KSHIP I
The Karnataka State Highway Improvement Project is being implemented with the financial assistance of the IBRD (The World Bank) in line with the Project & Loan Agreement dated 21-07-2001. The original cost of the project was Rs.2030.27 Crore, which includes World Bank loan of Rs. 1635.21 crores (US $ 360.00 million) being 80% of the project cost and GoK share of 395.06 crore being 20% of the Project Cost.
The cost of the Project has been revised to Rs. 2304.49 crore and approved by the Government vide G.O. No. PWD 55 EAP 2006, dated 25-11-2006.The Project Completion Date has been extended from 30-06-2006 to 31-10-2007. The loan closing date has been extended from 31-12-2006 to 31-01-2008.The World Bank loan Agreement is concluded on 31-01-2008. The cost of the Project has been further revised to Rs. 2389.49 crore. The Project Completion Date has been extended from 31-10-2007 to 31-07-2010. A proposal has been placed before SLCC for revision of the project period from 31-07-2010 to 31-03-2011.
Physical Progress:
The total project length of 2414 Kms(Revised length -2385) have been taken up for improvement in 50 contract packages under Upgradation and Rehabilitation category. Out of the total road length of 2385 kms a length of 2384 kms accounting for 99.96% of the total length has been completed and opened to traffic as on date (Nov 2010)
Project Details:
| Description |
Upgradation |
Rehabilitation |
Bridges |
Bypasses |
Total |
| Total No. of packages |
10 |
35 |
3 |
2 |
50 |
| Original Project length Length in Km |
885 |
1514 |
|
15 |
2414 |
| Revised Project length Length in Km |
885 |
1485** |
|
15 |
2385 |
| Total Completed length in Km |
885 |
1485 |
|
14 |
2384 |
| Completed packages |
2 |
1 |
3 |
1 |
48 |
| Balance Packages to be completed |
|
|
1 |
1 |
2 |
| Balance length in Km |
|
|
|
1 |
1 |
Note:
Length of 19 Kms within Anshi National Park in Uttra Kananada District deleted from M27 Package(Rehabilitation)
Length of 10Kms in Rajiv Gandhi National Park (Nagarahole) area is deleted from M32A package.(Rehabilitation)
Balance work in 2 packages is about 1 km of road length and 1 bridge. The balance works are expected to be completed by March 2011.
Financial Progress:
Project Expenditure: -
The Project has achieved the financial Progress of 98.41 % against the Re-revised cost of Rs.2389.49 Crore up to end Nov 2010. The Loan Closure Date is 31.01.2008.
| Original Cost |
Revised Cost |
Re Revised Cost |
Cumulative
Expenditure |
% of Progress |
| 2,030.27 |
2,304.49 |
2389.49 |
2351.59 |
98.41 % |
The component wise expenditure details are as under (Rs in Crore) :
Expenditure Category |
Original
Project Cost |
Revised Project Cost as per G.O Nov, 2006 |
Re-Revised Project Cost |
Cumulative Cumulative Expenditure up to November 2010 |
1 |
2 |
3 |
4 |
5 |
| Civil Works |
1564.16 |
2087.11 |
2147.66 |
2111.58 |
| Goods |
27.93 |
18.05 |
16.90 |
16.90 |
| Services |
147.39 |
182.98 |
208.58 |
206.76 |
| Front-end-fee |
16.35 |
16.35 |
16.35 |
16.35 |
| Un-allocated |
274.44 |
- |
- |
- |
| Total |
2,030.27 |
2,304.49 |
2389.49 |
2351.59 |
The year wise physical & financial progress since inception is as below:
Rs in Crores.
Year |
Financial (Rs.Crore) |
Physical (Kms) |
| 2001-02 |
53.5 |
-- |
| 2002-03 |
161.23 |
191 |
| 2003-04 |
231.53 |
366 |
| 2004-05 |
480.26 |
510 |
| 2005-06 |
541.35 |
666 |
| 2006-07 |
524.62 |
449 |
| 2007-08 |
195.8 |
132 |
| 2008-09 |
73 .14 |
40 |
| 2009-10 |
66.90 |
30 |
| 2010-11 Nov |
6.91 |
|
| Front End fee |
16.35 |
-- |
| Total |
2351.59 |
2384 |
1. Government of Karnataka has now proposed to take up KSHIP- II to further improve state highways. Strategic Option Studies were carried out on l4,090 Km of State Highways. Feasibility studies were conducted on selected 4888 km roads. The selection of roads for preparation of Detail project report is based on ranking with 80 % weightage for economic internal rate of return and 20% weightage for Deprivation Index derived from Dr Nanjundappa committee report for redressal of regional imbalances. Finally, 3411 Km of State Highways are identified for improvement, which is approved by the Cabinet in Nov 2006. A Government Order was issued to notify the consultants to prepare DPR for selected 3411 kms vide No. PWD 61 EAP 2006 dated 25.11.2006.
Consultants M/s.ScottWilson Ltd., U.K in Jv with Scottwilson India Ltd,Delhi have been appointed following World Bank norms to carry preparation of Detailed Project Reports (DPR).
2. The DPR is ready for 3411 Kms.
3. The Department of Economic Affairs, Govt. of India has recommended a loan assistance of US $ 300 million for the project of KSHIP-II from the World Bank.
