JUNAID KAMAL AHMAD Country Director India, South Asia Region December 22, 2020 Mr. Sukhbir Singh Controller of Aid Accounts and Audit Department of Economic Affairs, Ministry of Finance Government of India B- Wing, 5th Floor J anpath Bhawan New Delhi, India 110001 Re: IBRD Loan 9062-IN (Green National Highways Corridor Project) Additional Instructions: Disbursement and Financial Information Letter. Dear Mr. Sukhbir, I refer to the Loan Agreement between India (the "Borrower") and the International Bank for Reconstruction and Development (the "World Bank") for the Green National Highways Corridor Project, dated December 22, 2020. The General Conditions, as defined in the Loan Agreement, provide that the World Bank may issue additional instructions regarding the withdrawal of the proceeds of Loan 9062-IN ("Loan"), and specify certain financial management reporting and audit requirements. This letter ("Disbursement and Financial Information Letter" or "DFIL"), as revised from time to time, constitutes such additional instructions. The Disbursement Guidelines for Investment Project Financing dated February 2017, ("Disbursement Guidelines") are available in the Bank's public website at https://www.worldbank.org and its secure website "Client Connection" at https://clientconnection.worldbank.org. The Disbursement Guidelines are an integral part of this Disbursement and Financial Reporting Letter, and the manner in which the provisions in the guidelines apply to the Loan is specified below. I. Disbursement Arrangements, Withdrawal and Reporting of Loan Proceeds. (i) Disbursement Arrangements. Instructions (Schedule 1 ). The table in Schedule 1 provides the disbursement methods (including mechanism for advances), information on registration of authorized signatures, processing of withdrawal applications, instructions on supporting documentation, the closing date, and the disbursement deadline date. (ii) Electronic Delivery. Refer to section 10.01 (c) of the General Conditions: The Borrower will deliver Withdrawal Applications (with supporting documents) electronically through the Bank's web-based portal "Client Connection" at https://clientconnection.worldbank.org. This option will be effected after the officials designated in writing by the Borrower who are authorized to sign and deliver Withdrawal Applications have registered as users of "Client Connection". The designated officials will deliver Applications electronically by completing the Form 2380, which is accessible through "Client Connection". By signing the Authorized Signatory Letter, the Borrower confirms that it is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Bank by electronic means. The Borrower may exercise the option of preparing and delivering Withdrawal Applications in paper form on exceptional cases (including those where the Borrower encounters legal limitations), and which were previously agreed with the Bank. By designating officials to use SIDC and by choosing to deliver the Applications electronically, the Borrower confirms through the authorized signatory letter its agreement to: (a) abide by the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation, available in the Bank's public website at https://www.worldbank.org and "Client Connection"; and (b) to cause such official to abide by those terms and conditions. II. Financial Information. (i) Financial Reports. The Borrower shall prepare and furnish to the Bank not later than forty-five (45) days after the end of each calendar quarter, consolidated interim unaudited financial reports (IFR), in the format provided in Attachment 2 to this DFIL, for the Project covering that quarter. (ii) Audits. Each audit of the Financial Statements shall cover the period of one (1) fiscal year of the Borrower, commencing with the fiscal year in which the first withdrawal was made. The audited Financial Statements for each such period shall be furnished to the Bank not later than nine (9) months after the end of such period. III. Other Important Information For additional information on disbursement arrangements, please refer to the Loan