Project Status

GOVERNMENT OF THE PEOPLE’S REPUBLIC OF BANGLADESH
Local Government Division of MoLGRD&C
Dhaka Water Supply and Sewerage Authority (DWASA)

Progress Report

of

Project Management Unit (PMU)
Dhaka Water Supply Sector Development Project (DWSSDP)
DWASA Bhaban (8th Fl)
98 Kazi Nazrul Islam Avenue, Dhaka 1215

Table of Contents

Foreword

Dhaka Water Supply Sector Development Project (DWSSDP) is relatively a recently launched development intervention. Consequent upon completion of a conceptualization-fact finding-appraisal process, the ADB-GoB loan agreement for the project was signed on and consequently, the Loan became effective on 14 December 2007. Since then, an Inception Mission visited Bangladesh between 23-31 January 2008. A set of actions and time-frame for them was agreed upon.

The project has juxtaposed and linked to it a set of program activities (to be carried out under the Program Loan component). The program as well has specific activities in the water supply and sanitation sector while a substantial part of it will embrace DWASA’s organizational and institutional development parameters. Broad responsibilities for the program activities, however, rest with LGD and MoFin, although there are substantial doables by DWASA as well.

In respect of the project, DWASA has attempted to carryout initial activities entailing staff deployment, setting up of office in physical terms, and importantly taking effective steps spanning the process of selection of project consultants (three packages). However, the relevant sections in the main body of this progress report, however brief, will give a wider reflection of the progress todate.

In the end, this is the first progress report that will be followed by many within the project period. Hence, as a starter, this report may have inadequacies, which we expect to be comprehensive in the future reports.

The Report

A. Introduction and Basic Data
Dhaka Water Supply Sector Development Program (DWSSDP) has been formulated in line with the GoB’s sector policies and strategies, particularly the Sector Development Program (SDP) for water supply and sanitation spectrum of the country. The SDP and related GoB policies set forth clear and well formulated development objectives, investment plans, institutional arrangements, and transition plans for the water supply and sanitation sector. ADB assistance for the ensuing project has been formulated on a ‘sector loan’ basis.

DWSSDP has two major components: the program loan and the project loan. The program loan encompasses principally reform measures to the water supply and sanitation sector, especially in the urban context. The remaining component of the loan mainly involves implementation of a water supply improvement project for Dhaka city that stands to be implemented by Dhaka WASA. This report shall principally focus on the project component.

B. Project Components
The project will have three (3) components as its principal output, which are summarized below:

a] Component A: Distribution System and Quality Improvement :
This component will involve physical rehabilitation and strengthening of DWASA’s water distribution network to minimize losses and to enable 24 hour pressurized water supply, and provision of water quality assurance and control measures, particularly within four out of six selected MODS zones. Its subcomponents are :

• Distribution Network Rehabilitation and Strengthening
  
• Water Quality and Monitoring System Improvement .

• institutionalization of sound financial management, efficient billing, revenue collection and customer record systems
• provision of comprehensive training for all levels of DWASA staff to optimize operational performance and upgrading of training facilities; and
• extensive demand control and awareness campaign for consumers.

c] Component C: Project Management and Implementation Support : Its main subcomponents are:

 Consulting services entailing

o project management and monitoring
o detailed planning and design activities under the Project
o contract structuring, tendering, execution, and management
o construction supervision
o preparation of a demand control, resource conservation and public awareness campaign, including the tariff awareness program; and
o identification and development of various institutional strengthening measures, training modules and guidelines/manuals and provision of training.

Consulting services will also include engagement of NGOs to manage parts of the demand control and community awareness program.

  Additionally, consulting services will be provided to assist DWASA in conducting a feasibility study for an optimal location of the future 500 mld SWTP.

Now the brief delineation of project progress, largely given in tabular form, are as given below:

Progress status
Eversince DWSSDP has gone into implementation, there has been some notable progress todate. This particular progress report contains progress made on different fronts within the period of mid December to 30 June’08 period .

Reiterating, the report essentially focuses on the project part (larger of the two major components) and it attempts to largely follow the format given in the PAM of the project

Part A
Introduction and Basic Data
Narrated below are some of the basic data on the project particulars, given in a somewhat tabular form

h) Status of project financing

i) Date of last ADB review mission        : 23 ~31 January, 2008

Part B
Utilization of Funds
During the period since loan effectiveness date, vis a vis the project’s being off the ground, quite a few contracts have been awarded. However, within the period, other significant and initial start-up works were taken up that included deployment of staff, setting up of a permanent office, organizing logistics/equipment from the existing base of DWASA, establishment of accounts and other related matters. Never the less, a sequential progress in respect of procurement inclusive of pertinent contracts and as well payment settled are shown below.

