s with Growth Center/s or one Growth Center with another Growth Center by a single main connection or connecting Growth Center to Higher Road System, through shortest distance/route. Roads connecting Union HQ/s with Upazila HQs, growth centres or local markets or with each other. Roads connecting Villages with Union HQs, local markets, farms and ghats or with each other or Roads within a Village. Corresponding structural and geometric designs for each type of roads are also approved by the planning commission. These are as follows: Village Road HBB: BC: 350mm thick 3 structural layers system and 3.7m crest width with 2.65m pavement and 0.525m shoulder on either side 425mm thick 4 structural layers system and 3.7m crest width with 2.55m pavement and 0.575m shoulder on either side Block: 250mm thick 2 structural layers system and 3.7m crest width with 2.45m pavement and 0.625m shoulder on either side RCC: Union Road BC: RCC: 325mm thick 3 structural layers system and 3.7m crest width with 2.40m pavement and 0.650m shoulder on either side 575mm thick 4 structural layers system and 5.5m crest width with 3.25m pavement and 0.125m shoulder on either side 325mm thick 3 structural layers system and 5.5m crest width with 3.25m pavement and 0.125m shoulder on either side Typical cross-sections for each type of road are available (some are relevant for CCRIP is in Appendix ) In CCRIP project, the similar structural and geometric design is adopted for implementation as well as for cost estimation but with a few modifications. First, from the standard structural design of pavement as presented above it is found that the same structural 3-layer system is adopted for both RCC type village and union roads though their traffic loading and geometric considerations are different. Bituminous carpeting (BC) is a multi-layered flexible pavement system, whereas the reinforced cement concrete (RCC) type rigid pavement is a 1 or 2-layered system. On RCC the traffic load is basically distributed by slab action, whilst by the BC road the traffic load is distributed through an inter-granular locking mechanism over different layers of which the BC 4

188 Annex 8A pavement is composed of. Considering these issues, it is proposed that in the CCRIP project, for RCC village road where traffic load would be relatively light and also the pavement would be built on well stabilized old embankment, the brick flat soling (BFS) layer would be omitted. The preliminary design analysis revealed that this modification will not compromise the adequacy of load carrying capability of the pavement. Second, typical drawings of standard block pavement design show that short side blocks (Plan- 375x225mm) laying arrangement is followed without any logical consideration. It is to be noted that the laying orientation of block has a significant bearing in deteriorating the riding comfort. It is obvious that if the long side of blocks is placed aligned with the vehicular travelling path it would reduce 40% transverse joints vis-à-vis jerking and jolting problems and thereby would improve riding quality. Finite element analysis of the paving block revealed that due to good aspect ratio and 150mm thick shape, the pressure of the vehicle wheels on the block will not create cracks with the proposed orientation. This block arrangement is also being used in SCBRMP project area. Selection of Pavement Type HBB road: Though the conventional Herring Bone Brick (HBB) road is a low cost, easily maintainable road and community involvement is possible in construction and maintenance works, it has got the following shortcomings: - Due to the small foot print of building block (brick) o HBB road is prone to settlement, particularly with soaked or saturated subgrade conditions o Punching and pumping problems are common with wet subgrade, particularly for dynamic traffic loading conditions o Stability of HBB road structure largely depends on support conditions; in general it performs better if it is built on well compacted dry subgrade with uniform support condition and for low level of traffic loading - Performance of HBB road is very sensitive to the firmness of edge confinements which is very difficult to ensure for the road with tight right of way - Due to thin shape of brick as well as its brittleness, HBB road is o Weak in impact loading particularly those induced by dynamic traffic stream o Prone to fatigue failure - Limited scope of involving women in HBB road particularly in brick production - Non-uniform riding quality of HBB road increases passenger discomfort, transport cost and vehicle depreciation - Due to light weight, brick is more prone to washout by the current of flush flood water - As brick has good use in different civil works, it has got a high opportunity cost and thereby associated with theft problem - Due to less durable and high settlement potential of HBB road, it requires frequent maintenance work Taking the above issues in cognizance it is decided that in the CCRIP (IFAD part) road infrastructure improvement work, the HBB type pavement would be avoided. Block road: The block pavement system has many advantages to offer considering the local context. The major advantages of block road are : - Construction process is simple and community (LCS) can do it without involving contractors; - Block road is easily maintainable; - Highly labour intensive, thereby create the scope of employment for the poor; - Block road is in line with project objective to create scope for the poor to reduce poverty; - It has adaption potential with rising water level due to climatic change. But it is also not above criticism. The following are the few major disadvantages or weaknesses of the block based road: - Due to differential settlement, the riding quality of block road is relatively poor; - Blocks need uniform support for even surface but it is too difficult to ensure; - The poor riding quality impacts on higher transportation cost and increase the maintenance cost of transports as well, particularly for the manual vehicles; - Block roads are not carefree or fit and forgets type of structure, therefore it requires regular maintenance. 5

189 Annex 8A Considering these, it is recommended that the block pavement road would be chosen only for improvement of village road and particularly where there is regular inundation problem. RCC road: In general, RCC roads perform better as compared to the block and bituminous pavement roads. During field visits it is observed that RCC pavement road has been successfully constructed by involving LCS in MIDPCR project. The main hallmarks of RCC pavement are: - Higher traffic load carrying potential; - It is not so susceptible to side confinement or shoulder condition; - Due to its light-colour appearance and high reflectance characteristics, it provide better night-time visibility as compared to BC road and thereby ensures roadway safety which is very important for rural road; - Binding material i.e. cement is home grown ingredient; whereas bitumen is mostly imported; - It is environmental friendly as it does not involved any heating; - Construction is not so weather susceptible as compared to BC; - More resistant to adverse climatic condition; - Unlike BC road, RCC road construction and maintenance works are contractor independent; does not require involvement of heavy roller; - Provide better skid resistance; - Long lasting and requires virtually zero maintenance; if constructed properly it could last up to yrs. without any major rehabilitation work; - Economical as compared to bituminous road, if life cycle cost (construction and maintenance) is considered. Considering these above advantages, though RCC is 20-25% costlier than that of BC road, this fit and forget typed rigid pavement is recommended: - when road has to build on narrow right of way particularly where roller cannot be used for subgrade compaction - for char land areas or isolated island where it is very difficult to take heavy machineries like 4-6 ton roller by trawler/boat - for high type union road that is usually accessible by trucks and other heavy vehicles The main problem associated with the rigid pavement is that after construction without damaging the structure it is not possible to lay any condition responsive cross drain pipe or channel at subsurface level for which the need may arise later on. Most importantly, construction of RCC pavement needs very careful supervision particularly in maintaining water-cement ratio. BC road: BC typed flexible pavement is a layered system with low flexural strength. A flexible pavement structure is typically composed of several layers of material. Each layer receives the loads from the above layer, spreads them out, then passes on these loads to the next layer below. Thus load is distributed on a large area and stress on the subgrade soil is kept within its bearing capacity. Because of low flexural strength, the pavement deflects momentarily under load but rebounds to its original level on removal of load. LGED is specialized in developing and maintaining bituminous pavement in rural areas and considering this organizational strength as well as relative cost advantage over RCC pavement, it is recommended that majority of the CCRIP project roads would be of BC typed. It is to be noted that among different pavement types, the multi-layered BC road demands very stringent construction compliances and careful supervision. In general, BC pavement is very sensitive to quality of subgrade preparation & moisture content, type & gradation of aggregates, optimum bitumen content, temperature control in both heating & mixing ingredients, laying & compaction of bituminous mixes. Thereby, in every steps of BC road construction work maintaining specified temperature is a very big challenge both for site engineers as well as for contractors. Moreover, BC construction is very susceptible to weather conditions; both winter season and rainy day are unsuitable for construction. For quality assurance of this type of road - competent, sincere, honest and independent field engineers have to be deputed and proactively contractors/subcontractors have to be given a short motivational and construction specification related training. Besides, field engineers have to be equipped with appropriate quality control logistics viz. temperature, moisture meter, level machine, camera etc. Road inventory per market place 9. After the identification of the market place that will be reconstructed as part of Market Development, the service area is determined based on maps. The road engineers do a survey of the status of the roads for the service area and measure length of roads that need 6

190 Annex 8A construction or rehabilitation based on field surveys, maps and interviews with the village populations. Maps used would be mostly of two scales: location map (within polder) about 1:20000 and for the detailed field survey about 1:5000 (or 1:2000 as needed). Boat landing places or ghats and bridges 10. The hydrologist advises the road engineers on the construction of ghats and bridges. 11. The engineers prepare designs, BOQs, and so on. Hydrology input 12. Besides the road engineers, CCRIP engages two hydrologists to complement to the road infrastructure staff and they will reassess the width and location of culverts needed, the need to add or replace water control gates, the type of water control gate, the O&M of water control gates, location of boat landing places in view river stability, location of bridges, advise on dimensions of bridges, culverts and ghats whilst maintaining cross-sections of river, khals, drains. 13. For the studies the hydrologists make use of maps (from the GIS-section) and coordinates with BWDB who are the custodian of the polder in which many of the project s intervention areas are located. The hydrologist interviews farmers as to their perceptions on water control and the possible impact the project may have on their farm holdings. 14. The future impact of climate change is verified for the concerned areas and proposals made as to how to mitigate to some extent the effects; however, the project limits its mitigation effort to affordable interventions as e.g. adding culverts to add discharge capacity to evacuate extreme floods, design of bridges and ghats possibly adapted. 7

191

192 Annex 8B Annex 8B Detailed Cost: Road Infrastructure

193

194 Annex 8B Annex 8B Detailed Cost: Road Infrastructure Detailed Estimation of Improvement of RCC Road with BFS (VR) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Clearing and grubbing by removal and disposal of LS everything above ground level including overhanging branches, removing of all foundation stumps, embedded logs, tree roots and other material either to a depth of 0.3m below the proposed surface elevation or to the level as shown on the drawing, disposing of all materials resulting from clearing and grubbing at a safe distance designated by the E-I-C, etc Earth filling work with specified soil in any type of cum Qnt from Earth calcultion embankment including cutting, carrying, filling by throwing sheet earth in layers not more than 150mm in each layer in proper Deduction for Box (-) 780 alignment, grade, camber and side slope in all types of soil except rocky, gravelly and slushy including benching not more than 30cm in vertical and 60cm in horizontal steps along the sides while widening any embankment, etc. all complete as per the direction of E-I-C. Earth shall be arranged by the contractor at his own cost and it will include all necessary lead & lift. Payment will be made on compacted volume Manual compaction of earth in 150mm thick compacted layers cum by breaking clods to a maximum size of 25mm using wooden drag or ladder and compacting using concrete drop hammer (Durmus), watering or drying to obtain optimum moisture content if necessary including supplying of wooden drag, ladder, bamboo hammer, steel/concrete hammer and other requisite tools, etc. all complete as per direction of the E-I-C. 85% compaction of the maximum dry density is to be obtained by the standard compaction test (Rate is for each layer of 150mm thick) 1

195 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in box cutting on road crest up to 450mm depth sqm Ch: with proper grade, camber and alignment maintaining super elevation on curves, removing soil to a safe distance, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, watering, compacting the sub-grade by manual labour, etc. all complete as per direction of the E-I-C Sand (FM 0.50) filling on the road bed in the improved sub- cum Ch: grade with sand free from dust, earth, other vegetable growth and foreign materials including supplying all materials, spreading, watering, compacting by appropriate mechanical means to obtain a minimum soaked CBR 8% at minimum compaction 98% of MDD (Modified), etc. all complete as per direction of the E-I-C Single layer brick flat soling with 1st class or picked bricks, sqm Ch: true to level, camber/super elevation and grade including carrying bricks, filling the interstices tightly with sand of minimum FM 0.80, etc. all complete as per direction of the E-I-C Reinforced Cement Concrete work in bottom and top slab of cum Ch: box culvert of any height with stone chips (Preferably stone chips from Madhyapara, Dinajpur), sand (minimum FM 1.80) and cement having minimum 28 days ultimate cylinder crushing strength of 210kg/cm2 (suggested mix proportion 1:2:4) excluding cost of reinforcement and its fabrication but including cost of all other materials, shuttering, casting, curing for 28 days and all incidental charges, etc. complete in all respect as per direction of the E-I-C. Bottom slab and approach slab Providing polythene sheet (0.18mm thick) on floor in ground sqm Ch: floor underneath the cement concrete, etc. all complete as

196 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate per specifications and direction of the E-I-C. Sand of minimum FM 1.2 to be used Supplying and fabrication of M.S High strength deformed kg bar/ Twisted bar reinforcement of required size and length for all types of RCC work including straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, including lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete including cost of all materials, labour, local handling, laboratory test, incidentals necessary to complete the work as per specifications, drawings and direction of the Engineer. Laboratory test for physical property, strength, elongation% & bend to be performed as per ASTM. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) Brick on end edging (125mm across) with 1st class/picked m Ch: bricks including cutting trenches true to level & grade including removing earth, re-filling & ramming the sides properly & filling the gaps with local sand, etc. all complete as per direction of the E-I-C Palisading work with double pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 3m long, 0.9m c/c to be driven 2/3rd of the total length (3m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C. 3

197 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Palisading work with single pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 2m long, 0.9m c/c to be driven 2/3rd of the total length (2m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Suppying,fittings sign board (6'-0"x4'-0") fitted with strong no Bamboo post at suitable place in the working area & writing the name of project.contract amount & year of construction etc.by synthetic enamel paint as per direction of the Engineer in charge Preparation of Tender & Publishing as per PPR-2008 LS TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Fifty-Five Lac Eleven Thousand Thirty-Four) Only 4

198 Annex 8B Detailed Estimation of Improvement of RCC Road (UNR) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Clearing and grubbing by removal and disposal of LS everything above ground level including overhanging branches, removing of all foundation stumps, embedded logs, tree roots and other material either to a depth of 0.3m below the proposed surface elevation or to the level as shown on the drawing, disposing of all materials resulting from clearing and grubbing at a safe distance designated by the E-I-C, etc Earth filling work with specified soil in any type of cum Qnt from Earth calcultion embankment including cutting, carrying, filling by throwing sheet earth in layers not more than 150mm in each layer in proper Deduction for Box (-) alignment, grade, camber and side slope in all types of soil except rocky, gravelly and slushy including benching not more than 30cm in vertical and 60cm in horizontal steps along the sides while widening any embankment, etc. all complete as per the direction of E-I-C. Earth shall be arranged by the contractor at his own cost and it will include all necessary lead & lift. Payment will be made on compacted volume Manual compaction of earth in 150mm thick compacted layerscum by breaking clods to a maximum size of 25mm using wooden drag or ladder and compacting using concrete drop hammer (Durmus), watering or drying to obtain optimum moisture content if necessary including supplying of wooden drag, ladder, bamboo hammer, steel/concrete hammer and other requisite tools, etc. all complete as per direction of the E-I-C. 85% compaction of the maximum dry density is to be obtained by the standard compaction test (Rate is for each layer of 150mm thick) 5

199 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in box cutting on road crest up to 450mm depth sqm Ch: with proper grade, camber and alignment maintaining super elevation on curves, removing soil to a safe distance, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, watering, compacting the sub-grade by manual labour, etc. all complete as per direction of the E-I-C Sand (FM 0.50) filling on the road bed in the improved sub- cum Ch: grade with sand free from dust, earth, other vegetable growth and foreign materials including supplying all materials, spreading, watering, compacting by appropriate mechanical means to obtain a minimum soaked CBR 8% at minimum compaction 98% of MDD (Modified), etc. all complete as per direction of the E-I-C Providing polythene sheet (0.18mm thick) on floor in ground sqm Ch: floor underneath the cement concrete, etc. all complete as per specifications and direction of the E-I-C. Sand of minimum FM 1.2 to be used Single layer brick flat soling with 1st class or picked bricks, sqm Ch: true to level, camber/super elevation and grade including carrying bricks, filling the interstices tightly with sand of minimum FM 0.80, etc. all complete as per direction of the E-I-C Reinforced Cement Concrete work in bottom and top slab of cum Ch: box culvert of any height with stone chips (Preferably stone chips from Madhyapara, Dinajpur), sand (minimum FM 1.80) and cement having minimum 28 days ultimate cylinder crushing strength of 210kg/cm2 (suggested mix proportion 1:2:4) excluding cost of reinforcement and its fabrication but including cost of all other materials, shuttering, casting, curing for 28 days and all incidental charges, etc. complete in all 6

200 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate respect as per direction of the E-I-C. Bottom slab and approach slab Supplying and fabrication of M.S High strength deformed kg bar/ Twisted bar reinforcement of required size and length for all types of RCC work including straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, including lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete including cost of all materials, labour, local handling, laboratory test, incidentals necessary to complete the work as per specifications, drawings and direction of the Engineer. Laboratory test for physical property, strength, elongation% & bend to be performed as per ASTM. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) Brick on end edging (125mm across) with 1st class/picked m Ch: bricks including cutting trenches true to level & grade including removing earth, re-filling & ramming the sides properly & filling the gaps with local sand, etc. all complete as per direction of the E-I-C Palisading work with double pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 3m long, 0.9m c/c to be driven 2/3rd of the total length (3m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Palisading work with single pre-cast plate (1150mmx600mm) m

201 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate fitted with RCC (1:2:4) post of 150mmx150mm, 2m long, 0.9m c/c to be driven 2/3rd of the total length (2m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Suppying,fittings sign board (6'-0"x4'-0") fitted with strong no Bamboo post at suitable place in the working area & writing the name of project.contract amount & year of construction etc.by synthetic enamel paint as per direction of the Engineer in charge Preparation of Tender & Publishing as per PPR-2008 LS TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Seventy-Three Lac Twenty-Six Thousand Nine Hundred Three) Only 8

202 Annex 8B Detailed Estimation of Improvement of Bituminous Carpeting Road (VR) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Clearing and grubbing by removal and disposal of LS everything above ground level including overhanging branches, removing of all foundation stumps, embedded logs, tree roots and other material either to a depth of 0.3m below the proposed surface elevation or to the level as shown on the drawing, disposing of all materials resulting from clearing and grubbing at a safe distance designated by the E-I-C, etc Earth filling work with specified soil in any type of cum Qnt from Earth calcultion embankment including cutting, carrying, filling by throwing sheet earth in layers not more than 150mm in each layer in proper Deduction for Box (-) 1020 alignment, grade, camber and side slope in all types of soil except rocky, gravelly and slushy including benching not more than 30cm in vertical and 60cm in horizontal steps along the sides while widening any embankment, etc. all complete as per the direction of E-I-C. Earth shall be arranged by the contractor at his own cost and it will include all necessary lead & lift. Payment will be made on compacted volume Manual compaction of earth in 150mm thick compacted layerscum by breaking clods to a maximum size of 25mm using wooden drag or ladder and compacting using concrete drop hammer (Durmus), watering or drying to obtain optimum moisture content if necessary including supplying of wooden drag, ladder, bamboo hammer, steel/concrete hammer and other requisite tools, etc. all complete as per direction of the E-I-C. 85% compaction of the maximum dry density is to be obtained by the standard compaction test (Rate is for each layer of 150mm thick) 9

203 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in box cutting on road crest up to 300mm depth sqm Ch: with proper grade, camber and alignment maintaining super elevation at curves, removing soils to a safe distance or if necessary, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, watering, compacting the sub-grade minimum 300mm depth by appropriate mechanical means to attain minimum compaction 98% of MDD Standard etc. all complete as per direction of the E-I-C. Minimum soaked CBR requirement of the sub-grade is 4% Sand (FM 0.50) filling on the road bed in the improved sub- cum Ch: grade with sand free from dust, earth, other vegetable growth and foreign materials including supplying all materials, spreading, watering, compacting by appropriate mechanical means to obtain a minimum soaked CBR 8% at minimum compaction 98% of MDD (Modified), etc. all complete as per direction of the E-I-C Providing compacted aggregate sand sub-base course with cum Ch: mm down Crusher run 1st class bricks/picked chips of LAA value not exceeding 40 & locally available sand (Passing <=15% through #200 sieve) mixed in proportion 1:1 by volume placed in layer(s) to give a maximum compacted thickness of 100mm in a single appropriate layer, mixing properly, watering, compacting with 8~10 tonne road roller to give compaction to 98% of MDD (modified) including supplying of all materials, labourers, tools and equipment etc. all complete as per direction of the E-I-C. Minimum CBR requirement for sub-base course is 30% Providing, laying, spreading and compacting 38mm down cum Ch: graded aggregates as specified in the relevant item of LGED road design standard or wet mix macadam specification (LAA 10

204 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate value not exceeding 40% ) made of 1st class and Picked bricks, combining brick chips of different sizes to provide requisit grading and premixing the material with water at OMC in mechanical mix plant at stack yard including carriage of mixed material by tipper with proper covering to site, laying in uniform layers of specified loose thickness not more than 125mm with Grader in base course on well prepared surface and compacting with 8~10 tonne road roller to achieve soaked CBR not less than 80% at a degree of compaction to minimum 98% (Modified Proctor) including supplying all materials, carriage, labors, tools & equipment etc. all complete as per direction of the E-I-C Brick on end edging (75mm across) with 1st class/picked m Ch: bricks including cutting trenches true to level & grade including removing earth, re-filling & ramming the sides properly & filling the gaps with local sand, etc. all complete as per direction of the E-I-C Prime coat with cut back bitumen to be prepared by cutting sqm Ch: back 60/70 or 80/100 penetration grade straight run bitumen (conforming to the requirements of ASTM/ AASHTO in the ratio of 100 parts by volume of bitumen to parts by volume of kerosene depending on the porosity of the surface and will be decided by field trials when correct amount will be the quantity that is completely absorbed within 24 hours including carefully cleaning of the surface of the granular base material to be primed and spraying cut back bitumen at a temperature from 100 C to 120 C by mechanical litre/m2 etc. complete as per direction of the E-I-C mm thick compacted pre-mixed bituminous carpeting to be sqm Ch: prepared using 20mm down stone-chips (LAA value not

205 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate exceeding 35%) of gradation as specified, mixed with heated bitumen of 80/100 or 60/70 penetration of heated bitumen per cum of stone-chips. The bitumen and stone-chips shall be separately heated to a temperature 140 C 155 C and 150 C 170 C respectively before mixing. The mixing shall be done at temperature between 140 C 160 C at a separate place away from the fire. The bitumen and stone-chips mixture so prepared shall be laid uniformly in proper camber, grade and super-elevation, only on the prepared and accepted base or surface in a single appropriate layer to give the specified compacted thickness. The mixture should be rolled with appropriate by Steel Drum Roller (1-3 tons) & pneumatic multiple tire roller (8-10 tons) to full compaction. The rolling temperature shall be maintained not below 90 C including supplying of all materials, their carriage, labourers, tools and equipment etc. all complete as per direction of the E-I-C Providing tack coat with 60/70 or 80/100 penetration grade sqm Ch: straight run bitumen complying with the requirements of ASTM/AASHTO applied by and at a temperature between 140 C and 160 C including heating bitumen, surface cleaning, etc. all complete as per direction of the E-I-C mm thick compacted pre-mixed bituminous seal coat to be sqm Ch: prepared using 6.33mm down crushed stone of gradation as specified in the relevant item of Road Design Standards 2005, mixed with 80/100 or 60/70 penetration Of bitumen per m3 aggregate. The bitumen and chips shall be separately heated to a temperature 140 C 155 C and 150 C 170 C respectively. The mixing shall be done at temperaturebetween 140 C 160 C at a separate place away 12

206 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate from the fire. The mixture of bitumen and chips so prepared shall be laid uniformly on the road surface in appropriate layer so as to produce the specified compacted thickness, rolling at a temperature not bellow 130 C with appropriate Steel Drum Roller (1-3 tons) & pneumatic multiple tire roller (8-10 tons) to the desired compaction and blinding with dry sand (Min per m2 of road surface, including supplying of all materials, their carriage, labourers tools and equipment etc. all complete as per direction of the Palisading work with double pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 3m long, 0.9m c/c to be driven 2/3rd of the total length (3m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Palisading work with single pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 2m long, 0.9m c/c to be driven 2/3rd of the total length (2m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete Suppying,fittings sign board (6'-0"x4'-0") fitted with strong no Bamboo post at suitable place in the working area & writing the name of project.contract amount & year of construction etc.by synthetic enamel paint as per direction of E-I-C Preparation of Tender & Publishing as per PPR-2008 LS TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Forty-Five Lac Eighty-Four Thousand Six Hundred Ninety-Three) Only 13

207 Annex 8B Detailed Estimation of Improvement of Bituminous Carpeting Road (UNR) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Clearing and grubbing by removal and disposal of LS everything above ground level including overhanging branches, removing of all foundation stumps, embedded logs, tree roots and other material either to a depth of 0.3m below the proposed surface elevation or to the level as shown on the drawing, disposing of all materials resulting from clearing and grubbing at a safe distance designated by the E-I-C, etc Earth filling work with specified soil in any type of cum Qnt from Earth calcultion embankment including cutting, carrying, filling by throwing earth in layers not more than 150mm in each layer in proper alignment, grade, camber and side slope in all types of soil Deduction for Box (-) except rocky, gravelly and slushy including benching not more than 30cm in vertical and 60cm in horizontal steps along the sides while widening any embankment, etc. all complete as per the direction of E-I-C. Earth shall be arranged by the contractor at his own cost and it will include all necessary lead & lift. Payment will be made on compacted volume Manual compaction of earth in 150mm thick compacted layers cum by breaking clods to a maximum size of 25mm using wooden drag or ladder and compacting using concrete drop hammer (Durmus), watering or drying to obtain optimum moisture content if necessary including supplying of wooden drag, ladder, bamboo hammer, steel/concrete hammer and other requisite tools, etc. all complete as per direction of the E-I-C. 85% compaction of the maximum dry density is to be obtained by the standard compaction test (Rate is for each layer of 150mm thick) 14

208 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in box cutting on road crest up to 450mm depth sqm Ch: with proper grade, camber and alignment maintaining super elevation at curves, removing soils to a safe distance or if necessary, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, compacting the sub-grade minimum 300mm by appropriate mechanical means to attain minimum compaction 98% of MDD, Standard, etc. all complete as per direction of the E-I-C. Minimum soaked CBR requirement of the sub-grade is 4%. Scheme Code : Sand (FM 0.50) filling on the road bed in the improved sub- cum Ch: grade with sand free from dust, earth, other vegetable growth and foreign materials including supplying all materials, spreading, watering, compacting by appropriate mechanical means to obtain a minimum soaked CBR 8% at minimum compaction 98% of MDD (Modified), etc. all complete as per direction of the E-I-C Providing compacted aggregate sand sub-base course with cum Ch: mm down Crusher run 1st class bricks/picked chips of Ch: LAA value not exceeding 40 & sand of minimum FM mixed in proportion 1:1 by volume placed in layer(s) to give a maximum compacted thickness of 100mm in a single appropriate layer, mixing properly, watering, compacting with 8~10 tonne road roller to give compaction to 98% of MDD (modified) including supplying of all materials, labourers, tools and equipment etc. all complete as per direction of the E-I-C. Minimum CBR requirement for sub Providing, laying, spreading and compacting 38mm down cum Ch: graded aggregates as specified in the relevant item of LGED road design standard or wet mix macadam specification (LAA 15

209 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate value not exceeding 40% ) made of 1st class and Picked bricks, combining brick chips of different sizes to provide requisit grading and premixing the material with water at OMC in mechanical mix plant at stack yard including carriage of mixed material by tipper with proper covering to site, laying in uniform layers of specified loose thickness not more than 125mm with Grader in base course on well prepared surface and compacting with 8~10 tonne road roller to achieve soaked CBR not less than 80% at a degree of compaction to minimum 98% (Modified Proctor) including supplying all materials, carriage, labors, tools & equipment etc. all complete as per direction of the E-I-C Brick on end edging (125mm across) with 1st class/picked m Ch: bricks including cutting trenches true to level & grade including removing earth, re-filling & ramming the sides properly & filling the gaps with local sand, etc. all complete as per direction of the E-I-C Prime coat with cut back bitumen to be prepared by cutting sqm Ch: back 60/70 or 80/100 penetration grade straight run bitumen (conforming to the requirements of ASTM/ AASHTO in the ratio of 100 parts by volume of bitumen to parts by volume of kerosene depending on the porosity of the surface and will be decided by field trials when correct amount will be the quantity that is completely absorbed within 24 hours including carefully cleaning of the surface of the granular base material to be primed and spraying cut back bitumen at a temperature from 100 C to 120 C by mechanical litre/m2 etc. complete as per direction of the E-I-C Scheme Code :

