Aceh Infrastructure Reconstruction Financing Facility (IRFF)

closed

The objective of the Infrastructure Reconstruction Financing Facility is to assist the province of Aceh and 12 local governments in Aceh and Nias to reconstruct/habilitate strategic infrastructure and extend key infrastructure services of adequate quality standards that meet the needs of communities where infrastructure was damaged by the tsunami of 2004 and the subsequent earthquake. The Project consists of 2 components. Component 1 is Financing of Infrastructure Reconstruction and Rehabilitation Investments which will finance individual infrastructure reconstruction subprojects in 12 local governments - 9 of which are benefiting from the Infrastructure Reconstruction Enabling Program (IREP) technical assistance, and 3 of which are receiving technical advice from existing consulting arrangements, as well as strategic investments at the provincial level. Each individual infrastructure subproject will be co-financed by the Bureau for Rehabilitation and Reconstruction (BRR) for Aceh and Nias and the Multi-Donor Trust Fund for Aceh and North Sumatra. This component will provide resources for civil works and goods in subprojects in the following sectors: roads, ports, water and sanitation, drainage, flood control, coastal protection and restoration of major irrigation canals. Component 2 is the Targeted Support to Infrastructure Subproject Planning, Design, Supervision, and Implementation Oversight which will provide technical assistance (TA): (i) to Aceh Besar, Banda Aceh and Sabang that are currently receiving TA from existing consulting arrangements for subproject identification and design (till January 2007) for the period January 2007 to January 2010. This component aims at strengthening the ability of the Aceh Besar, Banda Aceh and Sabang local governments to improve the provision of infrastructure in their respective jurisdictions by providing technical experts to assist them in planning and subproject identification, subproject design, document submission, procurement, safeguards compliance, implementation, construction supervision, and monitoring; (ii) to support performance and financial audit (over and above external audit) of the project financial statements; and (iii) to provide technical assistance for transition to a post-BRR timeframe and institutional arrangements beyond April 2009, including extension of TA provided under IREP, and capacity building and infrastructure asset maintenance programs for local and provincial governments. In order to mitigate uncertainty in the implementation of this project, a portion of the project funds is not allocated to any specific component.