India - Gujarat Rural Roads Project (Credit 1757-IN) : supervision mission December 1991

 73087 INDIA GUJARAT RURAL ROADS PROJECf CREDIT 1757-IN December 1991 - Supervision Mission DRAFf AIDE MEMOIRE 1. Introduction: 1.1 An International Development Association (IDA) mission comprising of Messrs. C.S. Nawathe (Highway Engineer) visited Gujarat from December 16 through 27 and K.N. Venkata Raman from 23 to 25, to carry out supervision of the above project. The mission held meetings with the Secretary and officials of the Roads & Buildings Department, and visited road works in five districts included in the project On its return to Delhi, the mission held meetings with officials of the Department of Economic Affairs, GOI, and Department of Rural Development. 1.2 This Aide M emoire summarizes the mission's findings and recommendations as discussed during the wrap-up meeting held with officials of the Government of Gujarat and subsequent meetings with DEA/DRD. 1.3 The mission records its appreciation for the assistance and warm reception received from all concerned, in particular for the arrangements made to visit work sites. A list of officials met is enclosed as Attachment 1. 2. Back~round : 2.1 Credit 1757-IN for 101 million SDR (US $ 119.6 million equivalent) was signed on May 12, 1987, and provided for: i) the construction, reconstruction or improvement of about 4040 kms of Rural roads in seven districts of Gujarat where the dairy industry predominates; ii) the procurement of road construction equipment to facilitate the implementation of (i) above; iii) the construction of offices, workshops and other project accommodations; iv) technical assistance and engineering services for project management and training; and v) Maintenance Planning Study and a Road Safety Program. 2.2 Although the project became effective on Aug 27,1987, it could not gather momentum till F. Y. 1989-90, due to initial financial constraints caused by three successive drought years. During the long gap between the appraisal and the slow start, some District Panchayats completed 116 roads totalling 375 km included in the project, reducing its scope to about 3670 krns. However, since April 1990, GOG has been able to accelerate the pace of implementation by ensuring adequate flow of funds through its own resources and through NDDB's assistance. Due to this, the original program will be completed well before the date of project completion.  2 2.3 Unfortunately, because of the sharp decline in the value of the Rupee against the SDR, and because of the reduced scope as defined in the appraisal and the slow start, the project would not have utilized even half the Credit. Realizing this, GOG requested the March 1991 IDA supervision mission to enlarge the scope of the project to include other districts of the state and to adjust the project to permit full use of the available Credit. As of date, the proposal envisages constructing of 8568 kms of roads costing Rs. 4800 millions and covering 13 districts; details of which are given in Table 1. The March 1991 IDA mission reviewed the proposal submitted by GOG, and, after satisfying that it was in tune with the content and original objectives of the project, agreed to recommend it for approval of the Bank Management. 2.4 In the meantime, due to internal reorganization, the responsibility of the project management was temporarily transferred from the Infra-structure Division to the Agriculture Operation's Division. This, coupled with the transfer of concerned project officers in the Infrastructure Division, has affected the approval process. GOG had also delayed submission of proper implementation schedule taking into consideration the latest revised costs, domestic and foreign inflation and the changing interest rates. These details are now furnished but GOG has yet to furnish firm commitment on the signing of the contract for Management Planning Study and providing road maintenance budget at the level corresponding to the technical norms fixed by the Eighth Finance Commission. No sooner these are received, restructuring process would be finalized without further delays. 3. Planning for New Additional Works: 3.1 New roads selected in the 13 districts will conform to the same economic tests as the rest of the roads in the project as out lined in the SAR. However, for achieving greater impact within the limited resources, some precautions would be necessary. 