210 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate mm thick compacted pre-mixed bituminous carpeting to be sqm Ch: prepared using 20mm down stone-chips (LAA value not exceeding 35%) of gradation as specified, mixed with heated bitumen of 80/100 or 60/70 penetration of heated bitumen per cum of stone-chips. The bitumen and stone-chips shall be separately heated to a temperature 140 C 155 C and 150 C 170 C respectively before mixing. The mixing shall be done at temperature between 140 C 160 C at a separate place away from the fire. The bitumen and stone-chips mixture so prepared shall be laid uniformly in proper camber, grade and super-elevation, only on the prepared and accepted base or surface in a single appropriate layer to give the specified compacted thickness. The mixture should be rolled with appropriate by Steel Drum Roller (1-3 tons) & pneumatic multiple tire roller (8-10 tons) to full compaction. The rolling temperature shall be maintained not below 90 C including supplying of all materials, their carriage, labourers, tools and equipment etc. all complete as per direction of the E-I-C Providing tack coat with 60/70 or 80/100 penetration grade sqm Ch: straight run bitumen complying with the requirements of ASTM/AASHTO applied by and at a temperature between 140 C and 160 C including heating bitumen, surface cleaning, etc. all complete as per direction of the E-I-C mm thick compacted pre-mixed bituminous seal coat to be sqm Ch: prepared using 6.33mm down crushed stone of gradation as specified in the relevant item of Road Design Standards 2005, mixed with 80/100 or 60/70 penetration Of bitumen per m3 aggregate. The bitumen and chips shall be 17

211 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate separately heated to a temperature 140 C 155 C and 150 C 170 C respectively. The mixing shall be done at temperaturebetween 140 C 160 C at a separate place away from the fire. The mixture of bitumen and chips so prepared shall be laid uniformly on the road surface in appropriate layer so as to produce the specified compacted thickness, rolling at a temperature not bellow 130 C with appropriate Steel Drum Roller (1-3 tons) & pneumatic multiple tire roller (8-10 tons) to the desired compaction and blinding with dry sand (Min per m2 of road surface, including supplying of all materials, their carriage, labourers tools and equipment etc. all complete as per direction of the Palisading work with double pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 3m long, 0.9m c/c to be driven 2/3rd of the total length (3m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Palisading work with single pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 2m long, 0.9m c/c to be driven 2/3rd of the total length (2m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Suppying,fittings sign board (6'-0"x4'-0") fitted with strong no Bamboo post at suitable place in the working area & writing the name of project.contract amount & year of construction etc.by synthetic enamel paint as per direction of the Engineer 18

212 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate in charge Preparation of Tender & Publishing as per PPR-2008 LS TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Sixty-Five Lac Four Thousand Four Hundred Twenty-Seven) Only 19

213 Annex 8B Detailed Estimation of a Typical Ghat Facility (See Appendix xx for relevant structural drawings) A. RCC Main Stair SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Preparation of Tender & Publishing as per PPR-2008 LS a Providing and maintaining fully equipped field office with LS necessary furniture, office and survey equipment, etc. all complete including removal of structures and clearing the site on completion of the work. All materials and equipment shall be the property of the contractor Making earthen ring/cross bundh of required height and LS width to prevent water from entering in the working area for any type of foundation with earth arranged and carried by the contractor including bullah/bamboo palisading and double tarja mat/drum sheets walling as and where necessary, maintaining the same throughout the working period, filling by throwing earth in layers, removal of structure totally on completion of the bridge, etc. all complete as per requirement and instruction of the E-I-C Earth work in excavation in foundation trenches in all sorts of cum pile cape soil except rocky, gravelly, slushy or organic type, up to a depth of 2m to the lines, grades and elevation as shown on the drawing, removing boulders, logs and other objectionable materials, clearing all loose materials, disposing of all excavated materials to a safe distance designated by the E-I-C for an initial lead of 20m, and cut to a firm surface including bailing out water, removal of spoils to a safe distance, back filling of sites of trenches up to original level, shoring if necessary etc. all complete as per requirement and instruction of the E-I-C. Back-filled materials shall be 20

214 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate compacted to a density comparable with the adjacent Pumping and bailing out water/de-watering of work site LS including supply, operation and maintenance of requisite number of water pumps. It should be carried out in such a manner as to preclude possibilities of the movement of water through or alongside any concrete being placed, etc. all complete as per direction of E-I-C Sand filling on the prepared foundation bed with sand of cum pile cape minimum FM 0.80 in difficult areas with 150mm in thickness in each layer including supplying, placing in conformity with the profile and level as per design including watering, compaction, etc. all complete as per direction of the E-I-C Single layer brick flat soling with 1st class or picked kiln sqm pile cape burnt bricks in foundation, filling the interstices tightly with sand of minimum FM 0.50, watering, leveling, dressing, etc. all complete as per instruction of the E-I-C Cement concrete work in foundation with Portland cement, cum pile cape sand (minimum FM 1.80) and 1st class/picked brick chips mm down graded (LAA value not exceeding 40), including shuttering, mixing by concrete mixer machine, casting, laying compacting and curing for the requisite period breaking bricks into chips etc. all complete as per direction of the E-I- C. Cylinder crushing strength of concrete should not be less than 170kg/cm2 at 28 days of curing (Suggested Mix Proportion 1:2:4). Additional quantity of cement to be added if required to attain the strength at the contractors own cost Reinforced cement concrete work in well caps, pile caps, cum pile cape bearing sheets, abutment base, etc. with Portland cement, pier 0.67 (3.14x0.45x sand (minimum FM 1.80) and 20mm down well graded 5)/4 crushed stone chips (Preferably stone chips from pier cape

215 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Madhyapara, Dinajpur), (LAA value not exceeding 30), including shuttering, mixing by concrete mixer machine casting, laying, compacting and curing, for 28 days, breaking stone boulders into chips etc. all complete as per direction of the E-I-C but excluding cost of reinforcement. Cylinder crushing strength of concrete should not be less than 210kg/cm2 at 28 days of curing (suggested mix proportion 1:2:4). Additional quantity of cement to be added if required to attain the strength at the contractor's own cost Reinforced cement concrete work in pre-cast RCC piles and cum pre-cast pile pile heads with Portland cement, sand (minimum FM 1.80) and 20mm down well graded crushed stone chips (Preferably stone chips from Madhyapara, Dinajpur), (LAA value not exceeding 30), including shuttering, mixing by concrete mixer machine, casting, laying compacting, curing for the requisite period breaking stone boulders into chips etc. all complete as per direction of the E-I-C but excluding the cost of reinforcement. Strength of concrete should not be less than 250kg/cm2 (suggested mix proportion 1:1.5:3). Additional quantity of cement to be added if required to attain the strength to be provided by the contractor at his own cost Labour for driving pre-cast RCC piles in any type of soil, m Labour charge driven handling and keeping in position and driving with suitable monkey to the required depth including fitting and fixing steel cap, etc. all complete as per direction of E-I-C. 225mmx225mm; From 0m to 6m Labour for driving pre-cast RCC piles in any type of soil, m Labour charge driven handling and keeping in position and driving with suitable monkey to the required depth including fitting and fixing steel cap, etc. all complete as per direction of E-I-C. 22

216 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate mmx225mm; From 6m to 12m and above Labour for breaking head of cast-in-situ bored pile/pre-cast cum Breaking pile up to required length by any means and removing the dismantled materials, such as, concrete to a safe distance including scrapping and removing concrete from steel/ms rods, preparation and making of platform where necessary, carrying, all sorts of handling, stacking the same properly after clearing, leveling and dressing the site and clearing the river bed, etc. all complete as per direction of the E-I-C. (Measurement will be given for the actual pile head volume to Reinforced cement concrete works (1:2:4) to give a minimum cum Stair landing Cylinder strength of 210kg/cm2 concrete from a machine mixed typical batch with fresh cement, best quality coarse Beam sand (minimum FM 2.5 and 20mm down graded crushed stone chips (Preferably stone chips from Madhyapara, Dinajpur) in/c cost of breaking chips, screening through Waist Slab proper sieves, cleaning and washing thoroughly, centering, Step shuttering with MS sheet and steel form, making shuttering Side Beam / fully leak proof, placing of reinforcement cage in position, Ground Floor mixing the aggregates with mixer machine, casting in steel forms, compacting by Mechanical vibrators and tapered rods and curing for 28 days etc. all complete as per direction of the E-I-C (Excluding the cost of reinforcements and its fabrication) etc. all complete as per direction of the E-I-C. In Tee Beam, Ell Beam, Rectangular Beam etc. (exposed breadth and width of ribs to be measured only) Supplying and fabrication of M.S High strength deformed kg 20mm dia MS Rod bar/ Twisted bar reinforcement of required size and length for 16mm dia MS Rod all types of RCC work including straightening the rod, 12mm dia MS Rod removing ruts, cleaning, cutting, hooking, bending, binding 10mm dia Ms Rod

217 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate with supply of 22 B.W.G. GI wire, placing in position, 8mm dia MS Rod including lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete including cost of all materials, labour, local handling, laboratory test, incidentals necessary to complete the work as per specifications, drawings and direction of the Engineer. Laboratory test for physical property, strength, elongation% & bend to be performed as per ASTM. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) Providing nosing with MS angles (75mmx75mmx6mm) etc. kg Nosing including cost of all materials, welding, carrying, etc. all complete as per design, drawing and direction of the E-I-C b Providing J-Hokes for boat landing ( 16mm dia Rod, 300mm kg J-Hokes Long ) etc.including cost of all materials,welding,carring,etc.all complete as per design,drawing and direction of the E-I-C Supplying C.I. Shoe of 300mm dia including fitting, fixing etc. each C.I. Shoe all complete as per direction of the E/C. (Weight of each shoe is 1.0 cwt) Site improvement as per direction of engineer in charge LS Suppying,fittings sign board (6'-0"x4'-0") fitted with strong no Bamboo post at suitable place in the working area & writing the name of project.contract amount & year of construction etc.by synthetic enamel paint as per direction of the Engineer in charge. Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. TOTAL AMOUNT: SAY: In Word : Taka (Nine Lac Ten Thousand One Hundred Eighty-Four) Only 24

218 Annex 8B B. Ghat landing & C.C Road ( Width =2.40m ) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth filling work with specified soil in any type of cum Internal C.C Road embankment including cutting, carrying, filling by throwing Landing earth in layers not more than 150mm in each layer in proper Protection area alignment, grade, camber and side slope in all types of soil except rocky, gravelly and slushy including benching not more than 30cm in vertical and 60cm in horizontal steps along the sides while widening any embankment, etc. all complete as per the direction of E-I-C upto lead 20m. Payment will be made on compacted volume. Upto 3.50m lift from the toe of embankment Manual compaction of earth in 150mm thick compacted layers cum by breaking clods to a maximum size of 25mm using wooden drag or ladder and compacting using concrete drop hammer (Durmus), watering or drying to obtain optimum moisture content if necessary including supplying of wooden drag, ladder, bamboo hammer, steel/concrete hammer and other requisite tools, etc. all complete as per direction of the E-I-C. 85% compaction of the maximum dry density is to be obtained by the standard compaction test (Rate is for each layer of 150mm thick) Earth work in box cutting on road crest up to 450mm depth sqm Box with proper grade, camber and alignment maintaining super elevation on curves, removing soil to a safe distance, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, watering, compacting the sub-grade by manual labour, etc. all complete as per direction of the E-I-C Sand (FM 0.80) filling on the road bed in the improved sub- cum Box grade with sand free from dust, earth, other vegetable growth and foreign materials including supplying all materials,

219 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate spreading, watering, compacting by appropriate mechanical means to obtain a minimum soaked CBR 8% at minimum compaction 98% of MDD (Modified), etc. all complete as per direction of the E-I-C Single layer brick flat soling with 1st class or picked bricks, sqm Box true to level, camber/super elevation and grade including carrying bricks, filling the interstices tightly with sand of minimum FM 0.80, etc. all complete as per direction of the E-I-C Brick on end edging (125mm across) with 1st class/picked m Edging bricks including cutting trenches true to level & grade including removing earth, re-filling & ramming the sides properly & filling the gaps with local sand, etc. all complete as per direction of the E-I-C Providing polythene sheet (0.18mm thick) on floor in ground sqm Polythene sheet floor underneath the cement concrete, etc. all complete as per specifications and direction of the E-I-C. Sand of minimum FM 1.2 to be used Mass concrete work in foundation with Portland cement, cum C.C work sand (minimum FM 1.80) and 1st class/picked brick chips mm down graded (LAA value not exceeding 40), including shuttering, mixing by concrete mixer machine, casting, laying compacting and curing for the requisite period breaking bricks into chips etc. all complete as per direction of the E-I- C. Cylinder crushing strength of concrete should not be less than 170kg/cm2 at 28 days of curing (suggested mix proportion 1:2:4). Additional quantity of cement to be added if required to attain the strength at the contractors own cost. Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. TOTAL AMOUNT: SAY: In Word : Taka (One Lac Twenty-Four Thousand Seven Hundred Ninety-Four) Only 26

220 C. Earth Protection work of Brick Toe wall with Pre-Cast RCC pile Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in excavation in foundation trenches in all sorts of cum rocky, gravelly, slushy or organic type, up to a depth of 2m to the lines, grades and elevation as shown on the drawing, removing boulders, logs and other objectionable materials, clearing all loose materials, disposing of all excavated materials to a safe distance designated by the E-I-C for an initial lead of 20m, and cut to a firm surface including bailing out water, removal of spoils to a safe distance, back filling of sites of trenches up to original level, shoring if necessary etc. all complete as per requirement and instruction of the E-I-C. Back-filled materials shall be compacted to a density comparable with the adjacent undisturbed material Cement concrete work in foundation with Portland cement, cum sand (minimum FM 1.80) and 1st class/picked brick chips mm down graded (LAA value not exceeding 40), including shuttering, mixing by concrete mixer machine, casting, laying compacting and curing for the requisite period breaking bricks into chips etc. all complete as per direction of the E-I- C. Cylinder crushing strength of concrete should not be less than 105kg/cm2 at 28 days of curing (Suggested Mix Proportion 1:3:6). Additional quantity of cement to be added if required to attain the strength at the contractors own cost Reinforced cement concrete work in pre-cast RCC piles and cum pile heads with Portland cement, sand (minimum FM 1.80) and 20mm down well graded crushed stone chips (Preferably stone chips from Madhyapara, Dinajpur), (LAA value not exceeding 30), including shuttering, mixing by concrete mixer machine, casting, laying compacting, curing for the requisite period breaking stone boulders into chips etc. all complete as 27

221 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate per direction of the E-I-C but excluding the cost of reinforcement. Strength of concrete should not be less than 250kg/cm2 (suggested mix proportion 1:1.5:3). Additional quantity of cement to be added if required to attain the strength to be provided by the contractor at his own cost Pre-cast driven 150mmx150mm pile with reinforced cement m concrete having minimum cylinder crushing strength of kg/cm2 at 28 days (suggested mix proportion 1:1.25:2.5) with best quality fresh cement, best quality Sylhet sand (minimum FM 2.5) and best quality 20mm down graded crushed stone chips (Preferably stone chips from Madhyapara, Dinajpur), screening through proper sieves, cleaning and washing thoroughly, centering and shuttering with MS sheet and steel form, placing of reinforcement cage in position, mixing the aggregates with mixer machine, casting in steel forms, using concrete or similar suitable chemicals, compacting by mechanical vibrators and tapered rods and curing for 28 days etc. all complete as per design & drawing fitting and fixing the pile cap, driving the pile upto the design depth as per standard practice or specified method, providing all equipment, labour, materials including carrying etc. all complete as per design, drawing and direction of the E-I-C. (Excluding the cost of reinforcement and its fabrication) Cost of driving (Size-150mmx150mm) up to 6 m First class brick works in cement mortar (1:4) in staining of cum Brick wall wells with sand (minimum FM 1.50) and cement, cutting bricks to required sizes, hoisting and keeping in position the MS bond rods and finished with flush pointing joints, watering, etc. complete including cost of all materials but excluding cost of MS bond rods and bottle nuts, etc. all 28

222 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate complete as per direction of the E-I-C Supplying and fabrication of M.S High strength deformed kg bar/ Twisted bar reinforcement of required size and length for all types of RCC work including straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, including lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete including cost of all materials, labour, local handling, laboratory test, incidentals necessary to complete the work as per specifications, drawings and direction of the Engineer. Laboratory test for physical property, strength, elongation% & bend to be performed as per ASTM. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) Minimum 12mm thick cement plaster (1:4) to dado and plinth sqm wall up to 150mm below ground level with neat cement finishing in/c washing of sand, finishing the edges and corners and curing for the requisite period etc. all complete as per direction of the E-I-C (Sand of minimum FM 1.2 be used). Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. TOTAL AMOUNT: SAY: In Word : Taka (One Lac Eleven Thousand Three Hundred Sixty-Seven) Only Total Construction Cost of Ghat (Main Stair, Landing & Access rd and Protection work): In Word : Taka (Eleven Lac Forty Six Thousand Three Hundred Forty-Five) Only 29

223 Annex 8B Detailed Estimation of Improvement of RCC Road without BFS (VR) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Clearing and grubbing by removal and disposal of LS everything above ground level including overhanging branches, removing of all foundation stumps, embedded logs, tree roots and other material either to a depth of 0.3m below the proposed surface elevation or to the level as shown on the drawing, disposing of all materials resulting from clearing and grubbing at a safe distance designated by the E-I-C, etc Earth filling work with specified soil in any type of cum Qnt from Earth calcultion embankment including cutting, carrying, filling by throwing sheet earth in layers not more than 150mm in each layer in proper Deduction for Box (-) 600 alignment, grade, camber and side slope in all types of soil except rocky, gravelly and slushy including benching not more than 30cm in vertical and 60cm in horizontal steps along the sides while widening any embankment, etc. all complete as per the direction of E-I-C. Earth shall be arranged by the contractor at his own cost and it will include all necessary lead & lift. Payment will be made on compacted volume Manual compaction of earth in 150mm thick compacted layers cum by breaking clods to a maximum size of 25mm using wooden drag or ladder and compacting using concrete drop hammer (Durmus), watering or drying to obtain optimum moisture content if necessary including supplying of wooden drag, ladder, bamboo hammer, steel/concrete hammer and other requisite tools, etc. all complete as per direction of the E-I-C. 85% compaction of the maximum dry density is to be obtained by the standard compaction test (Rate is for each layer of 150mm thick) 30

224 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in box cutting on road crest up to 450mm depth sqm Ch: with proper grade, camber and alignment maintaining super elevation on curves, removing soil to a safe distance, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, watering, compacting the sub-grade by manual labour, etc. all complete as per direction of the E-I-C Sand (FM 0.50) filling on the road bed in the improved sub- cum Ch: grade with sand free from dust, earth, other vegetable growth and foreign materials including supplying all materials, spreading, watering, compacting by appropriate mechanical means to obtain a minimum soaked CBR 8% at minimum compaction 98% of MDD (Modified), etc. all complete as per direction of the E-I-C Providing polythene sheet (0.18mm thick) on floor in ground sqm Ch: floor underneath the cement concrete, etc. all complete as per specifications and direction of the E-I-C. Sand of minimum FM 1.2 to be used Reinforced Cement Concrete work in bottom and top slab of cum Ch: box culvert of any height with stone chips (Preferably stone chips from Madhyapara, Dinajpur), sand (minimum FM 1.80) and cement having minimum 28 days ultimate cylinder crushing strength of 210kg/cm2 (suggested mix proportion 1:2:4) excluding cost of reinforcement and its fabrication but including cost of all other materials, shuttering, casting, curing for 28 days and all incidental charges, etc. complete in all respect as per direction of the E-I-C. Bottom slab and approach slab Supplying and fabrication of M.S High strength deformed kg bar/ Twisted bar reinforcement of required size and length for

225 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate all types of RCC work including straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, including lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete including cost of all materials, labour, local handling, laboratory test, incidentals necessary to complete the work as per specifications, drawings and direction of the Engineer. Laboratory test for physical property, strength, elongation% & bend to be performed as per ASTM. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) Brick on end edging (125mm across) with 1st class/picked m Ch: bricks including cutting trenches true to level & grade including removing earth, re-filling & ramming the sides properly & filling the gaps with local sand, etc. all complete as per direction of the E-I-C Palisading work with double pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 3m long, 0.9m c/c to be driven 2/3rd of the total length (3m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Palisading work with single pre-cast plate (1150mmx600mm) m fitted with RCC (1:2:4) post of 150mmx150mm, 2m long, 0.9m c/c to be driven 2/3rd of the total length (2m) of the post made by 20mm down graded brick chips. Pre-cast plate to be fitted with RCC post fixed necessary nuts and bolts at driving 32

226 Annex 8B SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate of post supplying all necessary nuts and bolts etc. Complete as per direction of E-I-C Suppying,fittings sign board (6'-0"x4'-0") fitted with strong no Bamboo post at suitable place in the working area & writing the name of project.contract amount & year of construction etc.by synthetic enamel paint as per direction of the Engineer in charge Preparation of Tender & Publishing as per PPR-2008 LS TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Forty-Nine Lac Forty-Seven Thousand Two Hundred Ninety-One) Only 33

227

228 Annex 8C Annex 8C Unit Costs: Road and Market Infrastructure

229

230 Annex 8C Annex 8C Revised Unit Costs: Roads Component 1 : Improved Road Connectivity As per ADB design considerations, the transport infrastructure costs for Scenario B and Scenario C with climate resilient and adaptation features are estimated as follows: I. Estimation of Unit Costs without full Climate Resilience Option (Scenario B) Union Road (UNR) modified LGED design type 8 Overall crest width 5.50m Unsealed verge 1.25m each side Carriageway 3.0m A. Basic Pavement Cost for BC Surface (without Drainage Structures) Item Length (m) Thickness (m) Width (m) Quantity Unit Rate BDT* Cost/km (BDT) Improved Subgrade m ,875 Sand-Aggregate Sub-base m ,785,000 Brick Edging (both sides) m ,560 Base Aggregate (WBM) m ,946,700 Prime Coat m ,000 25mm Bituminous Carpet m ,224,960 7mm Bituminous Seal m ,950 Shoulders (Sub-base level) m ,000 Shoulders m ,784 Basic Pavement Cost 7,049,829 * LGED Schedule of Rates - July 2012 B. Engineering Cost for B-type Climate Proofing Item Description Quantity Unit Rate BDT* Basic Pavement Cost (See A above) Cost/km (BDT) Standard km 7,049,829 6,521,092 Resilient Pavement Concrete (RCC) full width km 10,045, ,378 Earthworks Protection (1) Turf (grass) 4000 m ,000 Earthworks Protection (2) Shrub (virtibra) 2000 m ,200 Earthworks Protection (3) Palisade + concrete 100 m ,000 Tree Plantation 750 nos ,750 Plantation Caretaking LCS based length-man 24 personmonth ,400 Total Engineering Cost 8,384,820 * LGED Schedule of Rates - July

231 Annex 8C C. Road Safety and Social Safeguard Cost Item Quantity Unit Rate BDT* Cost/km (BDT) Site Facilities, Traffic Control and Sign Board LS LS 75,000 75,000 Road Safety: Environment: Guard Post 60 nos. 2, ,020 KM Post 1 no. 14,675 14,675 Traffic Sign 6 nos. 6,793 40,758 Name Post 1 no. 2,760 2,760 Reflector painting & marking 8 sqm 1,200 9,600 Dust control, toilet, tube-well, safety tools etc. LS LS 50,000 50,000 Cost for passing place 2 nos. 160, ,000 Sub-total 660,813 * LGED Schedule of Rates - July 2012 Total Unit Cost for Scenario B Total (B+C) 9,045,633 Lump Sump (rounded) 9,050,000 Taka Ninety lacs fifty thousand Village Road (VR) - Typical LGED design type Overall crest width 4.00m Unsealed verge 0.75m each side Carriageway 2.50m A. Basic Pavement Cost for BC Surface (without Drainage Structures) Item Length (m) Thickness (m) Width (m) Quantity Unit Rate BDT* Cost/km (BDT) Improved Subgrade m ,425 Sand-Aggregate Sub-base m ,185,674 Brick Edging m ,560 Base Aggregate (WBM) m ,199,456 Prime Coat m ,000 25mm Bituminous Carpet m ,020,800 7mm Bituminous Seal m ,125 Shoulders (Sub-base level) m ,375 Shoulders m ,100 Basic Pavement Cost 5,009,515 * LGED Schedule of Rates - July

232 Annex 8C B. Engineering Cost for B-type Climate Proofing Cost/km (BDT) km ,009,515 4,633,801 Item Description Quantity Unit Rate BDT* Basic Pavement Cost (See A above) Standard Resilient Pavement Concrete (RCC) full width km ,249, ,702 Earthworks Protection (1) Turf (grass) m Earthworks Protection (2) Shrub (virtibra) m Earthworks Protection (3) Palisade + concrete m , , ,000 Total Engineering Cost 5,663,903 * LGED Schedule of Rates - July 2012 C. Road Safety and Social Safeguard Cost Name of Item Quantity Unit Rate BDT Cost/km (BDT) Site Facilities, Traffic Control and Sign Board LS LS 40,000 40,000 Road Safety Environment Dust control, toilet, Guard Post 25 nos. 2,467 61,675 KM Post 1 no. 14,675 14,675 Traffic Sign 4 nos. 6,793 27,172 Name Post 1 no. 2,760 2,760 Reflector painting & marking 6 sqm 1,200 7,200 tube-well, safety tools etc. LS LS 25,000 25,000 Cost for passing place 2 nos. 95, ,000 Sub-total 368,482 * LGED Schedule of Rates - July 2012 Total Unit Cost for Scenario B Total (B+C) 6,032,384 Lump Sump (rounded) 6,050,000 Taka Sixty lacs fifty thousand Estimation of Unit Costs with full Climate Resilience Option (Scenario C) As per ADB estimates, the unit costs with full climate resilience option or scenario C are as follows: Union Road modified LGED design type 8 Overall crest width 5.50m Unsealed verge 1.25m each side Carriageway 3.0m 3

233 Annex 8C A. Standard Pavements Costs: Union Road Modified Type 8 (without Drainage Structures) Item Length (m) Thickness (m) Width (m) Amount Unit Rate BDT Cost/km (BDT) Improved Subgrade m ,500 Sand-Aggregate Sub-base m ,785,000 Brick Edging m ,000 Base Aggregate m ,620,000 Prime Coat m ,000 25mm Bituminous Carpet m ,050,000 Bituminous Seal with Tack Coat m ,000 Shoulders (Sub-base level) m ,000 Shoulders m ,784 Total Standard Pavement 6,558,284 B. Total Engineering Cost Excluding Structures: Union Road Modified Type 8 Item Description Unit Amount/km Rate BDT Cost/km (BDT) Pavement Standard km ,558,284 6,066,413 Resilient Pavement Concrete full width km ,837, ,807 Earthworks preparation Additional width 2x3m m ,000 Earthworks Additional m ,000 Earthworks Protection (1) Turf m ,360 Earthworks Protection (2) Special grass/shrub m ,000 Earthworks Protection (4) Brick gabion m ,000 1,200,000 Earthworks Protection (3) Palisade + concrete m 150 7,700 1,155,000 Total Cost 9,932,580 C. Total Engineering Cost for Each Union Road Passing Place Item Length (m) Thickness (m) Width (m) Amount Unit Rate BDT Cost BDT Improved Subgrade m ,138 Sand-Aggregate Sub-base m ,425 Brick Edging m 130 1,560 Base Aggregate m ,450 Prime Coat m ,750 25mm Bituminous Carpet m ,625 Bituminous Seal with Tack Coat m ,150 Shoulders (Sub-base level) m Shoulders m Total Standard Pavement 127,275 Item Description Unit Amount Rate BDT Cost BDT Standard Pavement Standard km 127,275 Earthworks preparation Additional width m ,688 Earthworks Additional m ,300 Earthworks Protection (1) Additional Turf m Total Cost 153,403 4