Handbook available on the Bank's website (http://www.worldbank.org/) and "Client Connection". The Bank recommends that you register as a user of "Client Connection". From this website you will be able to prepare and deliver Withdrawal Applications, monitor the near real-time status of the Loan, and retrieve related policy, financial, and procurement information. For more information about the website and registration arrangements, or if you have any queries in relation to the above, please contact the Bank by email at AskLoans@WorldBank.org using the reference IBRD Loan 9062-IN (Green National Highways Corridor Project). Yours sincerely, S umila Gul yani Acting Country Director India Attachments 1. Interim unaudited Financial Report (IFR) 2. Form of Authorized Signatory Letter Schedule 1 Disbursement Arrangements la tu Basic Information Country India Closing Date Section III.B.5. of Schedule 2 Borrower India (Entities: DEA and to the Loan Agreement. Loan CAAA) 9062-IN Number Name of the Green National Highways Disbursement Deadline Four months after the closing Project Corridor Project Date date. Subsection 3. 7 ** Disbursement Methods, and Supporting Documentation Disbursement Methods Methods Supporting Documentation Section 2 (**) Subsections 4.3 and 4.4 (**) Direct Payment No Not Applicable Reimbursement Yes Interim unaudited Financial Report (IFR) in the format provided in Attachment 2 Advance - Designated Acct. No Not Applicable Special Commitments No Not Applicable Designated Account (Sections 5 and 6 ) Not applicable Minimum Value of Applications (subsection 3.5) The minimum value of applications for Reimbursement is nor applicable for to this Loan. Authorized Signatures (Subsection 3.1 and 3.2 ) The f orm for Authorized Signatories Letter is provided in Attachment I ofthis letter Withdrawal and Documentation Applications (Subsection 3.3 and 3.4 ) Am The Authorized Signatories Letter will be sent to the following address: No. 11, Taramani Main Road Taramani, Chennai 600 113, India Attention: Client Services and Loan Operations Department (WFACS) Note: The Withdrawal Applications and its supporting documentation will be electronically sent through the Bank's system ClientConnection. %. Additional Instructions For the DLis 1 to 14 stated in Schedule 3 of the Loan Agreement, and which will be financed through categories 1 and 2, the eligible expenditures are actual expenditures incurred by Ministry of Road Transport and Highways on works for Category 1 (under component A and sub-component B.3 of the project), and goods, non-consulting services, consulting services, and training for Category 2 (under components A, B, and C of the project -except for works financed under Category 1 ), and as detailed in the Schedule 3 to the Loan Agreement. All expenditures will be reported by budget head (as stated in the Project Financial Management Manual -As approved by the Bank). ** Sections and subsections relate to the "Disbursement Guidelines for Investment Project Financing, dated February 2017° Attachment 1- Interim unaudited Financial Reports (IFR) Green National Highways Corridor Project (P167350) Statement of Uses, Disbursment by Categories, Reconciliation with CAAA website - IFR1 Interim Unaudited Financial Report for Period _ IBRD Loan No. EXPENDITURE - Source, Column 16 and 17 from IFR 2 Component / Sub-components I Disb %age ] Bank share I Cumulative For the Quarter I Disb %age I Bank share I Year to date Component A: Road improvement and Maintenance Component 0 0 0 0 0 0 1) Civil Works through EPC contracts 50% 0 50% 0 50% 0 2) Consultancies for PMC and TAC 80% 0 80% 0 80% 0 3) Maintenance of sub-project roads for 5 years 0 0 0 0 0 0 4) Supervision during construction period 80% 0 80% 0 80% 0 5) Supervision during 5-year maintenance period 0 0 0 0 0 0 6) Other costs (including Agency Charges) 0 0 0 0 0 0 Component B: Institutional Development 0 0 0 0 0 0 B1- Climate Adaptation Policy and guidelines 80% 0 80% 0 80% 0 B2- Policy, regulation and systems to reduce emissions 80% 0 80% 0 80% 0 B3 - Mainstreaming green technologies 80% 0 80% 0 80% 0 