Kingdom of Cambodia

Ministry of Public Works and Transport
1

Road Maintenance Overview
Performance Based Road Contracts

By
PHENG Sovicheano
Under-Secretary of State

16 September 2014
CONTENTS
 Background

 Main drivers of testing PBRCs in Cambodia

 Capacity building of domestic contractors

 Main benefits obtained after the first pilot

 Role of ADB in first pilot project and
recommendations for the future
2
BACKGROUND
 ADB Loan 2406-CAM (SF) / IDA Cr. 4442:
Road Asset Management Project (RAMP)
2008 approved
 Established Road Maintenance Management System
(RMMS), and
 Provided Capacity Building of MPWT Staff and the
Local Construction Industry

 ADB Loan 2373-CAM (SF): Southern
Coastal Corridor Project (SCCP) 2008
approved
 Pilot Program of Periodical and Routine Maintenance
PBRC
3
MAIN DRIVERS OF TESTING PBRCs
 Improve institutional and technical
capacity
 Establish a Road Maintenance
Management System (RMMS)
 Outsource force account
 Efficiency goals for the private sector

4
Improve Institutional and Technical Capacity
- as Road Maintenance Reform
 Establishing a dedicated unit, Road Asset
Management Office (RAMO) within the
Ministry to plan, budget, and implement road
asset management
 Trainings for road condition survey, analysis,
assessment and prioritization of roads
 Budget planning and submission
 Implementation with supervision and quality
control
5
Establishment of RMMS
 RMMS includes:
 Knowledge of Asset (international roughness index,
condition asset, asset cost)
 Level of Road Services (example, next slide)
 Predicting Traffic Demands (Automatic Traffic Counting
System [ATCS])
 Road Performance Monitoring
 Maintenance Management
 Finance/Cash Flow
 Asset Management Planning
 Chain of Commands



6
Level of Road Service
 MPWT to set level of road service based upon 5
parameters:






 Based upon above parameters MPWT to develop
maintenance standard/specifications/method
statement
7
Parameters Satisfactory Critical Unacceptable
Rutting (mm)
Cracking
Riding quality
(mm/km)
Deflection
Skid Resistance
Outsource Force Account
 Gradual shift from conventional approach of provincial engineer’s judgment
and political influence to an application of Location Referencing Condition
Survey (LRCS) and HDM-4 in preparation of Annual and Three Year Rolling
Budget Planning Programs
 Gradual shift from force account to outsourcing, targeting 30% planned to be
outsourced in 2014, with 10% annual increase
 Gradual shift from Input to Output PBRC
 Challenges for many local contractors:
 Lack of familiarity with externally funded contracts, and PBRCs
 Lack of experience in preparing bids for PBRCs

 Provide capacity building to force account units to be ready to outsource
maintenance works through PBRCs and also do works by themselves
through PBRCs (target year 2016):
 Prepare technical documents to carry out PBRCs
 Review Financial Regulatory Framework
 Provide training to Provincial Departments of Public Works and
Transport staff


8
Efficiency Goals for the Private Sector
Trainings planned for future as capacity building:

 Quality Assurance/Quality Control trainings
 Project Administration and Management
 Procurement of civil works and consultant services
 Social Safeguard compliance
 Benefit Monitoring and Evaluation
 Good Governance Framework
 Accounting and disbursement

Efficiency goals: efficient, safe, environment friendly project
implementation with satisfactory quality and minimized
impacts, transparency and accountability
9
MAIN BENEFITS OBTAINED AFTER
THE FIRST PILOT PBRC
 Manuals for Road Maintenance and
Supervision have been prepared

 RAMO has facilities and skills to produce
Annual Road Maintenance Plan (ARMP)

 Several very good local contractors/
consultants emerged
10
DO’S AND DON’TS
Do’s
 Out-sourcing with application of PBRC
 Gradual out-sourcing PBRC in line with growing
capacity of local construction industry
 Provision of PBRC trainings to MPWT, PDPWTs, MEF,
and Contractors
 Assessment methodology to be simple




11
Don’ts
 Take a short term approach
 Establish the level of road service above available budget
 Transfer risk to the contractor excessively
RECOMMENDATIONS FOR
THE FUTURE
 IDA and MPWT are in Detailed Design
Process to prepare four PBRC packages of 157
km in total amount of $ 64.0 million

 ADB and MPWT are preparing PPTA: Second
RAMP, to design a project with the application
of PBRC

Thank You
12