FOR OFFICIAL USE ONLY RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF THE
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1 Public Disclosure Authorized Document of The World Bank FOR OFFICIAL USE ONLY Report No: RES19910 Public Disclosure Authorized Public Disclosure Authorized RESTRUCTURING PAPER ON A PROPOSED PROJECT RESTRUCTURING OF THE GHANA URBAN TRANSPORT PROJECT CREDIT NO GH GLOBAL ENVIRONMENT FACILITY GRANT NO. TF (BOARD APPROVAL DATE: JUNE 21, 2007) TO THE REPUBLIC OF GHANA June 15, 2015 Public Disclosure Authorized TRANSPORT AND ICT AFRICA REGION 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 GAPTE GEF GUTP PDO MMDA SDR Greater Accra Public Transport Executive Global Environment Facility Ghana Urban Transport Project Project Development Objectives Metropolitan, Municipal, and District Assemblies Special Drawing Rights Regional Vice President: Country Director: Senior Global Practice Director: Practice Manager/Manager: Task Team Leader: Makhtar Diop Yusupha Crookes Pierre Guislain Supee Teravaninthorn Kavita Sethi 2
3 REPUBLIC OF GHANA URBAN TRANSPORT PROJECT CONTENTS A. SUMMARY...7 B. PROJECT STATUS...7 C. PROPOSED CHANGES...8 3
4 DATA SHEET Ghana Ghana Urban Transport Project (P100619) AFRICA Transport & ICT Report No: RES19910 Basic Information Project ID: P Lending Instrument: Specific Investment Loan Regional Vice President: Makhtar Diop Original EA Category: Full Assessment (A) Country Director: Yusupha B. Crookes Current EA Category: Full Assessment (A) Senior Global Practice Director: Practice Manager/Manager: Pierre Guislain Original Approval : 21-Jun-2007 Supee Teravaninthorn Current Closing : 15-Jun-2015 Team Leader(s): Kavita Sethi GEF Focal Area: Multi-focal area Borrower: Responsible Agency: Ministry of Finance and Economic Planning Department of Urban Roads, Ministry of Local Government and Rural Development, Restructuring Type Form Type: Restructuring Level: Short Form Level 2 Decision Authority: Regional Vice President Approval Financing ( as of 01-Jun-2015 ) Key s Project Ln/Cr/TF Status Approval Signing Effectiveness Original Closing Revised Closing P IDA Effective 21-Jun Aug Oct Dec Jun-2015 P TF Closed 08-Aug Aug Oct Dec Jun-2015 Disbursements (in Millions) Project Ln/Cr/TF Status Currency Original Revised Cancelle d Disburse d Undisbur sed % Disburse d P IDA Effective USD P TF Closed USD
5 Policy Waivers Does the project depart from the CAS/CPF in content or in other significant respects? Yes [ ] No [ X ] Does the project require any policy waiver(s)? Yes [ ] No [ X ] A. Summary of Proposed Changes The proposed restructuring is for a no cost extension of closing date to the Ghana Urban Finance Transport Project (GUTP) (Credit GH and Grant TF ) as requested by the Republic of Ghana, Ministry of through its letter dated June 15, 2015 to utilize the remaining, uncommitted funds for emergency road repairs in Accra following the recent devastating floods. B. Project Status The project is currently rated moderately satisfactory. The project outcome targets are being achieved as planned and most of the project activities have been substantially completed. C. Proposed Changes Financing Change in Loan Closing (s): Explanation The government of Ghana has requested extension of the closing date of the Grant and Credit in order to allow use of the uncommitted funds under the project for emergency repairs related to the severe flooding in Accra earlier this year. Ln/Cr/TF Status Original Closing Current Closing Proposed Closing Previous Closing (s) IDA Effective 31-Dec Jun Dec Jun-2015 TF Closed 31-Dec Jun Jun
6 REPUBLIC OF GHANA URBAN TRANSPORT PROJECT RESTRUCTURING PAPER A. SUMMARY 1. This proposed restructuring is to request a retroactive extension of the closing date and a restructuring of project activities to allow the government of Ghana to utilize unused proceeds of Credit GH to fund emergency repairs related to severe flooding in Accra earlier this year and to extend the Global Environment Facility (GEF) Grant TF to allow the funds to be fully disbursed. Currently 79 percent of IDA credit funds and 95 percent of Grant funds have been disbursed and 86 percent of IDA and 100% of GEF funds have been committed. An amount of US$6.4 million has not been committed and the Client is requesting reallocation of funds and restructuring of the project activities in support of the emergency repairs. Additionally, some project activities will continue under the extension. The government has requested these revisions but a formal letter of request is pending. B. PROJECT STATUS 2. The original financing of the GUTP was approved on June 21, 2007 for an amount of Special Drawing Rights (SDR) 29.8 million from IDA and GEF Grant of US$7.0 million, and was declared effective on October 19, The current closing date is June 15, 2015, which includes two extensions. The first extension was processed for 23.5 months from December 31, 2012 to December 15, 2014 and included (i) reallocation of credit proceeds across existing components and (ii) revision and fine-tuning of the results framework. A second extension for an additional 6 months, approved on December 3, 2014, allowed for time to execute the infrastructure works for bus priority measures and to kick start the operations. 3. The project status is currently rated moderately satisfactory for Progress Towards Achievement of the Project Development Objectives (PDO) and moderately satisfactory for Implementation Progress. However, severe rains and flooding in the Accra region have delayed the completion of some works while damages from flooding have necessitated repairs that were not part of the original project scope. The project outcome targets, measured by key outcome indicators, are being achieved as planned. Most of the project activities have been substantially completed. The Implementation Status and Results Report rating for the project have been satisfactory throughout the project until the most recent ISR sequence. 4. The project has five components as follows: Component 1. Institutional Development; Component 2. Traffic Engineering, Management and Safety; Component 3. Development of Bus Rapid Transit System; Component 4 Integration of Urban Development Planning and Component 5: Project Outcome Monitoring. 5. Component 1. Institutional Development. This component is related to institutional reform, transport policy and capacity building for the same and is co-financed by the French 6
7 Agency for Development (AFD). Nearly all the activities within this component have been completed and related intermediate indicators met 6. Component 2, Traffic Engineering, Management and Safety, comprises traffic management enhancements in Accra and Kumasi Metropolitan, Municipal and District Assemblies (MMDA) Areas and is implemented in 2 works batches, both of which are supported by the Agence Française de Développement and are scheduled for completion by end of September Component 3, works for Bus Priority Measures along Amasaman-CMB Corridor: these works are substantially completed and the remaining works will now be completed under the proposed extension. Other sub-components are focused on Public consultation, Communications, Media Strategy Overall management and operationalization for the Quality Bus Service corridor rather than the bus rapid transit trunk road. These aspects have made steady progress under GAPTE and will also be completed under the proposed extension. 8. Component 4: Integration of Urban Development and Transport Planning: All planned work under this component has been completed. 9. Component 5: Project Outcome Monitoring: The extension will allow updating of the outstanding M&E indicators. In particular, the indicators related to the PDO, including bus travel time and speed along the Amasaman-CMB corridor, number of project beneficiaries, and greenhouse gas emission levels. C. PROPOSED CHANGES 10. The proposed changes include extending the closing date of the Grant and Credit to December 15, 2015 and creating a new component for emergency works and consulting services. The government has yet to precisely define the scope of works to be funded under the proposed new activities. Activities are expected to include emergency repairs to drainage systems, buildings, and roads and administrative costs associated with the same. 7
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