Malawi - Fifth Highway Project

Document of The World Bank FOR OMCL41 USE ONLY MICROFICHE COPY Report No. 10408-MAI Type: (PCR)10408 WATKINS, H/ X31708 / T9 102/ OEDD3 PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) MARCH 6, 1992 Infrastructure Operations Division Southern Africa Department 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.  CURRENCY EQUIVALENTS Currency Unit Malawi Kwacha (MK) and Tambala 1 MK - 100 Tambala Exchange Rate at Appraisal : US$1.00 - MK 1.25 SDR 1.00 - MK 1.32105 Exchange Rate (October 1988) : US$1.00 - MK 2.60 Exchange Rate (1989) s US$1.00 = MK 2.73 Exchange Rate at Completion : US$1.00 - MK 2.54 SDR 1.00 - MK 3.69 WEIGHTS AND MEASURES 1 foot (ft) 0.305 meters (m) 1 mile (mi) 1.609 kilometers (km) 1 square mile (mi2) 2.590 square kilometers (km2) 1 ton (t) 0.907 metric tons (m ton) ABBREVIATIONS AfDB : African Development Bank DRIMP : District Roads Improvement and Maintenance Program EPD : Economic Planning and Development Division (Office of the President and Cabinet) HDM : Highway Design and Maintenance Standards Model MARMS Maintenance and Rehabilitation Management System MTC Ministry of Transport and Communications MUS Ministry of Works and Suppliesl/ ODA : Overseas Development Administration PVHO : Plant and Vehicle Hire Organization RD Roads Department of MWS TANZAM Tanzania-Zambia Highway Authority TAZARA Tanzania-Zambia Railway TPU : Transport Planning Unit of EPD FISCAL YEAR Government of Malawi : April 1 - March 31 1/From March 1988 renamed Ministry of Works.  THE WORLD BANK FOR OMCM USE ONLY Washington, D.C. 20433 U.S A. Office of Darector-Ce.wal Opmvatinm Evaluiatin March 6, 1992 MEMORANDUM TO THE EXECUTIVE DIRECTORS AND THE PRESIDENT SUBJECT: Project Completion Report on Malawi Fifth Highway Project (Loan 2363/Credits 1423 & SF-6-MAI) Attached, for information, is a copy of a report entitled "Project Completion Report on Malawi - Fifth Highway Project (Loan 2363/Credits 1423 & SF- 6-MAI" prepared by the Afric& Regional Office with Part II of the report contributed by the Borrower. No audit of this project has been made by the Operations Evaluation Department at this time. Attachment 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 Bankt authorization.  FOR OFFICIAL USE ONLY PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) TABLE OF CONTENTS PREFACE . . . . . . . . ..................... . . . . . . . . . . . .. i EVALUATION SUMMARY .... . . . . . . . . . . . . . .. . . . . . . . ii PART I. PROJECT REVIEW FROM BANK'S PERSPECTIVE . . . . . . . . . . . 1 Project Identity . . . . . . . . . . . . . . . . . . . . . . . . . Background .... . . . . . . . . . . . . . . . . . . . . . . 1 Project Objectives and Description . . . . . . . . . . . . . . . . 2 Project Design and Organization ... . . . . . . . . . . . . . . . 4 Project Implementation . . . . . . . . . . . . . . . . . . . . . . 4 Results .... . . . . . . . . . . . ... . . . . . .. . . . . 7 Project Sustainability .... . . . . . . . ...9.... . . . . 9 Bank Performance . ...... . . . . . . . . . . . . . . . . . . 9 Borrower Performance .... . . . . . . . . . . . ........ . 10 Project Relationship . . . . . . . . . . . . . . . I . . . . . . . 11 Consulting Services and Studies . . . . . . . . . . . . . . . . . . 11 Project Documentation and Data ....... . .. .. . . . . ... 12 PART II. PROJECT REVIEW FROM BORROWERS' PERSPECTIVE . . . . . . . . . 13 PART III: STATISTICAL INFORMATION . . . . . . . . . . . . . . . . . . . 14 Related Bank Loans/Credits ........ ... .. ....... 15 Project Timetable . . . . . . . . . . . . . . . . . . . . . . . . . 16 Cumulative Estimated and Actual Disbursements . . . . . . . . . . . 17 Project Implementation: Vehicle Operating Costs . . . . . . . . . . 18 Project Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Project Financing . . . . . . . . . . . . . . . . . . . . . . . . . 20 Project Results: Actual and Forecast Traffic: Luwawa-Champhoyo Road . . . . . 21 Economic Impact ............ ... ....... 22 Studies ............... ... ....... 23 Status of Covenants ......... . . ............ 24 Use of Bank Resources . . . . . . . . . . . . . . . . . . . . . . . 25 Road Work . . . .. . . . . 26 Maps |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.  PROJECT COMPLETION REPORT MALAWI FIFTH HiGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) PREFACE 1. This is the Project Completion Report (PCR) for the Fifth Highway Project for which Loan 2363 (US$18.0 million), and Credits 1423 (SDR 12.4 million) and SF-6-MAI (SDR 13.1 million) were approved and declared effective on December 8, 1983 and June 22, 1984 respectively, and which - except for a cancelled balance of US$0.3 million - were fully disbursed on December 31, 199C. The Closing Date of the project was extended once from September 30, 1990 to January 31, 1991. 2. The PCR was prepared by the Infrastructure Operations Division of the Southern Africa Department (Preface, Evaluation Summary, Parts I and III), and by the Borrower (Part II). 3. Preparation of this PCR was based, inter alia, on the Staff Appraisal Report, the Loan, Development Credit and Special Fund Credit Agreements; supervision reports; consultants' reports; correspondence between the Bank and the Borrower; and internal Bank memoranda.  - ii - PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363S/CREDITS 1423 & SF-6-MAI) EVALUATION SUMMARY Prolect Objectives 1. The primary objective of the Fifth Highway Project was to consolidate the implementation and management capacity established under previous Bank projects in the highways sub-sector by improving and maintaining district roads, strengthening the maintenance capacity of the entire road network, upgrading an important section of the North-South Highway, and assessing alternate routes for handling export/import traffic. 2. Major project components included: completion of the third phase of the District Roads Improvement and Maintenance Program (DRIMP); the establishment of a 4-year maintenance program f^r the entire road network; the construction of a section of the North-South Hig, ..y :n the Northern Region; and the provision of equipment for the Ministry of ' :s and Supplies (MWS) Training Center as well as for Axle Load Control. 3. The project was largely executed by MWS with the assistance of consultants. Implementation Experience 4. Project implementation was substantially successful despite factors beyond the control of the main executing agency. In 1984, a severe fuel shortage contributed to the delay of some project components, namely, the road construction component, the rehabilitation and resealing of paved roads, and the rehabilitation of earth and gravel roads. More work than had been anticipated was carried out under Phase II of DRIMP. This combined with the fuel shortage led to Phase III of DRIMP getting underway one year behind schedule. Cost overruns under Phase III resulted from rain damage repairs and a wage increase for unskilled labor in FY88/89. This resulted in the deferral of the completion of improvements to two districts and the postponement of improvements to three, to Phase IV under the Infrastructure Project (Credit 2069-MAI, 1989, US$28.8 million).  iii 5. With the introduction of the Maintenance and Rehabilitation Management S stem (MARMS) - a program of maintenance designed to help MWS make efficient use of ezisting resources on an annual basis - the need for ma!.ntenance depots in 11 districts was identified. Financing of thrce depots took place under the project, and the remaining eight were deferred for financing under the Infrastructure Project. 6. A contract under the program for resealing of paved roads was drcpped due to financial constraints and extensive deep and surface patching had to be carried out along the designated road. The program for rehabilitation of earth and gravel roads underwent many revisions during its implementation Including the upgrading of certain roads to higher standards than anticipated in an attempt to help ease future maintenance burdens. Ultimately, rehabilitation uoo 'O km out of the envisioned 1700 km was carried out. The remainder is be , ried out under the Infrastructure Project. 7. Budget allocations for ma'ntenance of all road networks were inadequate and remained below targets agreed upon at negotiations. The burden was lessened somewhat by the Bank financing incremental maintenance costs on a declining basis F over three years under Phase III of DRIMP. 8. The Closing Date of the project was extended once (from September 30, 1990 to January 31, 1991) to cover an extension of technical assistance and completion of some of the delay'd works. Total project costs at completion amounted to US$83.7 million, 0.4Z lower than the appraisal estimate of US$84.01 million. Results 9. Although the main objectivres of the project were achieved, some targets were not fully reached. Work on three districts under DRIMP III was deferred to Phase IV under the Infrastructure Project. The work completed, however, is expected to enhance access to markets and facilitate delivery of supplies and services to rural areas as well as contribute to savings in vehicle operating costs. The total length of earth and gravel roads rehabilitated under the road maintenance program was reduced as a result of some roads beii.g upgraded to a higher standard, 10. Based on traffic levels, the economic rate of return for Phase III of DRIMP has been estimated to be greater than the appraisal estimate of 122. The economic rate of return for the construction of the Luwawa Turnoff-Champhoyo Road was reestimated at 30Z, close to the economic rate of return of 29? estimated at appraisal. For the rehabilitation of both paved and unpaved (earth and gravel) roads, the economic rates of return were within the ranges estimated at appraisal (Table 6B).  iv 11. The project had a positive impact in the area of road maintenance management and the studies ctrried out contributed positively to the capacity and institution-building of the executing agencies. The implementation of MARMS established a comprehensive system of cost control and monitoring nationwide. 12. A formal agreement between the Governments of Malawi and Tanzania fow the further development of the Northern Access Route (leading from southern Ma'lawi to the port of Dar-es-Salaam) has been signed. Studies were carried out under this project in preparation for this, as well as for the Northern Transport Corridor Project (Credit 1879-HAI, 1988, US$13.4 million). 