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AFRICAI{ DEVELOPMENT BANK

M E U O R A N D U M

ADB/ID/Wg TB4I139 I October 1984 OriqinaL : ENGLISH

TO

BOARDOF H(ECUTIVE DIRECTORS

D. BIHUÏE Acting President
'901ttâI,IA : POST-EVALUATION REPORT0N THE SA-BERBEM -'IiARGXI PROJECT
:j. .: -

SUBJECT .:

.ir:r-'."

:

l. Sonali

This report Denocratic

discirsses the Hargeisa-Betbera This project

Road projecr

in the

Rêpublic.

represented

the Bankts first

invol-venent

in Somalia.

Early in 1965, the Gôvernm€nt of SornaLiarequested the UNDP to assi'st in the financing af a feasibiLity strrdy of two roade in rhe Northern Region of Sonialia of which the llargeisa-Berbera Road was one. study of the road was prepared by Messre Grimble and Associateg'''àA'a IBRD/IDA as executing agent. The study was conpleted in . Marck i1966. In;1969" the ADB jointly with UNDP, the'fol.Low-up {inanced detai-l'e{ erigineeri!!g ;stud} under its technical assiStànce prograrme. Ttris'studi vas conduitea ty Messrs Ingenieuribuero Dorsch and completed in'1970. ' the.-'Èrojeet ?nd ilg Otjectiveà ;. , rtre feasibility

2.

,' _ . ,' , . ,:.,, 3. .' ,The project was appraised in Éeeenber 1970 with the participation 'ôr tr,e rDA and rùas approved by the ADB Board on 20 ocrober. Lg7L. A Loan Agreementfor rhe esuivalenÈ of US $ l.O million (UA 1.0 nillfon) was signed on'10 December1971. IDA provided US $ 9.6 niLtion o.rl of " totât project cost of us $ 10.6 miLLion. The project, compris.edthe conétruction, including paving ef a two-lane highway between Hârgeisa and Berbera (about 158 lfu); "orr".ritancy s"rvices to supenzise road etudy and detailed enginéering of the Hargeiea-Boraoa road (about 140 Kn) including â spur to Tug I,traJrale (about 20 Kn) as well. as the revierring and updating of the transporrél eonstruction, a feasibitity

..,12

.

t

r

.

tion

surrrey undertaken in Somalia in 1966. were to assist

the nnain objectives

of the

project its

transportation

the Government of Somalia (COS) in (a) improving network and (b) plutttting transportation investnents.

Project Inplenentation
4. bidder, !972. The contract contracting for

and fnpact
was awarded to the lowest

road construction

and rrading

company (cAt or Lebanon) in February six

The road construction

was conpleted on May g, 1975, only

months behind schedule. disputes rggarding

This was due to a number of factors

including

between the nain contractor transport rates, lack

and the haulage sub-contractors capacity crusher for a period expa-

of a high for

of t,ime, withdrawal triate staff"

of work permits

B of the contractorfs and contractor consultant

lhe quality

of construction

of the road rrere "sati eJa,ctory. significant contract. contribution AlL centractor

The supenrisory

maintenance I s staf f made

to the successful

conpletion

of the road

claims were settled.

5.

The feasibility

study and detailed,engineerinq out by consultants,

of the Hargeisa(rtaty).

Borarna Road etc. The quality I{ith

Itere carried

Renardet-Sauti

of work produced by the consultants the GOS retained the detaiLed The report

was judged unsatisfactory. Dorsch Consult (Federal

the Bankfs concurrence,

Republ,ic of Ge::nany) to review documents prepared by sauti. somalia planning produced by sauti,

engineering

and bidding survey of

on transportation

as part. of the asgistance satisfactory.

in transport

was judged generally

6. ,., The principal, purpose for the construction of the road was to connect Hargeisa and Berbera, the nain tosrïrs in the northern region of somalia. The road has provided easy access to the port, of Berbera which handlee a pubstantial livestock) and..imports. amunt of Solsaliats exports .(particularly The zone of infLuence affected

of the Hargeisa-Berbera in recent years cf

road has been favourably Rvo najor projects.

by the initiation

one of these is Projects,

the rDA - financed,Northwesr 1976,.which is arabl.e

Regional. Agricultural assisting La:rd in

epproved in April

in the development of the 1601000 ha of potentially the region.

...13

7.

The other

is

the Ncrthern

Rangelands Prc'ject

which is

aiding

in of

the managèment of grazing areas so vital Sornalia. The Eargeisa-Berbera and will

to the l-ivestock

production

road has facilitated role

the irnpleurentation in

of these projects transporting the

play a useful

over the long-tercr

products

stimulated

by these conplementary investnents. roa<l wilL be bocsted further with the

rol-e of the Hargeisa-Berbera

completion

of the Hargeisa-Borama road which is being constructed. of Èhis road has a high econonic deveLopment

The zone of influence potential and if

expLoited

Èhe two rcads would play a rnajor rc,Le in

transporting

products,

such as fooCsÈuffs and livestcck.

8. actual

The objectives total

of the project

have been fully

achieved.

The

cost of the project

lras US $ 10.69 million, The actual entinates.

comparerl to disbursemenrs ft€ Bank extended

appraisal

estinates

of US $ t0.60 miliion. the appri:isal

under the loan were lower than the closing ful1y tion

<late of the Loan thrice on June 30, 1979.

to June 30, Tentatively, of return

L979; the Loan was an economic re-evaluaof 25 r,er cent as of appraisal in Lg7Z"

disbureed of

the project

road shows a rate

compared to L9 per cent calcuLated

at the tine

Borrower

and Bank Performance

9.

The perforrnance of the borrowerts Department of the Ministry It took anpropriate supervision

executing

agency, the civil

Engineering satisfactory. rose. claims

of Public

Works, rras generally problerns âs they

action

to resolve

The ef,ficient

and prompt handLing of contractor and forthright attitude of the of the satisfË6: expa-

by the supe:rrisory

consultants

contractor

played a rnajor role

in the successful. conpletion

road contracttgrily triate

The area in which the borrower perforned of work pernits (this

less

was the withdrawal staff;

of the contractorrs

was a contravention

of one of the covenants of extent, the diversion

the Joint

Financing Agreernent) and to a leseer

of personneL and equipnent on the nroject. was adequately on all supenrised by IDA staff, âspectâ of the project Agreernent.

On the whoLe the project fully

and ADB was consulted

inplernentation

as set out in the Joint regular super-

Financing vieion

The ADB on its nissions. All

own aLso undertook

and follow-up

these helped in the eventual

success of the project

,..14

Lessong

l0: resuLts that it

The Cecision

to ag'ree on exact financing were known lrae a rational designec pf,oject in tenie

and costing

after

the

of the bidding led to a better

one; the lesson being of coet coDtrol.

ll.

Muêh of the implementation

success on this supervisicn

project

could be

attributed (Part

to the constant and regular

by the IDA/ADB uissions. agency, and the seerns that missions. the Bank The nunber of only missions of a project.

of the success was also due to the executing engineers). In terns of a lesson, regular rai-seions it

supervising should in rll

cases undertake

superrrision should

apætili.q-.odÉàr-troLlm:.np after

nct be increased and follorrup

a problen has been <letected.

Supenzision

should be an on-going

process throuqhout

the irnplementation

Recomrendations

12.

In the light

of the discussions

of this

post-evaluarion of this project,

riport, the

and the experience following

gained cluring the execution

recornmeodations are nade g

Borrower

(i)

ehould atterûpt in the future endeavour to honour its facilities, projects machinery,

in similar

orojects

to

pledge in ter:rs and equipment for by the Bank.

of the use of the specific

being financed

(ii)

should as a matter of traffic, Eeaner. appnaisal

of urgency,

initiate

the collection data in a systeuatic for the econcmic

transportation This is particularly

and other

iuportant investment.

of new transpofr

Bank (i.ii)

shouLd seriously guideLines

consider

the possibility

of inelucing

in Aporaisàl

Reports

and Loan Agreenents for the implenentation

thé collection of projects. of Borrowerst nonitoring

of data during

and. after

Ttris wouLd ensure the awareness/obligaticns in the systenatic coLLection of cata for

and evaluation

of projects.

.*'t
I

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DISTRI$UTION ; LII'IITED

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PT,ANN II,iG I!:'{'Ir RTgEAI{.CH DfiPA}iTI'ÏË}IT

Ë VALUAT iON

DIVISNOT.d
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- 1 -

T/$L8

OF CONTENTS

TNTRODUCTION E c o n o m i ca n d S o c i a l S e t t i n g . . . . . . . . . . . . . . . . . . . . . . . . . . | . . . . . . . . . T h e T r a n s p o r t S y s t e ma n d I n v e s t m e n t . . . . . o . . . . . . . . . . . . . . . . . . . . . . Bank Group operations in the Transport Sector ... .. .... .. .. .. . ..

I 2 4

II.

PROJEqT IDËI{TIFICAÎION

PREPAEATIONAI{D APPRATSAL

5 5 6
Financing and Coets
a a a r a a o a a a a a a a a a a a a o a a a a a a a a

7

IIÏ.

IMÊI.EI,IEIÏTATIONOF TTTEFROJECT

t0
Procurement
a a a a a t a . a a a a a a a a a a a a a a a o a a a a a a a a a a a a a a a r

t0 t2 t4 l5

t7 l7

v.

ECOFOMIC RE-EVALUATION A}TD PROJECT IMPATS A p p r a i s a lE x p e c t à t i o n. . . . . . . . . . ô . . o . . . . . . . . o . . . . . . . . o o. . . . . . . . . P r o j e c t E f f e c t s a n d D e v e l o p o e n t s. . . . . . r . . . . . . . . ........... R e c a l c u l a t i o n o f E c o n o n i cR a t e o f R e t u r n . . . . . . . . . . . . . . . . . , . . . . . lg 2a 23

VI.

