Osh-Isfana Road Upgrading Project Phase II

cancelled

The EBRD is considering a project which will rehabilitate and upgrade part of the Osh–Batken–Isfana road, Phase II, in the South-West of Kyrgyz Republic. Within this corridor, the Bank will focus, as the priority for the Government of Kyrgyz Republic, on improvement of the section between 28-65 km of the Osh-Batken Road. Osh and Batken are provincial capitals. The works comprise rehabilitation of existing roads along the existing alignment. The project responds both to the general need to develop the Kyrgyz Republic road network and specifically the growth of traffic along an important route which provides the only connection between the main Kyrgyz cities in Fergana Valley and the rest of the country. The key transition impact objectives for the project, which will be part of an overall transition programme, include the following: The loan would be to the Kyrgyz Republic. The Ministry of Transport and Communication of Kyrgyz Republic (“MoTC”) is a direct beneficiary of the project. The established Project Implementation Unit (“PIU”) within the MoTC will be responsible for the preparation and implementation of the project. Sovereign loan of up to USD35 million. The Project is expected to be co-financed with the World Bank. The total project cost for the Osh-Batken section including co-financiers amounts to up to aprox. USD 80 million. Categorised B. The Phase II project will involve mostly rehabilitation of existing roads within existing alignment with only limited need for widening of the existing roads. The environmental and social impacts for the entire length of the 360 km Osh-Bakten-Isfana Road Project were assessed by independent consultants in 2009 as part of the Feasibility Study. This assessment which also covered Phase II sections concluded that the environmental and social impacts resulting from the proposed road construction, rehabilitation and upgrade would not be significant. The identified impacts were addressed through mitigation measures under the environmental and social management and monitoring plans. For Phase II, where widening of the roads becomes necessary, land acquisition and compensation would be key issues. Risks to public safety associated with construction activities and road safety issues once operational will also be focus points. The due diligence for the second phase will include review and verification of the original findings of the Feasibility Study and a review of the performance with respect to the ESAP implementation for the initial phase. Environmental and Social Action Plan will be developed to address any inadequacies identified during the due diligence. The technical cooperation package in connection with the project is expected to include procurement and project implementation components.