13. Beneficial effects to the environment as a result of the project included reduction in the potential for soil erosion, improvement in drainage, noise abatement, and a decline in vibration as well as in the generation of dust. Sustainability 14. The sustainability of the project depends on Government provision of adequate funding for maintenance. Also, it is essential that trained local professionials assume greater responsibility in the operation of both DRIMP and MARHS. Findings and Lessons Learned 15. The main lessons drawn from the implementation of the Fifth Highway Project are: a realistic assessment of Government's capability to allocate sufficient funding for maintenance is necessary during appraisal; - care needs to be taken to ensure that adequate supervision of road works and crews, and quality control of inputs are in place on time; - the importance oa a clearly defined role for technical assistance and the training of local personnel in key areas of planning, management and maintenance to the sustainability of the project; - flexibility in design to allow for the inclusion of elements that will facilitate implementation of the project and help it to better achieve its objectives; and - the importance of a functional cost-monitoring system to the early detection and containment of potential cost overruns.  PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT tJLOA&2363/CREDITS 1423 & SF-6-MAI) PART I; PROJECT REVIEW FROM BANK'S PERSPECTIVE 1. Proiect Identity Project Name Fifth Highway Project Loan/Credit Nos. i 2363/1423 & SF-6-MAI RVP Unit Southern Africa Department, Infrastructure Operations Division Country Malawi Sector Infrastructure Sub-sector Highways 2. Background 2.1 Since the early 1970s, the Government of Malawi has sought a more balanced pattern of growth across the country, and policy in the transport sector in general, and the highways sub-sector in particular, has played a large part in its attempt to achieve this goal. Malawi's road network totals about 13,280 km. with 19S (2,520 km) of it paved, 32 of it engineered gravel standard, and earth and tracks making up the rest (78?). Under various agricultural development projects, about 2,000 km. of feeder and crop extraction roads have been constructed to minimum all-weather standards. Some 800 km of earth roads and tracks are located within forestry plantations and reserves while another 800 km or so run through national parks. 2.2 In the early 1980s, the Government became concerned over the increased vulnerability of its principal access routes - rail links to the ports of Beira and Nacala in Mozambique - to continued insurgent disruption. It took steps to lessen the impact of these difficulties on trade and at considerable cost, transit traffic was diverted through Zambia and the Republic of South Africa (RSA). Civil war and strife in Mozambique continued and the situation deteriorated further. Thus, the development of alternative routes became crucial.  -2- 2.3 A study financed by the European Development Fund (EDF) in the early 1980s, examined anticipated changes in Malawi's composition and direction of trade. The study recommended that the Govern=ent give high priority to developing the Northern Access Route, deeming this route - linking Malawi to the Tanzania-Zambia (TANZAM) Highway, the Tanzania-Zambia Railway (TAZARA), and the port of Dar-es-Salaam - cheaper in time and,cost than the alternatives. 2.4 In addition to exploring and providing efficient links to the Indian Ocean for export/import traffic, transport policy sought to: a) improve the administrative, social, and economic integration of the country by linking all three regions (North, South, and Central) with reliable all-weather connections; and b) foster rural development by improving access to rural areas. 2.5 The World Bank -has supported the sector since 1966 when an eiagineering credit (Credit S-2-MAI) was approved. It financed the design of 290 km of highway between Zomba and Lilongwe, as well as studies on road transport licensing and road/rail coordination. Since then, four IDA-financed projects in the '-ighways sub-sector - First Highway (Credit 112-MAI, US$11.5 million) in 1968, Second Highway (Credit 523-MAI, US$10.0 million) in 1974, Third Highway (Credit 758-HAI, US$10.5 million) in 1977, and Fourth Highway (Credit 1099-HAI, SDR 25.9 million or US$33.0 million equivalent) in 1981 - have, in total, financed construction of some 620 km of highway. These sections run from Zomba in the south to the Luwawa Turnoff in the northern region, as well as from Mbowe to Ekwendeni further north. In addition, a 100 km stretch between the Luwawa Turnoff and Mbowe has been improved under these projects. 2.6 Under the Second and Fourth Highway Projects, the District Road Improvement and Maintenance Program (DRIMP) was established in 13 of Malawi's 24 districts. The program aims to: a) bring existing roads up to a maintainable standard; b) provide depots and equipment for maintenance; and c) provide training for maintenance staff. Under the program, effective district organizations were put in place during the first two phases, that brought 3,700 km of district roads up to all-weather standards. 2.7 The Fifth Highway Project continued to support Malawi's main objectives in the transport sector and broadened IDA-Government collaboration established under the previous projects. The project was prepared by the Government in mid-1981, with assistance from consultants and the Bank. It was appraised in February/March and June/July of 1983. 