CONCLUSIONS AND RECOMT,IENDATIONS C o n c l u s i o t l. g . ..............o.............r...........r.... r..................................... 25 26 26 ZB

. Recomgndations ..... .. .... ...... .... ... ... i. o... .. .. .. .. ... .... A m r E x E"S " " . ' . . . . . . . . . . . ' . . . . . . . . . . . . . . . . . . o.....r..o.........
:i-_--

Leggong ..................

report was prepared by It. lfYAl,tE-MENSÆ1, lransport Econooist. It is nainly on the basis of an earlier Mission'tc sorcalia undertaken -prepared by Messrs. p. RWUTAHTRA (Bconomists) in ApriL, 19g0. and K. FURUT(AWA

rhls

- 1 1

-

P R E F A C E

This Post-Evaluation Report <liscueses the Hareeisa-Berbera Road project in the Somalia Democratic Republic. The projecË lras approved in October 1971. loan anount of US $ 10"6 (nuA tO.6 mit-Lion) cf which US $ 1.0 rnillion (nuA,1.0 niltion) was nillion contributed by ADB.
This report is tentative in te::ms of data. However, just of Èransport Èraffic like

It was jointly

financed by ADB and IDA in the total

rt

is

supposed to augpent it is

and update the 1980 findings. apt to point to harze, for was conpleted. systematic presents treavily report data. out the paucity qxamplce historical

the 1980 rnission, It

rlata. flon

would have been appropriate

data since 1975 when the projeet of Sonalia to collect report updates and also relies completion any

This ie not 8o due to the inability llowever, uaing other sourcea, this

the 1980 findings

in an acceptable

format.

The report its project

on the 1978 data collected and its subsequent project

by the IBRD for performance audit

r€porÈ..

the transport

first

chapter

of the report

stmmarizee the econonic, in the transport

sbcial

and

system and the Bank involvement

sector

in Sonalia.

The second chapter presents level. The third and fourth

the backqround data and analysis chapters at appraisal contain level an analysie

at appraisal

of the degree to These cover the Bank,

which goals an analysis

and objectives

were achieved.

of the inrplenrentation irwolve<t in

and performance the project. its

of the Borrower,

and the Contractorst projectts a sumary

Chapter Five exaninee the execution. Chapter six presents

impact and developments since and conclusions.

In the Preparation information Report 1978 includedl iii)

of this i)

post-evaluation Files ii)

report,

ADB project Report

source6 of data and IBRD project Completicn Findings of the ADB

ADB Appraieal Mission 1980.

1971 and

iv)

Post-Erraluation

- 1 1 1 -

EQUIVALEMS /TND ABBR.EVIATIONS

Currency Units Sonali ShiLlinga ' Bank Unit : '' of Account : : So. Sh. BUA US $

U.S. Dollar

#

Exchanse Rates

BUA At Appraieal (Wl7ù lst Disbursement (lul2l72) 1 L

US$ I 1.08571 1.31733

So. Sh.

Last DisbursemenÈQSlS/7g) I

7. t 4 7.49 8.29

ABtsREVIATIONS
ADB ADT C,AT CED ERR GOS IBRD IDA ISDB MPW SIETCO Ut'lDP VOC : ; : : : : : : : : : : : African Develoirnent Traffic Conpany, Lebanon I'IPW Bank

Averai;e Daily Contracting Civil

and lrading

Engineering

Department,

Economic Rate of Return Goverunent, of Sonralia International International lsLamic Minietry Bank for Reconstruction and Development

DeveltpmenÈ Association

Devel"opment Bank of Publ-ic l.Jorks, SouaLia International Techno-Economic

Sichuan Corporation for Corporation of China United Vehicle Nations

Development prograome Cost

Operating

FISCAL YEAR

1 January - 31st Decenber.

- 1 . l f -

LIST OF TAJJLES
PaPe

I.

Details of Initial Cost Estinate of the H a r g e i s a - B e r bR er oa a d. . . . . . r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
S o u r c g so f F i n a n c e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . r i e o o o o Actual vs. Appraisal EetiEates of Cost .. .......

B
I 14 2e 22

2t 34. 5-

... ......

... . .. . .

Averac;e Daily Traffic,

lgTl o.......o...oo......orio...r....... 1975-1980 ...o......................

D e v e l o p r n e n to f P o r t T r a f f i c

- v
LIST OF ANNEXES Page_ lITLE

I 2 3 4. 5 6 7 I 9 l0 It

Project

Location

. . . . . . . . . . . . . r . . . . . . o. i o r . . . . . . . . . r . . . . . . . . Road .. . ... ..

zB Zg 30 3l 32 33 34 35 36 37

Design standards for the llargeisa-Berbera

R e v i s e d c o s t E s t i r n a t e ea n d F i n a n c i n g . . . . . . . . . . . . . . . . . . . . . . . ActuaL and Expected project Iaplenentation .......... :........

Actual antl Appraisal Estimates of Disbursements .. .......,.. R o a dM a i n t e n a n c e A l l o c a t i o n T r a f f i c F o r e c a s t. . . . . . r . . . by Government....,....,........ ...............rrrri........

E c o n o r n iV ce h i c l e o p e r a t i n g c o s t . . r . . . . . . . . . . . . . . . . r . . . . . . . . v e h i c l e O p e r a t i n gc o s t s a v i n g s e . . . . . . . . r . . . . . . . . . . . . . . . . . . . R e c a l c u L a t i o n o f E c o n o m i cR a t e o f R e t u r n . . . . . o r c o . . . . ; i , i r o r r r o j

a a

a

a

a . ' a

a a a

a r

a

-Vl.

-

BASIC PROJECT DATA
PROJECT : TIARGEISA-BERBERA ROAD

LOANNo CS/S/TR/71loot

Borrorser

:

Governrnent of Sornalia civil Engineering Departrnent, ltinistry of Worke

Execution Agency : I.

KEY PRO.'ECT DATA
Loan lenns ToÈal Project Loan anount Cost (ADB)

Appraisal BUA 10,600"000 BUA 1rO00,000 6 Z L Z o.75 Z 20 years 5 years

Actual

BUA 1 0 , 6 9 0 , 0 0 0 BUA 1 , 0 0 0, 0 0 0 6 Z

Rate of interest, Statutory Cormission

t z
0.75 Z 20 years 5 years

Comitnent charge on the undisbursed portion of ttre loan: Repayment period Grace period

Disbursement
Loan amount Disbursenents Undisbursed balance (cancelled):
a

BUA 1,000,00o BUA 1,0O0,000

BUA BUA

9 0 1, 1 9 5 90l, 195 98"805

Repalment on loan OuËstanding balance ott loan

:

337"948 (8/84) 563"247 1g/8a)

2.

SIGNTFTCAIM EITENÎSAND DATES
Planned Requeet for Project loan Actual

appraisal

t9lt0l 67 2816- e17l 7t rt-r?lto17L 22lto17L
agreenent date

Loan negotiations Board approval Signature of loan

Loan effectiveness Date of Date of Project first last

disbursement disbursement date

completion

3tlt2172 3r/12/75 L3/L2/7 4

L0lLZl T L 5/ L r l 7 2 3018172 2415 /7 9 r/6/75

-

vtl

-

3.

MISSIONDATA Type of nission
(a) (b) (c) (d) Preparation/ preappraisal AppraisaL Launching Supenrision and foll"oro-up I II TII Follow-rp I II Supervision (e) IV (1) (2)

Nunnberof persons

Period

Number of days

Man/day

I I I 2 2 2 1 2 I 2

LO-aA/,f|67 20-25ls /68 t0- 22/12/70

10 5 l2 7 22 22 I t4 13 t4

10 5 t2 T; 44 44 I 28 13 28

rt-rÛ12173
17| LL-e /12173 24/ Lt- r 6lt2/73 28/417 4 1-14/2/75 r2-2slLoi79

v
Post-Evaluation

rr-zs14180

4.

O1TIERBAI{K CROUPPROJECTSIN THE SECTOR

Project Rosd Rehabititation Hargeisa-Boroma

(in-ffi-ETTïIons)
ADF

Conraitroents

Date of approvaL

Conpletion date L977

3.0 5.0 8.0

eltol74
6/ 6 / 7 7

1. 1.1

INTRODUCTÏON

Econornic and Social

Setting

1.1.1 Ethiopia,

Soualia is

located on the horn of Africa

and is bordefed by: Djibouti, surface area of at 5.44 rnillion density is

Kenya and the Indian Ocean. The country has a total ) In 1983, the population of Somalia was estimated 6381000 ks'. a growth rate of 2.25 per cent per year.

persons with is

The population

8.5 persons".per equare kilornetre.

About 60 per cent of the population farners operating

nomadic or semi-nomadic, rivers recent sula

20 per cent are settled the rest

near the In

Juba anrl Shebelle, while

could be classified especialLy

as urban.

years the exodus of skilled

personnel,

to the Arabian peni-

and Arabian Gulf, non-nationaLs

has 1ed to acute shortage to fill technical

of manpower and the need for positions.

recruiting

and managerial

1.L.2 livestock,

Somalia's economy is agriculture

based on livesÈock

and agriculture.

fn 1978,

ancl forestry

accounÈed for more than 60 per cent of about 7 per cent, the balance. for transport 5 per

the gross naticnal cent,

product

(CNp), industry accounted for

,and traCe and services

L.ivestcck

and'asso-

,ciated'products expcirt earnings. south'coast; annual export the.econony. Bay region the tlest estimated prices.

are the main export The ooly other

accounting

nore than 75 per cent of is bananas, grown near the about 10 per cent of the to dominate

important

export

in recent, years bananas hzrve contributed earnings" Livestock and Agriculture for will

continue

Areas of most potentiaL

agricultural

devel-opment are the

ancl the basins of the Juba an<1Shabelle riVers in the souËh and 'in Galbeed regioir In the period Lg72-Lg78, GN? is the north. to have grorrrn at a rate of about 2.5 per cent per year in constant in 1978 oaking

Per capita GNPwas estir.lated at US.$ fgS rnillion countries in the world.

Sarnal,ia one of the poorest

1.1.3 suffered. averafie cally in

The Scrnalian econoray staenated some decline llrowÈh rate cf

cver the last

few years and even a nep:ative Ceclined drastiand the sectorts sector

between 1978 and 1981. I per cent.

GNP registered sector

The agricultural

1979 and.1980, but in

1981, Èhis trend was reversed levele.

perforoance were mainly increases

reached 1978 production

The improvements i-n this and alsc

due to favourabl-e weather conditions in product prices.