3.2 As villages located within 2 kms of the existing all weather roads have easy access to the road transport facilities, the mission recommends that any improvement jobs on road links shorter than 2 kms be given lowest priority in the future program. This would also be in tune with the main objective of the project to provide improved access to more backward areas of the state. The new program would also include some missing links and bridges which would improve the communication by shortening the travel time and distance to the main dairy establishments resulting in substantial reduction in transportation costs. 4. Civil Works: Progress of the works: 4.1 By the end of Nov 1991, about 420 roads totalling more than 1590 kms have been completed and the state of progress in respect of other roads on hand (490 Nos. 2050 kms.) amounts to completion of 660 kms of roads. By the end of current financial year (March 1992), about 2200 kms of road works would be completed. This would amount to 60% of the achievement compared to the original SAR targets. At this rate, and on the approval to revised scope of the adjusted project, the original SAR targets would be achieved by the end ofFY 94, as scheduled. Table 2 gives details of progress by the end of Nov 91.  3 Revised Implementation Schedule: 4.2 Considering that the level of funding would remain more or less constant, the whole program is recast and revised implementation schedules are prepared. The revised implementation schedule is given in Table 3. The credit would be utilized by end of March 1997. By then, road works would be completed in 7500 kms. at the cost of Rs,4200 M. By them the road works would be completed in 7500 kms at the cost of Rs,4200 M. Administrative Approval (AA), Technical Sanction (TS) : 4.3 A total programme of 3667 kms have been given AA and TS for Rs. 1498 millions. In addition, in anticipation of the Bank's approval to the revised scope of the project, GOG has already included a program totalling Rs. 490 Millions for constructing 1362 kms of road works, in the State's annual budget for FY 91-92. Of this, plans & estimates are ready for 400 kms of the works. GOG is awaiting the Bank's formal approval to the restructuring before giving AA and TS to these works. 4.4 The R&B Department has already opened 1 circle, 6 divisions and 22 sub divisions to handle the program of 1400 kms in the 4 new districts covered under the expanded scope of the project, while the three existing circles will be responsible for 3500 kms of additional roads in the 9 districts including the 6 districts covered in the SAR, and along with the works, already in progress. Procurement Status: Road Works 4.5 Procurement has been completed for 235 packages corresponding to 892 jobs, 3627 kms (821 kms New construction, 1029 kms Re-construction and 1817 kms Improvement) for a total amount ofRs. 1478 million. Procurement is in progress for 4 packages, covering 17 jobs, 40 kms for a total amount of Rs. 13 million. 4.6 Contract awards concluded after March 1, 1991 for 40 packages totalling Rs,430 millions, were reviewed in the NDO and were cleared and no objection was given for disbursement of eligible payments under these contracts. 4.7 The Association guidelines are generally being followed in the procurement of civil works, goods and services. However, many engineers and Accounts staff are not fully conversant with them or they carry out the procedures without proper understanding. Therefore, a Workshop was held on December 24, 1991 to acquaint the field officers connected with the project, the procurement procedures and access their views on the bidding documents and other documentation. 4.8 The mission reviewed the proposals for grouping of works into packages with a view to ensure that all contiguous works are grouped into the same compact packages, large enough to attract competent contractors. The mission was happy to note that most of the larger packages, awarded at the beginning of this year, are progressing extremely well, and many of them might be completed before their schedule dates of completion. 