234 Village Road with HBB Surfacing Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 8C Overall crest width 4.00m Unsealed verge 0.75m each side Carriageway 2.50m A. Standard Pavements Costs: Village Road HBB Surfacing (without Drainage Structures) Item Length (m) Thickness (m) Width (m) Amount Unit Rate BDT Cost/km (BDT) Improved Subgrade m ,000 Sand-Aggregate Sub-base m ,275,000 Brick edging soling m2 m , ,000 Sand HBB cushion (included) m ,150,000 Shoulders (Sub-base level) m ,250 Shoulders m ,875 Total Standard Pavement 4,080,125 B. Total Engineering Cost Excluding Structures: Village Road HBB Surfacing Item Description Unit Amount/km Rate BDT Cost/Km (BDT) Standard Pavement Standard km ,080,125 3,978,122 Resilient Pavement Concrete full width km ,120, ,005 Earthworks preparation Additional width 2x3m m ,000 Earthworks Additional m ,000 Earthworks Protection (1) Turf m ,000 Earthworks Protection (2) Special grass/shrub m ,000 Earthworks Protection (3) Brick gabion m ,000 1,520,000 Earthworks Protection (4) Palisade + concrete m 50 7, ,000 Total Cost 6,781,127 C. Total Engineering Cost for Each Village Road Passing Place Item Length (m) Thickness (m) Width (m) Amount Unit Rate BDT Cost BDT Improved Subgrade m ,910 Sand-Aggregate Sub-base m ,950 Brick edging m 130 1,560 Brick soling m ,580 Sand cushion (included) m HBB m ,840 Shoulders (Sub-base level) m Shoulders m Total Standard Pavement 73,562 Item Description Unit Amount Rate BDT Cost BDT Earthworks preparation Additional width m ,350 Earthworks Additional m ,200 Earthworks Protection (1) Turf m Total Cost 91,252 According to ADB design considerations, there would be further additional costs for following a staged construction approach of building up to ISG level and followed by the remainder of the pavement after 1-2 years are associated with the providing a sacrificial running surface of subbase quality, only some (50%) of which will be re-used in the final construction. 5

235 Annex 8C D. Estimated Additional Costs for Staged Construction EO Cost/km BDT Item Upazila Rd Union Rd Village Road Additional earthwork (0.5m) 330, , ,000 Additional Sub-base (EO 50% of sub-base) 1,071, , ,000 Total 1,401,000 1,222,500 1,005,000 Total Unit Cost for Scenario C Items Union Road Village Road Total Engineering cost (B) 9,932,580 6,781,127 Cost for passing place (C) 153,403 91,252 Additional cost for stage construction (D) 1,222,500 1,005,000 Total Cost 11,308,483 7,877,379 Road Type BC Road (w-5.50m)-unr BC Road (w-3.70)-vr RCC Road (w-5.50m)-unr RCC Road (w-3.70)-vr Unit Cost Summary for Scenario B (without full Climate Proofing) Unit km km km km Basic Cost as per LGED Schedule of rates 2012 Additional Cost for Extra Features Estimated Unit Cost/km (BDT) 7,049,829 2,000,171 9,050,000 5,009,515 1,040,485 6,050,000 7,941,270 2,258,730 10,200,000 6,021,691 1,278,309 7,300,000 Rural Block Road (w-3.7m) km 4,296, ,619 4,800,000 Road Type BC Road (w-5.50m)-unr BC Road (w-3.70)-vr RCC Road (w-5.50m)-unr RCC Road (w-3.70)-vr Unit Cost Summary for Scenario C (with full Climate Proofing) Unit km km km km Basic Cost as per LGED Schedule of rates 2012 Additional Cost for Extra Features Estimated Unit Cost/km (BDT) 7,049,829 3,950,171 11,000,000 5,009,515 2,990,485 8,000,000 7,941,270 4,058,730 12,000,000 6,021,691 2,978,309 9,000,000 Rural Block Road (w-3.7m) km 4,296, ,619 4,800,000 Note: See Annex 8B for detailed cost estimation. 6

236 Annex 9A Annex 9A Structural Design: Market Facilities

237

238 Annex 9B Annex 9B Structural Design: Ghats

239

240 Annex 9B Annex 9B Structural Design: Ghats 1

241 Annex 9B 2

242 Annex 9B 3

243 Annex 9B 4

244 Annex 9C Annex 9C Detailed Costs: Market Facilities

245

246 Annex 9C Annex 9C Detailed Costs: Market Facilities Detailed Estimation of a Typical RCC 6-Unit 2.1m x 2.4m) Women Market Section with toilet (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earthwork in excavation of canals, ponds, drains, etc. by cum Footing excavating earth to the lines, grades and elevation as shown in the drawing, filling baskets, carrying and disposing of all excavated materials at a safe distance designated by the E-I-C Brick foundation (Inner in all types of soils except rocky, gravelly, slushy or organic wall) soil, leveling, dressing, etc. all complete for an initial excavation depth of 2m and an initial lead not exceeding 20m, including arranging for and supplying all necessary tools and equipment at work site, etc. complete as per direction of the E-I-C Sand filling in foundation trenches and inside plinth with sand cum Floor (minimum FM 0.80) in 150mm layers in/c leveling, watering Veranadha floor and consolidating each layer up to finished level etc. all Toilet floor complete as per direction of the E-I-C. Dry density after Footing compaction shall not be less than 95% of MDD Toilet foundation Verandha foundation Stair Inner wall Single layer brick flat soling with 1st class or picked bricks, sqm Floor true to level, camber/super elevation and grade including Veranadha floor carrying bricks, filling the interstices tightly with sand of Toilet floor minimum FM 0.80, etc. all complete as per direction of the E-I- Footing C

247 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Mass concrete work in foundation with Portland cement, cum Floor sand (minimum FM 1.80) and 1st class/picked brick chips Veranadha floor mm down graded (LAA value not exceeding 40), including Toilet floor shuttering, mixing by concrete mixer machine, casting, laying Toilet foundation compacting and curing for the requisite period breaking Verandha foundation bricks into chips etc. all complete as per direction of the E-I C. Cylinder crushing strength of concrete should not be less Stair than 170kg/cm2 at 28 days of curing (suggested mix proportion 1:2:4). Additional quantity of cement to be added if required to attain the strength at the contractors own cost. Inner wall Earth filling inside plinth in 150mm layers with earth available cum 75% of Sl within 90m of the building site, watering, leveling and consolidating each layer up to finished level, etc. all complete as per direction of the E-I-C.. Dry density after compaction shall not be less than 90% of MDD Brick work with 1st class bricks in cement mortar (1:4) in cum Above Grade Beam up to foundation and plinth, filling the interstices tightly with PL mortar, raking out joints, cleaning and soaking bricks at least Toilet foundation for 24 hours before use, washing of sand, curing for requisite period, etc. all complete as per direction of the E-I-C (Minimum FM of sand: 1.2) Verandha Stair

248 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Toilet stair Inner wall mm brick work with 1st class bricks in cement mortar sqm Wall (1:6) and making bond with connected walls in/c necessary scaffolding, raking out joints, cleaning and soaking the bricks Toilet at least for 24 hours before use, washing of sand, curing for Ground Floor requisite period, etc. all complete as per direction of the E-I-C water Reservoir for all floors. (Minimum FM of sand:1.2) deduction H/W mm thick artificial patent stone floor (1:2:4) with Portland sqm Floor cement, best quality coarse sand (50% minimum FM 1.2 and Toilt floor % minimum FM 2.5) and 10mm down graded picked chips Roof in/c chips screening, mixing, laying the concrete in alternate panels, compacting and finishing the top with neat cement, curing for requisite period, etc. all complete as per direction of the E-I-C Reinforced cement concrete works (1:2:4) having minimum cum Footing base cylinder crushing strength 170kg/cm2 at 28 days with Portland cement, best quality coarse sand (50% quantity of Column up to GL sand of minimum FM 1.2 and 50% quantity of coarse sand of Above GL to Roof minimum FM2.5) 20mm down graded picked brick chips in/c GB-1 & breaking chips and screening, centering, shuttering, making GB shuttering fully leak proof, placing of rod in position, mixing TB the aggregates with mixer machine, pouring, casting, TB compacting by vibrator machine and curing at least for 28 Roof

249 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate days (excluding the cost of reinforcement and its fabrication) etc. all complete as per direction of the E-I-C In individual and continuous footing of column, raft and floor slab at plinth level Supplying and fabrication of M.S High strength deformed kg MS Rod bar/ Twisted bar reinforcement of required size and length for all types of RCC work in/c straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, in/c lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete in/c cost of all materials, labour, local handling incidentals necessary to complete the work as per specifications, drawings and direction of the E-I- C. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) M.S. Rod, deformed (grade 40) 275- grade deformed bar with minimum fy=275 MPa: up to ground floor Site improvement as per direction of engineer in charge LS Supplying, fitting and fixing steel glazed window shutter with sqm H/W for toilet frames as per design having Z section (19mmx19mmx19mm) in frame and T section (19mmx19mmx3mm) for horizontal dividers of shutters and F.I. bar (25mmx3mm) for middle vertical members of frame in/c all cost of charges for fabrication and manufacture by welding, riveting, etc. supplying all essential fittings like stopper, handle, 300mm long adjustable iron cleats, 50mm long pin hinges, 150mm long clamps for fitting frame in/c supplying, fitting, fixing 3mm thick glass panes by putty and painting the window with two coats of synthetic enamel paint over a coat of anticorrosive 4

250 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate priming, making necessary holes in wall and RCC work as necessary, filling with CC (1:2:4:) and mending good the damages, etc. all complete as per direction of the E-I-C and as per drawing and design a Supply of Fittings,fixing upvc door in position,making 8nos LS holes in the existing wall or making special arrangement for fixing with concrete work/royel plug and screw etc and frame shutter hinges by clamp and lock etc.all complete as per direction of the E-I-C.( Plastic door are Bangladeshi made Minimum 12mm thick cement plaster (1:4) to dado and plinth sqm Outer side wall up to PL wall up to 150mm below ground level with neat cement Floor finishing in/c washing of sand, finishing the edges and Stair corners and curing for the requisite period etc. all complete as Toilet inner wall per direction of the E-I-C (Sand of minimum FM 1.2 be used). Water Reservoir Stair side ( )/ Minimum 12mm thick cement plaster (1:6) to wall both inner sqm Wall and outer surface, finishing the corner and edges in/c washing of sand cleaning the surface, scaffolding and curing Toilet wall for the requisite period etc. all complete as per direction of the Ground floor E-I-C. (Sand of minimum FM 1.2 be used). Parapet wall Deduction H/W Minimum 6mm thick cement plaster (1:4) to ceiling RCC sqm Column columns, beams, surface of stair case, sunshades, cornices, Roof railings, drop wall, louvers, fins and finishing the corners and Toilet Roof edges in/c washing of sand cleaning the surface, scaffolding Ground Floor and curing for the requisite period etc. all complete as per direction of the E-I-C. (Sand of minimum FM 1.2 be used). TB

251 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate TB White washing three coats over a coat of priming with sqm Wall slacked stone lime mixed with gums, blue. Lime mix prepared at least 12 hours before use, in/c removing the floating Toilet wall materials from the mixture, surface cleaning to free all foreign materials before application of each coat. Applying one Parapet wall vertical and one horizontal wash for each coat and successive Deduction coat is to be applied after drying up of previous coat i/c cost H/W of hair brush, providing necessary scaffolding and necessary Column cleaning the plinth, floors, doors, windows, partions and Roof ventilators by washing, rubbing as if necessary before and Toilet Roof after the wash, polishing the surface with sand paper etc. all TB complete for all floors i/c cost of all materials as per direction TB Supplying, fitting and fixing of rolling shutter made of 24 sqm Rolling Shutter SWG G.P. sheet unit minimum 69mm width having 10mm & mm dia circular folding at ends, rolled in machine, locked together properly to form rolling shutter, top of the shutter to be fitted with circular spring box made of 22 BWG sheet, containing best quality spring made in China, nutted with 38mm GI pipe at one end and the other end nutted to shutter in/c fitting the GI pipe again with 375mmx300mmx6mm punkha at ends with side guide channel (side channel consist of 50mmx100mmx6mm MS plate with 2x19mmx3mm F.I. bar, middle channel consist of 2x150mmx6mm MS plate with 2x19mmx6mm) fixed to wall or column with MS clamps (minimum 3x25mmx6mm), mending the damages, bottom end 6

252 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate of shutter fitted to folded G.P. sheet (minimum 125mm width, two layer) which is again fitted to 25mmx25mmx3mm angle, providing handle both sides, (with F.I. bar 25mmx6mm riveted) and locking arrangement both sides, painting two coats with approved colour and brand of synthetic enamel paint over a coat of priming etc. complete in all respect as per drawing, design and as per direction of the E-I-C. (Rolling shutter must be riveted at sides with G.P. sheet and patty) Supplying, fitting and fixing, Bangladesh pattern BISF each Toilet Standard simple type porcelain long pan (Model-323, size- 520x290x260mm) simple type of vitreous China with Siphon and preparing the base of pan with cement concrete and with wire net or rods including making holes in walls and floors wherever required and mending good the damages, supplying Porcelain Siphon (Low down) with all fittings, fitting fixing the same in position with C.I. brackets including supplying best quality 38mm dia PVC flush pipe with brass coupling (not exceeding 1.80m in length), 12mm dia plastic connection pipe with brass coupling, 12mm dia brass stop cock, 12mm dia ball cock and pulling chain etc. all complete as per direction of the E-I-C. White [BISF STANDARD] long pan (Model-314E, size-525x295x285mm, Bowl size-410x225x170mm) Supplying, fitting and fixing "BISF STANDARD" glazed each Toilet vitreous Wash Hand Basin hand basin (Model-213, size x405x180mm, Bowl size-375x275x136mm) including fitting fixing the same in position with heavy type C.I. brackets, 44mm dia PVC waste water pipe with brass coupling (not exceeding 750mm in length), 12mm dia plastic connection pipe with brass coupling, 12mm dia brass stop cock, 12mm 7

253 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate dia C.P. pillar cock, 30mm dia C.P. Basin waste with chain plug including making holes in walls and floors and fitting with wooden blocks screws and mending good the damages etc. all complete as per direction of the E-I-C. White "BISF STANDARD Supplying, fitting and fixing porcelain soap tray including each Toilet making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C. White "BISF STANDARD" (150mmx110mmx40mm size) Supplying, fitting and fixing Glass plate Shelf (600mmx125mm) each Toilet of 5mm thick glass with fancy C.P. brackets, screws and frames including making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C. Super quality Supplying, fitting and fixing Towel rail with holder including each Toilet making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C. C.P. Towel rail (Size : 600mmx20mm) with C.P. holder (Super quality) Supplying, fitting and fixing super quality Mirror with hard each Toilet boards at the back with all necessary fittings including making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C Belgium made Mirror (Size:450mmx300mm) Supplying, fitting and fixing 5.49m long 100mm dia (inner) each Toilet PVC "B" class pipe water grade (LIRA/AZIZ/ NATIONAL POLYMER brand or equivalent) with all HCI fittings and specials like plain bend, tees, reducing sockets, junctions, door bends, 100mm dia cowls, anti-siphon (MAANCO BRAND) including gasket and cement joints, PVC solution, 8

254 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C Supplying, fitting and fixing 3.66m long Ventilation pipe with each Toilet all fittings and specials like 50mm plain bends, tees, 50mm dia cowls etc. including gasket with cement joints and mending good the damages etc. all complete as per direction of the E-I-C. 3.66m long 50mm dia PVC best quality Ventilation Pipe (B.S. 3505) Supplying, fitting, fixing and laying 150mm/200mm dia PVC m Toilet "B" class pipe water grade (LIRA / AZIZ / NATIONAL POLYMER BRAND or equivalent) best quality sewerage pipe including necessary fittings and joints with high class solution and at the base and sides filling with best quality local sand all around the pipe (not less than 25mm) upto the required depth etc. complete as per type, plan and direction of the E-I-C Supplying, fitting and fixing 100mm dia C.I. Trap (Siphon each Toilet trap or P trap) including making holes in walls and floors and mending good the damages etc. all complete as per direction of the E-I-C Supplying, fitting and fixing GI pipe with all special fittings m Toilet such as bends, elbows, sockets, reducing sockets, Tees, unions, jumnuts etc. including cutting trenches where necessary and fitting the same with earth duly rammed and fixing in walls with holder bats and making holes in floors and walls and mending good the damages etc. all complete in all respects as per direction of the E-I-C. 20mm dia GI Pipe Supplying, fitting and fixing best quality and heavy type bib each Toilet cock. 12mm dia Brass Bib Cock Construction of masonry Inspection Pit (Inside each Toilet measurement:600mmx600mm) with 250mm thick brick work in cement mortar (1:4), 100mm thick RCC top slab (1:2:4) 9

255 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate with 1% reinforcement, 450mm dia water sealed R.C.C./ M.H. cover including necessary earth work, side filling, single layer brick flat soling, 75mm thick Cement Concrete (1:3:6) in base for making invert channel, 12mm thick cement plaster (1:2) with neat cement finishing etc. all complete up to a depth of 0.75m and as per the direction of the E-I-C. 450mm dia water sealed R.C.C. Manhole Cover a Construction of Ring Soak well,minimum 760mm dia each Toilet ring,38mm thick ring,4-nos Ring used per soak well,one RCC Cover,Highquality morter use for ring joint and earth work,labour cost,including Vat,Tax, as per desig and direction of the E-I-C Supplying, fitting and fixing main/sub-main switches with fuse each Market on live side and neutral line on concealed iron frame (Bangladeshi made of prior approved quality) etc. all complete as per directions of the E-I-C. 250 Volts ICTP; 10 amps Supplying, fitting and fixing energy meter with cutout teak each wood board etc. all complete as per directions of E-I-C (when the meter is not supplied by PDB). 500 Volts 3 phase; 60 amps Supplying, fitting and fixing PVC insulated and sheathed m Market with toilet round or flat wire (as per BSS 2004/61) from LT line to energy meter, energy meter to main switch/fdb sub-main switch, CCB/ICDB individual lights, fans and socket outlet points as per drawings and directions (Eastern/Paradise/Poly cable or any equivalent prior approved quality) of the E-I-C. PVC Insulated and non sheathed Round Single Core Cable (IYAL) Supplying, fitting and fixing Distribution/Sub-Distribution sqm DB board made of 18 SWG steel sheet metal enclosed with double

256 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate cover, gray hammer painted on outside and enamel paint on inside on rust proof prime coat with hinged front door with lock and key arrangement for half concealed mounted board having knock out for conduit entry and exit for 415/230V TP&N/ SP&N operations. The board shall have solid neutral and earth copper bus bar and also required size off 3 phase copper bus bars. All bars shall have required number of holes of 5mm for cable connections etc. all complete as per drawing, design and direction of E-I-C Supplying, fitting and fixing 20mm thick switch board for fan each Women market regulators, lighting switches two pin and at the three pin socket outlets the switch board to be made of teak wood and varnished on all sides etc. all complete as per directions of the E-I-C. 100mmx100mm Supplying, fitting and fixing PVC pipe for service line and m Women market & Toilet sleeves for electrical wiring when it passes through wall etc. all complete as per directions of the E-I-C. 12mm dia Supplying, fitting and fixing 250V capacitor type ceiling fan each Women market complete with concealed condensers, canopies and required length of rods, ceiling roses, wooden round blocks, regulator, switches and required length of flexible wire etc. all complete as per drawings and directions of the E-I-C m sweep (best quality) Supplying, fitting and fixing 5 Amps 2-pin socket with control each Women market switch etc. complete as per drawing & directions of the E-I-C Supplying, fitting and fixing 250 volts single phase 15 amps 3- set Market pin combined switches and socket outlet (surface type) Toilet mounted on beast quality locally made required size 18 SWG galvanized plain sheet board (75mm depth) etc. all complete as per drawings and directions of the E-I-C. 11

257 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Supplying, fitting and fixing 1.22m long 40 watt fluorescent set Women market tube light with necessary superior quality ballast, starter, condenser, holders, 18 SWG sheet steel stove enamel base, etc. all complete as per drawing and directions of the E-I-C. Each lamp is to be operated by one way switch. (Eastern or prior approved quality) Supplying fitting and fixing one way tumbler switch as per each Women market & Toilet directions of the E-I-C Supplying, fitting and fixing the following electric lamp for each Women market & Toilet garden/gate/room light and different places as per directions of the E-I-C. Normal bulb 100 watt TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Eight Lac Ninety Thousand One Hundred Fifty) Only 12

258 Annex 9C Detailed Estimation of a Typical Toilet Block (Size : 5.75m x 3.07m ) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earthwork in excavation of canals, ponds, drains, etc. by cum Footing excavating earth to the lines, grades and elevation as shown Brick Stair in the drawing, filling baskets, carrying and disposing of all excavated materials at a safe distance designated by the E-I-C in all types of soils except rocky, gravelly, slushy or organic soil, leveling, dressing, etc. all complete for an initial excavation depth of 2m and an initial lead not exceeding 20m, including arranging for and supplying all necessary tools and equipment at work site, etc. complete as per direction of the E-I-C Sand filling in foundation trenches and inside plinth with sand cum Footing (minimum FM 0.80) in 150mm layers in/c leveling, watering Floor and consolidating each layer up to finished level etc. all Brick stair complete as per direction of the E-I-C. Dry density after compaction shall not be less than 95% of MDD Single layer brick flat soling with 1st class or picked bricks, sqm Footing true to level, camber/super elevation and grade including Floor carrying bricks, filling the interstices tightly with sand of Brick Stair minimum FM 0.80, etc. all complete as per direction of the E-I-C Providing polythene sheet (0.18mm thick) on floor in ground sqm Footing floor underneath the cement concrete, etc. all complete as Floor per specifications and direction of the E-I-C. Sand of Brick stair minimum FM 1.2 to be used Mass concrete work in foundation with Portland cement, cum Footing sand (minimum FM 1.80) and 1st class/picked brick chips Floor mm down graded (LAA value not exceeding 40), including Brick stair shuttering, mixing by concrete mixer machine, casting, laying compacting and curing for the requisite period breaking 13

259 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate bricks into chips etc. all complete as per direction of the E-I- C. Cylinder crushing strength of concrete should not be less than 170kg/cm2 at 28 days of curing (suggested mix proportion 1:2:4). Additional quantity of cement to be added if required to attain the strength at the contractors own cost Earth filling inside plinth in 150mm layers with earth available cum 75% of Sl no within 90m of the building site, watering, leveling and consolidating each layer up to finished level, etc. all complete as per direction of the E-I-C.. Dry density after compaction shall not be less than 90% of MDD Brick work with 1st class bricks in cement mortar (1:4) in cum GL to PL foundation and plinth, filling the interstices tightly with mortar, raking out joints, cleaning and soaking bricks at least Brick stair for 24 hours before use, washing of sand, curing for requisite period, etc. all complete as per direction of the E-I-C (Minimum FM of sand: 1.2) mm brick work with 1st class bricks in cement mortar sqm Wall (1:6) and making bond with connected walls in/c necessary scaffolding, raking out joints, cleaning and soaking the bricks at least for 24 hours before use, washing of sand, curing for Ground Floor requisite period, etc. all complete as per direction of the E-I-C for all floors. (Minimum FM of sand:1.2) Deduction (door) H/W mm thick artificial patent stone floor (1:2:4) with Portland sqm Floor cement, best quality coarse sand (50% minimum FM 1.2 and Over Roof Slab % minimum FM 2.5) and 10mm down graded picked chips in/c chips screening, mixing, laying the concrete in alternate 14

260 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate panels, compacting and finishing the top with neat cement, curing for requisite period, etc. all complete as per direction of the E-I-C Reinforced cement concrete works (1:2:4) having minimum cum Footing base cylinder crushing strength 170kg/cm2 at 28 days with ( )/ ( ) Portland cement, best quality coarse sand (50% quantity of 2 /2 sand of minimum FM 1.2 and 50% quantity of coarse sand of Column up to GL minimum FM2.5) 20mm down graded picked brick chips in/c Column above GL to breaking chips and screening, centering, shuttering, making GB shuttering fully leak proof, placing of rod in position, mixing GB the aggregates with mixer machine, pouring, casting, Lintel compacting by vibrator machine and curing at least for days (excluding the cost of reinforcement and its fabrication) Sunshade ( etc. all complete as per direction of the E-I-C. )/2 In individual and continuous footing of column, raft and floor Beam, FB slab at plinth level. Beam, FB Roof Slab Supplying and fabrication of M.S High strength deformed kg MS Rod bar/ Twisted bar reinforcement of required size and length for all types of RCC work in/c straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, in/c lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete in/c cost of all materials, labour, local handling incidentals necessary to complete the work as per specifications, drawings and direction of the E-I- C. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) 15

261 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate M.S. Rod, deformed (grade 40) 275- grade deformed bar with minimum fy=275 MPa: up to ground floor Supplying, fitting and fixing steel glazed window shutter with sqm H/W (Toilet) frames as per design having Z section (19mmx19mmx19mm) in frame and T section (19mmx19mmx3mm) for horizontal dividers of shutters and F.I. bar (25mmx3mm) for middle vertical members of frame in/c all cost of charges for fabrication and manufacture by welding, riveting, etc. supplying all essential fittings like stopper, handle, 300mm long adjustable iron cleats, 50mm long pin hinges, 150mm long clamps for fitting frame in/c supplying, fitting, fixing 3mm thick glass panes by putty and painting the window with two coats of synthetic enamel paint over a coat of anticorrosive priming, making necessary holes in wall and RCC work as necessary, filling with CC (1:2:4:) and mending good the damages, etc. all complete as per direction of the E-I-C and as per drawing and design a Supply of Fittings,fixing upvc door in position,making 8nos LS holes in the existing wall or making special arrangement for fixing with concrete work/royel plug and screw etc and frame shutter hinges by clamp and lock etc.all complete as per direction of the E-I-C.( Plastic door are Bangladeshi made a Supplying,fitting,fixing MS door made of 10mm dia MS each MS Door mm c/c bothways,fitted with MS angles (50mmx50mmx6mm) outer frame in/c fabricating,ms clump and door lock system,one lock,welding in each point and painting two coats of synthetic enamel paint over a coat of anticorrosive priming etc.all complete as per drawing and design and direction of the E-I-C. 16

262 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Minimum 12mm thick cement plaster (1:4) to dado and plinth sqm Outer face GL to PL wall up to 150mm below ground level with neat cement finishing in/c washing of sand, finishing the edges and Inner wall corners and curing for the requisite period etc. all complete as per direction of the E-I-C (Sand of minimum FM 1.2 be used) Brick Stair-Top Side " Skirting (100mm) Floor door surface Deduction Site improvement as per direction of engineer in charge LS Minimum 12mm thick cement plaster (1:6) to wall both inner sqm Wall ( Out side) and outer surface, finishing the corner and edges in/c

263 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate washing of sand cleaning the surface, scaffolding and curing for the requisite period etc. all complete as per direction of the Ground floor E-I-C. (Sand of minimum FM 1.2 be used). " dress rm Deduction H/W Minimum 6mm thick cement plaster (1:4) to ceiling RCC sqm Ceiling columns, beams, surface of stair case, sunshades, cornices, railings, drop wall, louvers, fins and finishing the corners and edges in/c washing of sand cleaning the surface, scaffolding Ground Floor and curing for the requisite period etc. all complete as per direction of the E-I-C. (Sand of minimum FM 1.2 be used) Celing out side Sunshade Sunshade side Lintel

264 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate White washing three coats over a coat of priming with sqm Wall ( out side) slacked stone lime mixed with gums, blue. Lime mix prepared at least 12 hours before use, in/c removing the floating Wall ( Inside ) materials from the mixture, surface cleaning to free all foreign materials before application of each coat. Applying one vertical and one horizontal wash for each coat and successive coat is to be applied after drying up of previous coat i/c cost of hair brush, providing necessary scaffolding and necessary cleaning the plinth, floors, doors, windows, partions and ventilators by washing, rubbing as if necessary before and after the wash, polishing the surface with sand paper etc. all complete for all floors i/c cost of all materials as per direction of the E-I-C Deduction H/W Ceiling Celing out side Sunshade Sunshade side

265 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Lintel Supplying, fitting and fixing Bangladesh pattern BISF each Standard porcelain long pan (Model-320, size x425x270mm, Bowl size-390x210x190mm) with foot rest with foot rest of vitreous China and preparing the base of pan with cement concrete and with wire net or rods including making holes wherever required and mending good the damages, supplying liters capacity C.I. cistern and fitting fixing the same in position with C.I. brackets including supplying best quality 40mm dia PVC flush pipe with brass coupling (not exceeding 1.80m in length), 12mm dia plastic connection pipe with brass coupling, 12mm dia brass stop cock, 12mm dia ball cock and pulling chain etc. all complete as per direction of the E-I-C Supplying "BISF STANDARD" quality glazed porcelain foot each rest (Mode-305, size-260mmx227mmx35mm size) including fitting fixing in position. White "BISF STANDARD Supplying, fitting and fixing "BISF STANDARD" glazed each vitreous Wash Hand Basin hand basin (Model-213, size x405x180mm, Bowl size-375x275x136mm) including fitting fixing the same in position with heavy type C.I. brackets, 44mm dia PVC waste water pipe with brass coupling (not exceeding 750mm in length), 12mm dia plastic connection pipe with brass coupling, 12mm dia brass stop cock, 12mm dia C.P. pillar cock, 30mm dia C.P. Basin waste with chain plug including making holes in walls and floors and fitting with wooden blocks screws and mending good the damages etc. all complete as per direction of the E-I-C. White "BISF STANDARD 20