Èo substantial

- 2 -

1.f.4

Except for

1981, the production of prains, recorded declines iraportations

bananaso 6uoar cane, cf such !

sesaMer vegetables foreign

and cottcn

due to the constraints inputs

exchange which curtailed pesticides, increased fuel

of a.ericultural

as fertilizet, in 1981 spurred ductive sectors, deficite sectors

and spare parÈs; frice activity

incentives

introducecl The pro-

agriculturaL

and productivity.

of the econotny have gror.m consiclerabl-y slor.rer than the service in production rate and expôrts. Increasing buCget a sharr,ly

causinq a stagnation and a steeply rising

of inflation

have been couplecl with

worsenin6; balance of paynents position. in inadequate on neqt capital projects,which funtling of road naintenance calling for

The economic situat,ion operations; it

has been reflectecl.

has also caused a strain

investments,

oriorities

to be accorded to those

preserve past investtcents

1.2

Transport

System and Investnent

Transport

System

1.2.1

Road transport transport

is by far - canels

the prineipal

nreans of internal also

transport. rûeans

However, aninal of transport,

and <lonkeys - is

an important

the former cover Long distances

(carrying

an âyerage load of for soall

100 kg over ân average distance loads within

of 30 kn per day) anC the latter environs. coastal Desçite shipping a coastline

urban areas and their on the çontinent, although Airlines it

of 30360 kn, linitecl

one of the longest signifieance is so far,

has haC a very Internal air

has sonle potential. (sA) operatilng with six

transport

providecl by sonali

aircraft.

Sector Inveetoents
1.2.2 for Under the 1974-1978 Developroent plan, planned public The actual (US 6 L75.6 milLion). however,

translrort investment,

irwestsents

accounted

about 25 ,ler cent of total

or So. Sh. lrl}4.l

nillion

funds expended were clcse to the and deLays; some projects îrere

smount planned; traneferred tor

due to cost overruns 1979-1981 p1an. of

to the following

Irnrestments in roads accounted sector investments iand an conpany; 26

63 per cent

(So. Sh" 695 milLion)

transport

additional

8 per cent was spent for

a !?arastatal

roa.d transport

per cent was invesÈed in ports civil aviation.

and roarine transport;

and only 3 per cent in

the Governnent financed

about 27 per cent of the projectse

- 3 -

ccst in the sectcr; external aid or loans contributed the renaininp 73 per cent. Under the 1979-1981Plan 17 per cent of the total 57 per cent, followed by ports,
I.2.3 for

investments were allocated a maj:r share, 11 per cent. aviaticn

to the sector; the roads and road transport sub-sector has still 32 per cent and civil
has prepared

The Government of Sonalia 1982-1986.

a 5-year

Development Flan the

Out of So. Sh. 141600 rnillion

of investments planneC for is

whol.e econoay' only 12.3 per cent or Sc. Sh. 1"800 rnillion the transport sectores sector. I^Ihile this represents it is in a substantial" line with

envisaged for of the needs. needed for only

reduction

share froà previous plans,

the sector?s

The Government has been promised about 75 per cent ôf the financing to carry out the plan. For the transport is sector, available however, financing as yet. 50 per cent of the plannerl investments aectorrs share (So. Sh. t,26O mill-ion) which is justifiable aviationts

The roads subinvestments and

arûounts to 70 pet cent of all

in the sector' its neecls.

1;iven the preclominance of 21.5 per cent and portsr the plan includes

the sub-sector 8.5 per cent.

Civil

share is

In addition which

to Èhe So. Sh. 14,600 rni1lion, at the conceptual stare;

a group of projects

are stiLltotalling

.?aong them are a nunnber of transport In light of the financial that this additional and overall prograrme

projects

So. sh. 21770 nillion. in the countryr : it

economic situaticn will be carried

is'unLikely

cut"

The RoaC Network

l-2.4

The road netvork

totals

about 271644 kCI of which 2,560 km are paved" are earth roads and tracks. of prinary, In terms of ând n*a;l (see

565 km are gravelled administrative feeder

and the rest

cLassificaticn,

the lengths

secondary,

roads are about 41296 kE, 5r34g kn and 121000 kon respeetivety

Annex ll).

1.2.5

The covera.qe of the network is atlequate for the countryrs roads prevail,

present

needs, but the standards and condition Low staadard
j . . : . . 1 . .

of the roads are not satisfactory. there has been considerabl.e road upgrading; In a

although fron

the paved roads increased the past, basic normal earth

about 900 kn in

1971 rô 2,300 kro in 1980. in order to provide the

roeds \ùere upsraded to pave.J standards rnajor connercial centets.

road network linking developuent

In the future,

from eatxhfgravel

to paved stândards shoulcl be followed. is the north-south link between

The backbone of the country?s

road. systen

- 4 -

Mogadishu and Berbera via Gal-kayo, Garoe and llarg3eisa (about 21000 krn); when the Burao-ilerbera Rcad (120 kn) now under constructicn is completed, a riirect link wiLl be established to Berbera through Burao. The other most inportant on to Liboi on roads are the coastal the Kenya border Ethiopian

road frorn Mosadishu to Kismayo leading

(about 700 ko) and the road frorn Mogaclishu to Dolo on the Afeoi and Raidoa (about 600 krn).

border via

1.3

Bank Group ûFeraticns

in Transport

Sector

1.3.1 include:

The pther

Bank Group operations

in the transnort

sector

in Somalia

(i)

Roarl Rehabilitation The project'consisted spare parts

and Maintenance Prcject

(ADF):

of road maintenance equipment'and

needed by the CED for maintenance of roads. conpleÈed in Lg7i. The ,lisbursed

The projecÈ was successfully loan is fully (ii)

'Hargeisa Borama Road projecr The detailed engineerinq of this

(ADF): project was funded uncler It was

the Harpeisa-Berbera Road Project jointly (FUA 7.27 mill.ion); (rua 0.82 rnillion); nillion). Recently for

(para. 2.1.6).

financed by ADF (fUa S.0 nillion); Islaaic rDA (FUA 6"36 nilliori) has been fraught

Arab FunC

Developuent Bank, ISDB, and cos (1.g3 problems. to srETco

The project

with

the ADF approved Èhe award of contracÈ of the road ftoo

the construction

km 56 to krn 70

(CeUile-ttabadid) completicn

and works starreC in June 19g3, with February l9B5.l/

scheduled for

Ll

The Bank actual involvement started with the BUA 36,000 Technical Assistance t'irant in 1969, which was used' for the engineering studies of the Hargeisa-Berbera Road (para.2.l.4).

- 5 -

2. 2.t
2.1.1

PROJECTTDEI{TIFTCATION PREFARATION APPRAISAL A.ND

Project

Identification

A survey of Èransport

facilitieç

was undertaken

by the Canadian

ConsulÈant Grimble,and AssociaÈes. as part

This survey riras undertaken in 1965-1966 Assist,a4ce Programe (under the SomaLia among other (141.2

of the UNDP-financed Technical FrojecË)

First,Highway tlriggs,

executcd by the World Bank..

The survey,

identified

the Hargeisa-Berbera

(l5q km) and the Berbera-Ilurao Road was given it a higher

km) roads for priority Sonaliars

inprovenent.

The llargeisa-Berbera

and based on the Consultantrs 1971-1973 Development P1an.

recor@endations,

was included

in

2.L.2

In view of the potential

traffic

ancl the economic significance it was recornmended for studies

of

the Hargeisa-Berbera detailecl engineering

Road to the cettle and design studies.

indusËry,

,Îhe, Grimble. feasibility

were then reviewed by Kaiser

Engineers and the Economist Intelligence

Unit

at the request of the ÂDB in October L967.

.2.1.3

on the basis.of'

their

reeormêndations, assistance

tho ADB wâs approached by and undertaking together with

the Gorrernment of Sonalia the required other L967. detail-ed

(COS) for

in financing

engineering

studies.

: The roa<l projêcts

questions

were studied confirrned feasibility

by an ADB misaion the findings

sent to Sornalia in October in study and recomRoad.

The mission

of thg feaçibillty

nended the detailed

study of rhe Hargeisa-Berbera

Preparation

and Appraisal

2'.1.4

GoS approached the Bank to finance SinuLtaneously,

the detailed

engineering

studies support

in November 1967. in in conducting its

GOS contacted

IDA/IBRD and UNDp for IINDP offere<l

the feasibility on a grant

studies. basis,

Meanwhile,

to participate

financing

and at the request assistance

of GOgr'IBRD agreed to the detailed was

prepare

an application studies.

to UNDP for The total

in financing

engiueering jointly lechnical

ccst of stuCies was US $ 4001000 and it rhe ADB proviciing US $ 10,000 as parr

financed

by IINDP with

of irs

Àssistance

progra'ffne.

- 6 -

2.1.5 consulting

the detailed

engineering

study of the road was prepared by the

firno Dorsch Consult of the Ferleral Republic of Germany. A joint in December 1970 anrl the consultantes or about us $ 6.2 nillion the road construction (nua 6.2

ADB/toa mission appraised the project cost estimate of so. shs. 44.1 million rnillion), very lcm. excluding contingencies, as appraised for

was found to be to cost

The project

by the ADB/IDA team was estimated The econonic evaluarion works which together engineering cost.

aboùt Us $ 9.5 nilLion appraisal associated report

(euA, 9.5 nnillion). the'civi'l final

in the the

was concerned with s services for

consultantr

with anC 'supervision

ærounted toiabout return

88 per cent of the estimated

The econonic râte

of

(ERR) was esÊimated to be 19 per cent

The Project

2.L.6

The main objectives

of Èhe project

were to -

(a) (b)

inprove Soualia trânsportation plan transportation

network;

and to

investments.

benef,its considered for the project were savings in vehicle operating costs (VOC) and avoidance of loss of weight and death of, Livestock during transport on the project road. the project consisted of: A.' ' Road Construction
(i) construction of the 158 km Èwo-lane bitumen to"d ftor''

Tvo types of quantifiable

Hargeisa to tserbera;

(iii),

supenrision

of const:rrction.

:

:

"., '

9çher Prqject (i)

coppcnents study ancl subsequent'detaïled

! engineering a link to T,rg' of ,'

feasibility

the llargeisa-Eoraoa Road (131 km) with l'laj ale ( tt t-rn);

- 7 -

(ii)
2.1"7

technical âssistailce in transport

planning.

The project

road cônnects Hargeisao the second lar;est in the nortnlern regiono with tlre port

city

in

Sonal.ia and rnain city ttre Gulf poor of Aden.

of Berbera on track having

Previously,

access was provicled by a desert The new road follows the

alignment

and drainage.

s€rne generaL aLignrnent

of the old it follows

track

between Berbera and Dubatoo but between Dubato and Derbera new alignment', terrain and is 20 km shorter. by short rocky The road streÈches, except

a conpletely nostly rolling distances

traverses for fLât.

interspersed

sôme short

near Hargeisa

and llerbera where the terrain

is fairly

The design standards for

the road which rùere considered surface-treate,i

adequate are

shown in Annex 2. to.carry road.