4.9 Due to the uncertainty following the Gulf war crisis, bids with premiums ranging from 30%  4 to 60% above had to be accepted. However, the situation is now stabilized and the Department does not anticipate any problems of higher bids in the near future. Prequalifications of contractors: 4.10 To ensure better performance and higher quality of works, the prequalifications criteria have been revised and incorporated in the PQ documents. The applicant would be prequalified based on the revised criteria and bids would be invited from the prequalified contractors only. The revised criteria now specifies: a minimum annual financial turn-over; satisfactory completion of works (from start to fmish) of similar nature; execution of minimum quantity of critical items of work; minimum number of critical equipment; availability of project manager with minimum experience of similar works; and that prequalified contractors would be awarded works only to the extent of assessed available bid capacity. 4.11 Advertisement, inviting applications for prequalification of contractors for the 91-92 annual program (Packages 57, Jobs 373 kms and totalling Rs.492 million) has been published on December 29, 1991 and it is planned to finalise the prequalifications by the end of March 1992. Bids for the works would be finalized before June 1992 and the works would commence by July/October 1992. Buildings: 4.12 Procurement of all but two packages has been completed. Procurement for two packages is likely to be completed by June 1992. Quality of Works Inspected: 4.13 The mission visited 34 work sites involving 170 kms of roads at different stages of construction (attachment 2). The mission was satisfied about the efforts made by the R&B Department in improving the quality. Obviously, works carried out by some contractors were undoubtedly superior to others because of their experience, better management and work culture. On the other hand, some contractors (as well as departmental supervisors), do not know how to handle the modem equipment and are unable to achieve better results. They however need adequate training and proper guidance. There are some contractors who do not want to mend their ways and are interested in making money at the cost of quality. In such cases, the departmental officers will have to take strong measures to correct them, and if possible, eliminate them in future prequalifications. 4.14 The newly acquired compaction equipment- vibratory roller is being widely used. On few roads, contractors have been using their own bull-dozers and tractors with improvised attachments. Obviously, the technique of effective use of graders has yet to be learnt. So also, the importance of optimum moisture control during compaction is not realised fully ( may be due to the smaller volume of earthwork involved). In many cases, there is no proper mixing of soil and water during watering, with the result, the compaction is non unifonn and results, far from satisfactory. The situation needs greater attention. In Saurashtra region, excellent material is available for constructing road embankments but there is a genuine scarcity of water due to scanty rainfall (30 to 40 cm). This is affecting the  5 embankment construction. In such a situation, earthwork construction could be so timed to take advantage of natural moisture in the soils during the rainy season. Even bringing water by long haulage may have to be resorted to and provided for in the estimates. Large vibratory compactors could be combined with other earthmoving equipments advantageously. With modem heavy vibro compactors, it is possible to compact layers of increased thicknesses. 4.15 On a few works, stricter control is necessary on the size and grading of materials used in the Water Bound Macadam (WBM) construction. Similarly, widening of road crusts from 3 m to 3.75 m to bring the roads to current IRC standards is rather very difficult. Such work should be permitted only after the formation has been widened to 8.5 meters or so. Although camber boards are now more regularly used during construction, more attention should be paid to super relevation and widening on curves. For the works of improvement category, it would be necessary to ignore the existing badly damaged surfaces (WBM & BT alike) & provide for re-sectioning of the old road with an addition of extra materials as per the requirements. This would greatly help in improving the riding quality of such roads. 