266 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Supplying, fitting and fixing porcelain soap tray including each making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C. White "BISF STANDARD" (150mmx110mmx40mm size) Supplying, fitting and fixing Glass plate Shelf (600mmx125mm) each of 5mm thick glass with fancy C.P. brackets, screws and frames including making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C. Super quality Supplying, fitting and fixing Towel rail with holder including each making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C. C.P. Towel rail (Size : 600mmx20mm) with C.P. holder (Super quality) Supplying, fitting and fixing super quality Mirror with hard each boards at the back with all necessary fittings including making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C Belgium made Mirror (Size:450mmx300mm) Supplying, fitting and fixing 5.49m long 100mm dia (inner) each PVC "B" class pipe water grade (LIRA/AZIZ/ NATIONAL POLYMER brand or equivalent) with all HCI fittings and specials like plain bend, tees, reducing sockets, junctions, door bends, 100mm dia cowls, anti-siphon (MAANCO BRAND) including gasket and cement joints, PVC solution, making holes in walls and mending good the damages etc. all complete as per direction of the E-I-C Supplying, fitting and fixing 3.66m long Ventilation pipe with each all fittings and specials like 50mm plain bends, tees, 50mm dia cowls etc. including gasket with cement joints and mending 21

267 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate good the damages etc. all complete as per direction of the E-I-C. 3.66m long 50mm dia PVC best quality Ventilation Pipe (B.S. 3505) Supplying, fitting, fixing and laying 150mm/200mm dia PVC m "B" class pipe water grade (LIRA / AZIZ / NATIONAL POLYMER BRAND or equivalent) best quality sewerage pipe including necessary fittings and joints with high class solution and at the base and sides filling with best quality local sand all around the pipe (not less than 25mm) upto the required depth etc. complete as per type, plan and direction of the E-I-C Supplying, fitting and fixing 100mm dia C.I. Trap (Siphon each trap or P trap) including making holes in walls and floors and mending good the damages etc. all complete as per direction of the E-I-C Supplying, fitting and fixing GI pipe with all special fittings m such as bends, elbows, sockets, reducing sockets, Tees, unions, jumnuts etc. including cutting trenches where necessary and fitting the same with earth duly rammed and fixing in walls with holder bats and making holes in floors and walls and mending good the damages etc. all complete in all respects as per direction of the E-I-C. 20mm dia GI Pipe Supplying, fitting and fixing GI pipe with all special fittings m such as bends, elbows, sockets, reducing sockets, Tees, unions, jumnuts etc. including cutting trenches where necessary and fitting the same with earth duly rammed and fixing in walls with holder bats and making holes in floors and walls and mending good the damages etc. all complete in all respects as per direction of the E-I-C. 12mm dia GI Pipe Supplying, fitting and fixing best quality and heavy type bib each cock. 12mm dia Brass Bib Cock

268 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Construction of masonry Inspection Pit (Inside each measurement:600mmx600mm) with 250mm thick brick work in cement mortar (1:4), 100mm thick RCC top slab (1:2:4) with 1% reinforcement, 450mm dia water sealed R.C.C./ M.H. cover including necessary earth work, side filling, single layer brick flat soling, 75mm thick Cement Concrete (1:3:6) in base for making invert channel, 12mm thick cement plaster (1:2) with neat cement finishing etc. all complete up to a depth of 0.75m and as per the direction of the E-I-C. 450mm dia water sealed R.C.C. Manhole Cover a Construction of Septic Tank with 250mm thick masonry each works in main and partition walls in cement morter(1:6) as per approved plan over single layer brick flat soling and 250mm thick cememt concrete flooring (1:2:4),in/c 20mm thick cement plaster (1:4) to inside of walls with neat cement finishing,25mm thick patent stone (1:2:4) flooring with neat cement finishing including supplying fitting and fixing of two RCC Tees and providing 450mm dia water sealed heavy type C.I.M.H. cover with necessary locking arrangements,100mm thick RCC (1:2:4) top slab with minimum 1% reinforcement including centering,shuttering,fabrication,casting,curing etc.complete up to required depth.the item is inclusive of necessary earth work in exacavation and shoring,bailing out water and side filling including the cost of all materials, operation and incidental charges etc.all complete as per the approved plan and direction of the E-I-C. For 100 users with 3 manhole covers Construction of soak well with 250mm thick solid brick work each (1:6) and 250mm honey comb brick work (1:6) as per design over RCC (1:2:4) well curb with 1.5% reinforcement upto 23

269 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate the depth as per drawing with 100mm dia water sealed heavy type C.I. manhole cover with all locking arrangements, filling the well upto the required depth with graded khoa and sand including supplying and fabricating MS Rod, casting, curing etc. The item is inclusive of necessary earth work in excavation, side filling and bailing out water etc. all complete as per drawing, design and direction of the E-I-C. For 100 users Supplying, fitting and fixing plastic made overhead Water each Tank of different capacity Supplying, fitting and fixing plastic made overhead Water Tank of 1000 litres capacity made with 25mm thick plastic composed sheet with plastic cover on top with locking arrangements, providing inlet and outlet pipe with flanges and plug, jum nuts, 40mm dia ball cock, 12mm dia 1.12m long overflow pipe and with all other necessary fittings etc. all complete in all respects as per direction of the E-I-C Supplying, fitting and fixing main/sub-main switches with fuse each on live side and neutral line on concealed iron frame (Bangladeshi made of prior approved quality) etc. all complete as per directions of the E-I-C. 250 Volts ICTP; 10 amps Supplying, fitting and fixing energy meter with cutout teak each wood board etc. all complete as per directions of E-I-C (when the meter is not supplied by PDB). 500 Volts 3 phase 60 amps Supplying, fitting and fixing PVC insulated and sheathed m round or flat wire (as per BSS 2004/61) from LT line to energy meter, energy meter to main switch/fdb sub-main switch, CCB/ICDB individual lights, fans and socket outlet points as per drawings and directions (Eastern/Paradise/Poly cable or any equivalent prior approved quality) of the E-I-C. PVC Insulated and non sheathed Round Single Core Cable (IYAL) 24

270 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Supplying, fitting and fixing Distribution/Sub-Distribution sqm DB board made of 18 SWG steel sheet metal enclosed with double SDB cover, gray hammer painted on outside and enamel paint on inside on rust proof prime coat with hinged front door with lock and key arrangement for half concealed mounted board having knock out for conduit entry and exit for 415/230V TP&N/ SP&N operations. The board shall have solid neutral and earth copper bus bar and also required size off 3 phase copper bus bars. All bars shall have required number of holes of 5mm for cable connections etc. all complete as per drawing, design and direction of E-I-C Supplying, fitting and fixing 20mm thick switch board for fan each regulators, lighting switches two pin and at the three pin socket outlets the switch board to be made of teak wood and varnished on all sides etc. all complete as per directions of the E-I-C. 100mmx100mm Supplying, fitting and fixing PVC pipe for service line and m sleeves for electrical wiring when it passes through wall etc. all complete as per directions of the E-I-C. 12mm dia Supplying, fitting and fixing 5 Amps 2-pin socket with control each switch etc. complete as per drawing & directions of the E-I-C Supplying, fitting and fixing 250 volts single phase 15 amps 3- set pin combined switches and socket outlet (surface type) mounted on beast quality locally made required size 18 SWG galvanized plain sheet board (75mm depth) etc. all complete as per drawings and directions of the E-I-C Supplying, fitting and fixing 1.22m long 40 watt fluorescent set tube light with necessary superior quality ballast, starter, condenser, holders, 18 SWG sheet steel stove enamel base, etc. all complete as per drawing and directions of the E-I-C. 25

271 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Each lamp is to be operated by one way switch. (Eastern or prior approved quality) Supplying fitting and fixing one way tumbler switch as per each directions of the E-I-C Supplying, fitting and fixing the following electric lamp for each garden/gate/room light and different places as per directions of the E-I-C. Normal bulb 100 watt Supplying and installation of centrifugal pump with motor to each Pump lift water from underground reservoir/deep tube-well to different building. The motor with pump installed on concrete foundation and supplying necessary anchor bolts, nuts and other fixers in/c fitting and fixing the pumps and motors in position etc. all. complete as per direction of the E-I-C. (Japan/USA made or any equivalent prior approved quality) 220 volts single phase TOTAL AMOUNT: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. SAY: In Word : Taka (Five Lac Eighty-Four Thousand Two Hundred Twenty-Three) Only 26

272 Annex 9C Detailed Estimation of a Typical V-drain ( Length = 1.00m ) (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Earth work in box cutting on road crest up to 450mm depth sqm Drain with proper grade, camber and alignment maintaining super elevation on curves, removing soil to a safe distance, spreading the excavated earth on road flanks and slopes uniformly including leveling, dressing, watering, compacting the sub-grade by manual labour, etc. all complete as per direction of the E-I-C Single layer brick flat soling with 1st class or picked bricks, sqm drain 1 (0.054x true to level, camber/super elevation and grade including carrying bricks, filling the interstices tightly with sand of minimum FM 0.80, etc. all complete as per direction of the E-I-C Mass concrete work in foundation with Portland cement, cum drain 1 (0.084x sand (minimum FM 1.80) and 1st class/picked brick chips mm down graded (LAA value not exceeding 40), including shuttering, mixing by concrete mixer machine, casting, laying compacting and curing for the requisite period breaking bricks into chips etc. all complete as per direction of the E-I- C. Cylinder crushing strength of concrete should not be less than 170kg/cm2 at 28 days of curing (suggested mix proportion 1:2:4). Additional quantity of cement to be added if required to attain the strength at the contractors own cost Minimum 12mm thick cement plaster (1:4) to dado and plinth sqm drain surface 1 (0.100x wall up to 150mm below ground level with neat cement finishing in/c washing of sand, finishing the edges and corners and curing for the requisite period etc. all complete as per direction of the E-I-C (Sand of minimum FM 1.2 be used). Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. TOTAL AMOUNT: SAY: 709 In Word : Taka (Seven Hundred Nine) Only 27

273 Annex 9C Detailed Estimation of a Typical Cross drain (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Reinforced cement concrete works (1:2:4) having minimum cum Cross drain top slab cylinder crushing strength 170kg/cm2 at 28 days with Portland cement, best quality coarse sand (50% quantity of sand of minimum FM 1.2 and 50% quantity of coarse sand of minimum FM2.5) 20mm down graded picked brick chips in/c breaking chips and screening, centering, shuttering, making shuttering fully leak proof, placing of rod in position, mixing the aggregates with mixer machine, pouring, casting, compacting by vibrator machine and curing at least for 28 days (excluding the cost of reinforcement and its fabrication) etc. all complete as per direction of the E-I-C. In individual and continuous footing of column, raft and floor slab at plinth level Supplying and fabrication of M.S High strength deformed kg MS Rod bar/ Twisted bar reinforcement of required size and length for all types of RCC work in/c straightening the rod, removing ruts, cleaning, cutting, hooking, bending, binding with supply of 22 B.W.G. GI wire, placing in position, in/c lapping, spacing and securing them in position by concrete blocks (1:1), metal chairs, etc. complete in/c cost of all materials, labour, local handling incidentals necessary to complete the work as per specifications, drawings and direction of the E-I- C. (Measurement will be based on standard weight of 490 lbs./ft3 Chairs, laps and separators will not be measures for payment. The cost of these will be included in the unit rate) M.S. Rod, deformed (grade 40) 275- grade deformed bar with minimum fy=275 MPa: up to ground floor TOTAL AMOUNT: SAY: Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. In Word : Taka (One Thousand Seven Hundred Eighty-Five) Only 28

274 Annex 9C Detailed Estimation of a Typical Deep Tubwell (Platfrom = 1.45m x1.45m ) Depth = 300m (See Appendix xx for relevant structural drawings) SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Boring by using 100mm dia cutter and 38mm dia GI Pipe and m From 0.00 to 50.00m other equipment capable of drilling up to a depth of 500m by water jet system through all sorts of strata, protection of caving by supplying necessary casing pipe, collection of soil samples at every 3m interval and at every change of strata and preserve them for analysis, withdrawal of boring pipes & casing pipes etc. all complete as per specification and direction of the E-I-C. From 0.0m to 50m = 50m Boring by using 100mm dia cutter and 38mm dia GI Pipe and m From to m other equipment capable of drilling up to a depth of 500m by water jet system through all sorts of strata, protection of caving by supplying necessary casing pipe, collection of soil samples at every 3m interval and at every change of strata and preserve them for analysis, withdrawal of boring pipes & casing pipes etc. all complete as per specification and direction of the E-I-C. From 0.0m to 50m = 50m Boring by using 100mm dia cutter and 38mm dia GI Pipe and m From to m other equipment capable of drilling up to a depth of 500m by water jet system through all sorts of strata, protection of caving by supplying necessary casing pipe, collection of soil samples at every 3m interval and at every change of strata and preserve them for analysis, withdrawal of boring pipes & casing pipes etc. all complete as per specification and direction of the E-I-C. From 0.0m to 50m = 50m Boring by using 100mm dia cutter and 38mm dia GI Pipe and m From to m other equipment capable of drilling up to a depth of 500m by water jet system through all sorts of strata, protection of caving by supplying necessary casing pipe, collection of soil samples at every 3m interval and at every change of strata and preserve them for analysis, withdrawal of boring pipes & 29

275 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate casing pipes etc. all complete as per specification and direction of the E-I-C. From 0.0m to 50m = 50m Boring by using 100mm dia cutter and 38mm dia GI Pipe and m From to m other equipment capable of drilling up to a depth of 500m by water jet system through all sorts of strata, protection of caving by supplying necessary casing pipe, collection of soil samples at every 3m interval and at every change of strata and preserve them for analysis, withdrawal of boring pipes & casing pipes etc. all complete as per specification and direction of the E-I-C. From 0.0m to 50m = 50m Boring by using 100mm dia cutter and 38mm dia GI Pipe and m 50 meter other equipment capable of drilling up to a depth of 500m by water jet system through all sorts of strata, protection of caving by supplying necessary casing pipe, collection of soil samples at every 3m interval and at every change of strata and preserve them for analysis, withdrawal of boring pipes & casing pipes etc. all complete as per specification and direction of the E-I-C. From 0.0m to 50m = 50m Supplying and lowering 38mm dia water grade PVC pipe each Hand pump having wall thickness 2.5m to 3.0mm ( D Class Aziz pipe/equivalent), PVC sand trap of length 3.0m with cap, PVC strainer of desired slot installing at the middle of the most suitable water bearing strata. 38mm dia GI pipe of best quality of length 1.52m with MS welded flat bar on each side to prevent from rotation up to the desired depth, fitting fixing the hand pump No. 6 etc. including the cost of solvent cement, socket adapter, filling medium sand up to 18.0m above strainer and the remaining portion with available soil from boring etc. all complete as per standard specification and direction of the E-I-C Hand pump No. 6 complete set (EPL/RFL) (Medium)/equivalent brand) 30

276 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Supplying and lowering 38mm dia water grade PVC pipe m 38mm dia GI pipe having wall thickness 2.5m to 3.0mm ( D Class Aziz pipe/equivalent), PVC sand trap of length 3.0m with cap, PVC strainer of desired slot installing at the middle of the most suitable water bearing strata. 38mm dia GI pipe of best quality of length 1.52m with MS welded flat bar on each side to prevent from rotation up to the desired depth, fitting fixing the hand pump No. 6 etc. including the cost of solvent cement, socket adapter, filling medium sand up to 18.0m above strainer and the remaining portion with available soil from boring etc. all complete as per standard specification and direction of the E-I-C 38mm dia GI pipe 2.9mm thick (National Tubes/equivalent) Supplying and lowering 38mm dia water grade PVC pipe m 38mm dia PVCpipe having wall thickness 2.5m to 3.0mm ( D Class Aziz pipe/equivalent), PVC sand trap of length 3.0m with cap, PVC strainer of desired slot installing at the middle of the most suitable water bearing strata. 38mm dia GI pipe of best quality of length 1.52m with MS welded flat bar on each side to prevent from rotation up to the desired depth, fitting fixing the hand pump No. 6 etc. including the cost of solvent cement, socket adapter, filling medium sand up to 18.0m above strainer and the remaining portion with available soil from boring etc. all complete as per standard specification and direction of the E-I-C 38mm dia water graded PVC pipe having thickness mm ( D class Aziz brand/equivalent) pipe sand trap Supplying and lowering 38mm dia water grade PVC pipe m having wall thickness 2.5m to 3.0mm ( D Class Aziz pipe/equivalent), PVC sand trap of length 3.0m with cap, PVC strainer of desired slot installing at the middle of the most suitable water bearing strata. 38mm dia GI pipe of best quality of length 1.52m with MS welded flat bar on each side to 31

277 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate prevent from rotation up to the desired depth, fitting fixing the hand pump No. 6 etc. including the cost of solvent cement, socket adapter, filling medium sand up to 18.0m above strainer and the remaining portion with available soil from boring etc. all complete as per standard specification and direction of the E-I-C 38mm dia water graded PVC strainer having thickness mm ( D class Aziz brand/equivalent) of recommended slot size Supplying and lowering 38mm dia water grade PVC pipe each having wall thickness 2.5m to 3.0mm ( D Class Aziz pipe/equivalent), PVC sand trap of length 3.0m with cap, PVC strainer of desired slot installing at the middle of the most suitable water bearing strata. 38mm dia GI pipe of best quality of length 1.52m with MS welded flat bar on each side to prevent from rotation up to the desired depth, fitting fixing the hand pump No. 6 etc. including the cost of solvent cement, socket adapter, filling medium sand up to 18.0m above strainer and the remaining portion with available soil from boring etc. all complete as per standard specification and direction of the E-I-C. 38mm dia socket adapter Supplying and lowering 38mm dia water grade PVC pipe each having wall thickness 2.5m to 3.0mm ( D Class Aziz pipe/equivalent), PVC sand trap of length 3.0m with cap, PVC strainer of desired slot installing at the middle of the most suitable water bearing strata. 38mm dia GI pipe of best quality of length 1.52m with MS welded flat bar on each side to prevent from rotation up to the desired depth, fitting fixing the hand pump No. 6 etc. including the cost of solvent cement, socket adapter, filling medium sand up to 18.0m above strainer and the remaining portion with available soil from boring etc. all complete as per standard specification and direction of the E-I-C. 38mm dia socket adapter 32

278 Annex 9C SL Item Code Description of Work Unit Location / Length Width Height / Area / No of Total Qty Unit Amount Component Depth Volume of Works Rate Complete development of the tube well to obtain sand & LS turbidity free water at a satisfactory yield, etc. all complete as per specifications and direction of the E-I-C. For wells beyond 200m depth Furnishing design of the production well by testing of water LS and soil samples collected from the observation well in/c. test for Arsenic etc. all complete as per direction of the E-I-C. (excluding the cost of actual fees for testing which will be paid to the contractor separately by the department) Construction of C.C. (1:2:4) platform of size 1.40mx1.00m and each m long drain as per design and standard specifications including cost of sanitary seal, neat cement finishing, transport etc. all complete as per specifications and direction of the E-I-C. Note : Cost is made by using LGED Rate of Schedule 2011 and Estimation Software. TOTAL SCHEME AMOUNT: SAY: In Word : Taka (Ninety-Six Thousand Six Hundred Fifty-Five) Only 33

279

280 Annex 10 Annex 10 Institutional Aspects and Implementation Arrangements [CCRIP will have a common institutional aspects and implementation arrangements as described in ADB project document as well as summarized in the main text of PDR.]

281

282 Bangladesh: Sustainable Market Infrastructure For Livelihood Enhancement (CCRIP) Project Project Design Report Detailed Design Mission Annex 11 Annex 11 Compliance with IFAD policies

283

284 Annex 11 Annex 11 Compliance with IFAD policies Targeting: CCRIP has followed IFAD s policy on targeting by applying a rigorous geographical targeting process for the selection of the least developed and most vulnerable Upazilas. CCRIP will also employ a specific focus on household level targeting to reach the most destitute echelon of the population which are very poor men and women headed households, as only they will be selected for participating in LCS and related construction works. Gender: CCRIP s approach is compatible with IFAD s gender policy. Poor and destitute women will directly benefit as they will participate in LCS for the construction of markets and some village roads. Having their own income and learning new skills will empower women socially and economically. MIDPCR and SCBRMP reports uniformly confirm a strong development of gender equalities following project activities. Besides, the construction of roads contributes to increased social and physical mobility, access to additional wage employment, access to village markets as buyers and sellers and access to school and health services. See Annex 2 for detail discussion on gender. In the ADB/IFAD/KfW report, appendix 7, a detailed gender action plan is presented. Land: There will not be any relocation of housing settlement to build roads and markets under CCRIP project component 1.2 (union and village roads) and 2.2 (village market development), and as such, no acquisition of land is foreseen. All roads and markets will be built on existing alignment and khas land (or land donated) for market development respectively. Resettlement or eviction has neither been an issue in MIDPCR project nor is it foreseen in the CCRIP project component 1.2 and 2.2. The other component 1.1 and 2.2 foresee some limited land acquisition and resettlement. This will be dealt with in line with ADB land settlement frameworks as detailed in the report. Environmental assessment: There is no major environmental concern in CCRIP. In fact, the development of markets with internal roads, drainage and garbage collection system will improve the micro-environment in and around the markets. Since the markets are expected to be managed by MMC, the cleanliness in markets is expected to be maintained beyond the project period. The project must remain constantly vigilant about design specifications of culverts/bridges so that water flows in canals and small rivers are not obstructed due to narrowing width of culverts/bridges built by the project. The design mission has prepared an environmental note. As per GoB rules, it is mandatory to receive an environmental clearance from the Department of Environment by submitting a properly done environmental assessment report. This will be conducted right at the beginning of the project, as has been the case in HILIP, when funds will have been allocated under the CCRIP budget. Private sector: The project may not have direct participation from the corporate private sector but the second IFAD-funded MAPP project is expected to work with and promote private sector as part of value chain development activities. However, road and market constructions will promote business of small farmers, traders and other producers who in effect supply to large markets as part of supply chain. It has been found in MIDPCR and other similar project areas that with good roads and improved markets large companies such as pharmaceutical, seed, fertilizer, processed food, consumer durables, construction material companies expand their marketing networks even in formerly disconnected remote areas. Therefore, the project in fact would assist larger business as well as increase access to better quality goods and services in rural areas. 1

285 Annex 11 IFAD S TARGETING POLICY - CHECKLIST FOR DESIGN Updated November 2012 DESIGN 1. Does the main target group - those expected to benefit most- correspond to IFAD s target group as defined by the Targeting Policy (poorer households and food insecure)? 2. Have target sub-groups been identified and described according to their different socioeconomic characteristics, assets and livelihoods - with attention to gender and youth differences? (matrix on target group characteristics completed?) 3. Is evidence provided of interest in and likely uptake of the proposed activities by the identified target sub-groups? What is the evidence? (matrix on analysis of project components and activities by principal beneficiary groups completed?) 4. Does the design document describe a feasible and operational targeting strategy in line with the Targeting Policy, involving some or all of the following measures and methods: 4.1 Geographic targeting based on poverty data or proxy indicators to identify, for areabased projects or programmes, geographic areas (and within these, communities) with high concentrations of poor people 4.2 Direct targeting - when services or resources are to be channelled to specific individuals or households 4.3 Self targeting when goods and services respond to the priority needs, resource endowments and livelihood strategies of target groups 4.4 Empowering measures - including information and communication, focused capacity- and confidence-building measures, organisational support, in order to empower and encourage the more active participation and inclusion in planning and decision making of people who traditionally have less voice and power 4.5 Enabling measures to strengthen stakeholders and partners attitude and commitment to poverty targeting, gender equality and women s empowerment, including policy dialogue, awareness-raising and capacitybuilding 4.6 Attention to procedural measures - that could militate against participation by the intended target groups CCRIP has followed IFAD s policy on targeting. The target group will be the population in the catchment areas of project markets, with particular benefits for small and marginal farmers, small traders, landless people and poor women. Key File 4 in the PDR presents the target group priority needs and project proposals. See also annex 2. Key File 4 in the PDR presents the target group priority needs and project proposals. Furthermore, lessons learned from previous interventions provide evidence for the successful uptake of the activities and the expected impact the activities can bring to the livelihoods of the target group. CCRIP has followed IFAD s policy on targeting by applying a rigorous geographical targeting process for the selection of the least developed and most vulnerable Upazilas. CCRIP design ensures that poor households at the village and community levels can access services (trading, technical advice, transport) on improved markets and through better roads. The village focus specifically strengthenes access for remote living households. Women receive special attention through the provision of wpmen sections where it was demanded and suitable. Self targeting takes place in the labour contracting societies LCS, as only destitute (predominantly) women and men accept this type of hard labour in construction works, which enables them to start an own development path, as shown successfully by MIDPCR and SCBRMP. In order to ensure good governance and appropriate targeting, participation from Union Parishad representatives will be ensured and a complaints and remedies mechanism, including circulation of phone numbers of project group leaders and project managers, will be developed to ensure. CCRIP foresees capacity building activities for MMCs, LCS, local and project staff for awareness building, technical, organisational and management related subject matters.. The MMC procedures, for example, have been developed and revised during the implementation of MIDPCR. They contain measures to ensure proper 2

286 Annex Operational measures - appropriate project/programme management arrangements, staffing, selection of implementation partners and service providers 5. Monitoring targeting performance. Does the design document specify that targeting performance will be monitored using participatory M&E, and also be assessed at midterm review? Does the M&E framework allow for the collection/analysis of sex-disaggregated data and are there gender-sensitive indicators against which to monitor/evaluate outputs, outcomes and impacts? participation of the target group in the market management. A gender specialist will be part of the PMO and will ensure appropriate targeting. An appropriate M&E system will be developed at the start of implementation, and will monitor the progress of activities and the quality of the results. Where possible and relevant, information will be collected at sex-disaggregated level. In fact, the TORs (see annex B of the Programme Administration Manual) for the gender specialist include the development of a gender based monitoring system. The logframe and gender action plan (see Appendix 7 of the ADB/IFAD/KfW report) contains specific gender-specific targets which will be carefully monitored. 3

287 Annex 11 IFAD s KEY FEATURES OF GENDER-SENSITIVE DESIGN AND IMPLEMENTATION Updated November 2012 Design 1. The project design report contains and project implementation is based on - genderdisaggregated poverty data and an analysis of gender differences in the activities or sectors concerned, as well as an analysis of each project activity from the gender perspective to address any unintentional barriers to women s participation. A detailed Gender Analysis has been conducted (see Annex 2 of the PDR) and Key file 1 of the PDR summarizes the major gender issues and actions needed. 2. The project design report articulates or the project implements actions with aim to: Expand women s economic empowerment through access to and control over productive and household assets; Strengthen women s decision-making role in the household and community, and their representation in membership and leadership of local institutions; Achieve a reduced workload and an equitable workload balance between women and men. 3. The project design report identifies at least one gender-specific objective which explains what the project will deliver from a gender perspective, supported by clear budget allocations. 4. The project design report describes the key elements for operationalizing the gender strategy, with respect to the relevant project components. 5. The design document describes - and the project implements - operational measures to ensure gender- equitable participation in, and benefit from, project activities. These will generally include: 5.1 Allocating adequate human and financial resources to implement the gender strategy 5.2 Ensuring and supporting women s active participation in project-related decisionmaking bodies and committees 5.3 Ensuring that project/programme management arrangements (composition of the project management unit/programme coordination unit, project terms of reference for staff and implementing partners, etc.) reflect attention to gender equality and women s empowerment concerns The project will target the poorest women to create employment opportunities and livelihood support by involving them in construction of markets and some roads and linking them with microfinance institutions and another IFADfunded value chain development project to be implemented by PKSF in the project area. The Gender Action Plan (see Appendix 7 of the ADB/IFAD/KfW report) presents income generating opportunities, capacity building for technical skills as well as for women empowerment. The project will help poor women to engage in economic opportunities and enhance their capacity and mobility. Appropriate resources are allocated to each activity in support of this objective. The Gender Action Plan (GAP) (see Appendix 7 of the ADB/IFAD/KfW report) integrates action areas, targets and indicators for gender equality and women s benefits within the various components of the project. LGED will ensure implementation of the GAP and will be supported by the PMO and MSC team. Adequate budget is allocated to implement these strategies. A separate consultation awareness and participation plan (CAPP) will be prepared for the project to provide methodology and processes for continued consultations with various stakeholders particularly the poor and vulnerable groups during the course of project implementation. A focal point on gender and development within the PMO will be established. Besides, the project will recruit/promote more women s participation at various project levels and ensure application of GOB minimum quotas 5.4 Ensuring direct project/programme outreach The capacities of field staff will be built to 4

