State of Sergipe - Phase 5 of Brazil Proactive, Safe and Resilient Road Asset Management Program

pipeline

Sergipe, Brazil’s smallest state, spans 21,910 km² and is home to 2.3 million people. Despite strong growth in agribusiness and transport connectivity, the state faces persistent regional disparities, rural poverty, limited access to family farming and tourism spots, and increasing vulnerability to climate change. Those infrastructure deficits contribute to economic exclusion and rural-to-urban migration.The state road network (5.142,6 km), of which 48 percent are paved, connects agricultur production and tourism zones to the BR-101 highway. It suffers from chronic maintenance gaps, safety risks, and climate-related degradation. Sergipe is seeking to modernize road governance through long-term performance-based maintenance contracts (CREMAs and PPPs), supported by institutional reforms and targeted investments in road safety and resilience.The CREMA Sergipe project, the fifth phase of the MPA - and the sixth State joining the Learning agenda, will promote the sustainable, safe, and resilient transport infrastructure. The project will seek to reduce structural inequality and enhance climate adaptation, while strengthening institutional capacity and leveraging private sector participation.Component 1: Safe and Resilient Proactive Maintenance of State Highways based on Long-Term Rehabilitation and Maintenance Contracts (CREMA) (US$270Million):Subcomponent 1.1: Proactive maintenance CREMA-DBM: Long-term performance-based safe and resilient road management contracts for state road corridors.Subcomponent 1.2: CREMA-PPP: Structuring and implementation of long-term (over 20 years) safe and resilient CREMAs using the PPP regulation for selected state roads - mostly financed by Private Capital Mobilization (PCM)Component 2: Institutional strengthening for sustainability of road asset management, road safety, climate resilience, and decarbonization (US$5 million), with activities focusing on three different topics: a) Road Network Management Monitoring System. These activities will support sustainable, safe, and resilient road infrastructure management, including TA, studies, the acquisition of goods, and capacity building, in the three following areas: (i) road infrastructure management, including, inter alia, studies and systems for planning and management of the road asset, support to the PPP agenda; (ii) road safety, including, inter alia, a diagnostic of road safety, technical and policy advice (on, for example, speed management, and active mobility infrastructure); and (iii) Logistics Planning and Support, including, inter alia, a he preparation of the Plano de Desenvolvimento do Transporte Intermunicipal (PDTI) and other related studies to improve the efficiency, resilience, and connectivity of the intermunicipal transport and logistics systems.b) Resilience and Decarbonization: The proposed activities will strengthen the state’s capacity to assess and manage climate-related risks in the road sector. These include updating and expanding the state’s micro-level risk assessment tool for climate vulnerability analysis and providing training on climate change adaptation, mitigation, and decarbonization strategies in the transport sector.c) Social inclusion and Gender: The proposed activities include conducting a gender assessment and developing an action plan to integrate gender considerations into the CREMA projects. Measures may include hiring female engineers for project management roles and implementing a pilot training program targeting vulnerable groups, with a focus on social inclusion and gender equality. Component 3: Road Works and Services (US$20 million).Subcomponent 3.1: Improvements to urban crossings and pedestrian areas in historical cities: São Cristovão, and Laranjeiras (US$ 4 million). The interventions will include works to increase the safety of pedestrians and cyclists, with special attention to areas near schools. It will also include improvements to urban crossings located at critical points. The interventions will be preceded by technical projects and properly supervised to ensure the quality and effectiveness of the actions.Subcomponent 3.2 Rural access infrastructure (local roads) (US$16 million). This subcomponent aims to increase the resilience of the rural road network by eliminating critical points on unpaved local roads, especially in areas with high socioeconomic vulnerability. Public consultations will be held with local communities, including quilombola and indigenous communities, to identify and prioritize the sections to be benefited.Component 4: Project management (US$5 million). The management component will support the hiring of teams and equipment and expenses necessary for the proper execution of the project.