4.16 As regards construction of CD works, it is necessary to use firm shuttering for the construction of concrete blocks around the pipes and ensuring placement of fmn cradles at the joints. Departmental supervision must be tightened to get better results. 4.17 The mission visited some Hot Mix Plants and sites where premix asphalt carpeting work was in progress, and was satisfied with the measures taken to control the mix quality, thickness of the pavement, compaction etc. 5. Land Acquisition: 5.1 In 27 cases involving road sections totalling about 48 kilometers, the works are held up either due to dispute over the road alignment or due to land not been acquired. In some cases contracts had to be extended for long periods till the issues are resolved. Until now, Rs.2.2 million have been spent in acquiring land in 1962 kms out of 3670 kms of the original program. GOG's decision to reduce the extent of land acquisition problem by borrowing earth from outside has certainly helped in accelerating the progress but has increased the cost of construction appreciably. In view of this, it has been agreed that unless the land along the roads are available, the road work will not be included in the additional program. In this regard, the mission also agreed to lower the road formation standards from 7.5 m to 6m, for Village Roads which only serve as approaches and have no potential of conversion into parts of through roads at a later date. 5.2 The three land acquisition cells, which have started functioning under each Superintending Engineer since 1990, are still to be fully operative because a large number of vacancies (18 out of 25 posts) of cadestal surveyors, and one post of Talathi, all of whom are to come on deputation from the Revenue Department. In future, more land will have to be acquired through private negotiations before inclusion of roads in the Project. As such, it would be advisable to set up district level committees to finalise such deals. Periodic review at higher levels would considerably improve the matters. Measures similar to those taken by GOG to acquire lands to resettle and rehabilitate the project affected persons on the ongoing Sardar Sarovar Project, should be adopted in this project also.  6 6. Road design Standards: 6.1 Summary of geometric design standards and pavement design details proposed to be adopted on the project have been listed in Table 3.1 page 63 of the SAR. The mission however noticed that in a large number of cases, it has not.been possible to adhere to these standards in respect of the right of way, minimum radius and side slopes mainly with a view to avoid extra land acquisition. Under this situation, the Bank would be willing to relax the standards in respect of village approach roads shorter than 5 kms in length and having no potential for traffic growth. In such cases (in flat and rolling terrain), the formations can be reduced to 6m, Right of way to 15m, design speed to 30 to 25 kmph and the minimum radius of curve to 45m. Depending on the type of strata traversed, the side slopes can be steeper than IV: 2H and may be designed accordingly. Sometimes, empty asphalt drums, toe walls and pitching should be used in restricted places and for sections requiring protection. 6.2 Classification of roads into improvement or reconstruction categories, though simple, requires vast experience and sound judgement and it cannot be left only to the junior level officers. It has to be timely reviewed by the experienced seniors, before finalization of the estimates. This would avoid prescribing rectification measures inadequate to meet the situation and necessitating extra items during execution involving long delays. Many a times, if the works are not visited by senior officers timely, road condition does not improve satisfactorily even after the completion of works. If a road has sunk unevenly, has no embankment and poor drainage, it will have to be raised or re-sectioned. In the case of road passing through black soil region, provision for blanketing and sub-base of selected material (murrum /gravel / sand) would be required before laying of the WBM. In the case of roads passing through excellent strata, (like in many parts of Saurashtra), construction costs can be lowered effecting suitable reduction in the total crust provided on the road sub-grades built with such material. 