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1 Document of The World Bank FOR OFFICIAL USE ONLY RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF SAFE AND SUSTAINABLE TRANSPORT PROJECT LOAN December 10, 2009 IN THE INITIAL AMOUNT OF (US$ {150} MILLION EQUIVALENT) AND A RESTRUCTURED AMOUNT OF (US$ {150} MILLION EQUIVALENT) TO THE REPUBLIC OF PERU Report No: This document has a restricted distribution and may be used by recipients only in the performance of their official duties. Its contents may not otherwise be disclosed without World Bank authorization.
2 ABBREVIATIONS AND ACRONYMS Vice President: Country Director: Sector Manager / Director: Task Team Leader: Pamela Cox Carlos Felipe Jaramillo Aurelio Menendez Nicolas Peltier-Thiberge
3 Restructuring Restructuring Type: Level-2 elimination of two sub-projects Last modified on date : 03/02/2010 Status: Draft 1. Basic Information Project ID & Name P116929: PE Safe and Sustainable Transport Country Task Team Leader Nicolas Peltier-Thiberge Sector Manager/Director Aurelio Menendez Country Director Carlos Felipe Jaramillo Original Board Approval Date 12/10/2009 Original Closing Date: 07/01/2014 Current Closing Date 07/01/2014 Proposed Closing Date [if applicable] EA Category B-Partial Assessment Revised EA Category EA Completion Date Revised EA Completion Date 2. Revised Financing Plan (US$) Source Original Revised BORR IADB IBRD Total Borrower Organization Department Location Government of Ministry of Economy and Finance 4. Implementing Agency Organization Department Location Provías Nacional Ministry of Transport & Communications
4 5. Disbursement Estimates (US$m) Actual amount disbursed as of 03/02/ Fiscal Year Annual Cumulative Total Policy Exceptions and Safeguard Policies Does the restructured project require any exceptions to Bank policies? N Does the restructured projects trigger any new safeguard policies? If yes, please select from the checklist below and update ISDS accordingly before submitting the package. N 7a. Project Development Objectives/Outcomes Original/Current Project Development Objectives/Outcomes Project development objective. Improve passenger and freight transport conditions in an efficient and safe manner along national road corridors that are essential to s competitiveness, in particular those included in the Government s stimulus package in response to the global crisis. 7b. Revised Project Development Objectives/Outcomes [if applicable]
5 Proposed Changes 1. This proposed restructuring is to allow for the elimination of two sub-projects from Bank funding under Part 1 of the project (Road Llama-Cochamaba, and Road Puente Reighter- Pte Paucartambo Villarica) as these rehabilitation and upgrading works are now to be financed with national resources as requested by the Government of. The project development objective remains unchanged as well as the outcomes, design and scope of the project. The project is being restructured to facilitate a modification of the negotiated Loan Agreement and avoid delays with loan signing. Based on a request from the Borrower, dated March 9, 2010, it has been agreed that the rehabilitation and upgrading works for the two road sections would now be financed with national resources. This change in source of financing does not materially impact the project development objectives as indeed the project supports a broader program of road rehabilitation and upgrading works to be implemented in The two road sections represent a total of 98.6km, out of a total of 1,024km. The project target for rehabilitation and upgrading works along 183km of national roads will still be met during project implementation, as indeed the negotiated Loan Agreement stipulates that the sections named under Part 1 of the Project (Road Ayacucho-Abancay: section 50-98; Road Llama-Cochabamba; Road Cochabamba-Chota; and Road Puente Reither Puente Paucartambo Villarica) may be substituted by any such other section which may be found acceptable to the Bank once all the necessary environmental and social assessments have been completed. 2. No other changes are envisioned. There are no changes to the Appraisal Summary, no changes to the Risk Framework, and no changes to the Results Framework. There are no changes to any of the implementation arrangements, financing mechanisms, outputs, financing plan, financial management, procurement, disbursement arrangements, closing date, and implementation schedule.
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