288 Annex 11 to women (for example through appropriate numbers and qualification of field staff), especially where women s mobility is limited 5.5 Identifying opportunities to support strategic partnerships with government and others development organizations for networking and policy dialogue 6. The project s logical framework, M&E, MIS and learning systems specify in design and project M&E unit collects, analyses and interprets sex- and age-disaggregated performance and impact data, including specific indicators on gender equality and women s empowerment. ensure gender responsiveness (see GAP, appendix 7 of the ADB/IFAD/KfW report). A knowledge management framework will be developed to support policy dialogue. The Programme logical framework has indicators to monitor and evaluate genderdisaggregated performance and impact The PMO will ensure establishing the MIS system with sex-disaggregated data collection, gender based analysis, and review and reporting on the implementation of the GAP within all reports. 5

289 Annex 11 Environmental and Social Assessment note A. IFAD ESAP Administrative Procedures: As for all IFAD initiated projects, the project design is subject to IFAD s own internal EA process. This ESSN comprises the first step in this process. The environmental review is based on the relevant documentation of IFAD Environmental and Social Assessment Procedures (ESAP), notably the chapter on Rural Roads. The review is given per component. In general three categories are distinguished in IFAD s ESAP: Category A: The programme/project may have significant environmental and social implications that are sensitive, adverse, irreversible or unprecedented and affect an area broader than the sites or facilities subject to physical interventions. A formal ESIA is likely to be required for the whole programme/project or one or more components. Category B: The project may have some environmental and social impacts on human populations or environmentally significant areas but which are site-specific and less adverse than Category A. While no formal ESIA is required, environmental analysis will be undertaken in the course of project implementation. Category C: The project will have negligible environmental and social implications no further environmental analysis is specifically required. Component 1. Improved Road Connectivity The road connectivity component is for the most part a Category C intervention. It concerns rehabilitation of existing roads. A general summary (IFAD ESAP) of direct negative effects include: -soil erosion, -damage at borrow sides, -disturbance of drainage, -water contamination, -air pollution. Regarding CCRIP of these only disturbance of drainage is impacting on the existing water management of surrounding lands. In the case of the project this concerns that roads may impede the drainage of adjacent lands. Disturbance of drainage, Hydrological aspects Since the project will rehabilitate only existing roads that traverse the polders already, no new roads will disrupt and interfere with the internal drainage systems of polders. The rural roads system is provided with bridges and culverts. The need for culverts and the design of their dimensions will be determined and designed during implementation stage. Existing culverts will remain in place in general, but additional culverts may be built. Investigated will be the opportunity to provide the culverts with a water control gate. This gate will be used to ease the discharge excess water but also may serve as water retention facility, when closed. Through this added facility any possible negative effect from the roads on water control even of previous interventions will be remedied for. Construction of ghats may reduce the canal cross-section impeding discharge when improperly designed; site section for ghats depends on the river stability in the concerned section. To study both impacts the project will engage hydrologists to ascertain that adequate designs are made and that locations for ghats are selected that do not affect river morphology. Increase in traffic Additional impact may come from somewhat increased traffic but this impact is estimated as to be very minor. Component 2. Improved Market Services At the market place there are some interventions that may impact on the environment. Toilet blocks They are provided with the customary septic tanks. When full, they will be emptied and the waste deposited in a safe manner in dump sites, thereafter covered with soil. Open drain Surrounding the market facilities an open drain is constructed, shaped as V-drain or U-drain. During the market hours and at the end of market days, especially haat days, the rubbish and waste from the open sales platform and from the floors of the covered market sheds, is flushed into the drain by sweepers. This waste water contains leftovers of agricultural crop produce, from 6

290 Annex 11 multi-purpose sheds and fish-sheds, pieces of the products traded there, like fish, prawns. In addition minor human waste, paper and plastic bags may end up in the drain. There is no toxic waste. The drain often evacuates its effluent towards small reservoirs or khals or onto agricultural land. This situation may be undesirable as children may play around these places and animals may drink from it. The project will mitigate negative effects by installing at the lower end of the drain a bar screen (filter) is placed where the solid waste accumulates. This solid waste will be removed from time to time and deposited in a garbage dump, eventually to be burned or covered with bleaching powder to destroy it. After passing through the screen the drain water flows to a pit where it stays for several hours allowing the particles to settle to the bottom and the greases to float to the top. The solids drawn off the bottom and skimmed off the top may be deposited in the garbage dump. The remaining water may be evacuated to khals or elsewhere without causing a health hazard. The amount of waste is small for most markets. For special markets, very large or wholesale markets, possibly a special facility should be built like a septic tank in analogy with the toilet blocks. The pit should be fenced. Improved market, road infrastructure, putting a tree plantation along both sides of the improved roads and paved market places would contribute to a better working environment in the project area. In fact development of markets with internal roads, drainage and garbage collection system will improve the environment in and around markets. Enhanced cleanliness At the market facilities special will be given to cleaning of the facilities and safe removal of the small waste. Upgrading of the deteriorated facilities therefore will have a positive impact on the environment. The markets will be managed by a legally formalized Market Management Committee (MMC) and part of their tasks is to ascertain the cleanliness of markets; this improves the present situation and impacts positively on the environment. B. Other Agency demands Bangladesh National EA Legislation: National legal requirements for EA are outlined in the 1997 Environmental Conservation Act and the 1998 Environmental Conservation Rules and Regulations. EA is a mandatory requirement for all major infrastructure including submersible embankments on floodplains. CCRIP project is only rehabilitating existing roads and market facilities and is not impacting on the environment LGED EA Guidelines: In respect to the LGED (potentially the implementing partner for project infrastructure), there is an MoU between the DoE and LGED indicating that LGED would undertake EAs for all their infrastructure projects. LGED have their own EA guidelines (currently being updated) which would be applied to any infrastructure proposals under the current project. CCRIP project is only rehabilitating existing roads and market facilities and is not impacting on the environment (Treated above: IFAD EA Administrative Procedures: As for all IFAD initiated projects, the project design has been subject to IFAD s own internal EA process. This ESSN comprises the first step in this process.) International Agreements: The GoB has formally committed itself internationally to biodiversity and wetland conservation goals through its signing of (i) the Convention on Biological Diversity; and (ii) the Ramsar Convention. CCRIP project is only rehabilitating existing roads and is not impacting on the environment nor is it impacting on biological diversity or wetlands. 7

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292 Annex 12 Annex 12 Planning, Monitoring, Evaluation and Knowledge Management

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294 Annex 12 Annex 12 Planning, Monitoring, Evaluation and Knowledge Management A. Project Orientation and Review 1. Orientation meetings for all CCRIP project staff: All CCRIP project staff members will receive a one day orientation training at the start of the project. The objective of the training will be to development a clear understanding of project objectives, project components, financial arrangements, implementation methodologies, monitoring and evaluation requirements, LCS activities and market management. This orientation will also discuss about IFAD procedures and requirements. 2. District monthly review meetings: Regular review meetings will be held over the project period to discuss progress, resolve operational problems and ensure quality and timeliness of project implementation. All district and upazila CCRIP staff members, XEN and Upazila engineers will attend these meetings. It will be an important supervision and monitoring tool for the project. 3. Staff capacity building. For capacity building of project staff several training courses on LCS management, MMC management, accounting and procurement have been planned. All such hands-on training will help project staff members to internalize project activities and procedure and help maintain quality and timely completion of project activities. 4. Annual review and planning workshops. These workshops will be organized annually in each District in order to provide an opportunity for implementing agencies, project staff, key stakeholders and selected project beneficiaries to review project performance and to recommend improvements for incorporation during future implementation of the project. B. Annual Work Plan and Budget (AWPB) 5. The AWPB will represent the key planning document for the Project. It will serve as the instrument for identifying and integrating management priorities for implementation, forecasting procurement requirements and facilitate the mobilization of staff and resources when needed. It will act as the management tool to control costs and assess achievements. A draft AWPB will be prepared for discussion using the schedules and format recommended by IFAD. CCRIP will integrate government and IFAD planning processes. Annual planning for projects implemented by LGED is based on the Governments process for its overall Annual Development Plan. In the last quarter of the financial year (March to June) the project will draw up an Annual Work Plan (AWP). This plan will outline the activities and budget for each project year as set out in the Development Project Proforma (the Government s Project Document) but may also include works carried over from the previous AWP. (a) (b) (c) (d) (e) (f) A draft AWPB will be prepared for discussion using the schedules and format recommended by IFAD; Although annual in scope, the AWPB will be disaggregated into quarterly segments for monitoring purposes; A finalized version of the draft will be delivered to PSC no later than 90 days before the beginning of the relevant Project Year for its review and endorsement; The AWPB will be submitted to IFAD for its no-objection no later than 60 days before the beginning of the relevant Project Year; This AWPB will be incorporated into the government s overall revised ADP. If required, the PMO may propose adjustments in the AWPB during the relevant Project Year, which will become effective upon approval by the PSC and IFAD. C. Monitoring & Evaluation 6. CCRIP will have a comprehensive M&E system to generate management information and provide LGED and IFAD with evidence of results and impact against logframe indicators and IFAD s Results and Impact Management System (RIMS). The PMO will include an Monitoring Evaluation and Knowledge Management (MEK) specialist based at PMO. He/she will be responsible for baseline and RIMS surveys, annual outcome surveys and collection of regular monitoring data, as well as project reporting, MIS and knowledge management. 1

295 Annex M&E Specialist will review the Project Log Frame and develop a plan for monitoring each of the key indicators listed in the Log-Frame. An indicative list to guide project staff on the data to be collected for each log-frame indicator, method of collection, frequency and responsibility for collection will be developed and given in the PIM (final design mission). The Monitoring and Evaluation tasks will involve the following elements: a) Activity monitoring: Project implementation offices (Upazila, District and Region) will generate monthly reports on activities and outputs, which will be collated by the PMO in a consolidated report. Reporting will show progress relative to annual and project targets disaggregated by gender, where appropriate. With over three-quarters of project expenditure on civil works, monitoring of construction contracts will be a key element of such activity monitoring and MIDPCR/LGED has a well-established process for such monitoring involving a series of contract milestones. This will need to cover contracts implemented by Labour Contracting Societies (LCS) as well as by contractors. b) Process monitoring: the project will monitor the functioning of institutions established and supported by the project. This includes Labour Contracting Societies (LCS), and Marketing Management Committees (MMCs). Each of these has their own role and structure and need different monitoring approach. However, there are some common themes such as targeting of membership, selection of leaders, decision process and financial management. MIDPCR project has developed manuals for LCS management and MMC, which will be used by CCRIP. c) Outcome monitoring will gather information on outcome and objective level logframe indicators. A series short studies will be done to see impacts on LCS, impact of road construction on traffic, impact of market development on livelihood, management of MMCs etc. MIDPCR has done similar studies, which will be repeated in CCRIP. In particular outcome monitoring will aim to collect evidence of impacts of improvements in physical infrastructure to changes in farm production, expansion of business, availability of inputs, new investments in the markets, wage employment, etc., resulting in increased sales, which in turn will result in increased income and improved food security, reduction in vulnerability, leading finally to reduced poverty. d) Impact monitoring will gather information on IFAD s anchor indicators regarding asst ownership and reduction in child malnutrition and other 2 nd level indicators given in IFAD s Results & Impact Management System. Reporting will include information on household assets, food security and malnutrition indicators (anthropometric data) among children less than five years old. RIMS data will be gathered from a sample of the population of the project area as a whole, and so include households who are only direct beneficiaries of the project. Additional indicators will relate the anchor indicators to the results of project interventions and thus enable a degree of attribution of change. The project will report on RIMS Level 1 indicators of project outputs and activities on an annual basis. After the MTR, ratings for the effectiveness and sustainability of each component will be included. These ratings will be justified by evidence from indicators of project outcomes 14. Table 1: Key elements of the M&E system Component Activity/output Process Outcome Impact Transport infrastructure Contract monitoring Selection and recruitment Traffic surveys Market development LCS contract LCS records Traffic surveys monitoring LCS outcome survey RIMS anchor Beneficiary Case MMC feedback Market/trader outcome indicator survey Studies MMC records (minutes, accounts survey MMC monitoring records, bank accounts) Market user feedback 8. Some M&E activities would be contracted to external agencies. This includes the monitoring of the RIMS anchor indicator which would be contracted to an agency experienced in collection of anthropometric data. MTR and final impact studies will be outsourced. Short studies and case studies will be conducted by the M&E section. 14 This is as per the RIMS Handbook of November

296 Annex 12 D. Reporting 9. The PMO will design a reporting system to track the project physical, financial performance and emerging impact. A consolidated Physical and Financial Monthly Progress Report (MPR) will be prepared by the PMO which will consolidate all the physical progress made on each of the five project components. This report will also report on overall expenditures on the Project under each component. A Quarterly Progress Reports (SMPR) will be prepared, which consolidates the monthly reports of the past three months adding any additional financial, procurement, training and TA and physical progress on all five project components. An Annual Project Progress Report (APR) will be prepared within one month of the end of the Project Year to cover the entire financial year. These reports will be presented to PSC and IFAD. The PMO will develop specific reporting formats for each component of the project and train project staff in their use and consolidation. The Upazila and Zone offices will regularly identify success stories or failures and report these for inclusion in the reports. E. Knowledge management 10. Knowledge Management (KM) activities will use project data and results in order to draw lessons and disseminate experiences. The M&E Specialist will be responsible for knowledge management and learning. The first of the uses of M&E data is for internal project review and planning workshops. KM activities will aim to share project results and lessons within LGED and with other agencies. This will involve contributions to LGED and IFAD newsletters, posting key information and reports on the CCRIP page of the LGED website, and experience sharing workshops both organised by the project and by other agencies. Wider dissemination will come from participation in IFAD knowledge forums. 3

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298 Annex 13 Annex 13 Financial Management and Disbursement Arrangements

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300 Annex 13 Annex 13 Financial Management and Disbursement Arrangements 1. Country Specifics: The TI index rates Bangladesh at 2.7/10 and ranks the country at 120/183 in While the PEFA finalized in December 2011 is not a public document, the mission has reviewed the World Bank s Operational Risk Assessment (ORA) of Local Government Engineering Department (LGED) conducted in August LGED is the Lead Project Agency (LPA). The ORA has assessed fiduciary risks of the LPA at the HQ and the District levels. It is to be noted that while donor-funded projects work within the LGED structure and utilizing LGED procedures, they do have reasonable autonomy within that structure to make improvements in procedures. 2. The mission has sought to ensure that the financial management arrangements proposed for CCRIP are sufficient to ensure the effective and efficient usage of financing and harmonization with the ADB the collaborating co-financer. Additionally, as LGED is currently implementing three projects where IFAD is the lead donor agency MIDPCR, SCBRMP and HILIP, the proposed financial management arrangements for CCRIP will draw from the best practices observed and will be tailored to suit the specific requirements of CCRIP. To this end the Financial Management Assessment Questionnaire (FMAQ) at Design (See Appendix 2) and the Risk Analysis (See Appendix 3) using the Guidelines for Financial Management at Design, conducted for CCRIP, have been revisited and updated. Additionally, this mission visited a village in the Nowakhali District of the MIDPCR project to further explore the workings of the Labour Contracting Societies (LCS) to assess the sufficiency of the financial management systems and ensure that arrangements are adequate to mitigate risks of funds flow to the ultimate beneficiaries. 3. Budgeting: The PMO will be responsible for the budgeting as part of the AWPB exercise. With respect to Government of Bangladesh (GoB) financing, the counterpart funds are budgeted in the DPP and released in installments. Occasional delays in release of GoB funds are noted. GoB funds will be monitored during supervisions to ensure that the funds are released in a timely manner. 4. Funds flow and Disbursement Arrangements: The Project will use the revolving fund method for the Designated Account advances. The modalities, with respect to revolving fund will be detailed in the Letter to the Borrower (LTB). Advances to the Designated Account(DA), for the Loan and the Grant, will be transferred to two separate accounts held in USD at Bangladesh Bank. The funds from this account will be transferred to an operational account aka Project Account (held in a commercial bank in Taka) to be administered by the Project Director (PD) who will, based on type of expenditure and utilization, transfer funds to the 12 district bank accounts (held at commercial banks) administered by the respective Executive Engineers (XENs), who will follow the funds flow chart (See Appendix 1). 5. Documentation of expenditures made from the DA will be done, at a minimum, on a monthly basis following the statement of expenditures thresholds indicated in the LTB (it is recommended that USD be applied as the SOE threshold as this is aligned with ADB). Direct payments from IFAD may be made to suppliers/ contractors/ consultants per the instructions in the LTB. 6. The Borrower/Recipient shall make the proceeds of the Financing available to the Project Parties upon terms and conditions specified in the Financing Agreement or otherwise approved by the Fund for the purpose of carrying out the Project. Payments for all project procurement and other administrative/ operational expenses will be made directly from the Project Account. Payments for all staff salaries will be paid by the GoB through its disbursement channels. 7. Funds, for all activities, except contracts performed by contractors, will be transferred to the District Office Bank Accounts (maintained separately for the Project), at the start of each quarter or as per requirement from those offices. These requisitions must be prepared based on realistic forecasts for the upcoming quarter and must be net of the closing cash balance of the quarter just ended. To avoid delays in reporting from sub levels to the PMO, they will need to send only Excel files of their Cash Book (clearly indicating Category & Component of expenditure and source of funding), Bank Statement and bank 1

301 Annex 13 Reconciliation Statement to the PMO on a monthly basis. It will be the responsibility of the PD and the Accountant to ensure that there is no build up of idle funds in the project subaccounts. 8. Funds for contractor payments: To ensure an efficient utilization of funds between 12 districts and limit the amounts of unutilized resources, the payments for all contractors will be made on receipt of a summary of contractors bills passed for payment at the District Offices.. The summary sheet, certified by Upazilla and District engineers, will be prepared and submitted by the XEN to the PD, who will review and approve the payment to the District bank account via electronic transfer. The summary sheet will be sent to the PMO on an expedited basis. 9. It is understood that under GOB regulations, any expenditure which is not entirely met from IFAD funding will have to be processed through the district bank accounts as the XEN is the Drawing and Disbursement Officer at the District Level. The PD may, in consultation with IFAD Country Programme Manager, change the allocation of funds amongst the various District Office Bank Accounts, with a view to ensure the smooth, efficient and transparent flow of funds. 10. As the accounting system is expected to be in place before implementation begins, retroactive financing is recommended for the procurement of the software, the hiring of the part time project financial management specialist, the accountant and 2 accountants assistants and training costs for the same. 11. Taxation As per the Fund s policy, none of the proceeds of its Financing can be utilized for the payment of Taxes during the course of project implementation. The Government of Bangladesh will cover the payment of taxes on all procurement (goods, services, works) undertaken by the project, according to the Financing Agreement. 12. Internal Controls: Internal control systems at the PMO were assessed based on those in existence for the on-going project also implemented by LGED and found to be weak with respect to segregation of duties; retention of records; security of information. The risks have been mitigated by ensuring the mitigating measures as described in Paragraph 27 are in place before implementation commences. Assessments of the internal controls will also be included in the TORs for the internal audit department of LGED. Procedural aspects related to Financial Management and Disbursements are detailed in the live document the Project Administration Manual (PAM), allowing for revisions when these controls are assessed to be risky. 13. Staffing: The PMO will have one Accounts Officer and two Accounts Assistant who will be responsible for all financial management and accounting matters relating to the Project including book keeping, financial reporting, coordination with auditors and internal auditors, vendor payments, bank reconciliations and bank operation, funds flow to sub accounts, monitoring of expenditure against budgets, preparation of Withdrawal Applications etc. An Accounts Assistant at each of the twelve District offices will maintain electronic records relating to the project, oversee and reconcile bank operations, prepare periodic financial reports and handle routing of LCS payments, monitor expenditure against budgeted expenditure, etc. and prepare reports for the PMO at periodic intervals. The 32 Upazila offices will not have any accounting staff, but Excel accounting records will be utilized throughout project duration. Detailed Terms of Reference of Financial Staff at all levels are included in the PAM. 14. Financial Accounting and Reporting: GoB and all institutions under its purview maintain their records per Bangladesh Accounting Standards. The last Report on the Observance of Standards and Codes (ROSC) is dated (2003) but significantly states that gaps exist between the Bangladesh Accounting Standards and International Accounting Standards. It is noted that GoB maintains accounts using single-entry, cash basis accounting. At a minimum IFAD expects that projects maintain their books using IPSAS cash basis. As the single-entry account is deemed insufficient for this project, the procurement of an off-the-shelf accounting software is crucial. It will have a few preformatted input screens, simple menus, and the forms will be displayed in both English and Bengali. The software should be in place before implementation commences. The mission had requested and received a demo of a software and found the requirements compatible with the project. All finance and accounting staff at the PMO will be trained on double-entry accounting and on the software to build capacity to international standards. The project accounts will reflect all financial transactions during the project period, both of 2

302 Annex 13 the IFAD loan/grant and other sources of financing by project component and separately by standard expenditure categories. Reporting requirements are detailed in the PAM. Additionally, the minimum requirements for the accounting software will be included in the PAM. 15. All subsidiary ledgers, contract registers, and fixed asset registers will be electronic throughout project life. The project will maintain accounts and records until the Financing Closing Date, and shall retain such accounts and records for at least ten (10) years thereafter. The project will implement double-entry accounting and IPSAS cash in order to meet international standards. The accounting records will be maintained centrally at the PMO in Dhaka. Accounts from the District level will be transferred to the PMO for consolidation and issuance of financial statements at reporting dates. The Borrower/Recipient shall deliver to the Fund detailed financial statements of the operations, resources and expenditures related to the Project for each Fiscal Year prepared in accordance with IPSAS cash basis to the Fund and deliver such financial statements to the Fund within four (4) months of the end of each Fiscal Year. In addition, the borrower/recipient will submit each Quarter and once every half-year the consolidated, unaudited financial statements. The financial Statements shall be prepared in IFAD s standard financial reporting formats (enclosed to the Project Administration Manual). 16. The LGED Unified Financial Management System (UFMS), while available does not satisfy the needs of minimum requirements as it is based on single entry accounting and would have to undergo customization to enable project use. 17. Internal audit: The ORA of the World Bank assessed LGED s internal audit function, which has the responsibility to conduct the function on all projects under implementation and on Districts offices. The ORA states the checklist for internal audit developed by internal audit cell at LGED contains the inspection of internal oversight of management controls that includes checking of proper segregation of duties, financial operations contains bank control, safeguard of cash, the asset control includes tracking of organizational assets, inventory etc. The checklist contains 79 itemized checks. All these ensure the internal oversight of fiduciary climate. Although this represents good progress, the internal audit unit still concentrates the majority of its work at the transaction level rather than reviewing control systems and procedures. The report further states This represents an operational risk that audits only verify the accuracy of the payments, and do not identify areas that need strengthening in the control environment. Further, since the internal audit unit also focuses its attention at the transaction level, it isn t identifying and correcting larger systemic issues. While the capacity and staffing of the IA department is adequate to perform this task, it is headed by an Engineer and staff have either Bachelors or Master s degrees in a variety of disciplines. The IA unit prepares an annual work plan with respect to Districts and Projects selected for audit. In the internal audit of Districts, both, GoB and Donor funded projects are examined. It is possible that a project might not get selected for internal audit and therefore clarification was sought and the following recommendations are made on the basis of the responses: (1) the project may request the internal audit cell to perform an internal audit on the project. IFAD recommends that in the event the project is not chosen for internal audit, a request will be made in all years after the first year of implementation; (2) draft TORs for the internal audit will be provided by the PMO (with the assistance of the Donors) to the Audit and Accounts Cell; and (3) in the event that IFAD is not satisfied with the internal audit arrangements and reporting, IFAD can recommend the hiring of an external chartered accountancy firm to conduct an internal audit. 18. External Audit: The external audit for all donor-financed programmes/projects is conducted by the Foreign-Aided Projects Audit Directorate (FAPAD). FAPAD will also conduct the audit for CCRIP. TORs, to ensure that all financiers requirements are being met, will be harmonized and presented to FAPAD before the audit exercise commences. Prior audit work of FAPAD has been rated as satisfactory, thereby showing FAPAD s compliance with its TORs and IFAD Project Audit Guidelines. FAPAD will utilize International Standards of Auditing when undertaking its audit work. As the fiscal year end of CCRIP will be June 30, the audited financial statements are due at IFAD no later than December 31 (within six months). The audit report will contain a separate management letter with an opinion on the Internal Control system of CCRIP and related audit observations; separate opinions on certified Statements of Expenditure (SOE), the Special Account and the Project Financial statements; a statement as to the adequacy of the 3

303 Annex 13 accounting system and internal controls and whether IFAD funds have been used for their intended purpose; a confirmation that SOEs correctly reflect the expenditures incurred; and commencing with the second year audit a follow-up on the implementation of prior year recommendations. Submission of the audit report after the due date, of six months after fiscal year end, may result in suspension of the financing. 19. Withdrawals from the Loan Account: Between the date of entry into force of the Financing Agreement and the Financing Closing Date, the Borrower/Recipient may request withdrawals from the Loan Account and/or Grant Account of amounts paid or to be paid for Eligible Expenditures. The Fund shall notify the Borrower/Recipient of the minimum amount for withdrawals. 20. No withdrawal shall be made from the Loan and/or Grant Accounts until the first AWPB has been approved by the Fund and the Fund has determined that all other conditions specified in the Financing Agreement as additional general conditions precedent to withdrawal have been fulfilled. The Financing Agreement may also establish additional specific conditions precedent to withdrawal applicable to particular categories or activities. Withdrawals to meet the costs of starting up the Project may be made from the date of entry into force of the Agreement, subject to any limits established in the Financing Agreement. In this connection, the following additional provisions need to be kept in mind. 21. When the Borrower/Recipient wishes to request a withdrawal from the Loan and/or Grant Accounts or a Special Commitment, the Borrower/Recipient shall deliver to the Fund an application in the form specified there for by the Fund, together with such documents and other evidence in support of such application as the Fund shall reasonably request. 22. The Borrower/Recipient shall furnish to the Fund satisfactory evidence of the authority of the person or persons authorised to sign such applications and the authenticated specimen signature of each such person. Under the provisions of the General Conditions (article IV, section 4.04(b)), the Fund requires the borrower s (or recipient s) representative, as designated in the financing agreement, to furnish satisfactory evidence of the authority and authenticated specimen signatures of the individuals who will sign WAs on behalf of the borrower. This evidence must reach the Fund before the first WA is presented by the borrower and should be the original (photocopies, facsimiles or other means of transmission are not acceptable). A sample template is provided in annex 1 to the Loan Disbursement Handbook. In order to avoid delays in disbursements, this documentary evidence should be furnished to IFAD as soon as possible after entry into force of the financing agreement. 23. Each WA should be signed by such duly authorized individuals, and the Fund must be notified of any change in the signatories authorized to withdraw funds from the loan/grant account. The Fund must also be notified of the designated signatories for operating any designated and/or programme or other accounts, including changes thereto, whether or not these authorized signatories are included in the financing agreement. Such changes, as effected during the life of the project, must be communicated promptly to the Fund. 24. If the Borrower/Recipient requests a withdrawal from the Loan and/or Grant Accounts for amounts to be paid thereafter for Eligible Expenditures, the Fund may, before transferring such amount to the Borrower/Recipient, require that the Borrower/Recipient provide evidence satisfactory to the Fund showing that previous withdrawals have been properly spent for Eligible Expenditures. The Fund may place reasonable limits on the amount that the Borrower/Recipient may withdraw in advance or the overall balance of such advance withdrawals, and may require that such amounts be held in a freely convertible currency and/or be held in an account designated for that purpose in a bank acceptable to the Fund. 25. Items to be financed are usually grouped into categories of expenditures and are shown as a schedule in the financing agreement. The financing schedule presents the amount allocated to each category and subcategory, and the percentage of financing of eligible project expenditures as assessed at the time of project design and approved by IFAD s Senior Management. Reallocation of funds from one category to another may be allowed, unless the financing agreement prohibits this. During project implementation, should the need to reallocate financing resources among categories of expense arise, such reallocation would be processed in the applicable schedule(s) to the financing agreement after prior consultation and agreement between the borrower and the Fund. 26. Detailed withdrawal procedures, forms and templates are available in IFAD s Loan Disbursement Handbook and the Project Administration Manual. 4