6.3 For pipe culverts, even after lowering the sills of the concrete pipes upto 6" in the bed, if minimum cushion is not available, the design of the culvert should be changed to hard passage. On the other hand, where road levels are much higher than the HFL, and nalla passes through deep gorge, it would be advisable to raise the deck level of the bridge to fit into the grade without vitiating the road geometrics. In such cases, cause ways or submersible structures are not appropriate as they would need huge cutting for approach roads. Even single lane bridges could be permitted on roads with less traffic potential. 7. Equipment: 7. 1 The actual equipment needs are reviewed by GOG and the overall status of procurement is given in table 4. Crushing Plants & 2 small Ton Vibratory Rollers are the only major items of equipment which are remained to be procured. ICB bids invited for the main crushing plants are due on 30th Jan, 1992. Along with the cone crushers, an alternative like Rotor crusher equipment would be considered acceptable if found equally efficient, after sales service is guaranteed and the spares are available easily. 7.2 Along with the main crushing plants, some ancillary machinery and equipment like air compressors, drills and tippers would be needed and procured under LCB. Similarly, some civil works associated with the erection and functioning of the crushing plants would be carried out under LCB, after the supplier's detail requirements are known.  7 7.3 Earlier, some small vibratory rollers were ordered from a local Calcutta firm,which now has reportedly gone out of business without completing the orders and a few pieces received from it are also not found to be working satisfactorily. From this experience, GOO has proposed to procure them through International shopping. This proposal was cleared by the March 1991 mission but there has been no further progress in this connection. 7.4 The Rand B Departments proposals for charging rental fees for the machinery to contractors, the mission observed that consultation of interest charges on the purchase price of equipment were not based on the current interest rates; otherwise the analysis appeared to be in order and acceptable. Table 5 gives the rental charges proposed for the year 1991- 92 for different items of equipment. 7.5 Although machinery worth Rs. 54 Million has been purchased, there is little monitoring on the use of the equipment. Many items of equipment are not manned by regular operators. It would be essential to obtain following periodic reports in respect of each of the equipment: name of equipment, date of purchase, expiry of warranty; name of division; period of report; name of work/contract where it is working; whether working or out of order; with reasons available hourslidle hours; charges recovered, connected operating expenses, cost of repairs, profit/loss account etc. 8. Studies: 8.1 It is very surprising that the contract (involving payments of Rs 5.37 millions in Indian currency and 87000 in foreign currency), with the consulting firm (RITES, SWK fmn and CRRI), which was cleared with the Bank in June 1991, has still not been signed. GOO is awaiting DEA's clearance on the issue of Income tax exemption to the consultant and his staff. GOG was advised to study the procedure followed by the Government of Maharashtra, in appointing the supervision consultants on the Bank assisted State Roads Project (Cr.1959-INlLn.2994-IN) with a view to expedite the contract signature. Any further delay in this matter may jeopardize the earlier price negotiations with the consultants and may pose problems in processing the restructuring. 9. Staffing: 9.1 GOG has already sanctioned an additional circle to deal with the four additional districts included in the expanded scope of the project area. At present, the staffing is quite satisfactory as there are only 25 % vacancies in the posts of Asstt Engineers/AAEs. The Secretary, Rand B Deptt has promised to post selected staff to man them and to consider transfer of one more circle or additional divisions to speed up the project implementation. 