3. Project Objectives and Description 3.1 The objective of the Fifth Highway Project was to consolidate the implementation and -,anagement capacity estfblished under previous Bank projects in the sub-sector. It continued to support the Government's aims of: - improving and maintaining existing district roads;  -3- - strengthening the maintenance capacity of the entire road network (main and secondary) system; - developing the economic potential of the northern half f the country by upgrading an important section of the main North-South (Bangula to Karonga) Highway; and - assessing alternate routes for handling export/import traffic. In addition, it proposed t strengthen .he planning capacity of the Transport Planning Unit (TPU) of thr .raomic Planning and Development Division (EPD) of the Office of the Preside: a Ad Cabinet, as well as the management capabilities of the Ministry of Works and Supplies (MVS)1/. 3.2 The project consisted of the following components: a) the completion of the thiru phase of the DRIMP; b) the establishment and financing of a maintenance program for both the main and secondary road Lyitems that would: i. resee.l/rehabilitate/re,onstruct paved roads; ii. rehabilitate earth and gravel roads; and iii. provide maintenance equipment for the Roads Department (RD) of MWS; c) the construction of a two-lane bituminous, SO-km section of the road between the Luwawa Turnoff and Champhoyo in %.he Northern Region; d) the provisien of weighbridges and vehicles for axle load control, and construction of houses for the operating staff; e) the provision of furniture, training aids, and equipment for the MWS Training Center in Lilongwe; and f) the provision of consultant services to assist in the implementation of a) and b), in preparing a study of the Northern Access Route that would include the road link to the TANZAM/TAZARA corridor; in strengthening the management capabilities of TPU and the Plant and Vehicle Hire Organization (PVHO) of MWS; as well as in the preparation of future projects. 3.3 MWS was responsible for execution of the project except for the axle- load control component and the technical assistance to MTC's planning unit for which MTC was responsible. The study of the Northern Access route was supervised by EPD, as was the technical assistance for its TPU. l/Renamed Ministry of Works (MOW) as of March 1988.  -4 3.4 The project %as implemented over 7 years and at appraisal total costs were estivAated at US$78.5 million net of taxes and duties.. US$13.1 million (16.7Z) of this was financed by a credit from IDA, US$13.8 million (17.6Z) by a credit from the IDA Speci&l Fund, US$18.0 million (22.9Z) by a loan from the Bank, US$16.0 million (20.4X) by a loan from the African Development Bank (AfDB), and the remainder US$17.6 million (22.4Z) was counterpart funding from the Gnver.znent. 4. Project Design and Organization 4.1 The project design was straightforward, the objectives clear, and responsibilities for implementation and management were clearly demarcated. As was evident from the relatively smooth process of implementation, the project was well prepared and the goals of the Bank and the Government coincided. Time frames under the project were realistic and allowed for optimum phasing of inputs for each component. 4.2 In those components where physical progress was apparent, e.g., civil construction, rehabilitation and resealing of roads, the developments could be easily monitoted. 4.3 As in the earlier phases of DRIMP, the participation of District Councils in the maintenance aspect of the Program was of great importance. This allowed the community important say in the establishment of priorities regarding road improvements to be carr'.ed out. It also established an important link between the project and the majority of the intended beneficiaries. 5. Prolect Implementation 5.1 On the whole, the project experienced no major problems during its implementation. However, during the early stages a severe fuel shortage contributed to the delay of some components. The construction component (exclusively financed by AfDB), the rehabilitation and resealing of paved roads and the rehabilitation of earth and gravel (unpaved) roads, all sot off to a slow start. Delays in procurement resulted in the delivery of road maintenance equipment one year behind schedule. 5.2 Phase III of DRII4P got underway in mid-1985, one year later than scheduled. This was due in part to the fuel shortage, but principally to the increased amount of work carried out under Phase II. The increased quantity of work in Phase II districts led to cost overruns and pointed out the deficiencies of the existing cost and monitoring system. A detailed study undertaken as part of this project identified the extent of Phase II cost overruns and was instrumental in developing a comprehensive site costing and reporting system.  -5- The system, aimed at exercising more effective control over future project expenditures, was put in place during implementation. 5.3 Heavy rains, major repairs on completed road sections and a 128Z wage increase for unskilled laborl/ in FY88/89 contributed to cost overruns under Phase III of DRIMP. As a result, it became necessary to defer the completion of road improvements to two districts (Nkhotakota and Zomba) and postpone improvements to three (Mwanza, Blantyre and Chiradzulu) to Phase IV under the Infrastructure Project (Credit 2069-MAI, 1989, US$28.8 million). Under the civil works components of Phase III, the extension to MWS headquarters was completed on schedule, but there were delays in depot construction. 5.4 The Maintenance and Rehabilitation Management System (MARMS) was instituted under the program of technical assistance to MWS in late 1984/early 1985 and reinforced by the addition of new staff in 1986. It was designed to help MWS make efficient use of existing resources for road maintenance. By April 1986, MARMS was operational nationwide and was a.. effective planning a.2d monitoring tool. Its implementation involved a cyclical process of planning, organizing, directing, and controlling. Extra effort had to be expended to bLing overhead items under stricter budgetary control. 