A 6.5 n doubLe bituminous traffic

parred was'provided cf the

the estinated

volùmès over the 2C-veer econcmic life

2.1.8 detailed a link projects lechnical formulating Su:rrey.

Funds were included engineering studies

for

carrying

out feasibility

study and subsequent and Boramâr including

of the road between Hargeisa border,

to Tug l,lajale on Èhe Ethiopian identified assistance

wirich was among the priority its 1.966 lransporr Survey.

by Grimble ancl Associâtes'in !ùas incLuded in the project

to assist

the Governrqent in

a transport

plan by reviewing

and updating

the 1966 Transport

. 2.f.9

Finagcing

and Costs

The project

was jointly

financed

by an IDA Credir

of BUÀ 9.60 million difficulties, the

and an ADB loan of BUA I ini11ion. GOS was unable to finance projeeË by najor to,contribute project

Because of the financial

the totaL

to the cost of the project. IDA and ADB were thue - ADB contributing about I0 per cent of the total conrttuction costs

costs. items.

Table I sho!ùs the break-down of the estinated

- 8 -

lab1e Details Iten of rnitial

I Rc,ad

cost Estimate of the liargeisa-Berbera Ccst Estitaates

S o . S h s.
(nillion) l. 2. 3. 4. 5. Total General ltems Earth works Base and Surface Drainage and Pipe Culverts Structural works

BUA Equivalent

1.71 1 7. 6 4 25.64 I .21 4.50 50.70

' o.z4
2.47 3.59 0.17 0.63 7 .l 0

Source:

ADB Appraisal

Report

1971, See Aanex 3

2.1.10

Of this ADB loan of BUA 1.0 million,

an estimated BUA700,000 was

to be used to finance part of the foreign exchange cost and the rernainder to,finance local costs. The detailed financial plan is shorn in Table 2.
Table (ltiltions 2

Sources cf Finance US $ EquivalenÈ) Foreiln ADB .A. Road Construction i. Berbera-Hargeisa Road (inc1"contingencies) Supervision of Construction IDA ' LocrL IDA Total ADB IDA

ADB

,0.70

.5.30 0.35

0"10 0"05

2.40

0.80 0.05

7.70 0"35

ii... B.

Studieg FeasibiLity and Engineering of Hargeisa-Borana with spur Ëo Tug I'lajale

O.5S

0.05 O.l0 0.01

O.O5

O.O5 .01 0.10

C.

Updating of transportation Study lotal

0.70
ADB Appraisal Report l97l;

6.30

0"2t

2.40

0.91

8.70

Souqce:

See Annex 3

- 9 -

z.L.ll

DisbursemenÈs from the ADB loan rûere to be done on the basis (or such other reimbursement. ratio

of

l0 per cent of application applications for for

as rnight be agreed roittr tOa) certified the GOSvas to submit identical.

Althoush

to the ADb and IDA (Sec. 2.03). the approval of the applicaticns to the IDA (Sec" 2.04). However, under receiving notice of to of

disbursenent was entrusted

Sec. 2.05(b)

of the sane Joint, Finance Agreement, after of disbursements, fron This

the IDA approval. and appointment pay the anount to be withdrawn suspension and cancell"aËion. function was autualLy

the ADS was expected subject

ADB loan account inplied that

to the rights

a reajor loan disbursenent : and execution cf the

agreed to be excercised

by IDA.

2.I..T2

Overall

responsibility

for

the arlninistration Engineering

r.gads projeet the Miligtry supervisà

ltas to be assumed by the Civil

Departnrent .(CED) of

,!he the worh and nnaking certification be cærpleted in 30 nonths.

llorks (tqpw) cn trehalf of GoS. A Supenrising Engineer was to 9f c.S,nltruction works anrl act as agent for the GOS in approving for payment. The works rrere expected to

10-

3.
3.1 3.1"1 financing

IMPLEMENTATION OF THE PROJECT
Loan Effectiveness

The project

rlaa presented to the Board on 22/L0/71 based on a revised for an rDB loan of BUA 1.0 million and an rDA credit

plan providing

o f B U A9 . 6 miLlion

(Annex 3).

The Loan Agreement between ADB and GOSwas

signed on r o l t 2 / 7 t .
3.1.2 A Joint Financing Agreement between the GOS, ÆB and IDA was signed A condition of loan effectiveness for Major was the enactenent of

on March 300 L972. 1ègisLation nillion for

to assure the allocation the fiscal with year L972.

highway maintenance of So. Sh. 6"4 convenants of the Joint prcnpt issuance of Financing import

Agreernent dealt licenses, traffic visas,

procurement procedures,

work per:urits ancl other

necesgary documents, enforcement of and re-

regulations,

adequate maint.enance of the road neÈwork etc. All these conditions span was within in rhe third were fulfilled that stipulatecl lhe tine

orçianization of

of C.E.D.

by the exchange at appraisal. of

side letters.

The loan became effective at end of the fourth

quarter

(3018172) of. L972, instead

quarter

30/12/72 as planned.

3.2

Procurement

lendering

3.2.1 with

To avoid ilelay in the proceseing IDA and with GOS aEreenent, invitation with to invite

of the project, firns for

the ADB decide<l The

prequalification.

prequaLification press.

was circulated

in the Soualia and international 1971 and to the proviso

Negotiations

GOS and ADB were also held in July financinp, of the project subject

agreement reached regarding that only the precise after

amounts of the IDA credit of the bidding

and ADB loan would be deterrnined

the results

were known.

Under terms of reference and conditions of contract satisfactory to the ADB, the GoS retained Dorsch Consul.t for supervision assistance in prequalification of contractors and evaluation of bids. The cost for these

3.2.2

- lt eewices vas financed retxoactively at COS request. Trrel.ve contractors of the project

arere road. I97L.

prequalified But onLy five

and invited

to subroit,bids; for

construction

tenders were received by the,closing

daËe of October 30,

Ihe L:west bid received was So" Sh. 51.f6 rnillion estimate of So. Sh. 50 urilt,ion.

coupare'l to the appraisal

3.2.3 to dividing for bidding

During preparation the consttuctipn

of the tender work into .fhiç

rlccuments, consideration

was given be suitabLe were no

srnall corr-tracts which might iclea rsas abandone<l ag there

by locaL contractors.

locaL contractors contract

in Somalia who could handle even a sma11 roacl construction local conÈracting for capability of ninor did exist drainage could structures the in sub-contracting

on Èhêir own; whatever

best be utilized or providing project

constr:uction

transporç.

Ttre use of labor-intensive and found unsuitable.

construction

was also consideretl

methods for .;

À.2.4

Following

negotiations

and receipt

of bids for cc6Ës; taking

road construction, into account

the ADB/IDA reviewed and updated the project subsequent changes in the re-aLignment

of So.Sh. to the tlollar. As a resultl total project costs increased by US $ f.l niLlion - US $ 0.3 million artributable to project costs and US $ 0.8 rnillion to exchange rate changes.

Contract Awards i)
3.2.5 Contractor

bidderi (CAT) Company of Lebanon in Febru ary l97Z for an âpounr of so-sh. 51.6 naillioo (us $ 9.3 nillion equivalent). work starred on May 13r 1972 with compLetion scheduLed for November 8, 1984, all"owing a Contractingl and Trading contract using period of 130 weeks. I,tith a view to exploring naterial the possibiLity of the 1oca1Ly availabLe its granular right in base course construction, alternative

The contract

for

road. construction

r.ras awardeel to the lowest

Government reserved and to notify

to substitute within

pavement speeifications startinÊ date.

CAT accordingl.y

3 nonths cf contract

3.2-6

The supervisory anrl verified

consultants

carried

out additional

site

and roaterials for base

investigations course;

the availability

of cheaper rnaËerials cost was revised to sot

es a resuLt

tbe estimated contract

sh.47.95

- 1 2 -

million

(us E 7.8 nillion

equivalent). for

However, due to the delay caused in the base course, the contractor an extension of the contract period

agreeing to reviser:l specifications requested,

and the Goverrnnent. approved,

by 35 days extending the conpletion

clate to December L3,1974.

ii)
3.2,7

cons,rltants for snpervision and rechnical Assietance

Dorsch Consult whc had carrietl out the detailed.engineering of the projeet road were 'selected for supenrision of, èonst.ruction. Funde were included carrying out feasibility Btudy ancl subsequent rletailed engineering of the road' between Hargeisa and Borama,including a l-ink to Tug Wajale on the Ethiopian border. Also technicaL assistance was included in the project to assist the goverûrenË in foroulating Transport Survey.

for

a Èransport

plan by reviewing

and updating

the 1966

3.2.8 Messrs'

The Consultants Renardet-Sauti

were selected

by GOs with ADB and IDA eoncurrence. other project components. These

were to impleoent

conponents included Planning

the provision

of Technica'l Assistance

in Transport

and the conduct of Feasibility

Stu<ly and subsequent detailed a spur to Tug Wajale

engineering

of the Harr-.:eisa-Borama Rcad with

4.3
A.

Execution of trIorks
Civil l{orkg

3.3.1 without Uay 8,

Generally"

the execution

of the civil

works by CAT proéeeded smoothly was completed on

any major problems.

However the road construction

1975, six months behind scheduLe. disputes between the nain transporÈ

including contractors period

This was due to a number of factors (CAT) and the haulage subcontractor lack of a high for capacity crusher for a

regarding

rates;

of tine; sËaff.

and withdrawal

of work pennits

8 of the contractorsl

expatriate

3-3.2 daily cent

A Government Decree isaueC in November 1972 fixed rates for hire of trucks which represented

certain

ninirntrn

an increage

of about 65 per at the

on the rates

agreed beÈween CAT an<l the haulage Following

sub-contractors

coffinencetrent of the works.

a study by the MPWof thê possible

rti ",:: :. : ir::i Jli.+f..d+,1;lliti' ji;

increase

haulage costs on the contract,

the Government issued

an order

which

exenpted the Hargeisa-Berbeta the sub-contracÈors disputes clained

road conÈract froar the Decree. in transport resulËinB

Nevertheless,

an increase

raËes which lerl to in deLay in compl-etion of

between them and the contractor

const.ruction.