Cumulative contract awards financed by ADB loan

Cumulative disbursements from the ADB loan

Part C
Project Purpose
The Project stands to contribute to sustainable provision and operation of urban water supply services in Dhaka city, by rehabilitating and strengthening the water supply system. Alongside it, there shall be a broad range of capacity building activities for DWASA to raise its management capacity to extend better services to its urban clientele.

The project Impact is sustained economic growth and public health improvement in Dhaka city.

The Outcomes of the project will be Provision and sustainable operations of improved water supply services in the project area. In addition, the expected outcome will also be to support GoB in achieving the reforms under the Program loan.

The project Output will entail rehabilitation and strengthening of the water supply system in the Dhaka city, and build the capacity of DWASA to optimize its system and provide improved services to the urban dwellers of Dhaka, stretching to the year 2025.

Part D
Specific Implementation Progress
As stated above, the progress under this report principally focuses the activities and development during the last quarter i.e. Mid-Dec’07 to Mid April’08 (in fact, somewhat in excess of 3 months). The following sections briefly narrate achievements todate on different areas of the project.

Targets and achievement of key work elements: Sequence of activities and milestones to be reached were specifically spelled out in the time frames provided in successive Aide Memoires that eventually led to the approval of the project by ADB Board, signing of the Loan agreement and importantly, declaration of the loan effectiveness. In effect, all the conditions for the 1st trench release (refer policy matrix of the RRP & PAM) were met on time, hence need not be narrated here.

The main stipulations and deadlines (agreed actions in matrix form) spelled out in the Aide Memoire of Jan’08 Inception Mission specified the following time-frame for some key activities.

Establishment and staffing
Consequent upon the loan becoming effective, a full fledged project office has been established at level nine of DWASA Bhaban. The Project Director (S. Qumarul Ahsan, an Addl. Chief Engineer) was in place even before the ‘loan-effective’ date.

Consistent with the precursor-requirements of the project, the following key personnel (apart from the PD) have been deployed under the project. They are:

• Dy. Project Director (Tech -1) (Mohammad Shahjahan)
• Dy. Project Director (Tech-2) (Kazi Abul Kashem)
• Executive Engineers - 4 (four)

Project Bank Account(s)
Requisite bank accounts for DWSSDP have already been established and are in operation

Progress of project component
While the matrix above containing agreed actions that stipulate specific actions on certain fronts and are reflective of the progress todate, the status of some important and significant work elements, somewhat in reiteration, are given below.

Recruitment of project Consultants

 Selection of Design & Management Consultants (DMC):

• EoI published: 13 November 2007
• EoI received : 17 December 2007
• Short listing & draft RFP sent to ADB: 19 February 2008
• Endorsement of the draft RFP & shortlist by ADB: 14 April 2008
• Issuance of RFP: 17 April 2008
• Receipt of Technical and Financial proposal: 24 June 2008

• EoI published: 26 November 2007
• EoI received : 30 December 2007
• Shortlisting & draft RFP sent to ADB: 17 March 2008
• Endorsement of the draft RFP & shortlist by ADB: 5 May 2008
• Issuance of RFP: 7 May 2008
• Receipt of Technical and Financial proposal: 26 June 2008

• EoI published: 14 January 2008
• EoI received : 14 February 2008
• Shortlisting & draft RFP sent to ADB: 12 May 2008
• Endorsement of the draft RFP & shortlist by ADB: awaited
• Issuance of RFP: subject to above

Expected works in the next six months
Consistent with the overall work plan, there will be quite a few activities within the next quarter or so. They will include, among others:

1. Recruitment of Design and Management Consultants (DMC)

• Evaluation of the TP of DMC
• Transmitting the evaluation of TPs of DMC to ADB, Manila for their approval
• Consequent upon receipt of approval of TP, opening the FP and transmittal to ADB, Manila for final approval
  
• Placing before CCGP for approval for the final selection of DMCs

• Evaluation of the TP of FCBC
• Transmitting the evaluation of TPs of FCBC to ADB, Manila for their approval
• Consequent upon receipt of approval of TP, opening the FP and transmittal to ADB, Manila for final approval
• Placing before CCGP for approval for the final selection of FCBCs

• Evaluation of the TP of PPMEC
• Transmitting the evaluation of TPs of PPMEC to ADB, Manila for their approval
• Consequent upon receipt of approval of TP, opening the FP and transmittal to ADB, Manila for final approval
• Placing before CCGP for approval for the final selection of PPMECs

4. Getting all remaining PMU personnel recruited/deployed

5. Getting the Subsidiary Loan agreement (SLA) signed between DWASA & MoFin

6. Getting a grievance redressal mechanism appropriately designed and put in place

7. Mobilizing all three consultancy groups

8. Drawing Pragmatic work plan for the implementation of the physical part of the project elements that would essentially include:

• Survey
• Design
• Initiation of the Preparation of contract bids
• Stocktaking of DWASA’s institutional and operational fronts by FCB consultants
• Addressing the policy matrix requirements, especially those for which DWASA would be responsible for execution.