5.5 As a result of the introduction of MARMS, MWS identified the need for maintenance depots in eleven districts. These depots were to include offices, stores, and accommodation for maintenance staff. The project was, therefore, amended to include the construction of depots in three districts, the remaining eight to be financed under the Infrastructure Project. 5.6 The program for rehabilitation of paved roads comprised three construction contracts totalling 75 km. Though all were completed, the delay of the first (22 km of the Chikwawa-Bangula Road) as a result of the fuel shortage in 1984, pushed both the second (13 km of the main North-South Highway through Lilongwe) and third (40 km from Lilongwe to Balaka) 2-3 months behind schedule. 5.7 Work under the program for the resealing of paved roads was carried out by Roads Department (RD) force account units. The Bank's contribution was postponed to the last two years of the 4-year program after financing from the Overseas Development Administration (ODA) of the United Kingdom (not available at appraisal) was secured. In 1986, the program was expanded to include 94 km of roads to be let by contract. 5.8 The crushing plant used for resealing work exacted high maintenance and repair costs due to age. The plant having broken down on several occasions was eventuaily closed in March of 1986. As an alternative to providing a new plant, the Bank attempted to develop the capacity of the private sector to supply crushed stones. The Government was encouraged to tender bids for the furnishing of aggregates. However, a lack of quality control resulted in the delivery of l/This increase in the minimum wage was reviewed and endorsed by the Bank under Malawi's structural adjustment program.  -6- stones not fully in compliance with specifications. Despite this, the stones were used, resulting in portions of the roads having to be closely monitored to determine whether an earlier than anticipated reseal would be necessary. 5.9 Heavier than anticipated patching work done on previously completed sections caused a delay in the patching and resealing of a 120 km stretch between the Zambia border and Lilongwe. In the initial stages of this contract, MWS supervisory presence was lacking resulting in sloppy and haphazard work being carried out over a 6 km stretch before the situation was noticed and corrected. 5.10 A contract for 29 km of slurry seal between Liwonde and Zomba under the program which was deferred to FY89/90 was eventually dropped. This was due to financial constrairts and extensive deep and surface patching required along the designated road, which escalated costs. 5.11 The program rehabilitation of earth and gravel roads underwent many revisions during its implementation. In an attempt to ease future maintenance burdens, MWS decided to upgrade all the roads under the program to gravel standard. This, combined with an increased deterioration of the roads since initial inventory, necessitated a reduction in the total length of rcads upgraded. The project originally called for improvements to road formation and drainage of some 1700 km of roads over the 4-year program. Revisions resulted in about 900 km being completed and the remainder being deferred for completion under the Infrastructure Project. 5.12 Under the axle load control component, 4 mobile weighbridges were delivered to MTC at the beginning of December 1984 and dummy platforms had to be manufactured prior to their use. One existing stationary weighbridge at Blantyre was metricized in November 1985. The project financed the training for two inspectors and the procurement of required spare parts and tools as well as the construction of six houses for operators at the stationary weighbridges. 5.13 Over the course of the project, budget allocations for maintenance of all road networks were inadequate and remained below targets agreed upon at negotiations. Under DRIMP III, the Bank financed incremental maintenance costs on a declining basis in districts where improvements were made. Maintenance costs (declining from 75Z for the first year to 501 for the second, and 251 for the third) were to be matched to the Government's assistance to the District Councils in accordance with the agreed targets. 5.14 Towards the end of the project, there was a notable decline in the quality of maintenance of both paved and unpaved roads in certain limited areas. This was attributed to inadequate supervision caused by the inability of super- visors to get to necessary locations on a regular basis. These problems are being addressed under the Infrastructure Project 5.15 The Project Closing Date was extended from September 30, 1990 to January 31, 1991. This was necessary in order to cover the extension of the contract for the Chief Planning Engineer hired to assist the Road Planning Unit of MWS. Also, it ensured the orderly closing of accounts with respect to payments made covering the delayed resealing and DRIMP III works.  -7- 6. Results 6.1 The project was implemented along the lines envisioned at appraisal with no major changes in fc:us, and its main objectives were successfully achieved. DRIMP III targets, however, were not fully reached and it was necessary to defer the completion of improvements to two districts and postpone improvements to three, to the next phase due to both financial constraints and the increased work carried out under DRIMP II. 6.2 Despite the postponement of improvements to certain district roads, it is expected that the works carried out will improve access to markets and facilitate the delivery of supplies and public services to rural areas. Roads improved under the project and the maintenance system put in place will contribute to savings in vehicle operating costs which can then be passed on as lower rates to shippers and receivers of freight. 6.3 The economic benefits of Phase III of DRIMP are not ascertainable by direct means. The attribution of any positive changes that have occurred in the areas of influence of the DRIMP roads specifically to the road improvements carried out would be difficult. At appraisal, roads selected to be improved were estimated to have rates of return of at least 122 based on anticipated benefits from savings in vehicle operating costs and from incremental increases in agricultural production. Selection was made in accordance with socio-ecor.omic criteria which not only took into account institution-building aspects but access to health, education and other facilities as well as reducing the poten ial for spoilage of agricultural produce for those residing in the vicinity of the roads. 6.4 At appraisal, a traffic level of ten vehicles per day was shown to be sufficient to yield an economic rate of return of at least 12S based on savings in vehicle operating costs. An examination of traffic counts shows the roads included in Phase III meet the minimum rate of return criteria on the basis of vehicle operating costs alone. 6.5 At appraisal, it was expected that the principal benefits derived from both the construction and road maintenance components were to be savings in vehicle operating costs and future road maintenance costs. The main beneficiaries were expected to be shippers and consumers located in the areas of road influence. Vehicle operating costs (Table 4A) for earth and bitumen roads have increased since appraisal for all classes of cars. 6.6 At appraisal, the rate of return for the AfDB-financed construction component (Luwawa Turnoff-Champhoyo Road) was estimated at 29Z. Justifications for this estimate rested substantially on the transport of export/import traffic over the road and thus, the impact of the construction of other stretches of highway - between Champhoyo and Mboye and between Karonga and the Hbeyi-Itungi road in Tanzania - was considered. The exogenous effect of security which this northern route would afford the export/import traffic was also taken into  -8- account, as were cost minimizations resulting from time delivery of goods and services. On the basis of traffic and vehicle operating cost data as well as price adjustments, the rate of return for this component has been estimated at 30X. 6.7 The road maintenance component was expected to increase the capacity of MWS to maintain the road networks by a substantial amount. Analysis of anticipated benefits carried out using the Highway Design and Maintenance Standards Model (HDM), took into account incremental increases in capital construction costs and road maintenance costs, on the 'costs' side, and savings in vehicle operating costs and travel time on the 'benefits' side. At appraisal, the rates of return for individual unpaved roads rehabilitated under the program were estimated to range from between 362 and greater than 500Z. Rates of return for all the paved roads except one were estimated to be above 25* with the highest being 111Z. Rates of return for the rehabilitation of specific paved and unpaved roads (Table 6B) are within the ranges estimated at appraisal. 6.8 The project has had a substantial impact in the area of maintenance management as noted by the development and nationwide implementation of MARMS and the provision of training and equipment. The institution of MARMS in a relatively short time established a system of cost control and monitoring that afforded the project large benefits and provided early warning of potential cost overruns. 6.9 Major inroads in the development of the Northern Access Route were made. The studies completed by consultants under this project were vital in the preparation of the Northern Transport Corridor Project. A formal agreement between Malawi and Tanzania for the further development of this route has been negotiated. Thus, dependence on the less secure routes through Mozambique, or the longer southern routes, will be reduced; it further provides Malawi with additional access for import/export traffic. 6.10 The labor-intensive aspect of DRIMP allowed the utilization of large quantities of unskilled labor. However, the statutory wage increase (1282) in 1989, contributed to cost overruns. 6.11 The project had beneficial effects on the environment, namely, reducing the potential for 'soil erosion, improving drainage, and cutting down on vibration, dust, and noise. 6.12 In addition to low budget allocations for maintenance, the prolect suffered as a result of poor MWS supervision in some instances and an under- estimation of road damage at the time of inventory resulting in the reduction of roads covered under the program for rehabilitation of unpaved roads and the resealing program.  -9- 7. Pro1ect Sustainability 7.1 The sustainability of the project hinges on continued Government support, particularly in the provision of adequate funding to RD for maintenance. In the long term, the technical assistance under the project will have the greatest impact if it has promoted greater participation of Malawian professionals in DRIMP and MARHS operations. Also, it is important that MWS be given the freedom to retain high quality staff and deploy them as they see fit. 7.2 The importance of careful, contlaued monitoring of costs cannot be overstated. It is essential that the computerization of commitments and expenditures that facilitate this continue to be done. 7.3 It is clear that for the gains made under this project to continue, regular routine and periodic maintenance of all road networks should be carried out. Proper supervision of works and crews and sound quality control are important areas of focus. Although the Bank's financing of incremental costs on a declining basis under this project lessened the budgetary burden, it is vital that when Government assumes total responsibility for maintenance, that allocations not only be adequate but timely. 7.4 On a preveative level, axle load control could play a significant role in reducing repair and maintenance work done on road networks. Sustainability of the benefits from this component will depend on rigorous enforcement supported by fines and penalties appropriate for deterrence. 7.5 Completion of the international route via Karonga and Dar-es-Salaam is viewed as providing an alternative route to the disruption-prone ones through Hozambique. This project's contribution, as with those prior to it, has also give. a boost to regional integration. Continued support for this endeavor by both the Governments of Halawi and Tanzania should ensure accrual of benefits to both countries long after cessation of World Bank support under the Northern Transport Corridor Project. 8. Bank Performance 8.1 The Bank continued to play a key role in the conception, preparation and financing of projects that further both the goals of regional integration and developing new access to the sea for Halawi. The appraisal mission noted the importance of technical assistance to MWS and emphasized the need for training of Malawians in the planning, management and maintenance aspects of the road networks. Thus, the decision to make the recruitment of consultants to assist and train HWS staff a condition of effectiveness, was sound.  - 10 - 8.2 Supervision missions were carried out regularly and were extremely useful in critically reviewing project progress and facilitating implementation. They also helped to identify problems and made recommendations to ensure the long-term success of the project. For example, suggesting that an investigation into causes of road failure be carried out with a view to MWS preventing those problems from recurring, a suggestion which was implemented, was one of the key contributions offered by Bank supervision missions. 8.3 The recommendation to extend the project closing date was practical and allowed for the continuation of valuable assistance to MWS and for the orderly closing of accounts. 8.4 The following lessons may be learned from the implementation of the Fifth Highway Project: a) A. realistic assessment of Government's capability to allocate sufficient funding for maintenance is necessary during appraisal; b) Care needs to be taken to ensure that adequate supervision and quality control are in place on time; c) The importance of a clearly defined role for technical assistance and training of local people in key areas of planning, management and maintenance to the success of the project; d) Flexibility in design to allow for the inclusion of elements that will facilitate implementation of the project and enhance its success; and e) The importance of a functional cost-monitoring system in the early detection and containment of potential cost overruns. 9. Borrower Performance 9.1 There was full Borrower participation in the preparation of the project and the identification of the need for National Maintenance Depots, as the implementation of MARMS progressed, reflected the Borrower's cowmitment tow-ards ensuring that road maintenance be effective and sustained. The decision to bring the roads under the program for rehabilitation of earth and gravel roads up to gravel standard, showed similar concern although it meant a reduction in the length of roads covered under the pLogram. 9.2 The shortage of funds available to District Councils and MWS for maintenance was a reflection of the economic situatioa of the country over the course of the project. In 1985, there were concerns that as a result of the previous year's fuel crisis, funding shortfalls and thus, delays in project  - 11 - implementation, would occur. This was not the case, however, as the Borrower eased the anticipated financial constraints thereby allowing the timely awarding of two contracts under the program for rehabilitation of paved roads, which otherwise would have been postponed. Strictly speaking, however, the Borrower did not entirely fulfill its commitment to provide adequate funds for maintenance under the project. 10. Prolect Relationship 10.1 The good working relationship between the Bank and the Borrower built up over the course of previous projects in this sector continued. The professional rapport between project management and supervision missions facilitated timely identification of problems and helped in tackling them. The consultants employed under the project carried out their duties professionally and had a good deal to do with the success of the project. 