3-3.3 for

In Septenber 1973, the sotreli expatriate

Ministry

of Labor withdretir work permits they be aÈ AIB/IDA cost the

I of the contrâctorrs staff.

staff,

and requested thât

replaced by Sonali request. increases assistance All clains

These pernits

were l-arer re-issued

submitted

by the contractor

to the Government for with

on haulage rates, of Ëhe supervisory sche<lule for

fuel,

cement and bitr:nen were settled The actual

consultants. the civil

and expecterl project project components is

inplementation

works and other

shoqm in Annex 4. reasonabl-e taking

On the whoLer the six months delay was,considered into account the above eircumsÈances. : of construction

3.3.4

the quality

and contractcr

uaintenance

of the road

was judged by Dotsch Consultants conformed that to Èhe standards

as saËisfactory,

The works conpleted

the physical

by floo<ting

reports indicate performance of the road has been hamperecl aÈ sôme sections and heavy rains (see Borrower Conrments, Annex ll). study and the subsequent detailed in transport

ghown in Annex 2;

Hoicefrer, recent

3.3.5

The feasibility

engineering

of

the llargeisa-Borama by Renardet-Sauti"

R.oad, and assistance The feasibility

planning

was rendered 1975 and

study rvas ccmplered in July The quality

the detail-ed engineering engineering studies

in Harch 1976.

of the detailed that Renardet-Sauti

etas unsatisfactory

due to the fàct

was found to harre used personnel B. Other project

not of a sufficiently

high cal-ibre.

Cornponents

3'3'6 thcy

wtren the IBFJ nission discovered large ceposits

visited of gravel

somaLia to appraise a road project in the project area which could of the utore expensive crushed gtonê on transportation in transport sunzey of sonalia planning was

be used as sub-base material proposed by Renardet-Sauti. produced by sauti, considered satisfactory. a6 part

instead

The report

of the assistance consuLtents,

by the supervising

the ADB and rDA to be generally

" 1 4 -

3.4
3-4.1

Project Costs
At appraisal, tctal project

of which Us $ 9.81 millicrn inclucing contingencies. the lowest bid received; cent for pocrible physical

was for

costs were esti-mated at us $ 10.6 nilr.ion road construction ancl related superrrision, for road construction were based on l0 per

Cost estimates

contingency aLlowances totalling contingencies

18 per cent, price

ancl 8 per cent for for

escalation,

were included. study

The ccst of consulting

services

preparing

the feasibility road was

and subsequent detailed on the basis

engineering

of the ltargeisa-Borana

Highway cost of technical aseistance in transport planning was based on .the the cost of providing two transport experts for a one-year period. Project; 3.4.2 Ttre actual total cost of the project

estimated

of sinilar

works carried

out under the First

was US $ f0.69 million, aetual and appraisal

connpared

to appraisal

estirnates of us $ ro.6 nillion; 3,

estimates of

cost are compared in Table.

lable

3

Actual Costs l. 2. 3. 4. Road Construction Supenrision of I ) ),

Appraisal Estinates -uS-F

nillion

Actual coets a8 a proportion of Appraieal Eetinates

9.37 a"72

g.2r 0.61

I02 tl8

Feasibiliry StuCy and Detailed Engineering lechnical Transport Total Assistance planning

in) )

0.60

0.78 10.60 ==-==

l9nÉ2=
IBRD Appraigal R.eport, 1972, pCR f97g.

77 100.8s --====

Source:

!ûas an increase of .US $ 1.57 rnillion eOZi) over the reduced negotiated conrract estimate of us (so. sh. 47.g5 nillion, $ 7.g niLlion para' 3'2'6) for roed constnrction resuLting nainly fron depreciation of the so' sh' and subsequent increases i-n coste of equipnent and materials such ae fuel, bit,menr. and cement since appraisaL; rhe us i o.1r nillion (rgz) increaee

3.4.3

there

- 1 5 -

in construction tion

supervision

cost was prineipall.y envisaged. was within

due to the longer

eonstruc-

tirne than originally

The actual- cost the appraisal

of the remaining of

components of the project US $ 0.71 nill.ion. to the final proj ects . actual

base cost estinate at appraisal,as accepted Linitg

Generally,

the cost estimates close and within

conpared for simiLar

cost was very

3.5

Performance of Contractor

anrl Consultants

i)
3.5.1

Contractor
: The performance of CAT was generally satisfactory.:,However, between the nain the contTacËor

progress

on ryorks'was delayed because of disputes

and Ehe,haulage sub-contractors the disputes progress dragged on for

regarding transport,rates

(see,para., 3.3): the

soroe months resulting limited

in the deterioration.in capacity aleo

of works.

The contractor's

rock crushing

contribuÈed action

to some delay.

Progtess irnproved generalLy between the contractor, capacity crusher

after

the governnentts and labour; Relations

in tesolving

the dispute of a'Ëigh supervisory

truckers

and the inJortation between contractor,

by the ccntractor.

consultants period.

and GOS officiale

rdere generally

good througJrout the project

execution

ii)
3.5.2 detail.ed was quite

Consultant for Civil
The quality engineering good.

l{orks
rendered by Dorsch Consult who carried road, and supenrised out

of services

of the project

road construction, contribution efficient site super-

The etaff

of Dorsch Coneult rnade significant vith their

to the succ-gsful vision

cornpLetion of the road contract contractorls claims

and ptompt handl.ing of

and other

probless. provided

Much of the success of this by Dorsch Consultants.

project

can be attributed

to the services

iii)
3.5.3

Performance on other Project Conponents
The quality of se:rrice provided by Sauti naa poor. for the execution their of the detailed also failed

Megsrs. Sauti engineering to reflect llowever,

used poor calibre studies local

personnel

of the Hargeiea-Borama Road. conditions in ter:ms of avaiLable

studies for

material

the sub-base.

'16-'.'

'

their

report

on transportation,.su::vey

of Sonalia:na$

judged by the GOS,

ADB/fnA and the Dorsch Consultant

.to be generally

satisfactoryi

Srmmary ,

i
!

3.5.4

In terlns of the totaL project execuÈiono this project was inplewell. the loan becameeffective within the stipulated

mented fairly

deadline set out in the Loan Agreement. The procurement of goods and servicee followed laid down ADBprocedures. 3.5.5 The only source of friction for the civil after rorks. in the execution procese of Èhe project for the expetriate However, this staff of CAT, the

was the w,ithdrawal of wo:rk peroits main contractor resolved anicabLy. dicl not naterially

apd other ninor iasuee were The six months time overrun recorded by the project the total final cosÈ of the project.

- 1 7 -

l+.

BANKAND BORROI^IER PERFORMANCE
Botrower Performance

4.t
4.1.1

Generally,

the Borrowerts

executing Àgency, the Civil

Eneineering

Department action

(CED) of the MPI,Iperforrned satisfactorily. as they occurred. of the Joint In all, Financing

CED took appropriate there was general Agreenent except for

to solve problms with

coupliamce

the convenants

the withdrawal compliance with

of work per:mits of the contractorrs the conveaant dealing with

expatriate

staff

and GOE t

road rnaintenance

equipment.

4.L.2 allocate

the GOS gave an undertaking and expend for

to ADB and IDA in a side. letter funds

to than

highway maintenance

anrounting to ûpt less for

So. Sh. 6.7 million, 1975 respectively. amounts (annex 5).

7.0 million Allocations

and 7.4 nnillion

the year 1973, 1974 and

made were in excess of these specifiqd :, GOS agreecl to ensure that for equipnent intended

4.1.3 for
'

In another undertaking,

highway rûaintenance would be used principally Ilowever,
.1.

the purpoee of higtmay personnel

maintenance.

there

were instances to unrelated

when road uaintenanc.e

anrl equipment were diverted Performance Audit ltere not significant

works.

(See IBRDts PCR and Project

Report No. 2391, p. 52). enough to jeorpardise

Even thoug,Jr these diverg,ions the overall inplementatipn of

the project reluctance or rnaintain

the Bank, as a tratter and opposition any systematic

of principle

and policy

should e:{press

to such dirrersiorr.f/ transport

to collect data base beËween 1975 and l9B4 - Èhus

Also GoS has failed

making post-evaluation

dif ficult.

Bank Ferfonnance

4.2
4-2-l

Ap?raisal
Looking back, Èhe appraisal process accpted by the Bank eoncentrated benefits and costs. traffic The only handicap data.

on the right at appraisal

issues in terms of project lras the laek of coherent

and systenatic

ll

For IBRD (rol).3rd lligtnray prcject (co-financed with-the ADF), a specific condition was incluaeà in- tire aonvenant betrùeen Goi ""â-eôi réquiring cos !_o use highway naint€lance etaff and equipm€nt exclusi.veLy for this i,rrpose. The ADF conrrenant did not inclurle such a prcnzision (see tire Hargeisa-goiama Road Projecr, ADF/0PS/SOÈ,I/TMNS/02 of 22/3177).

- 1 8 -

Supenrision

4.2.2

Major disbursenent 2.f.12).

and supervision

roles

for

the project

were given

to IDA (para. IDA staff, mentation

On the whole the project fully on all

\ras adequately eupervised by inpleown

and ADB was consulted as set out in the Joint some supenrision

aspects of the project The ADB on its All

Financing and follow-up

Agreenent. missione.

also undertook the eventual

these helped in

guccess of the project.

Disbursements
4.2.3 appraisal in'May The actual disbursementg

were Lo'wer and behind

those planned

at finished

(see Annxe 6).

Even thougJr construction in Gos applying for

was substantially reinbursement. last Gos

1975, there

was delay

requested

on 17/12/75

for an extension this

of date for

disbursement

froo

3L/12/75 to 3O/6/76. engineeiing

was to enable the cæplerion

of rhe derailed

study of the Hargeisa-Borama Road.

