The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - EUROPE AND CENTRAL ASIA | Kazakhstan | Transport Global Practice | IBRD/IDA | Investment Project Financing | FY 2012 | Seq No: 17 | ARCHIVED on 25-Jan-2021 | ISR44901 | Implementing Agencies: Republic of Kazakhstan, Ministry of Investments and Development Key Dates Key Project Dates Bank Approval Date: 01-May-2012 Effectiveness Date: 14-Jun-2013 Planned Mid Term Review Date: 28-Dec-2012 Actual Mid-Term Review Date: 28-Dec-2012 Original Closing Date: 30-Jun-2017 Revised Closing Date: 31-Dec-2021 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The project development objectives (PDOs) are to increase transport efficiency along the section of the Western Europe-Western China Road Corridor within Almaty Oblast and to modernize highway management on sections of the Western Europe-Western China Road Corridor. Has the Project Development Objective been changed since Board Approval of the Project Objective? Yes Board Approved Revised Project Development Objective (If project is formally restructured) The project development objective (PDO) is to increase transport efficiency and modernize highway management along the Selected Road Sections of the Western Europe – Western China Road Corridor and the Center-South Corridor. Components Table Name Component 1: Upgrade and construction of the Selected Road Sections:(Cost $1250.00 M) Component 2: Modernize highway management along the Western Europe-Western China Road Corridor and Center -South Corridor:(Cost $6.00 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Satisfactory Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions Implementation Progress: There has been some progress in project implementation since the last mission with works progressing on Lots 1 and 2 and procurement completed for terminated contracts on Lots 3 and 4. However, the progress on Lots 5 and 6 is lagging. Overall, the project is on track towards achieving its development objectives with total of US$18.23 million disbursed in first half of FY21. The disbursements have been negatively affected by poor performance of the contractors and termination of two contracts coupled with COVID related impacts. The progress of institutional component is on track with all activities either completed or procured. The tolling system on the 305km motorway linking Almaty with the 1/25/2021 Page 1 of 7 The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - Chinese border at Khorgos (as part of the Western Europe - Western China corridor) continues to be functional and generating revenue, thus ensuring the sustainability of the project investments in the corridor. The below is a summary of activities by component: Component 1 - Upgrade and construction of the Selected Road Sections: Out of six contracts on 297km of Balkhash-Burylbaital section (part of Almaty-Astana corridor), works on Lot 2 are on track with likely completion by the original completion date, but the remaining contracts will require extension of time. Notable progress has been made on Lot 1, while Lots 5 and 6 remain significantly behind the schedule and require close supervision by the Committee for Roads (CR) and Project Management Consultant (PMC). For Lots 3 and 4, where the contracts were terminated on April 3, 2020 due to poor performance of contractors, the retendering was completed and contracts were signed on December 21, 2020. During COVID-19, the works continued but with delays due to difficulty of access and delivery of equipment and materials to the site. To this effect, the Client has been reminded to continue close management and monitoring of civil works contracts, especially on Lots 5 and 6, while ensuring that proper measures are being followed by all contractors and consultants to protect the workers from health risks caused by COVID-19. Component 2 - Modernize highway management along the WE-WC Road Corridor and Center-South Corridor:  Road Safety: The contract for consulting services for carrying out road safety assessment of republican and regional roads within the European Road Infrastructure Safety Assesment Programme (EuroRAP) Framework was signed in December 2019. The consultant completed EuroRAP assessment of 5,000km of republican roads and training of national experts of National Center for Quality of Road Assets (NC), KazDorNII. The work is expected to be completed by July 2021, but may be potentially affected by COVID-19 situation.  E-Tolling: This component supported the development and installation of the e-tolling system for the 305km Almaty-Khorgos section. This system has been completed and continues functioning fully;  Road Sector Advisor to prepare feasibility study for Turkestan and Shymkent Bypasses: The CR completed the procurement of consulting services to prepare bidding packages and necessary safeguards instruments for construction of Shymkent and Eastern Turkestan Bypasses. The contract was awarded in October 2020 and the consultant commenced work in November 2020. Potential savings under the project: Based on the commitments made so far, there are savings in the project. On December 8, 2020, the Coordination Council chaired by the Prime Minister of Kazakhstan approved to use the savings for financing the construction of bypasses in Shymkent and Turkestan and to extend the project closing date to December 31, 2023. Proper safeguards instruments will have to be prepared following the Bank’s safeguards policies and procedures. The preparation of technical and safeguards documents is currently underway, as mentioned above. Both proposed bypasses will form part of the Western Europe - Western China corridor, and hence, are eligible for financing within the EWRP Loan Agreement without the need for modification, subject to completion of needed technical assessments and compliance with the Bank’s safeguards policies. To proceed with the restructuring the Bank still requires a MoF request for reallocation of proceeds across loan categories to ensure sufficiency of funds within disbursement categories for financing civil works and supervision services for both bypasses. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- Low Low Institutional Capacity for Implementation and -- Moderate Moderate Sustainability Fiduciary -- Low Low Environment and Social -- Substantial Substantial Stakeholders -- Low Low Other -- Substantial Substantial Overall -- Moderate Moderate 1/25/2021 Page 2 of 7 The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - Results PDO Indicators by Objectives / Outcomes increase transport efficiency and modernize highway management along selected road sections of WE-WC IN00934813 ►Transport Efficiency:Reduce by the end of the Project, Road User Costs from US$0.26/veh-km to US$0.23/veh-km on Project road sections (Amount(USD), Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.26 0.24 0.24 0.23 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 Current value is 0.238 based on data submitted by PMC. Comments: IN00934814 ►Transport Efficiency: Reduce Travel time on the Almaty -Khorgos section of the WE WCh corridor (Hours, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 5.00 3.00 3.00 3.