9.2 Although in the last couple of months a few senior officers have retired, these changes  8 would not seriously affect the tempo of this project because of GOG's finn commitment to the project. 9.3 So far, GOG has not taken any action on providing hardship allowance to the staff located in the interior areas, mainly because most of the RRP staff is residing in the adjoining towns like other Govt employees. GOG cannot be partial to the RRP staff for grant of special privileges, as this might have wider repercussions. The CE RRP should make a special case in respect of staff residing in interior villages, etc., to give incentive to the staff to stay close to the work sites. 10. Trainin~: 10.1 Regular domestic training courses are proceeding satisfactorily. 22 courses have been arranged so far and a further program has been drawn out. The mechanical wing has started training programs for the technical staff, mechanics and drivers especially in the maintenance and use of vibratory rollers. Similarly, BEML,the manufacturers of motor graders, are arranging a training course for the mechanical staff. 10.2 Due to some reason or the other the idea of taking up some demonstration contracts to provide on the job training to departmental and contractor's staff has received a setback. GOG wanted to take advantage of the revived Amdavad-Vadodara Express highway works, for this purpose, however, the Chief Engineer has promised to select a few works to provide on the job training to the Project staff. 11. Financin~ & Disbursements : 11.1 Although the target for the current FY is RS.524.41 M, the current year's budget is Rs. 328.4 M. The expenditure upto the end of November amounts to Rs. 239.52 M and CE, RRP is awaiting further release of funds. The Secretary, R&B has assured the mission that there would not be any difficulty in arranging the funds as needed. The mission however feels that close monitoring of funding is necessary to avoid any adverse impact on the project and to maintain the tempo of works. 11.2 During the meeting with DEA, Mr. Hardeepak Singh, Director, informed the mission of GOl's decision to grant advances to GOG from he Special Account in the beginning of FY 92-93. 11.3 Uptodate expenditure totals to Rs 808.8 Millions, and claims have been lodged for a total of Rs. 647.3 M. However, disbursements received upto the end of November 1991, amount to Rs. 485.7 Million. For some time, disbursements were stopped temporarily for a while, pending clearances to the bids finalized since the procurement/disbursement matters were transferred to NDO procurement and disbursement units. 12. Audit: 12.1 Although audit certificates are being received regularly, SOE audits are not being furnished in the proper fonn acceptable to the Bank. GOG is pursuing this with the Comptroller & Auditor General. The mission has cautioned the Chief Engineer, RRP, that if the certificates are not furnished urgently, disbursements may have to be suspended again. 13. Computerised Project Monitorin~ System:  9 13.1 Although the System established through Technical Assistance is working satisfactorily, it is only localised in Sachivalaya and has not been established in the offices of the Superintending Engineers. Since very few people are conversant with it, all the EEs must be trained to handle the data originating from them. GOG should review this and purchase additional PCs and train more number of staff members. 14. Consultants for Detail Engg and Contract Supervision: 14.1 Due to changes in the departmental set up , GOG has decided to postpone the idea of engaging consultants for these works. This issue would therefore be reviewed by the next supervision mission, if the progress lags behind the targets on this account. 15. Road Maintenance: 15.1 Generally the civil works contracts are for periods of more than two years and the defect- liability extends one year on completion of works. Maintenance responsibility for most of the completed road works has fallen on the Rand B department only around this year. GOG has initially allocated a small amount of Rs. 3 lakhs for maintenance of project roads taken over by the department at the end of the defect liability period. Although GOG has committed to give funds according to the norms fixed by the Eighth Finance Commission, the Chief Engineer has yet to submit his demand to the Government. The Secretary, R and B, must ensure that at least from the next financial year, GOG would allocate maintenance funds at the level corresponding to the technical norms fixed by the Eighth Finance Commission. CSN/ej - 02/26/92 H.l.l.ll  Attachment 1 INDIA GUJARAT RURAL ROADS PROJEcr CREDIT 1757-IN December 1991 - Supervision Mission List of Principal Officials Met Government of India: 1. Mr. Hardeepak Singh, Director (FB), Department of Economic Affairs, Ministry of Finance, Government of India. 