4.2.4

There rûas a second application

for

extension

of disbursement

fron

3016176 to 31/rc177. of the Loan Agreemeat. clarifications paid

This $ras agreed by ADB in accordance with The main reason rùas to give

Section 5.04 to provide

GoS enough tine

to ADB and IDA concerning Êonards Bettlement

an anount of about UA 970,635 to be of their final cl.ains on retention

to the contractor

money (1OZ'or UA 97 ,630 A.DBshare). 4.2.5 On 2. 6. 78, the Bank informed GOS'of its on the ADB i.oan since it

intention

to cancel UA l12rO5O there Part nas no of the

outetandinEt related

appeared to the Bank that

alternative

use to which the balance eould be applied.

outstanding Consult

balance was used to pay ADBfe share of analysis

of bids by Dorsch Al.so road

on the Hargeisa-Borama

(amounting Èo DM 311832 or BUA 13,245). sprayer and two emall rollers for

Part rtas used to purchase one bitunen rehabilitation cancelled and mainten€ulce.

The remaining

balance of UA 98,804 was

4.2.6

In annmaty, the Boirower and the Bank perforned of Èhis project, issues. rn retrospect,,

fairly

well

ln the

utanageDent and execution concentrated

the appraisal

on the pertinent

The project

nas adequately supenrised, in the fulfilraent of

and the suggestioas the project

given by the Bank and IDA resul.ted

objectives.

- 1 9 -

5 5.1
5.1.1 the

ECONOMIC RE-EVALTJATION AND ?ROJECT I}æACTS

Ar,i-trais al Exp_ect at ions

the, Berbera-llargeisa feasibility and enirineering

Road and the Hargeisa-Bor.ama Road (for design $rere requirecl) the road network

which

were seLected by the system. For the period

GOS as having high priority L97O-t974, thg coustruction

within

of the llargeisa-Berbera

Road was to constitute programe.

45 per .cent .of the total 5.1"2 activity At appraisaL

expenditure

of GOShighway construction

the project

road was to benefit : livestock.

the rnost inportant estinaated that' , ,

and the main Somal-ia export

It.was

of the total- aninal exports for cent moved.on the project estinated road.

1968, val-ued at sa.sh. The infLuenee from Berbera,

125,000,000,,.66 per road was'j to Boræa

of the project on the coast, area,

et 501000 kmz, extending

an<l rug l,Iajale cn the Ethiopian Hargeisa, However, grazing the best

border.

The directi

Berbera to potential. Land for both

through which the road actualLy passes had littIe there rvere about 2301000 ha of potentialLy and agriculture agricultural usable

of which only 5 per cent wae undgr cultivation.

and grazing lands are in the indirect area of 'l3or.qmâr influence around Tug Wajale and and around Hargeisa, the starting' point of the project road.

5.1.3

Important

produce cultivated products and fruit

around the project

area were sorghuo,

wheato horticulturaL urban areas - prinarily

whieh are consumed in the regiones Ttre project road lrag of '

Hargeisa

and Berbera. narketinlr

envisaged livestock:, the travel-

to hei.p in agiicultural fron Harqeisa tine

especially

the transporÈ

to Berbera,

the main a<ivantage being <lecrease the loss

to shorten and

and distance

and thereby

of weight

mortaLity

of the livestcck

5.1.4 ltere

The quanËifiable derived frcm two nain

benefits sources:

attribuÈable

to the project'at

appraisal

road user sawing,

and decrease in loss

of weight

and oortal-ity rate of cattle during transport: Road user savings (vchic1eoperatingcostsavings)steM0edfromthedifferenceinoperating on the then existing in 20 l&, of tract traveL and the proposed pmred road, distance. as well as

eosts the

reduction

voc saving rras to contribute

- 2 A 66 2 /3 per cent of the quantifiable taken up by 4ecrease in mortality safer and efficienttry benefits " as a result

The rest

of the benefits cattle

was

of transporting

fastero

on the new road.

5.1.5

Apart

from above quantifiable

benefits,

the project

road was live anirnals to

envisaged at appraisal the market in better Somalis rdere finding in Saudi Arabia, Èhe livestock their

to aid in the irnproveûent of hauline condition. it

This was to prevent loss in sales as the difficult to trold their marker share in which

increasingly

uain buyer due to the deteriorated in Saudi porÈs.

etate

arrived

5.1.6 first

The AIII at appraisal 10 years after

was expected

to increase by 5 per cent for I'hereafter, traffic was 10

the

conrpletion of the road. a reduced rate of the project traffic

estirinated to grow at years. (econonic and/or Life

of 4 per cent throughout

the next No

nas taken to be 20 yeare).

generated road.

diverted

trere e:rpected as a result

of the pràject

5.2

Project

Effects

and lleveLopments

5.2.1 reflected

Traffic

has developed nuch more rapidly 4.

than had been expected,

as

in leble

Table Average Daily

4 lraffic, 1977 Actual 7" No. 7" Actual'ae 7 of Appraisal

Appraisal . No.

Snall Vehicles (cars, etc.) Mediun Vehicles (trucks, buses) tleavy Trucks (trucks, ffiTïers)
Total

27 ) ) ) ) 107

20

152 267

:

31 55 L4

5622

80 65 3102

t34
Civil Engineering Departoent

100
1978.

484

r00

Source:

-21 -

At appraisal said to rise

(1971) ADT r"-as estimated at '100 although at tines as high aa 300. Based on the 1evel of 100 ADT in given in the appraisal traffic in report,

traffic

$as

1971 and the the ADT in

5 per cenÈ per year growth rate 1977 Hould be 134.

Since the actual

1977 reached 484 ADT, the the 1971 Èhe year.

growth raÈe has been nnrch higher estinated traffic l-evel of

than 5 per cent per year unless

100 vehicles

was lower than the average for ': Swralia in 1974-1975 had short

5.2.2.

The senere drought effects tern, it

that

affected

term and long tern Road. brought In the short

on the area of infLuence caused an increase found it difficult

of the llargeisa-Berbera

in ntrnnbers of livestock to feed then; also

to market as producers relief

considerable for.further size

suppLies were transported in the Northwest.

frorn Berbera to Hargeiea In the long term, the reduced be restored of to

distribution herds

of cattle levels.

caused by the drought fcr

can only gradually

previous traffic rate.

Therefore,

the recalcul.ation

of ERR, the forecasÈ

on the project

roed beyond 1978 should be based on a moderate growth

5.2.3

the Hargeisa-Serbera

Road has facilitated on the Culf for

the e:rport and inport the export of livestock

of and road,

goods inÈo Sonalia bananas. (faUle

in the north

In the period

1975-1980, since the ccryl-etion

of the project

the Berbera port S).

has had a moderate annual grovth

of treffie

of 4 per cent and

The project

road has helped in the aovement of liveetock a major expectation at appraisal.

bananas and has thus

fulfilled

- 22TabLe 5 1975-1980

Development cf Port Traffic (in t000 tons)

Traffic

in Ports

t975

L976

L977

1978

L979

1980

Jnports 1/
i) ii) iii) Mogadiahnr Kisoayo Berbera Total B. g*potts 3/ i) 'ii) iii) Mogadishu Kismayo Berbera Total

451.8 5 8 .3 ! 2 g, 3 63e.4

428.3 3 5. 5 1 2 1O . s84"8

451. I 64.8 137 .O

393.8 53.9 t z g. 2

586"2 64.9 150"3
I

834.2 52.t 164.6 1050.6

652"9 576.9 80r.4

'20,9 6r.4 63.6

12.4 53.4 52.6

12.5 36"7 50.6

45.9 38.4 64.1

7 7. 7 35.6 63.0
!====

100.8 4s.0 70.8 2t6.6
==æE=

L!!-.2 l!9sl

=22=9 119*1

176.3

Ll

Includee

petrolantr and bananas.

a

MostLy livestock

Source:

Sonaal,iPorts Authority,

May 1981.

5.2.4 affected financed is in in

The atea of influence by the initiation

of the Hargeisa-Berbera

road has been farrourabty

of two major prôjects: Projecte

One of theee is the IDAapproved in April 1976, which land

Northwest Regional AgricuLtural

assisting the region.

in the development of the 2601000 ha of potentially Ttre other is the Northern areas so vital Rangelands Project to the livestock

arable

uhich

is aiding of of

the mdragement of

gtazing

production

Somalia.

The Hargeisa-Berbera and wilL

road. has facilitated

the implenentation

these projects products

serve a usefuL role

over the long tern irrrvestments.

in tranaporting

stinulated

by these conpleoentary

_23_
5.3 5.3.1. report
Recaleulation of Economic Rate of R.eturo

The Econoraic Rate of Return (nnn) calculated

in this post-evâluation

is based on an assessmentof costs and benefits with and without the project orer 20 yearse being the estimateC econorniclife of the iuproved road.
5.3.2 frm In recalcuLating vehicle operating the ERR, esÈimates of (Annor 7). savings in VOCwere derived

cosLs per Ifu (Annex B) in lg74 .md the best estinates of the road Traffic estination the correct ie based figures

of traffic

over the f.ife

on the 1977 counts. of traffic taken into

Since it

is difficult of periodic

tc estimate counts,

due to unavailability

the fo1-lowing have been

account in the estirnation:

a)

a 5 per cent grolrth rate on the basis of the 100 l\tl in 1971 at appraisal which may be taken to L'e the average growth growth trend for the whole of Sonalia; and

b)

the 8.3 per cent growth rate on the basis of 300 ADT observed ia 1971 which will reinforce rhe counted 484 AST in L977.
the specifie chaïacter of the zone of influence of the

This

eount reptesents Road.

Hargeisa-Berbera

5.3.3 count

Using the above assumptions, the forecast of 484 ADT (taking on averase grcrwth rate of

is based on the 1977 8.3 per cent between rate of 5 per cent is

L97l-1977).

However, between L977 arrd 1983, a grolrth forecast account This

assumed w{rile a modest 3 per cent is thereafter. 2.25 is is done taking into pet cent growth rate into

between 1984-1990 and ttre low growth in GDp and a traffic for each year

in populaticn.

The totaL

by the of the 1977 count which was 31 per cent; 55 per cent and 14 per cent (Annex 7). regpectively Separate benefits are calculated for traffic ratio transporting livestock for which separate benefits are calculaÈed.

divided

SrnalL Vehicles,

Medium Vehicles

and iteavy Vehiclee

the new road made possible the shift from costl-y walking or treking of Livestock to truck transport froro llargeiea to Ëerbera, and estisates were developed of the increased revenue from Livestock exports attributable tc the

5.3.4

- 2 4 -

road impr6vomênt,.