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2018 IN00934815 Travel Efficiency: Reduce travel time on the selected section of the Center South Corridor (Hours, Custom Breakdown) Baseline Actual (Previous) Actual (Current) End Target Value 4.00 3.00 3.00 3.00 Date 12-May-2017 22-Jun-2020 21-Dec-2020 31-Dec-2021 IN00934861 ►Modernization of highway management: Introduction of sound operation and maintenance practices along the WE-WC Corridor and Center South Corridor. (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 380.00 400.00 600.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 IN00934862 ►Modernization of highway management: Financing gap for operations and maintenance activities along the WE-WC and Center South Corridor (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 50.00 33.00 30.00 20.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 Tolling system on Almaty-Khorgos road section is fully operational. KazAutoZhol is the state operator for toll roads. It has started to collect toll revenues for this road section. However, this year it is less than Comments: expected due to COVID-19 pandemic. 1/25/2021 Page 3 of 7 The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - IN00934863 ►Roads in good and fair condition as a share of total classified roads (Percentage, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 70.00 88.00 89.00 95.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 Construction is going on, the end target of this indicator will be reached by end of next year. Comments: Intermediate Results Indicators by Components Component 1: Upgrade and construction of the Selected Road Sections IN00934864 ►Roads constructed, non-rural (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 405.00 455.00 605.00 Date 12-Jan-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 Component 2: Modernize highway management along the Western Europe-Western China Road Corridor and Center -South Corridor IN00934865 ►CR and KAZ Staff familiar with new operation and maintenance methods (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 225.00 278.00 300.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 IN00934866 ►User survey --the number of users interviewed (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 254.00 344.00 500.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 IN00934867 ►Length of the road network for which new user-pay principles (e.g., tolling) are agreed upon. (Kilometers, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 0.00 806.00 1,000.00 1,000.00 Date 01-Mar-2012 22-Jun-2020 21-Dec-2020 31-Dec-2021 1/25/2021 Page 4 of 7 The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - Tolling has already been introduced on Almaty-Khorgos road section. The tolling has been already introduced on 170 km of completed section of Center-South corridor financed by the Government. As Comments: soon as the whole corridor is completed, the tolling will be introduced there too. IN00934868 ►Changes to Project activities as a result of citizen feedback (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 31-Jan-2013 22-Jun-2020 21-Dec-2020 31-Dec-2021 During the course of construction of the roads, people living adjacent to the roads made requests to the Committee for Roads for some additional works, such as pedestrian crossings, cattle crossings, culverts, change in location of the rest areas, construction of footpaths, bus shelters, trading areas for sale of local products, access roads to the villages, payments for labor, payments to the suppliers, etc.. These Comments: requests were made through the local authorities (Akimats) and to the Employer directly. Upon checking and reviewing the requests, some of them were incorporated in the project designs and implemented through the Variation Orders to existing contracts within the project completion period. IN00934869 ►Feedback on Project activities received - Number of questions from citizens answered at the Project website (Number, Custom) Baseline Actual (Previous) Actual (Current) End Target Value 1.00 596.00 651.00 700.00 Date 18-Jun-2010 22-Jun-2020 21-Dec-2020 31-Dec-2021 The total number of inquiries received from the citizen totals 651. Some of the inquiries received have been directly responded to by the Committee for Roads, while others have been addressed through integration within the project and managed by PMC. The nature of the inquiries is mostly related to additional services such as pedestrian crossings, cattle crossings, culverts, change in location of the rest areas, construction of footpaths, bus shelters, trading Comments: areas for sale of products, access roads to the villages, payments for labor, etc. Some other feedbacks are related to the completion date of the road construction, reasons for closure of the road sections, road traffic accidents, traffic control and safety during construction, etc. The Committee for Roads has already addressed most of the feedbacks and continues addressing them in consultation with the local authorities and contractors on site. IN00934870 ►Complete road safety audit of the design for Balkhash-Burylbaital Road; improvements integrated. (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No Yes Yes Yes Date 17-May-2017 22-Jun-2020 21-Dec-2020 31-Jan-2018 IN00934871 ►Develop and operationalize the road accident database (Yes/No, Custom) Baseline Actual (Previous) Actual (Current) End Target Value No No No Yes Date 17-May-2017 22-Jun-2020 21-Dec-2020 31-Dec-2020 1/25/2021 Page 5 of 7 The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - Performance-Based Conditions Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P128050 IBRD-81560 Effective USD 1,068.00 1,068.00 0.00 662.79 405.21 62% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P128050 IBRD-81560 Effective 01-May-2012 10-Oct-2012 14-Jun-2013 30-Jun-2017 31-Dec-2021 Cumulative Disbursements PBC Disbursement Achievement Disbursed amount in Disbursement % PBC ID PBC Type Description Coc PBC Amount Status Coc for PBC 1/25/2021 Page 6 of 7 The World Bank Implementation Status & Results Report East-West Roads Project (Almaty-Korgos Section): Western Europe - Western China International Transit Corridor (CAREC - Restructuring History Level 1 Approved on 16-Jun-2017 Related Project(s) There are no related projects. 1/25/2021 Page 7 of 7