304 Annex The mission has reached the conclusion that financial management risk is rated at medium and the financial management arrangements, as they exist in MIDPCR, would not provide the maximum assurance that the funds are used, efficiently and effectively, for the purposes intended. Therefore, the areas in which change is recommended are (1) procurement and installation of a multi-lingual (Bangla/English) accounting software before implementation begins; (2) hiring of a financial management specialist or a chartered accountancy consulting firm, on a part-time basis to ensure the appropriate use of the system and of the financial management arrangements; (3) ensuring that sufficient accounting staff, with appropriate qualifications and experience, are recruited; and (4) to maintain sufficient liquidity in the accounts, payments will be made from the PMO to the District bank account based on receipt of a certified summary sheet of works performed by contractors from the XEN. If the mitigation measures are in place when implementation begins, the residual financial management risk is rated at low (See Appendix 3). 28. The Project should note IFAD s Anti-corruption policy where zero-tolerance applies where it has determined, through an investigation performed by the Fund, the borrower or another competent entity, that fraudulent, corrupt, collusive or coercive actions have occurred in projects financed through its loans and grants, and it shall enforce a range of sanctions in accordance with the provisions of applicable IFAD rules and regulations and legal instruments. 'Zero tolerance' means that IFAD will pursue all allegations falling under the scope of this policy and that appropriate sanctions will be applied where the allegations are substantiated. This policy applies to IFAD-funded activities whether supervised directly by the Fund or by a cooperating institution. The Fund will continue to improve its internal controls, including controls inherent in or pertaining to its project activities, so as to ensure that it is effective in preventing, detecting and investigating fraudulent, corrupt, collusive and coercive practices. The Fund shall take all possible actions to protect from reprisals individuals who help reveal corrupt practices in its project or grant activities and individuals or entities subject to unfair or malicious allegations. 5

305 Annex 13 Appendix 1 - Flow of Funds 6

306 Annex 13 Appendix 2 FMAQ at Design Lead Implementing Entity is the Local Government Engineering Department (LGED) 1. Implementing Entity Topic Response Remarks 1.1 Which entity is the LPA? What is the entity s legal status? LGED; GoB entity 1.2 Will financial management of the project be the responsibility of a the LPA or be undertaken within the-pmo? FM will be the responsibility of the PMO created within LGED 1.3 Has the entity implemented a donor financed project in the past - if so, please provide details? Yes, LGED has vast experience with several donors including a long standing partnership with IFAD. About 40% of all LGED projects are donor-funded projects. NOTE: In the case of a Government Department, the FMS should initially focus on the status of the country PFM systems in order to gauge level of fiduciary risks to which the proposed project may be exposed. Once an understanding of the PFM environment has been ascertained, the FMS should switch focus down to project level and focus on the department(s) or unit(s) that will financially administer the project. TOPIC Response Remarks 2. Funds Flow/Disbursement Arrangements 2.1 Does the Implementing Entity have previous experience of using imprest fund and donor funding SOE procedures? Were there any problems or issues encountered by project staff in the operation of the imprest fund or SoE procedures in the past? Yes, LGED has sufficient experience. Issues are related to management of funds flow and management of several bank accounts. Increased size of projects in the country is leading to either (a) more agencies being involved in a project; or (b) more districts being covered as part of the project. As the funds flow in BD is decentralized to the district level, this is a potential area of funds lying idle with lesser performing districts while the performing ones stall implementation awaiting fund transfers. 2.2 Does the Implementing Entity have experience in the management of disbursements from IFAD or other donors? Have there been the major problems in the past in receipt of funds by the entity? 2.3 Does the entity have/need to develop capacity to manage foreign exchange risks? YES, see 2.1 ; 2.no problems encountered so far in receiving IFAD funds; No, GoB bears the foreign exchange translation risks. The Designated Account (SAFE) account, for all donor funded projects, is opened at Bangladesh Bank and then the funds flow into a Taka operational account. 1

307 Annex 13 TOPIC Response Remarks 2.4 Are the beneficiaries required to contribute to project costs? How are payments made for the counterpart funds? If counterpart funds are to be contributed in kind (in the form of labour), are proper guidelines formulated to record and value the labour contribution? Beneficiaries do not provide funds. The Labour Contracting Societies (LCS) provide labour in civil works contracts assigned to them and receive payment as wages and a profit element which is embedded into the contract amount. 2. GoB transfer funds to project through MOF to project Operational Accounts in Taka 3. Counterpart funds are not contributed in kind, they transfer funds to project through same process as for IFAD funds. LCS activities are a unique creation of LGED and guidelines for implementation of LCS activities exist at LGED for both GoB and Donor funded projects. 2.5 Is part of the project implemented by communities or NGOs? Does the PMO have the necessary reporting and monitoring features built into its systems to track the use of project proceeds by such agencies? 2.6 Describe (proposed) project funds flow arrangements; (attach flow chart and explanation of the flow of funds from IFAD, government and other financiers.) 2.7 In which bank will the Imprest Account be opened? Yes, in form of LCS for market development and infrastructure; NGOs do assist LCS in the performance of their activities. 2.Yes, LGED has guidelines for use of LCS and these have been modified further for use by IFAD projects. Funds will flow from the Donor into the Designated Account. From Designated Account the funds will be transferred, in local currency to a commercial bank, these funds will be further transferred to District accounts or utilized for payments See funds flow chart. The Designated Account (DA) is opened in Bangladesh Bank, Funds once transferred into the operational account cannot be reconverted into a convertible currency i.e. cannot be deposited bank into the DA. To avoid the risk of idle funds, and enhance utilization of the DA, contractor payments will flow expeditiously to the District account based on a summary sheet of payments due submitted by the XEN. 2.8 Are the (proposed) arrangements to transfer the proceeds of the financing (from the government / Finance Ministry) to the Implementing Entity satisfactory? No, it is noted that an inefficient utilization of funds occurs when more than 3-4 districts are involved as funds remain idle. In the proposed project, to alleviate idle funds, the PMO will make payments directly to contractors, thereby centralizing a significant portion of the resources. See 2.6 above. 2

308 Annex 13 TOPIC Response Remarks 3 Staffing 3.1 What is the (proposed) organizational structure of the accounting department? Attach an organization chart. It will be headed by a Finance Manager who will be assisted by 2 Accounts Officers and 2 Accounts Assistants. As this project s accounting staff will also be responsible for the other donors, the number of staff has been increased. Additionally, as there is no increase in staff levels at the District levels, and capacity at the District levels has been assessed as moderately satisfactory, 2.6 above has been recommended. 3.2 Identify the (proposed) accounts staff, including job title, responsibilities, educational background and professional experience. Attach job descriptions and CVs of key accounting staff. 3.3 Are there written position descriptions that clearly define duties, responsibilities, lines of supervision, and limits of authority for all of the officers, managers, and staff? Job descriptions will be included in the Project Implementation Manual. Yes; the organizational hierarchy and job descriptions are clearly defined and are similar across LGED projects Will be included in the PIM 3.4 Is the finance and accounts staff adequately qualified and experienced? No, the LGED deputed staff have many yrs experience, but is noted that qualifications might be limited. At District levels this is further amplified. The arrangements will include the hiring of a chartered accountant/firm to assist the accounts staff on a periodic basis to ensure that FM stays on track. 3.5 Are the project accounts and finance staff trained in IFAD procedures? Yes, training is received at start-up; again before implementation and refresher training given from time to time. The arrangements as stated in 3.4 will facilitate the application of IFAD procedures. 3.6 Are any Finance Staff appointed on contract? What is the duration of the contracts Indicate key positions not contracted yet, and the estimated date of appointment 3.7 What is training policy for the finance and accounting staff? 3.8 Is there evidence that finance staff are regularly transferred to other Government departments At what frequency are personnel transferred? No ; all accounts staff are govt staff, all are deputed from LGED to the Project. No documented training policy as such. The training is based on need. Some evidence of transfers but not a systemic problem within LGED. The exception is 3.4 above, where it is intended that a retainer contract will be issued for one year. The aim is to issue the contract before implementation begins and allow for the financing under retroactive financing. CCRIP should have a clear, documented FM training policy. Training should be periodic and build FM capacity of staff; the FMS should develop the plan 3

309 Annex 13 TOPIC Response Remarks 3.9 Is the project finance and accounting function staffed adequately? The bulk of the function rests in the hands of the Accounts Officer, while the accounts assistants provide clerical support. While staffing levels are adequate, there is an issue with the underutilization of the staff that are hired. The recommendation is that assignments of duties is done early in the implementation. 4. Accounting Policies and Procedures 4.1 Does the entity have an integrated accounting system that allows for the proper recording of project financial transactions, including the allocation of expenditures in accordance with the respective components, disbursement categories, and sources of funds? Will the project use the entity accounting system? 4.2 Are controls in place concerning the preparation and approval of transactions, ensuring that all transactions are correctly made and adequately explained? LGED does have an accounting system UFMS Unified Financial Management Software, however this is on the basis of single entry accounting and will have to be customized in order to prove efficient for project use. A recent WB assessment determined that the customization would take time and it would still not comply with IPSAS cash basis. Yes, the Internal Controls for accounting come from LGED; the accounting manager and PD verify and approve all transactions prior to recording; the FM manual of project provides guidance regarding approval criteria for transactions. At the Districts levels the segregation of duties is observed to a lesser degree. CCRIP project staff need to be trained on double entry accounting system and project needs to procure/install and implement accounting software to be ready when implementation begins. At District levels, there is an inordinate paper-trail to overcome the lack of segregation of duties. 4.3 Is the chart of accounts adequate to properly account for and report on project activities and disbursement categories? 4.4 Can cost allocations to the various funding sources be made accurately? The LGED Chart of Accounts which is being used is adequate to account for and report on project activities. YES, it s possible with the accounting system and allocations have been done accurately so far; LGED reports per component in its own system CCRIP s chart of accounts will be set up in the accounting software. 4.5 Are the General Ledger and subsidiary ledgers reconciled and in balance? Single entry accounting, not double entry, subsidiary ledgers do not exist CCRIP project needs to use double entry accounting and also establish subsidiary ledgers in its sys so that it s fully IFAD compliant 4

310 Annex 13 TOPIC Response Remarks 4.6 Are all accounting and supporting documents retained on a permanent basis in a defined system that allows authorized users easy access? Project Budgeting System 4.7 Who is responsible for preparation and approval of project budgets? 4.8 Are project budgets prepared for all significant project activities in sufficient detail to provide a meaningful tool with which to monitor subsequent performance? 4.9 Are procedures in place to plan project activities, collect information from the units in charge of the different components, and prepare the budgets? Yes, project documents since inception are retained in paper form in binders and stored in cabinets in office of the Accounts Officer. However the cabinets don t have lock & key, except 2 of them (with accounting manager). The PMO is responsible for this; The budget is then approved by PD, sent to LGED Chief Engineer, then to inter-ministerial meet for approval. Once all have approved, it s sent to IFAD for approval. YES, budgets are broken down by category, component, and source of funds Since project follows LGED budgeting procedure, it has all procedures in place to plan, collect, and prepare budgets The accounting software will mitigate the risk of unauthorized user access. Where several sources of funds exist, the AWPB should be further detailed to show amounts from each source. Payments 4.10 Are all invoices stamped PAID, dated, reviewed and approved, and clearly marked for account code assignment? Financial Policies And Procedures 4.11 What is the basis of accounting (e.g., cash, accrual)? 4.12 What accounting standards are followed? YES; they are reviewed and approved, although no stamp bearing PAID symbol was seen on the documents. Cash basis, not per IPSAS or GAAP Single entry, use the GOB accounting standards. The project needs to buy a stamp with PAID marked on it so that things are more clear and straightfwd; this is standard procedure in the area of payments; high risk of re-using invoices to pay again/fraud* To mitigate this an accounting software has been recommended, CCRIP will use international standards as recommended by IFAD from the start; IPSAS cash basis and staff need to be trained on this Does the project have an adequate policies and procedures manual to guide activities and ensure staff accountability? Yes, a PIM defining procedures will exist, additionally LGED has a manual for donor-funded projects. 5

311 Annex 13 TOPIC Response Remarks 4.14 Do procedures exist to ensure that only authorized persons can alter or establish a new accounting principle, policy or procedure to be used by the entity? 4.15 Is there a written policies and procedures manual covering all routine project financial management activities? Are manuals distributed to appropriate personnel? Cash and Bank 4.16 Does the organization maintain an adequate, up-to-date cashbook, recording receipts and payments? Yes, LGED procedures regarding accounting policy change apply; however, use of procedures is N/A; the scope for changing govt accounting policy is very limited; also, too many steps would be req d for change to take place; change would require LGED mgmt approval LGED procedures for donor funded projects exist for routine project financial management activities. This manual is distributed to appropriate personnel. Yes. The project will have a PIM specifically describing procedures for this project Are bank and cash reconciled on a monthly basis? Mostly, some months may be missing; but reasons exist for missed months 4.18 Indicate names and positions of authorized signatories of project bank accounts. Only the PD is the authorized signatory on the project bank accounts. At the District levels the XEN (Executive Engineer) is the only authorized signatory, It is recommended to have 2 signatories, a co-signer for better IC* Safeguard over Assets 4.19 Is there a Fixed Asset accounting system, with a Fixed Asset Register, fully implemented - as part of an integrated accounting system Is the system maintained up to date? 4.20 Are there periodic physical reconciliation of fixed assets and stocks? Yes, the FA register and FA issue register exist; they re updated constantly. It is maintained manually. Periodic physical reconciliations exist, but the periodicity has not been defined in any document. The accounting software will assess the risk of manual maintenance of assets. FA register for Districts can be in XL; data from XL entered into PMO software* PIM will clarify the periodicity of physical reconciliation of assets and stocks. 6

312 Annex 13 TOPIC Response Remarks Other 4.21 Has the project advised employees, beneficiaries and other recipients to whom to report if they suspect fraud, waste or misuse of project resources or property? 4.22 Do policies and procedures clearly define conflict of interest and related party transactions (real and apparent) and provide safeguards to protect the organization from them? 4.23 Do controls exist for the preparation of the project payroll and are changes to the payroll properly authorized? 5. Internal Control and Internal Audit 5.1 Segregation of duties - are the following functional responsibilities performed by different units or persons: (i) authorization to execute a transaction; (ii) recording of the transaction; and (iii) custody of assets involved in the transaction? 5.2 Are the functions of ordering, receiving, accounting for, and paying for goods and services appropriately segregated? Advised verbally, no written instructions or procedures; this is a weakness to be corrected in CCRIP PD states that integrity and honesty is verbally communicated and expected of staff anyway. No written policy or procedure; project is at risk Yes; but the payroll rec done once per year only; only 1 person deals with whole payroll process; the method of payment involves 2 cheques and controls could be tightened further Yes. SoD exists. The PD is only one who gives authorization to undertake a transact; recording done by accounts manager; custody is held by admin officer (he s also in charge of FA register) 1.order done by PD only 2.only Admin Officer receives the asset when it arrives 3.accounting manager accts for it 4.PD approves the payment for the purchase, normally by cheque; PD has many roles to play in the project, he is sole authorizer to undertake an activity and to pay for it CCRIP should have written whistleblower policy in FM and PIM * CCRIP needs to correct this weakness * The payroll process involves collecting cheque from GoB Treasury, depositing it into project acct. then project issues separate cheques for employees to pay them. Bearer cheques are issued to employees to pay them. The accts assistant is also payroll assist. He records and issues bearer cheques. However, process is approved by PD and accounts mgr.* 7

313 Annex 13 TOPIC Response Remarks 5.3 Are bank reconciliations prepared by someone other than those who make or approve payments? The bank rec done by accounts mgr, the PD is only 1 who approves payments, the accounts assistant or mgr can make the payments (whether for salaries or purchases); in this case, accounts mgr can make the payment and do the bank rec, an IC risk CCRIP project should improve segregation of duties and utilize skills of staff more efficiently. For internal control purposes some of the duties can be delegated to accounts assistants. 5.4 Is there an internal audit department in the LPA? LGED has Internal Audit (IA) dept that does IA of all projects of LGED; the IA of projects covers the district/sub-district levels of projects as well IA may not audit the project during it s life, therefore a request for IA will be requested in Year 2, 3, 4 and 5. If IA is found to be insufficient, an external firm will be hired to perform an internal audit. 5.5 What are the qualifications and experience of internal audit department staff? 5.6 To whom does the internal auditor report? 5.7 Will the internal audit department include the project in its work program? 15 staff have varying degrees at the Bachelor s and Master s level. Chief engineer of LGED Not automatically. IA prepares an annual work plan to include x number of projects and x number of Districts. When a District is included, all projects in the District are audited, however it is possible for the project to not receive an internal audit See 5.4 above. 5.8 Are actions taken on the internal audit findings? 6. External Audit 6.1 Who is the external auditor of the entity? YES, followup actions are always taken on recommendations as it is a govt matter / public funds involved FAPAD, they do audits of all donor financed project in Bangladesh Investigations of staff at different levels are prescribed treatment per the regulations of the IA Department 6.2 Are there any delays in audit of the entity? When are the audit reports issued? 6.3 Is the audit of the entity conducted according to the International Standards on Auditing? No, FAPAD is able to meet IFAD deadlines. Yes, ISA used for project audit 8

314 Annex 13 TOPIC Response Remarks 6.4 Were there any major accountability issues brought out in the audit report of the past three years? Were there any issues noted in prior audit reports related to the operation of project imprest accounts or use of SOE procedures? As per 2011 audit review: CF for FY not properly reported only end bal shown; possible ineligible exp of $40k, overstatement of exp in the PFS leading to qualified opinion; 2.the SA and SOE were unqualified, no issues noted there Audit observations remain in the subsequent audits even after they have been resolved. IFAD will work with FAPAD to resolve the issue. 6.5 Will the entity auditor audit the project accounts or will another auditor be appointed to audit the project financial statements? 6.6 Has the project prepared acceptable terms of reference for an annual project audit? LGED is audited externally by Auditor-General of Bangladesh, but FAPAD audits only foreign-aided (donor) projects of GoB. FAPAD is a division of AG dept. So, the entity (LGED) auditor is not the same one as for the project. However, both auditors are related, FAPAD is part of AG of GoB. The project does not direct or advise FAPAD on how to audit; FAPAD has plenty of experience in auditing donor financed project and so TORs don t need to be made for them; they know what to do, how to do it. However, minor advice, such as how to audit a particular line item or area of the PFS, can be given to FAPAD by project staff Project will provide, informally, the TORs for the IFAD audit to FAPAD. 7. Reporting and Monitoring 7.1 Does the reporting system need to be adapted to report on the project components? 7.2 Does the project have established financial management reporting responsibilities that specify what reports are to be prepared, what they are to contain, and the frequency of production? Adapted in the excel based system The PD stated that Standard Operating Procedures wrt to FM reporting are already established. These come from LGED. The FM manual lists these reporting responsibilities and reports; project has reporting experience for both GoB and IFAD Will be adapted in the accounting software. 9

315 Annex 13 TOPIC Response Remarks 7.3 What is the frequency of preparation of financial statements? Are the reports prepared in a timely fashion so as to be useful to management for decision making? Annual and Quarterly frequency; the annual PFS are audited, the Quarterly ones are unaudited and meant to satisfy IFAD req d. The PD uses both in order to make decisions. Quarterly reports are more timely, but reliance is less as they re unaudited. 7.4 Do the financial reports compare actual expenditures with budgeted and programmed allocations? 7.5 Are financial reports prepared directly by the automated accounting system or are they prepared by spread sheets or some other means? 7.6 (In case of need of consolidated financial statements) Is the accounting system sufficiently equipped to ensure proper consolidation of entities financial data? Both the Quarterly and annual PFS compare actuals vs budgeted expenditures Done in XL, manually; no software exists Manual consolidation of entries done at PMO level Accounting software will be in place for CCRIP Risk of accounting/calculation errors here; Accounting software will mitigate this risk 8. Information Systems 8.1 Is the financial management system computerized? 8.2 Can the system produce the necessary project financial reports? 8.3 Is the staff adequately trained to maintain the system? 8.4 Are adequate systems in place to back up financial records? NO N/A N/A The project has manual backup of records; the XL sheets are stored on pen drives and CDs and stored in accounting manager s office; the book records unfortunately don t have any backup, only single copies exist for them; high risk strategy CCRIP should start out with a computerized FM sys/software that does auto-backup on a weekly or monthly basis; in addition, there should not be any manual recording or records; the data s/b backed up on external media and stored at a separate location than the PMO; also, it depends if software will be LGED s software and therefore connected to central servers (central backup), or stand-alone (own backup)* 10

316 Risk Inherent Risks Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 13 Appendix 2 Risk Analysis at Design Lead Project Agency = Local Government Engineering Dept Implementing Agency = PMO Risk Assessment* Proposed Mitigation 1. National and EA environment M- World Bank country level appraisal (CAR) indicates that public sector FM is weak and high risk. Therefore financial arrangements will not use the primary PFM systems. An Operational Risk Assessment of LGED, conducted by the World Bank, However, the LPA for the project is a government department with enhanced FM and much experience of donor-funded projects. Donor funded projects are controlled and managed via a PMO/PMO. Due to the fact that both entities are exceptional relative to other govt entities, the risk is reduced to low medium. Mitigation action would involve implementing improvements to the IC system of existing PMO. Control Risks 2. Funds flow/disbursement arrangements Need for Imprest Accounts(s) Use of Direct Payments Need for the Statement of Expenditure. M The funds are controlled by the PD and XEN, a simple and tight structure. As most project implementation occurs at district level, the XEN controls majority of the funds. Given that there are 12 Districts, the risk of idle funds is high. Additionally, The ORA pointed out that as the District XEN is involved in the selection of the projects, the procurement and contracting, invoice preparation/approval, payment authorization and that he has the ability to open commercial bank accounts represents a significant control weakness due to the lack of segregation of duties. Mitigation actions payments for contractors will be made by the PMO to District accounts on the basis of a summary sheet of contractor payments prepared by the District office. 3. Staffing M PMO is generally appropriately staffed. The PMO staff have gained experience with IFAD FM rules and procedures. Staff mainly composed of deputed LGED officials with many years experience. Under utilization of staff is an issue at the PMO. The ORA has stated that while overall capacity of the accounting staff in the organization is weak, at the District/Upazilla levels where a significant amount of the activities are conducted, the capacity of the accounting staff is the lowest. Mitigation actions would include increased staff training on FM, recruitment of qualified staff at District levels. Ensure that duties of financial staff are detailed and assigned when implementation begins. To assist the accounting staff at the PMO level, a chartered accountant/firm will be hired on a 11

317 Risk Inherent Risks 4a. LPA - Accounting Policies and Procedures 4b. PMU - Accounting Policies and Procedures Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 13 Risk Assessment* M M Proposed Mitigation retainer basis to ensure that staff are capacitated to be able to fulfil their functions within the structure. The accounting assistants, at the PMO level, have been increased to 2 from 1. LPA primarily involved in project implementation process by making local payments and in claiming reimbursement Single entry cash basis which does not follow international standards. Mitigation action would be by pre agreement by IFAD of the process and approval procedure. LPA also responsible for ensuring that assets are entered into its Asset Register as they are created Mitigation action would be requiring internal and external auditor to verify periodically PMO staff is experienced in single entry accounting which is manually maintained. All records from the Upazilla and District levels are submitted to the PMO, which then manually re-enters the information into the excel based system. Accounting staff, with prior experience on donor funded projects are experienced in financial recording and reporting for IFAD funded projects. Mitigation actions involve intensive training of staff on double-entry accounting and IPSAS cash. Ensure accounting software is up and running at implementation, which follows IPSAS cash basis. The Accounts Assistants at the PMO will be required to disseminate the training to the District Level Accounts staff. 5. Internal Audit M IA of the project conducted by LPA internal auditor. IA has experience with IFAD funded projects. However, not geared to provide continuous routine internal audit check therefore cannot be relied on. Additionally, staff in IA are not chartered accountants, but a combination of degrees varying from bachelors to masters. Mitigation action if the IA is found to be insufficient to meet the needs of the project, an external firm will be hired for internal audit of the project. 6. External Audit L A division of the SAI, FAPAD, will audit the project annual Financial Statements. Extensive experience with donor-financed projects and satisfactory assessment by IFAD CFS indicates that FAPAD can be relied on. 7. Reporting and Monitoring M LPA/PMO has satisfactory record with previous and current IFAD projects. However single-entry accounting used. Field office information is transmitted to the HQ, which is then re-entered into the system 12

318 Risk Inherent Risks 8. Information Systems Bangladesh: Coastal Climate Resilient Infrastructure Project (CCRIP) Annex 13 Overall Control Risk (before mitigation action) Risk Assessment* H M Proposed Mitigation heightening the risk of error. Mitigation action would involve use of double-entry accounting and IPSAS cash basis for reporting purposes. Accounting system will be introduced. The payment, for contractors, based on a summary sheet of completed works will allow for accounting of contractor payments at the PMO level expeditiously. This method also allows for a check and balance with the record keeping between the PMO and District levels. PMO has manual recording and reporting system in place. Security of records could be improved. No computerized system being utilized. Risk is higher in field offices. Mitigation action is to ensure the procurement, installation and use of packaged accounting software before implementation begins. As the PMO is created within the LPA and has significant autonomy with respect to policies/procedures followed; staffing levels; independent consultant hiring; installation of systems, the PMO risk is assessed herein. * H=High, M=Medium, L=Low. Use of (+) and (-) indicates higher and lower rating within each band Residual risk at Design is assessed as LOW if all mitigation measures are in place. 13

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320 Annex 14 Annex 14 CCRIP Project: Procurement

321

322 Annex 14 Annex 14 CCRIP Project: Procurement Introduction 01. The Government of Bangladesh, responding to concerns of the donor community or streamlining the country s public procumbent system, undertook an array of reforms in order to strengthen the public procurement regime. The Country Procurement Assessment Report issued by the World Bank basically paved way to the issuance of Public Procurement Regulations in 2003, providing a unified procurement processing system. The PPR, 2003 was supplemented by Public Procurement Processing and Approval Procedures (PPPA), a revised Delegation of Financial Powers (DOFP) and several Standard Tender Documents (STDs) and Standard Request for Proposal Documents for the procurement of goods, works and services. Further later, in order to intensify the improvement measures in the public procurement system, the House of the Nation enacted the much desired law, the Public Procurement Act (PPA) Under the Act of 2006, the Public Procurement Regulations (PPR) 2008 was framed and issued, which replaced the Public Procurement Regulations, 2003 which until then continued to have effect. 02. The public procurement systems shares the similar common principle such as value for money, fair treatment, non-discrimination, integrity, transparency and competition and social and industrial development as subscribed by the IFAD Procurement Guidelines. The Preamble to the PPA, 2006, for example, says that the objective of this law has been to provide for procedures to be followed for ensuring transparency and accountability in the procurement of goods, works and services using public funds and for ensuring equal treatment and a free and fair competition amongst all persons wishing to participate in public procurements. While considerable flexibility is given to government departments with regard to purchases and contracting, accountability remains at the core of concerns of the Bangladeshi public procurement legal regime as the preamble to the Procurement Act. 03. An assessment of the procurement capacity of LGED, the Lead Agency for carrying out procurement under CCRIP undertaken by the ADB and IFAD as described below. Part A. General Agency Resource Assessment A.1. Is there a procurement department? A.2. What procurement does it undertake? LGED PROCUREMENT CAPACITY ASSESSMENT Response A.3. Are the staff provided with written job descriptions? A.4. How many years 30 years. experience does the head of the procurement unit have in a direct procurement role? A.5. How many staff in the 10 (ten) nos. procurement department are: i. Full Time? 10 (ten) nos. ii. Part Time? - Because of the nature of the job decentralized in the whole country, the procurement is being conducted by several procuring entities of LGED working in different levels as such LGED does not have a separate procurement department exclusively responsible for the procurement. However, LGED has a procurement unit in the Headquarter. The procurement unit provides policy issues and directives related to procurement to all procuring entities of the department. LGED undertakes all kinds of public procurement related to goods, works and services mainly for developing urban and rural infrastructures as well as small scale water resources projects. Yes. iii. Seconded? - A.7. Do the staff that will be Yes, the procuring entities those who will be involved in the 1