Data on livestock

moverqents indicate

that

sooe 8101000 1975. weight

sheep and goats and 631000 cattle

nere transported

on the road in their total

At 30 kg ç;er srnall animal and 235 kg per larqe was about 39 nillion of their weight kg. By tnrcking

animal,

these Livestock

soroe 12 per cent walking Ëhero.

or 4.7 oillion

kg was saved âs compared with report is

The 3 per cent weight of recent research

saving ehown in the appraisal subject.

1ow in vielr average value kg of and

done on this

Taking the weighted

of the livestock weighË saved is adninistrative in 1976.

at So. Sh. 4 per kg, Èhe vaLue of the 4.7 oillion So. Sh. 18.8 nillion. After deducting transport is

costs

the net value of the benefit

So. Sh. 13.6 nillion cattLe herds, these

In view of the long term problem of rebuilding

savinge

are assumed to grow at a modest 4 per cent per year over the life

of the road.

5.3.5 without

Cùrrent ioutine the project

and periodic

rood maintenance costs,

with

anC for based costse

roaC, were estirnated and appropriately The economic rate new estimates of return

deflated

purposes of the anaLysis. on actual value of capital increaeed eost,

was calculated operating

of savings in vehicle exports

revenue frou

livestoek cost

att,ributable The result

to the nes ehow an tban

road and savings econonic rate

in road oaintenance

(annex 9). (Annex 1C).

of return

of 25 per cent which is relatively at the appraisaL

higher

Èhe 19 per cent derived

_25_
6. 6.1
6.1"1 Hargeisa the extent CONSLUSIONS AND RËCOWIENDATIONS

Conclusicns
Ttie principal and Berbera, that it purpose for

the construction

of the road was to connecË region'of Sorualia. To

the main torrns in the Northern

can be neasured the effect

of the roacl on Sornali econony and rnost of the

has been favourai:1.e" objeetives attributed factor

The road has Lived up to expectations were fully achieved.

of the project

This success couLd be of the project" l:l.e main

to the participants

in the execution

incLudes the perfornances and especially

of the Eorrower, the Co-financiers'the

Contractor

the sup,ervising eneineers.

6.1.2

The perform,lnce of the borrowerrs Department of the Ministry It took appropriate

executing agency, the civil workse nas generally

Engineering saÈisfactory. The efficient supenrisory a najor role

of Rrblic

action

to solve problen:s as they rose. clairns by the played The project

superuision consultants

a::d pronpt and forthright

hanCl"ing cf contractor âttitude

of the contractor

in the successful

coopletion

of the road conÈract. missions.

was aclequately sug:e1vis.d by IDA/ADB supewision 6.1-3 role

Thê other aspect of the success of the project in the }Jorthern region of Sonalia.

is

its

importance and easy access

ïhe road has provided

to the port (i;articularly Berbera of

of Berbera çrhich handles a substantial livestock) and inports.

anount of Somaliars exports of the Hargeisain recent years

The zone of influence by the initiation the ÏDA-financed 1g76, which is

road has been favourably

affected

two major projects. Projecte

One of these is approved in April

Northwest Regional in the Ttre

Agricultural development other is

assisting

of the 150,000 ha of potentLaLly Rangelands Project to the livestock

arable lan<l in the region.

the Northern

which is aiding production

in the management The

of grazing

areas so vital

of SomaLia.

Hargeisa-Berbera prcjects products and will

road has erùranced the benefits serve a useful role by these conplereentary

in the econorny of these in transporting The role of the

over the lons-tern irruestnents. with

stirsuLaterl

Iiargeisa-Berbere Hargeisa-Borama this

rcad will

be boosted further

the coropleÈion of the The zone of influence and if procucts, expLoited the of

road which is being

constructed.

road has a high econornic cleveLopment potential role in transporËing

two rcads would play a oajor and Livestock.

such as foodstuffs

- 2 6 -

6.1.4

In conclusion, total

the objectives

of the project

nere generally

achierred.

the actual appraisal

cost of the project

&ras ûS $ f0.69 mi1lion, The actual

comparcd to

estinates

of US $ 10.60 nillion.

disbursements under

the loan were lower than apnraisel of the loan thrice 30, lg7g.

esÈinates.

The Bank extended the date was fully clisbursed on June of return in

to June 30 u 1979; the cre.iit

An economic re-evaluation

of the project

road shows a rate

af 25 per cent coropared to 19 per cent calculated 1972,

at the tirne of appraisal

Lessons

6.1.5

The decision

to agree on exact costing

and financing

after it

the results led to a

of tendering better

were known sas a rational

one; the lesson beinR that

design project

in terms of cost control.

6.1.6

Much of the inplemente^tion success on this to the constant, (Part regular and coinposition

project

could be oissions agency the Bank

contributed

of supewision

of thé IDA/ADB.

of the success was also due to the executing In ter:ms of a lesson, regular visits superwision it seems that

and the supewising should in all

engineerg).

cases undertake and/or follorrup

nissions.

The degree of only after a

supenzision

should not be increaeed and fcllor.r-up

problero has been detected. on-going process throughout

Supervision

missions

should be an

Èhe inplementation

of a project.

6.2

Reconnendations

6.2"1

In the light

of the Ciscussicns the execution

of this of this

post-evaluation project

reportr

and

the experience recomnendations

gained during are made for:

the foli.owing

Borroser
(i) Should attempÈ in the future to honour its

in similar

projects

to endeavour and machinery,

pledge in terms of the use of facilities, for the specific project

equipraent and personnel by the Bank"

being financed

- 2 7 (ii) Should as a natter of urgency initiate transportation partieulârly investoent. Dank (iii) Should seriously and including projects. on the collection consider the poseibility of data during and after of drawing up guidelines $r ,, :,: the inpLenentation of of borrowere the collection of traffic, Ttris ie

and other data in a systematic manner.

imporÈant for the economic appraisal of neTùtransport -

provisions in appraisal

reports and loan agreements

Ttris would ensure the awarenessjobligations

in the systernatic collection of projects"

of data for monitoring and evaluation

ir{

- - . >{Q PROJÉCÎ LOCATION
truocRalrC
(N Yf^iÉN

Alii.{BN .l

Gull

o{ Aden

t '

- --'.. Oa,?

É'ir@rg$-,/
I

. f
-.I t t I

I t I I I I

,

,

l

I

- SANA^G

t_

IND'IAN OCEAN

Z--\\
brù \

SOr,lAl,lA

bricrouô-,\
. '* .'E

TECENT ECOr.'Crâ,ilC DEVETOPârtENTS
lËrf *Est acthct Llrrta|If,ytrrrqfl.t tÊ)J€gf tâËr6, âo*f ô|.barfiidarc t ta

Dqrc.l ||gr I ! elf: rvæor, srçÉ rrce
F--lilil} .,t i !ùelroÊ( à-Ar tttr-rll æqrÊCt

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nrryradr

-rotorlra r'ù.

z'cfltTRAI

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r
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|rËtcu,t
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iÉr.! ' .l .
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rrnrclrpi fnor[cîs

.*_:-_rc

?
r,tctSrttt

rço

q.

t.æ

-t!.rn€tdûtr É altC rEdr tÊtrr ænaùar E€ar:|.ltÉr

Fnaor.ll

'ora.f srtmÉ

ædr

-AdC136t .*lrilenCr i..-æ I I ' :i'. I O r)F rf f,*tr ràl r,qr llû

arrc r.ùca trr!ûrr a.1ri croatt

t"rrtotl*r ooilr,c

ut0taî, ocE.t
O lrt H&# .æ tlLf a tæ Dô
tlrç

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âtg,crot 66ç4ç6t6t brrdoflrl ùqnrbrlr

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r&

29 SOUALTA

ANI{BX 2

HARGETSA-BERBERA R0Ap-rOAN No CS/S/TR/7lrcgl

Deeign StandarA for tt"

ttargeiga

Design Speed (krn) width of Roadway(n) I.ridth of Surfacing (m) Width of Shoul-ders Mininuur Radiue of Curvature Maxinun Grade Depth of DiËches (rn) lype of Surfaee Main Drainage strucrurês Axle Load (n)

80 9.00 6.50 I " 25 each 400 77. 0.5 DoubLe bituminous surface treatment rrish crossing (paved fords) tons 1o metric , t' ,

Soutee: Joint

Fiuancing Agraement

-30
SOI'{ALIA HARGEISA-BERBERA ROAD-LOA}T NO

Annex 3

cs/s/TR/71 /l0t

REVISED COSTESTIMATES AND FINAI.ICING A.

Project

Cost conpement,s

z
So.Sh. (million)

Item I. Constructi.on of .,the Hargeisa-Berbera Road Supervision of I Feasibilitv Srudy and Detailed Engineering Technical Assistance in Transportation Planning Contingency Allowances: a) on I-l8Z (lOZ physical and 82 Price)
b) on II, III' and

US$(mi1lion)
Local Foreign lota1

Local

Foreign

I"t.T

Foreigtr Exchinge Coaponent

15"20 36.00 0.35 3.3:

51.20 3.70

2" 3 2 s . 4 5
0.05 0.50

7.80 0.s5

70 90

II. III.

0.45

3.85

4. 30

0.05

0.60

0.65

90

IV.

0,05

0"35

0:49 5.20
4.30

0.01

0.0s
0.55 0.43

0.06

90

V,

l.5s
1.30

3.65 3.00

0.23 0.20

0.78 0.63

70 70

w- l0z
physical sub-total v Total Projeet Costc B.
Item I. II. fII. IV. V. Construction Supervision of I

0. l0 2.95

0.80 7.45

0"90 .10.40 7L\"09

0.01 0.44 2,90

o.t2
l.l0 7.74

0.t3 1"54 t0.60 70

19.00 5 1 . 0 0

Source of Finance IDA 7.O5 0 "5 0 0"60 0.05

(usÉErlion) o,75 0.0s 0.0s
0.01 0.14 I .00

ADB

Total

7.80 0.5s 0.65 0.06 t.54 t0.60

Feasibiliry Study and DetaiLed Engineering Technical Gontingency Total Assistance Allowances

r.4c
9.60

Sotrrce:

IBRD/IDA : Appraisal of 2nd Highway Project" Somalia, January 1972

J4l l.{l

itst 2 ts
O lI&I I .Fl I l.|l cl l'-t I

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Or >! r!