2. Mr. R.K. Agarwal, Deputy Commissioner, Department of Rural Development, Ministry of Agriculture, Government of India. Government of Gujarat : 1. Mr. H.P. Jamdar, Secretary, Roads and Buildings Department, Government of Gujarat. 2. Mr. R.H. Patel, Chief Engineer, Rural Roads Project, Gandhinagar. 3. Mr. P.N. Patel, Superintending Engineer, Gandhinagar. 4. Mr. V.J. Barot, Superintending Engineer, Palanpur. 5. Mr. M.M. Rana, Superintending Engineer, Rajkot. 6. Mr. P.R. Shah, Superintending Engineer, Vadodara. 7. Mr. C.N. Ambalia, Superintending Engineer, Mechanical.  Attachment 2 INDIA GUJARAT RURAL RQADS PROJECT CREDIT 1757~IN De~mber 1991 ~ S:u~rvi~iQn Mi~5iQn Li5t of W<>rksite:s Visited District PaQkageNo. Road No, Km5, Mehsmm MP38 M 88 5.625 MP41 M 79 1.250 MP 17 M 74 4,330 MP49 M 167, M 198 3,685 MP26 M 161 3.225 MP 7 M 195 6.575 MP 51 M223 3.500 Sub Total 1 .8 2.8.J.2 Ban~kanma BP76 B 215 10,000 BP72 B 195 1.630 BP 9 B 216, B 217 5.485 BP37 B 198, B 200 13.900 BP47 B 190 3.390 BP46 B 144 3.060 Sub Total Q .8 Sabarkantha SP 44 S 225, S 228 7.775 SP48 S 179 9.100 SP 47 S 152 7.855 Sub Total .3. 1 19,385 Railillt RP 2 R 7 2.850 RP 3 R 16 1.700 RP 13 R IO,R 9 11.130 RP 10 R 29 12.33 RP 6 R 38, R 38 10.590 RP 16 R 51, R 55 7,110 RP 11 R 59 14.870 Sub Total 1 !Q ~ Iunagadh JP 6 I 29 3.750 JP 17 I37 8.900 JP 21 I41 6.625 IP 20 I 16 3.270 Sub TQtal 1 1 ~ Grand T21a l 27 J..4 168.155  Table 1 INDIA GUJARAT RURAL ROADS PROJECT CREDIT 1757·IN December 1991 . Supervision Mission Statement Showing Investment Costs of the Original/ Proposed Revised Project AsperSAR AS per Revised Proiect Particulars Scope Base Physical Financial Total Cost Scope Base Physical Financial Total KIns Cost Conti Conti. KIns. Cost Conti. Conti Rs Millions Rs. Millions A. Civil Works 1. Works 4042 1178.1 117.81 397.29 1693.2 8568 3226 176 739.4 4141.40 2. Land A~quisitiol1 22.2 2.22 6.28 30.7 84 8 0 92.00 Sub Total 1200.3 120.03 403.57 1723.9 3310 184 739 4233.40 B. Eng. SuP. 144 14.4 55.7 214.1 327.98 0 67.42 395.39 C. Equipment 185.2 9.26 29.84 224.3 125.78 0 0 125.78 D. Buildings 25.5 1.27 4.43 31.2 30.5 0 0 30.50 E. Studies 23.2 1.16 2.64 27 13.07 0 2.01 15.08 Total 1578.2 146.12 496.18 2220.5 3807.33 184 808.83 4800.16 CSN/ej  Table 2 INDIA GUJARAT RURAL ROADS PROJECT - CR 1757-IN December 1991 - Supervision Mission Progress Report for the period ending October 31, 1991 S.No. Details Package No. Job No. Length Categorywise Length of Cost in Rs. Million Remarks INC IRC lIMP Civil Total Km. I. Estimates a. SAR 287 1025 4042 1031 958 2023 1725 2220 b. Current 239 909 3667 821 1029 1817 1503 2264 c. Proposed restructuring 360 2366 8568 2080 2321 4167 4141 4805 II. Civil Works A. A.AJT .S./Procurement a. SAR targets 101)1 287 1025 4042 1031 958 2023 1725 b. Progress i.AA 239 909 3667 821 1029 1817 1275 ii. T S 239 909 3667 821 1029 1817 1182 iii. Procurement 235 892 3629 815 995 1817 1478 B. Physical Completion a. SAR targets 101)1 144 512 2710 670 642 1398 b. Progress 101 419 1590 356 446 788 59% achievement m. Financial a. SAR targets 101) 1 924 1301 Disbursement target 69.5 MSDR b. Actual 10/91 716 819 63 % of the target c. Claims lodged 647 d. Disbursement 486 Actual disbursement 24.2 MSDR or 35% CSN/ej  Table 3 INDIA GUJARAT RURAL ROADS PROJECT - CREDIT 1757-IN December 1991 Supervision Mission Proposed Restructuring Physical Targets and Financial Forecasts Particulars Units July '87 Dec'91 FY FY FY FY FY FY Total to Nov'92 to March'92 92-93 93-94 94-95 95-96 96-97 97-98 Physical Targets Roads 1. Annual kms 1657 602 1072 1009 1070 1054 1060 1044 2. Cumulative kms. 1657 2259 3331 4340 5410 6464 7524 8568 8568 Reimbursible Rs.M 871.26 284.89 530.3 488.18 601.32 619.12 646.87 631.68 4673.53 Expenditure Reimbursement Amount Rs.M 771.76 252.4 474.6 434.34 536.2 552.9 577.7 563.79 4163.66 Rate of Exchange in Rs. per