B4 - Mainstreaming safety and green technologies 80% 0 80% 0 80% 0 B5- Mainstreaming green and safe highways initiatives 80% 0 80% 0 80% 0 B6 - Implementing ERP solution 80% 80% 80% Component C: Road Safety 0 0 0 0 0 0 C1- Road safety data analytics and highway safety monitoring 80% 0 80% 0 80% 0 C2 -Operationalization of the National Road Safety Board 80% 0 80% 0 80% 0 C3- Strengthening highway patrol and emergency response along the project corridors 80% 0 80% 0 80% 0 C4: Capacity building & training 80% 0 80% 0 80% 0 Totals 0 0 0 0 0 0 Disbursment Categories ( 1) Works under the Project o] 50%] 0 o] 50%] 0 o] 50%] 0 (2) Goods, non-consulting services, consultants' services, and sol earl Training under the Project. Reconciliation with CAAA website • 0 al aoel 0 + 0 - Cummulative expenditure till last quarter 0 Signed - Amount released as per CAAA website Project Director, EAP Cell Difference ( provide reasons) Green National Highw ays Corridor Project (P167350) Contract Wise Progress Report= IFR2 Interim Unaudited Financial Report for Period _ Sou rce for preparing this IER format rs Attachm ent 1 Mapping of co lumn num be rs are provid ed be low .» IBRD Loan No. z 12 11 45.6.18 9tf AMOUNT ELIGIBLE FOR EBANK CONTRACT GROSS EXPENDITURE Charges!] [A@icy Ah '},,,,,2% STATUTORY DEDUCTIONS ] SECURITY DEPOSIT /PRETENSION MONEY[ NET AMOUNT PAID FINANCING (PA)D -L.@s8 ORIGINAL CONTRACT VALUE EXPENDITURE IEXPENDITUAE CERTIFIED CERTIFIED ]DOURING THE QTR [CUMMULA'TIVE =z:·z. DOE OUC TIONS Taxes,u te s, Roy arts {QT R) Taxes,Duties, Roy a ties (C UMMULATIVE) (RE TAINE'D LESS f®·oos me (RETAINED LESS c::. 4= 1 + 2 +3 [ 6 2) 10Civil Works throug hEPC contracts ls»lell\ldl well 6 years 4) Supervision dur ing construction period i) Pr oject en Managem t Cons ult ant u) Supe r vis ion con sult ant s for Item- rate co ntrac ts iu) Engineer for EPCcontra cts mentation of RAP Iv) Cons ult ants for imple v) Tur d-party technica l and sa feg ua rd audit co ns ult an E •. Bt- Climate Adaptation Polic y and guid eli nes B2-Policy, reg ula tion and systems to reduce emis sio ns B3-Mainstreaming gree n techno logies 4 l B4-M ains treaming safety and gree n tech no log ie s B5-M ains treami ng gree n and sa fe hig hw ays init ia tive s B6- Implementing RP solution Ct- Road safety data ana lyt ics and hig hwa y safety monit oring a C2 -Ope ra tio na lizat ion of the Natio n lRoad Safety Board C3- Streng theni ng hig hw ay pa trol and em ergenc y response along the project cor ridor s ity balding8 training C4 Capac I Project Direct or , EAP Cell Green National Highways Corridor Project (P167350) Reconciliation of expenditure as per Budget Heads in PFMS/E-Lekha and amount reported in Annex 1 - IFR 3 Interim Unaudited Financial Report for Period _ IBRD Loan No. For Quarter Amounts in I NR AS PER PFMS/E-LEKHA, Attach 2 Component Budget Head Amount of Expenditure Expenditure as per Attach 1, column 17 Difference - Jog , Remarks 5054-xx-XXX-XX-Xx-53 5054-XX-XXX-XX-XX-XX 5054-XX-XXX-XX-XX-XX As per PFMS and E-lekha Cummula tive JANwe Amounts in I NR AS PER PFMS/E-LEKHA, Attach 2 Component Budaet Head Amount of Expenditure Exoenditure as per Attach 1, column 18 Difference Remarks J 5054-XX-XXX-XX-Xx-53 5054-xX-XXX-XX-XX-XX 5054-xX-XXX-XX-XX-XX As per PFMS and E-lekha Signed Project Director, EAP Cell Green National Highways Corridor Project (P167350) Job Register/Expenditure Control Register - Attachment 1 Interim Unaudited Financial Report for Period _ IBRD Loan No. a) Name of Division Head of Account b) Name of Contractor Date of Start c) Name of Work Time for completion d) Job No. Actual Date of Completion e) Sanctioned Estimate f) Tender Amount g) Budget Allocation Gross Amount of Bill including Agency Surcharge on Surcharge on Security Advance Payment Agency -r + to 12 Total Net Amount Expenditure DD/Cheque Voucher No. during the Progressive S. No Bill No. & Date Charqes Income Tax Income Tax Sales Tax sales tax Royalty Deposit Misc. Deposit /Adjustment Charces Recoveries Payable No and Date Date [year Expenditure Sig nature Remarks T 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 --- , NII@dwell!NII Copy of Job Register/Expenditure Control Register maintained by office of RO, for each contract listed in IFR2 Note: Similar formats may be adopted for consultany and goods contracts also. Attachments# 2 and #3 to the IFR, and instructions Green National Highways Corridor Project (P167350) PFMS/E-Lekha Report with expenditure during the period and to date - Attachment 2 Interim Unaudited Financial Report for Period _ IBRD Loan No. Green National Highways Corridor Project (P167350) Status of DLI achievement - attachment 3 Interim Unaudited Financial Report for Period _ IBRD Loan No. Steps for IFR prepration 1 Collect copy of Attachment 1 (for each contract) to be prepared at RO and other offices 2 Collect Attachment 2 3 Prepare IFR 2 from Attachment 1 4 Prepare IFR 1 from IFR2 5 Prepare IFR 3 from IFR2 and Attachment 2 Attachment 2- Form of Authorized Signatory Letter [Letterhead] Ministry of Finance [Street address] [City] [Country] [DATE] The World Bank 1818 H Street, N.W. Washington, D.C. 20433 United States of America Attention: Mr. Junaid Kamal Ahmad, Country Director Re: Loan No. 9062-IN (Green National Highways Corridor Project) I refer to the Loan Agreement ("Agreement") between the International Bank for Reconstruction and Development (the "Bank") and [name of borrower] (the "Borrower"), dated ,providing the above Loan. For the purposes of Section 2.02 of the General Conditions as defined in the Agreement, any 1 [one] of the persons whose authenticated specimen signatures appear below is authorized on behalf of the Borrower to sign applications for withdrawal [and applications for a special commitment] under this Loan. For the purpose of delivering Applications to the Bank, 2[ each] of the persons whose authenticated specimen signatures appears below is authorized on behalf of the Borrower, acting 3 [individually] 4 [jointly], to deliver Applications, and evidence in support thereof on the terms and conditions specified by the Bank. 5[This confirms that the Borrower is authorizing such persons to accept Secure Identification Credentials (SIDC) and to deliver the Applications and supporting documents to the Bank by electronic means. In full recognition that the Bank shall rely upon such 1 Instruction to the Borrower: Stipulate if more than one person needs to sign Applications, and how many or which positions, and if any thresholds apply. Please delete this footnote in final letter that is sent to the Bank. 2 Instruction to the Borrower: Stipulate if more than one person needs to jointly sign Applications, if so, please indicate the actual number. Please delete this footnote in final letter that is sent to the Bank. 3 Instruction to the Borrower: Use this bracket if any one of the authorized persons may sign; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the Bank. 4 Instruction to the Borrower: Use this bracket only if several individuals must jointly sign each Application; if this is not applicable, please delete. Please delete this footnote in final letter that is sent to the Bank. 5 Instruction to the Borrower: Add this paragraph if the Borrower wishes to authorize the listed persons to accept Secure Identification Credentials and to deliver Applications by electronic means; if this is not applicable, please delete the paragraph. Please delete this footnote in final letter that is sent to the Bank. representations and warranties, including without limitation, the representations and warranties contained in the Terms and Conditions of Use of Secure Identification Credentials in connection with Use of Electronic Means to Process Applications and Supporting Documentation ("Terms and Conditions of Use of SIDC"), the Borrower represents and warrants to the Bank that it will cause such persons to abide by those terms and conditions.] This Authorization replaces and supersedes any Authorization currently in the Bank records with respect to this Agreement. [Name], [position] Specimen Signature: [Name], [position] Specimen Signature: _ [Name], [position] Specimen Signature: _ Yours truly, /signed/ [Position]