Successive World Bank Missions headed by Mr. Binyam Reja have visited the project and the state to review the progress of the Project Preparation and to discuss and agree on the remaining Project preparation activities and timeline for project Appraisal and approval of the proposed Karnataka State Highway Improvement Project –II (KSHIP-II). A road length of 831 Kms is proposed for improvement under Stage-I of KSHIP-II with the World Bank financial assistance. Out of 831 kms, 269 kms are proposed for implementation through EPC mode and the remaining 562 kms through Annuity mode, The activities related to Land Acquisition, clearing of encumbrances and Environmental clearances etc are in progress.
4. The World Bank has also provided a Public Private Infrastructure Advisory Facility (PPIAF) grant of 44,000 US $ to provide technical assistance and advisory services to Govt.of Karnataka to develop roads under various Public Private Partnerships by raising resources from private sector, domestic financing and Viability Gap Funding(VGF) grant. The PPIAF consultant has Submitted draft report.
KSHIP-II THE WORLD BANK ASSISTANCE PROJECT (Stage-I)
The Department of Economic Affairs, Govt. of India has recommended a loan assistance of US $ 300 million for the Project of KSHIP-II from the World Bank. The status of the project is as below;
826 kms of State Highways have been finalized for upgradation to 2-lane under WB finance. The implementation is proposed to be under taken in two category of contracts viz EPC contracts (conventional item rate contract) and Annuity contracts. The list of roads is provided in the table below:
The EPC contracts are regular ICB contracts with defects notification period of one year and the World Bank is expected to fund 80% of the contract cost.
The Annuity Contracts would be of 10 years duration with max. of 3 years of construction and 7 years of maintenance. Under Annuity Concession Contracts, it is proposed to avail the World Bank assistance for an upfront payment of 50% of the construction cost and the remaining payments during the maintenance period of 7 years on annuity basis to be met out of State funds.
Bids for EPC contracts have been invited. Bids were opened on 01-06-2010. The bid evaluation at PIU has been completed and the World Bank clearance for the Bid Evaluation Report is expected shortly. The contractors for the five EPC contract works are expected to be mobilized after the clearance of the World Bank in December 2010.
Mobilisation process of Construction Supervision Consultancy Services for EPC contracts is initiated and Banks no objection to Technical Evaluation of RFP is received. Financial proposals are to be opened shortly.
Bid documents for procurement of Annuity Contracts are under finalization in consultation with the World Bank. The clearance of the Bank is expected by January 2011.
Mobilisation of Transaction Advisory Consultancy Services for procurement of Annuity contracts has been initiated.
Pre-project activities of Land acquisition, R&R issues, Shifting of utilities, environmental issues for the entire length of 826 kms are undertaken as per World Bank norms. Provisions of KSHA 1964 has been adopted for land acquisition under the project.
Removal of encumbrances for the EPC roads is in advanced stage of completion.
Based on the recommendation of GOI, ADB has proposed to fund US$ 300 million for the KSHIP-II project from the year 2010.
ADB Mission has visited KSHIP on the following dates to review the project preparatory activities.
1. November 2008 – Contact Mission.
2. March 2009 – Consultation Mission.
3. February 2010 – Inception Mission.
4. May 2010 – Loan Reconnaissance Mission.
5. August 2010 - Loan fact finding Mission
ADB Mission has proposed the following tentative timeline schedule for processing the proposed project as under.
Based on advanced preparedness of KSHIP, ADB has advanced loan processing to 2010-11 instead of 2011-12.
Loan negotiation process is attended during 29-30th October 2010.
ADB has finalized 634 kms of prioritized State Highways for development out of 3411 kms of roads in KSHIP-II. The list of roads shortlisted for ADB Projects are:
Preliminary activities like utility shifting, land acquisition and R & R are under progress.
Bidding document (contract conditions) for civil works is submitted to ADB for review. ADB has communicated the comments on the bid documents and compliance to the same are prepared. Modified bid documents attending the comments submitted to ADB.
RFP document for Consultancy Supervision Consultant is submitted to ADB for review. ADB has communicated the comments on the RFP document twice earlier and the same were attended. Modified RFP document after attending the recent comments is submitted to ADB. EOI evaluation is under progress.
Procurement plan for ADB project is submitted to ADB.
As per the tentative programme schedule bids will be invited during December 2010 and contracts will be awarded during April 2011.
Report and Recommendation of President (RRP), PAM and other documents are finalized.
Terms of reference for Piggy-Back CDTA, PRAMC, S-PATA are finalized.
ADB has intimated Loan Negotiation date as 28-29 October, 2010.
Government Order has been issued towards approval of ADB project.
SLCC approval to ADB project has been received.
Asian Development Bank has provided US$ 1.5 Million as grant from the Japan special fund to carry out CDTA studies. M/s. Scott Wilson India Pvt. Ltd., is the consultant and the task assigned are:
A. Preparing master plan for the road sector.
B. Establishing & Strengthening of KSHTTA in master planning work.
C. PWD Institutional Strengthening for road sector maintenance, improvement, training.
The consultancy work is under progress. The consultant has submitted interim report on the components A, B, C.
Workshop conducted on 22.11.2010 towards review, PWD opinion for the finalization of proposed CRN.
Clarification to queries and addendum for qualification pertaining to procurement of Annuity contracts on DBFOMT basis