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lO I g\ \

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Ln r\ q1\

F

\O

Ëlgl B l Ë l >.J h (rl<f
(\
.5d H
l+{

t{

t

x
Ê
.if l\ ol

$

È èo
â .t r\ o'l

O\

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.o o èx ë Ë É u0

Èl
o o É
H çrf vt C) o I É (t) H

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32
SOMALIA

ANNEx5

HARGEISA-BERBERA ROAD-LOAN NO CS/S/ÎR 17I / OOI

Road Maintenance

Allocation

by Government

Sonali

FiacaL Year

Maintenance Allocation (So. Sh. nillion) 6.40 9.58 7.86 6.84 7" 9 6 7.96

1972 t973 t9 7 4 t975 t976 r977

1

lource:

Civil

Engineering Departoent

, :: *.,$,r:*i]r'.-

Annex 6

33 Itergeisa - Bjrbqra Road:@-n"
/ -,"dctual. and AppraisaL Estimâtes Sonalia

ctlS/TR/711901
lCurnulative) . Actual disburgement as a percentage of Àppraisal Egtipates. :

of Disbursenents

ADB Fiscal Year (Quarters)

Actuel

Appraieâ1 Estimates

tt: 1971 s IV 1972 z I II 116o297.83 IV 1973 z I II III IV 1974z I II III IV ' : 1975 z I II IIT 134,817.55 165,464 " 13 19 8 , 3 3 6 . I7 248' 139.3O 293,282"3A 338,929.83 4O2,508.55 4 5 2o5 3 8 .0 5 591,747.61 8O3rt49.06 9 O 5 , 5 1.7 77 9 3 7" 8 4 9 . 6 4 939,492.69 954,239.55 956"392.66 956,392"66 969,369.51 969,369"51 1 013"5O0.82 I 013,5OO.82 1013,50O.82 I 013,50O.92 I 013,50O.82

us$
loo 000 140 000 210 000 290 000 370 000 450 000 530 000 610 000 690 000 780 000 900 000

. 4 0 .,36 37 ,37 4l 43
43 45

ïv
1976 : I II III IV 1977 z I II III 1978 z I II III IV 1979 z II

I or3,5o0.82
1Ot+S,333.28

Source : Appraisal Report" 1B October 1971 Diebursement File

34 Somalia
Hareeisa - Berbera Road - Loan n" CS/S/ÎR/71lOO1 Traffic Forecast (Aûf)

Annex 7

SmaLl Vehicle

Mediuo Vehicl-e

Iteavy Vehicle

TOTAL

1976 1977 19 7 8 1979 | 980 1981 1982 1983 1984 I 985 | 986 1987 t988 I 989 1990 1991 1992 19 9 3 1994 t 99s

89 96 103 tlt 119 127 t38 149 161 173 179 187 194 202 210 219 227 236 246 256

150 170 183 197 212 226 246 265 284 306 319 331 345

40 43 47 50 54 57 62 67 73 78 81 84 88 92 95 99 t03 107 1t1 115

288 309 333 358 385 410 446 481 518 557 579 602 627 652 678 705 733 762 793 824

3s8
373 387 403 419 436 453

Total traffie is separated into Small, Medium and Eearry Vehicles by growth lraffic 1977 count of 31 7., 55 Z and 14 Z respectively. is assumedas 1977-1983, 5 Z, 3 Z growth tate fox the period 1984-1990' thereafter Source : Mission Estimatee

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Annex 9

r s a - Berbera Roâ?--i6an

Somalia

cs/s/rR/7 | læ1

(so.stl. 'ooo,ooo)
Sna11 VehicLes 2.6704 2.8803 3. 0904 3.3304 3.5705 3.8rO5 4, 1405 4.6706 4"8306. 5 " 1907 s.3707 5.6107 5.8208 6.0608 6.3008 6,5709 6 . 8 10 9 7.0809 7 . 3 81 0 7.6810
l{edium Vehicles

ïarr 1976 1977 | 978 1979 1980 19 8 1 1982 1983 1984 I 985 1986 r987 | 988 f989 1990 1991 1992 1993 1994 r995

Eearry Vehiclee 3.2676 3.s126 3.8394 4.0845 4.4112 4.6563 5.0647 5.4732 5.9633 6.3718 6.6169 6.86t9 7.1887 7. 5 1 5 4 7.76A5 8.0873 I "4141 8.7408 9.0676 9"3943

Total

11.9021 1 2" 7 2 5 5 t 3.6986 1 4 . 74 6 6 15 . 8 6 9 5 16.9174 18.4145 19 . 8 3 6 8 21.2591 22.9059 23.8791 24.7773 2s.8253 26.7984 27.9212 28.9693 3 0 " 16 6 9 31.3646 32.6372 33.9097

17.8401 19"1184 20.6284 22,1615 '23.8512 25.3842 ,27.6197 29.7806 32.0530 34.4631 35.8667 37.2499 38.8348 40.3746 t+l.982s 43.6275 45.3919 47.1863 49.OB5B 50.9850

Source : Mission Estinates

- 3 7
SOMALIA

Annex 1O

IIARGEISA-BERBEBA Road-Ioan NO cs/s/rR 17 I I OOI REOAI,CIJI.ATTON OF ECONOMIC RAÎE OF-REIWF(So. Sh.'000,000) Vehicule Operating Cost saving

Year 1972 I 973 197 4 t975 r976 1977 I 978 r979 1980 l98l I 982 1983 1984 1985 r986 t987 1988 1989 I 990 l99l r992 1993 t994 I 995

Capital CosÈ

Livestock Benefits

Road Maintenance Cost saving

Net Benefits

14.30 26.84 2 ().8 4 12.lg
9.45 I0.07 I0.93 1r.75 L2.64 I3.45 t4.64 1 5 .7 g 16.99 I8.26 13.6 l4.l t4.7

r5.3
15.9

r6.5
17.2 17.9

r8.6
19.3 20.I 2t.9 21.7 22"6 23.5 24,4 25.4 26"4 27.4 28.5

r9 . 0 1 t9.74
20.58 2l .39 22.25 23.12 24,06 2 5. 0 1 26,01 27.02

-.2 -.2 3.2 -.2 ^.2 -.2 -2.4 '.2 -.2 4.9 -.2 -.2 -.7 -.2 6.6
t12

6.6 4.9 -"7 4.9

( t4 . 3 1 ) (26.84) (26.84) (t2.t9) 22,95 23.47 28.83 26.85 29.74 29.75 29.44 33.48 3 5 .3 9 42.16 38.gl 40.44 4t.58 43,79 52.35 47.32 56.06 46.51 52.71 60.42

ERR= 252 -Source: l'lission Estiuates

COMI{ENTS BCIIItsÛ!.;ERS

ANNEX iI

JAMNUURTTAUNA T}Iffi. SÛMATTTTA
IttasÂÂBADDA nASI{LAIIÂ GLUS & &{tAffisVH. WAAIfi}A SflËAPKA s. B. 9$8 lsletds: T0ûCEiII lfitû SûM ftIeloon: 80911- 80{Tâ - S0{fg Iûogûdtrn$ l SourpJfs.

SSMAT,TDEh{SCN,AîIC BEPUST,Ï
F. û. Ëox $|S$ Telex: T00 CED rfiOG $t[t lelephone: 802T1- 804?1- fôfld.7? Ituqdtgtm / gôorû*f,Uyê

WSFKS & HETJSI AilNNTSTBT OF PLIBN,TC CIVTT trHGTTTEENI$G NNTABITf,ETT

Our Ref : cED/ ,T4û

IAA

ishu, Mogad

17 .06 . 1984

To: Mr. T. Gedamu, Diteetor Planning and'Research Depat'tment African DeveL:proent Bank P. O. 8ox 1387 Abidjan - Ij*ory toajt

Subject: '-' Dear Sir,

on ?ost EvalgLCjPJ Repo.rt.of Corncnent

Hargei€3 - Berbera Road

'

datçd 5th !'Iarch 1984 l{e are pteased to acknonledge receipt of your letter - Befbera together with the text of the post evaluat.ion teport of tlargeisa and pleased to inforrn you Êhat afeer examining thorougbly the Road project described in the text af the report, I,r€ are in agreeuent ûith inforrnations Èhe content of the reporÈ except mi.nor pointe nhich are indieated below; PaEe 2 Under trérnsport sysÈeo, coastal Line of Souralia is 2,50û ltois. 30360 tfurs and not

PaLq. 3 .. Under road aet work ( up date to 1984) I3:gg:l-tgggg
Paved Gravel 2525 350

Secondary_Roa-Êg 35 215 5098 5348

Fgl:-a1/fqedejl-loads

All

Je,0oo
12,t0ç

'220,

Roade

Earth
lotal Page 4

t+?!
4296

18519'
21644

Hargeisa - Boraus Road (Gebile -' Nabadid Section) The second coutract of, llargeisa - Batama Road (Gebile - Nabadid section) had been awarded to Chinese finn Mee$rs. SlEfCO. Agreenent.betseen the Sorali Go'rernuent and SIETCO vas signe-d an 10/5/83, the duration of the contract is l? ænths for the ccmpletion of the above mentioned section. the projeet Hovevero due to deLay of the advance payeent of the tontrâctor, ie delayed approx. B aronthe, CompletLoa of. Gebile - Nabadid sectiotl ie expected to be completed early !'ebruary 1985. Under (ii) - ) . -

2 l. . ,

t .

'I

Pgse 6

tlnder S (;.) The X.*ngt.h of !3*r6eteæ - Bcrr;:*.:sa Ë.*cctiie ta fug lCejale É* T9 Rr**" 13T g:cs a$d the lir*

Fage 13 - ti*der p&Ës. 3.3.4" turin6g *pril 19SZ a c3rctror.e ôarrging high iaeeurlty reÊa hit tbe Cuase*I lire of $ornaÏ.ir along Ëhe ret.? eea êsd as a resuÎ,t of ttre estrs orrtiaary irrÈensity oË sals 30 kme of Scrgei.sâ * B*rbera Ro*d sae eorgLetely uexhad out* hovever, the SonmÏ.i GovernseËrt hed iædiseeÏ.y *l3.oceted frrnd and ehe Civil F.ag{.ncering Depertûent hâd rer*conatructed the daængedse{:tiou rf the road to the design sraËdrrd of the project. îhe preeent eÈtur$tion of Eergeisa - Berbeta ftoad is in goad Btsnderd ës & trholë. H,indly sccepÈ Ehe asaursnce of qy highe*t eonsideratioûs.

f airtrf
À1i Eirector

Dept,

ccl iliaietry of Fin*nce tlo8adiehu

-

-1j

..

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