323 Annex 14 involved with the procurement have English language skills sufficient A.8. Is the number and qualifications of the staff sufficient to undertake the additional procurement that will be required under the proposed project? A.9. Does the unit have adequate facilities such as PCs, internet connections, photocopy facilities, printers etc. to undertake the expected procurement? A.10. Is there a procurement training program? Part B. Agency Procurement Processes, Goods and Works B.2. If the above is yes, what where the major challenges? B.3. Is there a procurement process manual for goods and works? B.4. If there is a manual is it up to date and does it cover foreign assisted procurement? procurement have sufficient proficiency in English. It may be mentioned here that the whole procurement document in terms of bidding document, specification, public procurement law and rules are being practiced in English. The LGED procuring entities are being continuously trained up with the procurement law, rules and bidding documents and contract management. Hence, English language will not be at all any problem for LGED procuring entities. The Ministry of Planning has been conducting 3-week long residential training course for developing the knowledge and skill of the procuring entities for major procuring departments of Bangladesh. LGED is one of those departments receiving that kind of extensive training on procurement. Most of the Procuring entities of LGED have been trained on that course. Some of the LGED officers have completed post-graduation degree on procurement from the abroad. In addition, some engineers of the department were trained on procurement under FIDIC condition. Besides, LGED has been conducting different kinds training courses on procurement for all levels of staff involved with the procurement. With national and international training and huge procurement practice in different national and foreign aided projects, the capacity of LGED officials and staff has developed sufficiently at a level to undertake additional procurement proposed under the project. As mentioned earlier that the LGED procurement unit provides procurement directives and policy guidelines for procurement but that unit does not involve with the procurement. However, the unit is equipped with facilities of PCs, internet connections, photocopy facilities, printers etc. The procurement under the proposed project will be undertaken by the Project Management Office (PMO). The PMO will be equipped with adequate facilities such as PCs, Internet Connections, photocopy facilities, printers etc for smooth implementation of procurement. As mentioned earlier, there are various training programs on procurement arranged by the Ministry of Planning and LGED for the officials and staff responsible for procurement This kind of training programs continues round the year. Some major challenges are as follows : Procurement of consultants usually causes delay, which leads to start-up delay in civil works and goods; Designing realistic procurement plan after considering all uncertainties. Yes. All public procurements are being undertaken in accordance with the Public Procurement Ruleas-2008 supported by Public Procurement Act Comprehensive procurement process for goods, works and services are described in that document. All those documents are available in the Central Procurement Technical Unit (CPTU) website: Yes. The public procurement rules are amended from time to time and those amendments are notified to all procuring entities through notification in the Government Gazette. All amendments are also available in the CPTU website. Such document is used for foreign assisted procurement if that document is acceptable to the concerned donor. Otherwise, customized procurement documents are prepared with concurrence of the donor and that document is used for foreign assisted procurement. 2

324 Annex 14 B.5. Is there a systematic process to identify procurement requirements (1 year or more) B.6. Who drafts the specifications? B.7. Who approves the specification? B.8. Are there standard bidding documents in use and have they been approved for use on ADB funded projects? B.9. Who drafts the bidding documents? B.10. Who manages the sale of the document? B.11. Are all queries from bidders replied to in writing? B.12. Is there a minimum period for preparation of bids and if yes how long? B.13. Does the bidding document state the date and time of opening and how close is it to the deadline for submission? B.14. Is the opening public? B.15. Can late bids be accepted? B.16. Can bids be rejected at bid opening? B.17. Are minutes taken? Yes. Considering the available resources against prioritized requirement, all procuring entities of LGED have to submit the annual procurement plans to the head of procuring entity for approval at the dead end of the year for the following year. Procurement requirements are determined from the procurement plan. However, such plans are modified time to time depending on the availability of resources or other reasons. The Maintenance Unit and Quality Control Unit jointly publish standard general specifications of civil works with rates at the dead end of the financial year for the following year. The specifications and rates are updated in each year with the assistance of experts working in those units. The Head of Procuring Entity i.e. the Chief Engineer approves the specification. Yes. Under the purview of the Public Procurement Rule, the standard bidding documents have been prepared by the Central Procurement Technical Unit (CPTU) for all kind of procurements. These documents are available in the CPTU website: Those standard bidding documents are used for foreign aided procurements if those are acceptable to the donor. Otherwise, customized bidding documents are prepared in concurrence with the donor for the foreign aided procurement. Most of the donors including ADB accepted the bidding documents of CPTU for National Competitive Bidding (NCB). Central Procurement Technical Unit (CPTU) is responsible for preparation and modification of Standard Bidding Documents. The project management office is responsible for making customized bidding documents acceptable to the respective donors. In case of works procurement, the District Executive Engineer (Procuring Entity) manages the sale of all bidding documents. The biding documents are sold at least by the following offices: 1. The Executive Engineer of the district (procuring Entity); 2. The Upazilla Engineer of the Upazilla where the site is located; 3. Superintending Engineer of the concerned LGED region; and 4. The Project Director, of the concerned project. However, records of all sales are available at the office of the Procuring Entity. The Project Director becomes the procuring entity for the case of goods and services and he/she manages the sales of bidding document of those procurement.. Yes. Yes. The minimum period for preparation of tender for NCB procurement is 28 days since the publication of the tender in the newspaper but the same is 42 days for ICB procurement. Yes. Within 3 (three) hours since opening. Yes. No. No. Yes 3

325 Annex 14 B.18. Who may have a copy of the minutes? B.19. Are the minutes free of charge? B.20. Who undertakes the evaluation (individual(s), permanent committee, ad-hoc committee)? B.21. What are the qualifications of the evaluators in respect to procurement and the goods and works under evaluation? B.22. Is the decision of the evaluators final or is the evaluation subject to additional approvals? B.23. Using at least three real examples how long between the issue of the invitation for bids and contact effectiveness? B.24. Are there processes in place for the collection and clearance of cargo through ports of entry? B.25. Are there established goods receiving procedures? B.26. Are all goods received recorded as assets or inventory in a register or similar? B.27. Is the agency/procurement department familiar with letters of credit? B.28. Does the procurement department register and track warranty and latent defects liability periods? The bidders or their authorized representatives those who attend the opening of the tender. Yes. The evaluations are undertaken by permanent Tender Evaluation Committees formed as per the Public Procurement Rules and subsequent directives by the procurement unit. Minimum Graduate in Engineering The evaluators can only recommend to the appropriate approving authority (determined in accordance with the Government Delegation of Financial Power) for approval. Maximum 4 (four) months. Yes. Yes. Yes. Yes. Yes. Part C. Agency Procurement Processes, Consulting Services C.1. Has the agency undertaken foreign assisted procurement of consulting services recently (last 12 months, or last 36 months)? C.2. If the above is yes what where the major challenges? Yes. Delay in getting concurrence from the development partners in various layers of procurement process such as: EOI, RFP, Technical Evaluation, Financial Evaluation, Combined Evaluation, 4

326 Annex 14 Contract Negotiation, Agreement etc. C.3. Is there a procurement process manual for consulting services procurement? C.4. Is the manual up to date and does it cover foreign assisted projects? C.5. Who identifies the need for consulting services requirements? C.6. Who drafts the ToR? C.7. Do the ToR followed a standard format such as background, tasks, inputs, objectives and outputs? C.8. Who prepares the request for proposals? C.9. Are assignments advertised and expressions of interest called for? C.10. Is a consultants selection committee formed with appropriate individuals in terms of C.11. What criteria is used to evaluate EOIs? C.13. Do firms have to pay for the proposal document? C.14. Does the evaluative criteria follow a predetermined structure and is it detailed in the RFP? C.15. Are pre-proposal visits and meetings arranged? C.16. Are minutes prepared and circulated after preproposal meetings? C.17. To who are minutes distributed? C.18. Are all queries from consultants answered to in writing? C.19. Are the financial and technical proposals in separate envelopes? C.20. Are proposal securities required? C.21. Are technical proposals opened in public? Yes. Yes. LGED and the development partners. LGED and the development partners. Yes. The designated Project Director of LGED Yes. The Proposal Evaluation Committee (PEC) is a permanent committee formed by the Head of Procuring Entity. The major criteria are as follows: Consultancy firm s facilities and area of expertise; Similar assignment; Experience in similar operating environments and conditions; Professional qualifications and adequate resources; Managerial strength and financial capacity. No. Yes. Yes. Yes. The consulting firms or their authorized representatives those who present in the meeting and those consulting firms who received RFP documents. Yes. Yes. No. Yes. 5

327 Annex 14 C.22. Do the financial proposals remain sealed until technical evaluation is completed? C.23. Are minutes of technical opening distributed? C.24. Who determines the final technical ranking and how? C.25. Are the technical scores published and sent to all firms? C.26. Is the financial proposal opening public? C.27. Are there minutes taken and distributed of financial proposal opening? C.28. How is the financial evaluation completed? C.29. Are face to face contract negotiations held? C.30. How long after financial evaluation is the selected firm to negotiate? C.31. What is the usual basis for negotiation? C.32. Are minutes of negotiation taken and signed? C.33. How long after negotiations until the contract is signed? C.34. Are advance payments made? C.35. Is there an evaluation system for measuring the outputs of consultants? Part D. Process Oversight and Control D.1. Is there a standard statement of ethics and are those involved in procurement required to formally commit to it? D.2. Are those involved with procurement required to declare any potential conflict of interest and remove Yes. Yes. The Proposal Evaluation Committee determines the final technical ranking according to predetermined evaluation criteria. Technical scores are disclosed/published prior to opening financial proposal. Yes. Yes. Financial Evaluation is carried out in accordance with the procurement guidelines. In general, arithmetical calculations are checked and corrected. If any work was proposed in the technical proposal but not priced in the financial proposal must be loaded by the highest price of the participating firms. All taxes and provisional sum must be taken out from the financial proposal for cost comparison. Yes 3 (three) week. Yes. Methodology of Works; Work plan: Organization and staffing: Deliverable; Proposed contract price etc. 2 (two) months. Yes No. However, the LGED officials are aware of this evaluation system and capable of managing a balance between the expenditure against the consultant input compared to delivered output. Yes. Yes. 6

328 Annex 14 themselves from the procurement process? D.3. Is the commencement of procurement dependent on external approvals (formal or de-facto) outside of the budgeting process? D.4. Who approves procurement transactions and do they have procurement experience and qualifications? D.5. Which of the following actions require approval outside of the procurement unit or a permanent evaluation committee and who grants the approval? a) Bidding document, invitation to pre-qualify or request for proposal b) Advertisement of an invitation for bids, prequalification or call for expressions of interest Yes. According to delegation of financial power of the Government, different layers of approving authority ranging from district level Executive Engineer, Project Director, HOPE, Line Ministry and Cabinet Committee approves procurement transactions within their financial power. HOPE and Development Partner HOPE. c) Evaluation reports As per delegation of financial power, HOPE or Line Ministry or Cabinet Committee (CCGP) and Development Partner. d) Notice of award HOPE and Development Partner. e) Invitation to HOPE and Development Partner. consultants to negotiate f) Contracts HOPE and Development Partner. D.6. Is contractual performance systematically monitored and reported upon? D.7. Does the agency monitor and track its contractual payment obligations? D.8. On average how long is it between receiving a firm s invoice and making payment? D.9. What is the standard period for payment included in contracts? D.10. When payment is made late are the beneficiaries paid interest? D.11. Are payments authorized by the same individuals empowered to approve invitation documents, evaluations and contracts? D.12. Is there a written auditable trail of procurement decisions attributable to Yes Yes 2(two) week. 2 (two) week. Yes, if the claim is justified. No. No. 7

329 Annex 14 individuals and committees? D.13. Are procurement decisions and disputes supported by written narratives such as minutes of evaluation, minutes of negotiation, notices of default/withheld payment? D.14. Is there a formal nonjudicial mechanism for dealing with complaints? D.15. Is a complaints resolution mechanism described in national procurement documents? Part E. Records Keeping E.1. Is there a referencing system for procurement files? E.2. Are original contracts secured in a fire and theft proof location? E.3. Are copies of bids or proposals retained with the evaluation? E.4. Are copies of the original advertisements retained with the pre-contract papers? E.5. Is there a single contract file with a copy of the contract and all subsequent contractual correspondence? E.6. Are copies of invoices included with contract papers? E.7. For what period are records kept? Yes Yes Yes Yes Yes Yes Yes Yes Invoices are not included in the contract but are kept in separate files containing the copy of the contract and related correspondences. 5 (five) years. Arrangements for Procurement under the Project 04. Procurement of goods, works and services financed from resources provided or administered by IFAD will be undertaken in accordance with IFAD s Procurement Guidelines and Handbook (dated September 2010, or as amended from time to time). In all cases whereby procurement is packaged along with goods, works and services financed by ADB, the procurement would be undertaken in conformity with ADB s Procurement Guidelines (2010, as amended from time to time) and ADB s Guidelines on the Use of Consultants (2010, as amended from time to time). 05. International Competitive Bidding (ICB) shall be undertaken in accordance with the rules and regulation for ICB as established by the World Bank in line with the provisions of the IFAD Procurement Guidelines. Goods and Civil works and goods procured using NCB will follow the Public Procurement Act, 2006 and Public Procurement Rules, 2008 of the Government of Bangladesh. All procurement to be financed by IFAD proceeds require the details of the procurement, types of procurement methods, the need for pre or post-qualification, estimated cost, prior or post review requirements to be respectively included in the Procurement Plan to be submitted by the Implementing Agencies. IFAD s approval of the procurement plan is mandatory and any changes or modifications must be communicated and approved by IFAD. 06. National Competitive Bidding. The procedures to be followed for national competitive bidding shall be those set forth for the National Open Tendering Method in the Government s Public 8

330 Annex 14 Procurement Rules, 2008 (as updated and issued pursuant to the Bangladesh Public Procurement Act, 2006) with the clarifications and modifications described in the following paragraphs required for compliance with the provisions of the Procurement Guidelines. Anti-Corruption. Definitions of corrupt, fraudulent, collusive and coercive practices shall reflect the latest IFAD Board-approved Anti-Corruption Policy definitions of these terms and related additional provisions (such as conflict of interest, etc.). IFAD shall jointly apply and extend debarment and sanctions Location of Bid Submission. Submission of bids to primary and secondary locations, or multiple droppings of bids, shall not be required or allowed. Advertisements and bidding documents shall specify only one location for delivery of bids. Rejection of All Bids and Rebidding. Bids shall not be rejected and new bids solicited without IFAD s prior concurrence. Member Country Restrictions. No restriction applicable to IFAD resources, unless procurement is packaged along with goods, works and services financed by ADB, in which case the procurement would be undertaken in conformity with ADB s Procurement Guidelines and ADB s Guidelines on the Use of Consultants Lottery. A lottery system shall not be used to determine a successful bidder, including for the purpose of resolving deadlocks. Qualification Requirements. A successful bidder must be determined by an assessment process that shall include the application of qualification requirements to all bids. 07. All procurement for goods, works and services financed from resources funded or administered by IFAD require bidding documents and the contracts to include a provision requiring suppliers, contractors and consultants to permit IFAD to inspect their accounts,records and other documents relating to the bid submission and contract performance, and to have them audited by IFAD-appointed auditors. 08. All advance contracting and retroactive financing of resources provided or administered by IFAD regarded as an exception by the IFAD General Conditions must be clearly established (detailed cost and procurement packages) in the Project Design Document and approved by the IFAD and will be undertaken in conformity with provision of IFAD General Conditions and IFAD Procurement Guidelines and Procurement Handbook (2010, as amended from time to time). The issuance of invitations to bid under advance contracting and retroactive financing will be subject to IFAD prior review and no objection. The approval of advance contracting and retroactive financing does not commit IFAD to finance the Project. 09. Procurement of civil works should be undertaken in sizable bid packages ensuring road works are not split to accommodate contractors financial capacities to qualify for the bidding or to intentionally avoid seeking IFAD prior review. Any civil works which are to be split into small bid packages due to specific implementation consideration must to clearly established and highlighted in the procurement plan. 10. Civil works undertaken by the Labour Contracting Societies (LCS) which would be formed through a defined selection criteria, contracted directly by the CCRIP Project. The selection criteria and the operational and implementation arrangement for the LCS would be defined in the Project Administration Manual. While the LCS has been accessed as incapable of handling implementation, administration, financial management and procurement of the activities, the Project Administrative Manual (PAM) shall define the roles and responsibilities of the intermediaries who will assist the LCS in preforming the activities. 11. The contract detailed to be signed with the LCS, should ensure transfer liabilities and accountabilities to the intermediaries rather than maintaining these liabilities and accountability with the LCS. LGED should also explore options to use lump sum contract for LCS activities which can minimise the use of schedule rates. Lump sum contract for LCS activities would increase 9

331 Annex 14 efficiency gains and minimising transaction cost currently attributed to lengthy procedural requirement for preparing the running bills. 12. Independent Quality Monitoring and Assessment would be introduced to minimise risk and ascertain periodic information on the progress of the schemes. 13. Procurement of materials and goods by the LCS for the civil works contracted would be undertaken in accordance with the provision of the IFAD Procurement Guidelines and shall be largely limited within the markets in each district. Any requirement for the Project to purchase specific goods from markets in outside of the district shall be justified and documented by the Project. This justification should provide details of materials and goods to be purchased and reasons for the purchase which included a comparative analysis of the cost of procuring the materials in markets outside the district where these activities are implemented. 14. IFAD shall introduce as part of fiduciary processes through its supervision mission or as separate mission, biennial reviews of the LCS contract performance with regards to the implementation of activities contracted which includes the accounting and procurement of goods and materials carried out by the LCS (with the assistance of the intermediaries). This review shall include the performance of the intermediaries. 15. IFAD will undertake to review the provisions for the procurement of good, works and services to ensure that the procurement process is carried out in conformity with its Procurement Guidelines. For the purposes of IFAD s Procurement Guidelines, the following procurement decisions shall be subject to prior review by the Fund for the award of any contract for goods, equipment, materials, works, consultancy and services under CCRIP. a. Procurement of goods, materials and works i. Prequalification documents and shortlist when prequalification is undertaken; ii. Bid Documents for goods, materials and works; iii. Evaluation Report and Recommendation for Award; and iv. Contract and amendments. b. Procurement of consultancy services and services i. Prequalification documents and shortlist when prequalification is undertaken; ii. Request for Proposal; iii. Technical evaluation report; iv. Combined (technical and financial) evaluation report and the recommendation for award; and v. Contract and amendments. 16. Project Procurement Thresholds. International Competitive Bidding (ICB) shall be the mandatory procurement method for activities estimated to cost: (i).goods estimated to cost above USD 200,000 or equivalent; (ii). Civil works estimated to cost above USD 1,000, or equivalent; and (iii). Services estimated to cost above USD 100,000 or equivalent. 17. Prior or Post Review. Except as IFAD may otherwise agree, the prior or post which applies to various procurement of good, works and consultant recruitments shall be defined as follows: Procurement Method Prior or Post Comments Procurement of Goods and Works ICB Works Prior ICB Goods Prior NCB Works Except procurement valued Prior below USD 150,000 NCB Goods Except procurement valued Prior below USD 100,000 Shopping for works (quotations) Post Shopping for goods (quotations) Post Direct Works Except first contract in each Post district 10

332 Annex 14 Direct Goods Recruitment of Consulting Firms Quality- and Cost-Based Selection (QCBS) Fixed Budged Selection (FBS) Least Cost Selection (LCS) Selection Based of Consultants Qualification Sole Source Selection (SSS) Recruitment of Individual Consultants Individual Consultants Prior Prior Prior Prior Prior Prior Prior Except procurement valued below USD 5,000 Except procurement valued below USD 100,000 Except procurement valued below USD 100,000 Except procurement valued below USD 100,000 Except procurement valued below USD 60,000 Except procurement valued below USD 30,000 Except procurement valued below USD 30,000 III. GOVERNANCE AND ANTI-CORRUPTION (GAC) 18. Anticorruption measures will include (a) undertake necessary measures to create and sustain a corruption-free environment for activities under the Project; (b) institute, maintain and ensure compliance with internal procedures and controls for activities under the Project, following international best practice standards for the purpose of preventing corruption, money laundering activities, and the financing of terrorists, and shall require all relevant ministries and agencies to refrain from engaging in any such activities; (c) comply with requirements of IFAD s Policy on Preventing Fraud and Corruption in Its Activities and Operations (2005, as amended to date); (d) ensure that the Good Governance Framework is implemented in a timely manner. is actively engaged to allow potential Project beneficiaries and other stakeholders to channel and address any complaints they may have on the implementation of the Project; 11

333 Annex 14 Appendix 1 Eighteen Month Procurement Plan (a draft procurement plan will be included in the PAM) 12

334 Annex 15 Annex 15 Beneficiary Calculation

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336 Annex 15 Annex 15 Beneficiary Calculation A. Direct beneficiaries 1. Number of LCS members (IFAD) unit Volume of work amount Number of LCS per km / market / CCP Number of LCS for the project Number of Number of LCS members for the Upgraded rural roads road construction km road maintenance km Upgraded rural markets Type 3: small market construction no Type2: large market construction no Type1: assembly market no collection points no Total a. Market traders (IFAD) Type 2: Large markets 33 traders/ large market permanent shops 100 temp traders 500 total per market 600 total for project b. Markets traders (ADB) Type 3: Small markets 160 traders/ small market permanent shops 50 temp traders 150 total per market 200 total for project Type 1: Assembly markets 4 permanent shops 200 temp traders total per market total for project Collection points 5 producers per point 40 total for project 200 Total participants Growth center market 18 Village market 70 Type 1 88 permanent shops 200 temp traders total per market total for project

337 Annex a. Transport owners (IFAD) Assumptions were taken from the Impact assessment on improved market connecting roads and ghats conducted for MIDPCR in the project area The transport owners benefiting from union and village roads will be mainly of two types: (i) motorized vehicles (CNG/Tempo/Motor cycle) and (ii) non-motorized vehicles (rikshaw/ rikshaw vans) The survey has been carried out on different sections (average 5km) of 40 different roads situated within the project area It has been assumed that there are : 2 hat days 5 non-hat days Total km of road One transport owner = one hhd Per sample survey section(10km) Per project area (500km) Total transport owners benefiting from union and village roads WOP WP Percentage change WOP WP Motorized hat day non-hat day average trafic % number of vehicles Non-motorized hat day non-hat day average trafic % number of vehicles Total b. Transport owners (ADB) Assumptions were taken from the Impact assessment on improved market connecting roads and ghats conducted for MIDPCR in the project area The transport owners benefiting from union and village roads will be mainly of two types: (i) motorized vehicles (CNG/Tempo/Motor cycle) and (ii) non-motorized vehicles (rikshaw/ rikshaw vans) The survey has been carried out on different sections (average 5km) of 40 different roads situated within the project area It has been assumed that there are : 2 hat days 5 non-hat days Total km of road One transport owner = one hhd Total transport owners benefiting Per sample survey section(1km) Per project area (130km) from union and village roads Percentage WOP WP WOP WP change Motorized vehicles Annual average daily traffic % Number of vehicles Non-motorized vehicles Annual average daily traffic % Number of vehicles Total The evaluation of RIIP does not include pedestrian traffic. For rhe purpose of the present analysis, a 30% increase in pedestrian traffic is assumed. Source: Local Government Engineering Department. August Rural Infrastructure Improvement Project (RIIP) Rural Development Project 25. Results of Terminal Surveys on Benefit Monitoring and Evaluation. Table a. Communities in the areas of influence of subprojects / beneficiaries (IFAD) Market catchment area Number of markets Total hhds Type2:Large Type3: Small Type 1: Special Total hhds Assumption: 60% of the hhds will be farm holding hhds, that will be able to benefit from the increased agriculture production income Total beneficiaries hhds within market catchment area ) Road catchment area Beneficiaries (hhds) per 500km hhd=6 people Total market and road catchment area a. Communities in the areas of influence of subprojects / beneficiaries (ADB) Market catchment area Number of markets Total hhds Type 1: Special *All ADB will be type 1 Total hhds Assumption: 60% of the hhds will be farm holding hhds, that will be able to benefit from the increased agriculture production income Total beneficiaries hhds within market catchment area ) Road catchment area 1hhd=6 people Beneficiaries (hhds) per 130km Total market and road catchment area Total direct beneficiaries IFAD Total direct beneficiaries ADB B. Indirect beneficiaries Population of the 125 unions h'holds people

338 Annex 16 Annex 16 Financial and Economic Analysis

339

340 Annex 16 Annex 16 Financial and Economic Analysis INTRODUCTION 1. This Annex presents the financial and economic analysis. The financial analysis aims at demonstrating that income-generating activities on farm (related to the main commodities supported by the project) and off-farm (mainly trade), as proposed in the Coastal Climate Resilient Infrastructure Project (mentioned hereafter as CCRIP), are profitable and therefore sustainable. While the economic analysis aims at demonstrating that, from an economic perspective, the project as a whole is viable, taking into account, as much as possible, all quantifiable and additional costs and benefits in with and without project situations. 2. The main focus of the project is to provide climate resilient communication and market infrastructure which is critical for rural economic growth, market and value chain development in the coastal districts. Furthermore, the project is expected to enhance the climate change adaptation capacity of the villages within the project area. 3. The main project physical outputs are: (a) transport infrastructure including upazilla, union and village roads and bridges; and (b) market infrastructure including growth center markets, rural markets, collection points and boat landing stages within the market area; (c) cyclone shelters. 4. This working paper is structured as follows: (i) data sources and general assumptions; (ii) summary of the project benefits; (iii) financial analysis; (iv) economic analysis; and (v) sensitivity analysis. I. DATA SOURCES AND GENERAL ASSUMPTIONS 5. Sources. The data used in this analysis have been collected from various sources, including the Local Government Engineering Department (LGED), the Market Infrastructure Development Project in Chartland Regions (MIDPCR), donor agencies operating in Bangladesh, local agricultural practitioners as well as IFAD and ADB missions estimates. Additional data were collected through interviews with farmers and traders during field visits. In particular, information was collected on labor and input requirements for various operations, capital costs, prevailing wages, yields, farm gate and market prices of agriculture produce and farm-tomarket transport costs. 6. Given the merging of the Sustainable Market Infrastructure for Livelihoods Enhancement (SMILE) Project with the Climate Resilient Infrastructure Improvement in Coastal Zone Project (CRIICZP) co-financed by ADB, the initial analysis carried out for the SMILE has been updated to include additional activities funded by ADB. The analysis of the ADB-funded activities has been done by the ADB team and included in the Bank s project documents submitted to the Board. The CCRIP analysis aims to consolidate the analyses of both IFAD- and ADB-funded activities. 7. On the subject of Bangladesh national currency (Bangladesh Taka [BDT]), it should be noted that official currency exchanges into foreign currencies are free. Therefore, the official exchange rate of BDT 82 = USD 1 (average actual rate for May 2012) has been used throughout the present analysis. 8. Prices. Input and output prices have been collected during the field visits in the project area in May 2012 and expressed in constant terms over the project period. Economic prices have been calculated on an import parity basis for rice and for some of the fertilizers (TSP, MOP and Urea). International price estimations have been based on the World Bank s Global Commodity Price Projections. Non-traded goods were converted into their approximate economic values using a Standard Conversion Factor (SCF) of 0.93 as trade controls (tariffs and non-tariff barriers) distort relative prices 1. 1 Asian Development Bank project (PSSWRP) designed in 2009 used an SCF of 0.91 and a SWR of