Rs. variable 34 37.47 39.13 40.78 42.33 43.85 45.37 SDR IEquivalent MSDR 30.5 7.42 12.67 11.1 13.15 13.06 13.17 12.43 Cumulative MSDR 30.5 37.92 50.59 61.69 74.84 87.9 101.07 113.5 113.5 CSN/ej  ~ INDIA P.agti GUJARA T RURAL ROADS PROJECT - CREDIT 1757-IN December 1991 - Supervision Mission Procurement of Machinery and Equipments S.No. Description of Equipment As~rSAR R~viSed R!:lQl.Iir~m~nl Y~t 1Q be Pr!Jl<ured Remarks Qty. Unit Total Qty. Unit Total Qty. Unit Total Price Cost Price Cost Price Cost Rs.'OOO Rs:OOO Rs:OOOO List A ; ICB Items: 1 Pneumatic Tyred Rollers 10 1000 10000 5 2574 12870 2 Vibratory Rollers 20 1500 30000 5 2271 11355 3 Stone Crushing Plants 5 3000 15000 2 12500 25000 2 12500 25000 Ancilliary equipment and civil works required SubTotal 55000 49225 25000 for installing crushing plants would be carried out under LCB. List B ; LCB Items; 4 Bull Dozer with Rippers 4 1800 7200 (140 H.P) 5 Front End Loaders 7 1000 7000 2 1250 2500 2 1250 2500 ancilliary for crushing plant. 6 Graders 120 H.P. 7 1400 9800 4 2900 11600 7 Water Tankers 100 250 25000 10 445 4450 700 On DGS&D Rate contracts only chassis were purchased but tanks and body to be fabricated 8 Tippers 70 250 17500 6 475 2850 6 475 2850 Ancilliary for crushing plant. 9 Trucks 25 250 6250 10 8 to 10 Ton Roller 40 225 9000 8 390 3120 Procured through DGS&D rate contracts. 11 Pickup Vans 15 100 1500 12 Mobile Concrete Mixers 10 40 400 13 Concrete Vibrators 10 10 100 14 PWD Supervision Vehicles: a. Saloon Cars 18 80 1440 19 125 2375 } b. Jeeps 56 90 5040 56 155 8700 6 200 1200 } Through DGS&D rate contract 15 Mobile Labooratory Vehicles 4 400 1600 2 750 1500 2 750 1500 } 16 Paver Finishers 5 400 2000 17 4 M.T. Hydraulic Tandem} 4 575 2300 4 575 2300 Vibratory Rollers } 18 Trailor 14 265 3710 14 265 3710 S.No. Description of Equipment AsperSAR Revised Requirement Yet to be Procured Remarks Qty. Unit Total Qty. Unit Total Qty. Unit Total Price Cost Price Cost Price Cost Rs.'OOO Rs.'OOO Rs.'OOOO 19 4,000 Ltrs. Cap Water 14 310 4340 14 310 4340 Tankers 20 2 M.T. Vibratory Rollers 35 260 9100 29 260 7540 items proposed to be procured thru ICB 21 Minor Equipment L.S. 1000 L.S. 1000 22 Portable Air Compressor 2 600 1200 2 600 1200 }Ancilliary for the crushing plant. 350/400Cfm } 23 Wagon Drill with auto feed 2 400 800 2 400 800 } & Traction unit. } 24 Rock Drill (Jack Hammer) 10 55 550 10 55 550 } with air connections. } 25 Weigh Bridge 20 M.T. 2 200 400 2 200 400 } 26 Civil works & elec. supply L.S. 14000 L.S. 14000 } for stone crushing plants Sub Total 93830 74165 44590 List C - Local and International Shopping: 27 Double Drum Pedestrian 20 150 3000 Item 20 proposed in lieu of this. Controlled Rollers 28 Bitumen Distributors 20 140 2800 29 Field Service Units. 7 3500 30 Misc. Safety Equipment 220 31 Field Lab. equipment 900 L.S. 750 L.S. 750 32 Survey & Drawing Office 750 L.S. 750 L.S. 750 Equipment Sub Total 11170 1500 1500 GRAND TOTAL 160000 124890 71090 CSN/ej  Table 5 INDIA GUJARAT RURAL ROADS PROJECT - CREDIT 1757-IN December 1991 - Supervision Mission Rental Charges for Use of Equipment by the Contractors S.No. Name of Equipment Capital Cost Life in hours Rental Charges Rs.Lakhs kms. Rs. per hour or km. Working Idle 1. Motor Grader with blade 30.44 12000 1108 390 145 H.P. 2. Usha Vibrol 2 T 2.04 8000 130 42 Roller-R91 3. Case Vibromax 8.5-11.5 Ton 23 8000 1125 370 Vibratory Roller 4. Dynapac CP-22 Pneumatic 26 10000 805 336 Tyee Roller 5. Leyland Water Tanker 3.75 (2.6Iakh kms.) 10.2 NA 9000 Ltrs. (perkm.) 6. 8-10 Ton DRR 4 10000 120.5 NA Britania Marshall I(without POL) Assumtions: 1. Salvage Value (SV) = 0.1 Capital Cost (CC) 2. Tyres have a life of 2000 hours capital cost of tyres is taken out from CC and hire charge component for them are worked out and added separately. Howby GOG, However, such charge work out to be about 1% hence not shown separately below. Calculations: A. Depreciation Rate = (CC_SV) Divide by life in hours B. Repairs Provision = 1.5 CC Divide by life in hours C. Operation & POL = Hourly pay of operator, cleaner + hourly cost of POL D. Interest @ 12% p.a. =(0.12 CC) Divide by annual life in hours E. Supervision and unforeseen charges = 12% (A+B+C) Hourly hire charge: = a) for works hours A+B+C+D+E b) for idle hours = 0.25 A+C (wages component only) + D+E CSN/ej