341 Annex The estimation of the investment costs for the road and market infrastructure has been carried out according to three possible scenarios: (A) upgrading from present conditions to existing LGED standards; (B) upgrading from present conditions to existing climate-resilient standards; and (C) upgrading from present conditions to future climate-resilient standards, over a 20-year horizon. The analysis of markets and upazilla roads is based on upgrading to future climateresilience standards only (scenario C ), as there will be no other standard applied. Union roads will be built according to scenario B and C; for the purpose of the present analysis, a weighted average was calculated for the unit costs of the union roads. 10. Cost of Labour. The standard salary for agricultural unskilled labour in the project areas is about BDT 250 per day. Given the lack of precise information on rural employment in the project area and consequently on the real opportunity cost of agricultural labour, a Shadow Wage Rate Factor (SWRF) of 0.75 has been used in the economic analysis to reflect the high demographic pressure and low opportunity costs of unskilled labour in the project area. Labour is assumed to be provided partly by the family and partly as hired temporary or seasonal labour. 11. The list of prices used in the analysis could be found in the Table 1 of the Appendix to this Working Paper. II. PROJECT BENEFITS 12. Quantified Benefits. The project is expected to generate substantial net incremental benefits to farmers and rural entrepreneurs (shop keepers, traders, transport owners). The benefit stream comprises the following elements: 13. Market infrastructure development benefits. Improved and expanded market infrastructure (Growth Market Centers, village markets sheds, drainage systems, sanitary latrines, garbage pits, etc.) will have two categories of direct beneficiaries: (i) permanent traders (shop-keepers); and (ii) temporary traders of daily morning/afternoon markets and more, importantly of haat days (twice a week). Impact assessment of the MIDPCR project, as well as the field visits and interviews conducted by the ADB and IFAD missions, demonstrate that the incremental benefits for market infrastructure investments will come from: (i) reduction in spoilage of perishable products; (ii) increased sales, through higher volume and value of the agricultural production traded; and (iii) increased number of traders at the village markets. 14. Upazila, village and union roads construction: The project will be building mainly three types of roads: (i) upazilla roads; (ii) village roads and (iii) union roads. The benefits from these rural roads are mainly derived from the generated commercial activities. The estimation of the benefits is made on the basis of the earnings expected from these new activities. Incremental benefits from these investments will be: (i) from upazilla roads - vehicle operating cost savings from the existing traffic using the roads as well as from the new traffic generated; (ii) from village roads - increased volume of transported goods (mainly agricultural production) and reduced transportation costs; and (iii) from union roads - increased traffic, reduced transportation costs for goods and passengers (due to the vehicle operating cost savings). 15. Agriculture production benefits: Farmers living within the market catchment area and the road catchment area will be able to increase the volume of the agricultural production sold due to the increased traffic and will be able to fetch higher selling prices due to larger numbers of buyers coming to the market and hence higher demand for the agricultural production. In addition, farmers will also benefit from the reduced transportation costs and better access to markets and inputs contributing to higher productivity at the household level. 16. Benefits to the transport owners: Construction of the village and union roads will have an impact on the small private entrepreneurs/vehicle owners. The vehicles operating on this type of rural roads will be of two types: (i) motorized vehicles (mainly CNG/Tempo/Motor cycle) and (ii) non-motorized vehicles (such as rickshaw/ rickshaw van). The results of the MIDPCR impact assessment study demonstrate that, even if the average fare per km decreases with the project, it is more than compensated by the volume of traffic generated by a new road (and the number of additional journeys per vehicle) as well as by the travel time and the vehicle operating costs savings. The motorised vehicles will also benefit from the increased fuel efficiency while for the non-motorised vehicles the improved smooth surface of the road will reduce the pain and the difficulty of the driver to pedal the rickshaw. 2

342 Annex Income Generating Activities undertaken by the LCS members: Some of the Local Contracting Societies members will be willing to invest a portion of wage and profit received after the completion of the construction works (about 10% of the construction cost) in sustainable income generating activities. A recent report on impact market assessment of the MIDPCR project (September 2011) demonstrates that almost 89% of the households participating in the LCS had invested some of their income in different IGA activities. 18. Non-quantified Benefits. In addition to the quantifiable benefits, the project interventions will yield some benefits related to the project activities that are much more difficult to quantify in monetary terms; thus they were not included in the economic analysis. However, they certainly amount to substantial socio-economic values. Among the non-quantified benefits are the following: Improved communication, better access to a wide range of social services including both educational and health facilities through improvement of the road network; Improved hygiene standards in the markets. During the interviews with the MIDPCR traders, many of them recalled the problems of the old market, when they had to move around in knee-deep mud in the monsoon and in dust in the dry season. The market improvements in terms of better water supply, toilet facilities, general cleanliness and security make the market more attractive to customers and vendors; Human lives saved with the cyclone shelters. Assessing the economic benefit of a cyclone shelter is fraught with difficulty, as it is difficult to predict how many people and the type and number of livestock that will actually use a shelter in any given circumstance and perceived risk. Furthermore, it is extremely difficult to attach a monetary value to a human life, compared with that of financial damage to or loss of assets. Capacity building of Market Management Committees and Banik Samities (Shopkeepers associations) and their higher involvement in market maintenance and functioning. Increased possibilities of income generation for women and positive impact on women s empowerment through LCS activities and development of women s market sections in the markets and increased women s trade. III. FINANCIAL ANALYSIS 19. Rice, vegetables, livestock and fish production constitute the livelihood basis for most of the smallholder households. A number of indicative economic activities, which will benefit from CCRIP, were identified during the project design process. In total eight illustrative models (six crop models, one livestock model/dairy and one fishery model) were prepared to illustrate the impact of the potential investments on agricultural production within markets and roads catchments areas. Agricultural Models 20. Crop models. Agricultural products considered in the analysis are the most popular for the project area. For the purpose of the analysis several models have been prepared, including: paddy/rice, tomatoes as a proxy for winter vegetables, and lady s fingers as a proxy for summer vegetables. Paddy is the main staple crop grown in the project area. The production is sold by farmers mainly as paddy, soon after the harvest time. Generally, about 60% of the household paddy production is sold at the local markets, the rest is home consumed. In the analysis two main paddy varieties were considered: amon (rainfed) and boro (irrigated). Vegetables are grown for local sales (about 70%) and household consumption. For both paddy and vegetables, the activity models illustrate the impact of improved roads and markets in terms of reduced transportation costs and higher selling price due to larger number of buyers coming to the market and hence higher demand for the agricultural production. It can be also expected that due to better roads farmers will benefit from better access to inputs. However, given the CCRIP will be focused on the infrastructure while the following MAPP project will implement value chain development activities in the same project area, at this stage it has been conservatively assumed that the benefits from increased agricultural production would be expected but will not be quantified. Incremental increases are expected to range from BDT 936 for aman (local variety) to BDT 1,859 for boro high yield variety. The models are presented in Table 2 of the Appendix. 21. Livestock and fish pond models. Livestock are traditionally an important part of the integrated farming system in Bangladesh. The ownership pattern of livestock indicates that about 87 percent of the rural households, which belong to landless, marginal or smallholder 3

343 Annex 16 groups rear livestock and poultry. The most critical problem for livestock rearing is the lack of preventive and curative health care services. Only about 5 percent of the animals are dewormed and about 10 percent may have preventive vaccination, whereas if only de-worming is done percent of animal health problem can be prevented. The model (one dairy cow with one calf) illustrates that better access to veterinary services and better husbandry due to the improved roads leads to increase in milk production and income. The incremental revenue is BDT 925 and the return to labour (with project) is BDT 139. The model is presented in Table 3 of the Appendix. 22. For both livestock and fisheries, the dominant factor determining a household s income is its access to market. How quickly and frequently a household can take its products to market determines the size of its income from livestock and fisheries. If livestock products and fish are not easily marketed, households have little incentive to increase their output, since production is only for home consumption. 23. Small-scale fish farming is an important opportunity to generate income and is a significant nutritional source providing protein-rich food all year. The model illustrates the approach commonly implemented on a small scale that is local fish pond farming. The main types of cultivated fish are carp, tilapia and catfish. The model illustrates carp production. In the warm climate of Bangladesh growth is rapid and the fish attain marketable size within 4 month, providing farmers with a rapid return on their investment and labor. The model is presented in Table 4 of the Appendix. 24. Table 5 presented in the Appendix shows the summary results of the crop models and the comparison of income in the without and with project scenario for the selected agricultural products. IV. ECONOMIC ANALYSIS 25. Benefit Stream. The analysis attempts to identify quantifiable benefits related to the activities undertaken following the implementation of the components of the project. The incremental quantifiable benefit stream comprises following elements: (i) benefits from upazilla, village and union roads improvements; (ii) benefits from GCM and village market infrastructure development; (iii) agriculture (crop, livestock and fish) production benefits. 26. The illustrative crop, livestock and fishery models prepared for the purpose of the financial analysis, and described above, have been used for the calculation of the overall benefit stream, using economic values. In addition, three separate models have been developed to illustrate the benefits from roads and market infrastructure development. 27. Road development. Incremental benefits were computed for upazilla, union and village roads (601 km) following two methods: (i) increases in transported goods (agricultural production) for the roads with low volume of traffic, such as village roads connecting the village with the next village market and (ii) vehicle operating costs savings for union and upazilla roads generating more traffic. The construction costs as well as routine and periodic maintenance costs of the union and village roads are estimated on the basis of technical information given by the concerned executive engineers. 28. Upazilla road model. The model is based on the vehicle operation cost savings method. The analysis has been carried out by ADB assuming that the savings will accrue to both existing traffic and to traffic generated by improvements made to the road. Existing traffic is based on traffic counts undertaken on subproject roads. Generated traffic is estimated according to the results of the monitoring and evaluation carried out for the Rural Infrastructure Improvement Project (RIIP). This analysis was meant for a 5.2 km upazilla road connecting a village road to the upazilla roads network. The estimated investment costs for the upazilla roads under the project are based on the scenario C (see paragraph 9). The model results in an economic rate of return (ERR) of 13 percent over 20 years and is presented in Table 6 of the Appendix. 29. Village road model. The model illustrates the possible incremental benefits from the rehabilitation of a village road of 4 km. It is assumed that the beneficiaries within the road catchment area are about 200 households per km of road. The benefits would be derived from increased volume of transported products for sale and reduced transportation costs of vehicles. The volumes of transported products for selected beneficiaries are those reported in the crop budgets presented in earlier sections. The estimated investment cost is BDT 22.3 million (USD 4

344 Annex ,195). Annual costs for road O&M are assumed to be five percent of the investment costs starting two years after the investment. The model results in an economic rate of return (ERR) of 13 percent over 20 years. The model is presented in Table 7 of the Appendix. 30. Union road model. The model is based on the vehicle operating cost savings method. The benefits are estimated by computing the probable savings of vehicle operating cost per km for the existing and incremental traffic, which are assumed to be 20 percent in case of improved union roads. The growth rate of traffic is assumed to be a constant increase of 5 percent per year plus the generated traffic in terms of a doubling of the traffic volume in the year following the development. The analysis was carried out for a 5 km union road connecting a small town to a hat bazar. The model results in an economic rate of return (ERR) of 13 percent over 20 years. The model is presented in Table 8 of the Appendix. 31. Growth Center Markets (GCM) development. The economic analysis of the CGM is based on the estimation of quality deterioration savings. The benefits are expected to come from spoilage reduction and from the increase of market turnover. The reduction of spoilage is estimated on the basis of prices paid for a range of perishable commodities typically traded in the project area. The model results in an economic rate of return (ERR) of 15 percent over 20 years. The model is presented in Table 9 of the Appendix. 32. Market infrastructure development. For each selected market, the project would support infrastructure improvements chosen by the Market Management Committee. Therefore, in this analysis the most common single investments that have an economic impact were selected and their expected benefits assessed against their costs. During field visits, it was apparent that the investment most badly needed in most of the markets is a hard surface that allows a clean and dry display of the goods of the temporary traders and also a comfortable passage for the buyers. Another investment that was regularly demanded as a high priority was the construction of covered sheds with open sides, usually without platforms. Such sheds provide shelter for a limited number of temporary traders and their goods, and are mainly useful in the rainy season to protect goods from the rain and mud. For markets that operate at or around lunch-time, the sheds also provide protection against the sun in the dry season. 33. The market benefit analysis is based on the spoilage reduction method, which assesses the effects of market infrastructure improvements in terms of the reduction in physical waste of traded produce. This method captures the benefits realized by both the traders and the buyers, is applicable to all types of produce and measures actual economic benefits. Investment and maintenance costs (assumed to be at 4 percent) were discounted to obtain the economic costs. The data was based on recent supervision reports and impact market assessment of rural market1. The detailed calculations are presented in Table 10 of the Appendix. 34. Cost Stream. In order to estimate the project's economic viability, in the form of the Economic Internal Rate of Return (EIRR), the cash flow calculated includes the project base costs (as extracted from the COSTAB tables shown in Table 11 of the Appendix) with their physical contingencies but without taxes and price contingencies (therefore in constant BDT). The costs include all investments for all project components as well as their replacement (for transportation, office and computer equipment/materials, etc.) and recurrent costs (mainly operation and maintenance for transportation, equipment and materials). 35. Project Estimated Return. The base case Economic Internal Rate of Return (EIRR) is estimated at 16 percent over 20 years. The base case net present value of the project s net benefit stream, discounted at 12 percent, is BDT 2,414 million. The summary of the economic analysis is presented in Table 13 of the Appendix. 36. Sensitivity analysis. Sensitivity analysis assessed the effect of variations in benefits and costs and for various lags in the realisation of benefits. A number of scenarios were tested to establish the economic viability of the total project in the event of adverse factors. The EIRR is relatively stable with regard to cost increases, benefit reductions and lags. Even in the case of extreme delays of the realisation of project benefits of two years or a relatively unsustainable nature of project benefits, represented by an annual 20% decrease of benefits, the EIRR 1 Market Infrastructure Development Project in Charland Regions, Impact Assessment of Rural Markets. This report, prepared by the IFAD Mid-Term Review Mission, is based on data collected and analysed, and reports prepared by the MIDPCR PMU on the improvement status of the initial batch of 18 rural markets,

345 Annex 16 remains equal or above the assumed opportunity cost of capital of 12%. The results of the sensitivity analysis are presented in the Table 14 of the Appendix. Table 1: Financial and economic prices Unit Financial Economic Outputs Crop Production Paddy kg Chili (dry) kg Okra (Lady's Finger) kg Aubergine (Brinjel) kg Tomato kg Potato kg Wheat Bran kg Fish kg By-product Husk kg Straw kg Output: Livestock Cow Milk lt Culled Cow (200tk/kg) head 30,000 27,900 Male Calf 12 months head 11,000 10,230 Female Calf months head 11,000 10,230 Male Calf 14 months head 20,000 18,600 Female Calf months (WP) head 20,000 18,600 Day-old chick head Hen (up to 4 month) head Culled Chicken kg Eggs unit 5 4 Manure (cow dung) kg Manure (compost) kg Inputs Seed Seed rice - local kg Seed rice - hyv kg Seed - local potato kg Seed - Okra kg Seedling - tomato 80 units Labour Ploughing (power tiller including diesel and labour) acre 2,000 1,860 Fertilizer & pesticide application day Transport- farm to market - carried by hand kg Transport cost per passenger ( farm to market, rickshaw van) kg Transport cost (goods, farm to market, rickshaw van) km/mound Labour - rice crops day Labour - other crops (mostly female) day Fertilizers, Pesticdes, etc. Fertilizer (Urea) kg Fertilizer (MOP) kg Fertilizer (TSP) kg Organic matter lt Pesticide (2-3 times-max 500ml/acre) kg Insecticide kg Fungicide kg Bags unit Investment Costs: Livestock Cow in calf head 20,000 18,600 Oilseeds cake kg Wheat bran kg Husbandry Costs (Annual): Livestock Straw kg Oil Cake kg Wheat Bran kg Rice bran kg Feed (chicken) kg Salt kg 10 9 Veterinary services (cattle) CU Vaccination (Chicken) bird 2 1 Napier grass kg

346 Annex 16 Table 2: Crop models Boro (local) Boro (HYV) Aman (local) Aman (local) Tomato - winter veg Okra - summer veg Unit without project with project without project with project without project with project without project with project without project with project without project with project Yields Main product kg 1,800 1,800 2,000 2,000 1,000 1,000 1,350 1, ,100 1,100 By-product ( straw) kg 3,240 3,240 3,600 3,600 1,700 1,700 2,295 2,295 Crop Seed/Seedlings (local) kg Inputs Seed/Seedlings (improved) kg Fertilizer (urea) kg Fertilizer (TSP) kg Fertilizer (MOP) kg Gypsum kg Organic manure (cow dung) kg Pesticide kg Sacks/baskets No Machine hire cultivation times Fertilizer/pesticides application days Transport (rickshaw/van) kg/km 1,890 1,890 2,060 2,060 1,050 1,050 1,395 1,395 1,050 1,050 1,175 1,175 Hired agricultural labour pers/days Family labor pers/days Irrigation times Input/ Main Product TK/kg Output By-product TK/kg Prices Seed/Seedlings (local) TK/kg Seed/Seedlings (improved) TK/kg Fertilizer (urea) TK/kg Fertilizer (TSP) TK/kg Fertilizer (MOP) TK/kg Organic manure (cow dung) TK/md Pesticide TK/kg (l) Sacks/baskets TK/each Machine hire cultivation TK/acre 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 Hired agricultural labour TK/day Transport (rickshaw/van) Tk/kg Gross Main product sold TK/acre 21,600 22,680 24,000 25,200 12,000 12,600 16,200 17,010 26,600 27,930 23,100 24,255 Main product home consumed Output By-product TK/acre Sub-total TK/acre 21,600 22,680 24,000 25,200 12,000 12,600 16,200 17,010 26,600 27,930 23,100 24,255 Costs Seed/Seedlings (local) TK/acre 2,000 2,000 Seed/Seedlings (improved) TK/acre Fertilizer (urea) TK/acre 1,000 1, Fertilizer (TSP) TK/acre Fertilizer (MOP) TK/acre Organic manure (cow dung) TK/acre Pesticide TK/acre Sacks/baskets TK/acre Machine hire cultivation TK/acre 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 Transport (rickshaw/van) TK/acre 6,048 5,443 6,592 5,933 3,360 3,024 4,464 4,018 3,360 3,024 3,760 3,384 Hired agricultural labour pers/days 3,250 3,250 3,250 3,250 2,250 2,250 2,250 2,250 2,500 2,500 1,750 1,750 Family labor pers/days Irrigation cost TK/acre 3,000 3,000 3,000 3,000 3,000 3,000 Sub-total TK/acre 16,108 15,503 16,717 16,058 8,585 8,249 10,509 10,063 15,436 15,100 10,111 9,459 Net benefit TK/acre 5,492 7,177 7,283 9,142 3,415 4,351 5,691 6,947 11,164 12,830 12,989 14,796 Incremental net benefit 1,685 1, ,256 1,666 1,807 7

347 Annex 16 Table 3: Livestock/dairy model FINANCIAL ANALYSIS LIVESTOCK MODEL Assumptions: without with Herd of 1 adult animal unit unit cost project project Cow age at first calving month Subsequent calving intervals month Calves per pregnancy no Calves survival rate % 80% 85% Adult deaths and natural losses (annually) % 6% 4% Deaths through disease outbreaks % 0% 0% Herd composition at the beginning of the indicated year: Y1 Y1 Adult cows no. 1 1 Heifers no. - - Calves no. 1 1 Adult bulls no. - - Inflows (sale and/or consumption) no. amount without with without with project project project project Milk sales l Manure (dry) kg Cow no Male calf (14 months old) no Total Inflows Outflows Payment for bull service no Napier grass /a kg Rice straw /b kg Oilseed cake kg Wheat bran kg Salt kg Veterinary services lumpsum Total Outflows Cash flow Incremental cash flow before financing (=after financing) n/a 925 Table 4: Fish pond model FINANCIAL ANALYSIS FISH POND MODEL (per 1 acre pond per year) Assumption: harvest is done by a fisherman-byer quantity amount Cowdung is from the farm without with without with WP the harvest increase by 10% unit project project project project Use of fert. Might increase WP unit cost Y1 Y1 Y1 Y1 Inflows Carpe (three harvests) kg , Total Inflows Outflows Fingerlings piece Supplementary feed (rice bran/ oil cake) kg lumpsum Urea fertiliser kg TSP fertiliser kg Lime (gypsum) kg Cowdung kg Family labour pers.day Hired labour: pond preparation pers.day Total Outflows Cash flow

348

349 Annex 16 Table 5: Summary of financial benefits Activity model WOP WP \a Incremental Boro (local) 5,492 7,177 1,685 Boro (HYV) 7,283 9,142 1,859 Aman (local) 3,415 4, Aman (local) 5,691 6,947 1,256 Tomato - winter veg 11,164 12,830 1,666 Okra - summer veg 12,989 14,796 1,807 Fish production 8,900 10,595 1,695 Livestock/dairy production 7,840 8, \awop - without project, WP - with project at full production Net Benefit Table 6: Upazilla road model Subproject Economic Cash Flows (BDT million) Scenario C - Upgrade to 20-Year Climate Adaptation Standards Operational Days per Year Benefits Existing traffic Generated traffic Total Benefits Costs Construction costs Maintenance costs Routine Periodic Subtotal Maintenance costs Land Acquisition Total Costs Net Cash Flow Economic Internal Rate of Return 14.7 Allocation of Project Overhead Costs Net Cash Flow Economic Internal Rate of Return 13 12

350 Annex 16 Table 7: Village road model ECONOMIC ANALYSIS VILLAGE ROAD (BDT) Description Beneficiaries Cropping pattern (acres) Production (kg/acre) Number of beneficiaries 200 Rice production Vegetables production (tomato) Sub-total production Volume, tons Economic Price, BDT/tonne Value, BDT Rice producers ,661 5,332,132 Vegetables producers ,200 7,068,000 Total ,400,132 Parameters Unit WOP WP Number of beneficiaries (1km) no Total volume of production ton Rice producers ton Vegetables producers ton Total value of production BDT 12,400,132 13,020,139 Rice producers 5,332,132 5,598,739 Vegetables producers 7,068,000 7,421,400 Total volume of sales ton Rice producers Vegetables producers Average journey km 4 4 Volume of sales transported ton/km 1,012 1,012 Total value of sales transported BDT 8,146,879 8,554,223 Rice producers 3,199,279 3,359,243 Vegetables producers 4,947,600 5,194,980 Net income from sales BDT 4,358,131 5,510,446 Rice producers 1,026,347 1,409,366 Vegetables producers 3,331,784 4,101,080 Incremental net income from sales BDT 1,152,315 Transportation costs, rikchshaw van per km BDT/ton/km 3 3 Volume of transportation by richshaw van ton/km 1,012 1,012 Total transportation costs by richshaw van BDT/km 3,012 3,012 Total transportation costs (4km) BDT 12,047 12,047 13

351 Annex 16 Village road model EIRR CALCULATION. VILLAGE ROAD PY 1 PY 2 PY 3 PY 4-20 PY 5 PY 6-20 Incremental net revenue (1 km) 230, , , ,852 1,152,315 Incremental net revenue (4 km) 921, ,843, ,765, ,687, ,609, Economic Investment costs /a Village road, BC, BDT 22,320,000 Recurrent Costs Operation and maintenance /b 223, , , ,200.0 Sub-total recurrent costs , , , ,200.0 Total Incremental Costs 22,320, , , , , ,400 Net benefit (22,320,000) 698,652 1,397,304 2,319,156 3,241,008 4,162,860 a/ Shadow Price Factor Capital 0.78 b/ 5% of the investment costs for road rehabilitation after the end of the investment period Internal rate of return 13% NPV (BDT ) 1,047,074 14

352

353 Annex 16 Table 8: Union road model Year Investment Cost per km Total Investment Cost ECONOMIC ANALYSIS UNION ROAD (BDT Million) Maintenanc Total e Cost per Maintenance km Cost (Financial) Total Economic Cost Current Traffic Benefits Generated Traffic Benefits Total Benefits Cash Flow (46.760) NPV: 4.91 (BDT Million) ERR: 13% 16

354

355 Annex 16 Table 9 : Growth Center Markets Subproject Economic Cash Flows (BDT million) Scenario C - Upgrade to 20-Year Climate Adaptation Standards Operational Days per Year Benefits Existing traffic Generated traffic Total Benefits Costs Construction costs Maintenance costs Routine Periodic Subtotal Maintenance costs Land Acquisition Total Costs Net Cash Flow Economic Internal Rate of Return 14.7 Allocation of Project Overhead Costs Net Cash Flow Economic Internal Rate of Return 13 18

356 Annex 16 Table 10 : Village Market ECONOMIC ANALYSIS MARKET DEVELOPMENT (BDT) Without Project With Project Haat days Other days Haat days Other days Permanent shops (BDT) Margin per shop and per day Number of shops ,806 8, ,731 9,287 Margin per week 168, ,017 Temporary traders (BDT) Margin per trader and per day Number of traders ,183 6, ,496 7,137 Margin per week 253, ,633 Annual margin per market (BDT 000,000) Annual margin for all permanent shops Annual margin for all temporary traders Total Incremental margin (BDT 000,000) 41,500 (USD) PY1 PY2 PY3 PY4 PY5 PY6 PY7 PY8 PY9-PY20 Investment costs per market 4,613,453 Maintenance costs 230, , , , , , , ,673 Replacement costs 2,306,726 Total costs 4,613, , , , , ,673 2,537, , ,673 Benefits per market 340, ,600 1,361, ,402,999 3,402,999 Cash flow -4,613, , , ,927 1,130,527 1,811, ,000 3,172,326 3,172,326 EIRR 24% EIRR CALCULATION MARKET DEVELOPMENT 19

357 Annex 16 Table 11 : Incremental Economic Project Costs (BDT Million) INCREMENTAL ECONOMIC PROJECT COSTS (BDT Million) PY1 PY2 PY3 PY4 PY5 PY6 PY7 PY8 PY9 PY10 PY11 PY12 PY13 PY14 PY15 PY16 PY17 PY18 PY19 PY20 Investment Costs A. Improved Road Connectivity 1. Upgraded Upazila Roads Upgraded Union and Village Roads , , B. Improved Market Services 1. Upgraded Growth Centers and Large Markets Upgraded Community Markets C. Enhanced Climate Change Adaptation Capacity 1. Enhanced Capacity and Knowledge Management Upgraded Climate Disaster Shelters D. Project Management Total Investment Costs 1, , , , Recurrent Costs Replacement costs Field equipement WD (Jeep, pick up) Motorbikes Office equipment Total Replacement Costs TOTAL PROJECT COSTS 1, , , , Table 12 : Project Incremental Net Economic Benefits (BDT Million) Total Incremental Net Benefits PROJECT INCREMENTAL NET ECONOMIC BENEFITS (BDT Million) PY1 PY2 PY3 PY4 PY5 PY6 PY7 PY8 PY9 PY10 PY11 PY12 PY13 PY14 PY15 PY16 PY17 PY18 PY19 PY20 Roads ,013 1,077 1,115 1,155 1,197 1,241 1,289 1,338 1,390 1,446 1,504 1,565 1,630 Markets ,003 1,009 1,015 1, Agricultural production TOTAL ,378 1,949 2,387 2,590 2,685 2,727 2,771 2,818 2,868 2,920 2,975 3,033 3,094 3,158 3,226 3,022 20

358 Annex 16 Table 13 : Calculation of the overall EIRR of the CCRIP (BDT Million) PY1 PY2 PY3 PY4 PY5 PY6 PY7 PY8 PY9 PY10 PY11 PY12 PY13 PY14 PY15 PY16 PY17 PY18 PY19 PY20 Total Incremental Net Benefits ,378 1,949 2,387 2,590 2,685 2,727 2,771 2,818 2,868 2,920 2,975 3,033 3,094 3,158 3,226 3,022 Total Incremental Costs 1,529 2,526 3,663 2, Cash flow -1,529-2,461-3,384-2, ,660 2,073 2,293 2,478 2,520 2,565 2,612 2,661 2,713 2,661 2,735 2,887 2,952 3,020 2,816 IRR 16% NPV 2,414 Calculation of the overall EIRR of the CCRIP (BDT Million) Table 14 : Sensitivity analysis Summary of sensitivity analysis EIRR Base case 16% Costs overrun by 20% 13% Decrease in benefits by 20% 12% Benefits delayed by tw o years 13% 21

359

360 Annex 17 Annex 17 Draft Project Administration Manual [see combined PAM (ADB/IFAD)]

361

362 Annex 17 Annex 17 Draft Project Administration Manual Table of Contents I. Introduction to Manual (PAM-II) II. III. IV. Project Objective and Components Project Area and Target Population Component 1: Improved Road Connectivity V. Component 2: Improved Market Services VI. VII. VIII. IX. V.1 Market Development V.2 Market development by LCS V.3 Market Management Committee Component 3: Enhanced climate change adaptation capacity Innovation and Research Project Targets and Finance Project Management X. Financial Management and Procurement X.1 Financial Management and Disbursement X.2 Procurement Management APPENDICES Appendix 1: List of selected union/village roads, community (village) markets, CCPs and ghats Appendix 2A: Annual project physical targets and financial plans Appendix 2B: Detailed COSTAB Appendix 3A: Structural design of roads Appendix 3B: Detailed cost calculation of roads Appendix 3C: Unit cost Appendix 4A: structural design of market elements Appendix 4B: structural design of ghat Appendix 4C: Detail cost of calculation for individual market structure and unit cost for all types of markets. Appendix 5: Various formats for management of LCS groups Appendix 6: Sample Agreement with MMC Appendix 7: Total Project Staffing and TOR for additional staff members financed by IFAD Appendix 8: IFAD Financial Management Manual Appendix 9: IFAD Procurement Manual 1

363

364 Annex 18 Annex 18 Contents of Project Life File

365

366 Annex 18 Annex 18 Contents of Project Life File 1. COSOP Preliminary design mission Aide Memoire 3. Preliminary design document (inception mission report) 4. Design mission Aide Memoire 1