11. Consulting Services and Studies 11.1 The rec_uitment of consultants to assist MWS in the project was a condition of effeciveness. On the whole, the performance of the consultants hired was satisfactory and they displayed a clear understanding of their roles and functions. Needs-assessment services were provided to RD by a team of six experts under this contract and recommendations were made as part of a comprehensiva proposal. A nine-man team of consultants assisted with the implementation of recommendations put forward. Three main aims existed: i) the training of Malawian staff for deployment in MARMS; ii) providing support for the Road Planning Unit, and movement towards implementing the Bank's Highway Design and Maintenance Standards Model (HDM); and iii) carrying out an inventory of bridges and preparing a bridge maintenance and rehabilitation program. Under the program for rehabilitation of earth and gravel roads, consultants assisted in developing criteria for road classification and in designing procedural manuals for staff. 11.2 Consultants carried out a study of road failure and provided MWS with assistance in formulating plans to the avoid the occurrence of similar problems in the future. 11.3 Technical assistance to EPD was provided for transport and economic studies as well as a 3-year plan for the collection of traffic information. Studies were carried out on the Rural Transport System, Lake Transport Services, and on Tobacco Transportation. Work was also carried out on the Prime Route Policy. This program of assistance employed the services of a Transport Planner (on secondment from the Bank) and provided for overseas training of staff from the Planning Unit in areas of management and planning.  - 12 - 11.4 After completion of a management study of PVHO, a four-man team oif consultants was engaged to provide assistance in its reorganization and improvement. Proposals made included the institution of a preventive maintenance program and of bulk ordering procedures. 11.5 The feasibility study of the Northern Access Route was successfully completed in July of 1985. The final report provided considerable input in the preparation of the Northern Transport Corridor Project (appraised in October of 1985). 12. Project Documentation and Data 12.1 The Loan and Credit Agreements were adequate and straightforward and were valuable tools for project management in the implementation process. Amendments to the Project Description and Disbursement Schedule were required after key components for MARMS, identified during the early stages of implementation (see para 5.5) were included. 12.2 No distinguishable delays were experienced in submission of withdrawal applications and progress was reported on regularly. The establishment and auditing of accounts were carried out as agreed at negotiations. Consultation with the Bank was also carried out according to the covenants of the Agreements.  - 13 - PROJECT COMPLETION REPORT MAIAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) PART II. PROJECT REVIEW PROM BORROERS' PERSPECTIVE 1.1 Parts I and III of the initial draft of the report were sent to the Borrower on O0%tober 17, 1991 for review and preparation of Part II. In a letter dated January 13, 1992, the Borrower responded as follows: "Reference is made to your letters dated 17th October and 17th December together with our interim telex reply dated 31st December 1991. We attach hereto our contribution towards Part II of the Draft Fifth Highway Project Completion Report (PCR) with 2 copies of our Tables 1 to 15 inclusivel/, details of which are as follows: Part II Table 1: Actual Disbursements by Quarter and Financial Year Tables 2 to 12: Expenditure incurred by Category and Individual Activities Table 13: Summary of Expenditure incurred by Category and Individual Activities Table 14: Classified Traffic Count Data for all Project Roads Table 15: Vehicle Operating Costs Unit Prices No comments have been received in regards to Parts I and III of the Draft Project Completion Report." I/The above-mentioned tables are located in the Project File, AFR ISC.  PROJECT COMPLETION REPORT HAL&VI FIFTH HIGHWAY PROJECT (LOAN 23631CRHDITS 1423 & SF-6-MAI) PART III: STATISTICAL I ORMATION  -15 PROJECT COMPLETION REPORT MAtAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) TABLE 1 REj*TED BANK LOANS/CREDITS PROJECT TITLE YEAR OF STATUS LOAN/CREDIT PUPOSE APPRAISAL (Z COMPLE COMMENTS S-2-MAI Detailed engineering Design of Lilongwe- for main roads. 1966 100 Zomba Rd. (290 km) First Highway Construction of main roads; 112-MAI Study of road transport All objectives under regulations and road/rail this project were coordination. 1968 100 achieved. Second Highway Main roads construction; A substantial cost 523-MAI Pilot scheme for DRIMP'; savings was made DRIMP Phase I. 1974 100 under this project. Third Highway Main roads construction; 758-MAI Feasibility study and de- All objectives wider tailed engineering of main this project were roads. 1977 100 achieved. Fourth Highway Main roads construction; Constructiott delayed 1090.-MAI DRIMP Phase II; by 6 mos;3 districts Comprehensive study of under DRITP II de- maintenance needs. 1981 100 ferred to DRMP III. Northern Trans- Main roads and cargo port Corridor centers construction; 1879-MAI Lake service improvements. 1985 SO Ongoing. Infrastructure Hain roads improvement;Potable Project water supply expansion;Hospital 2069-MAI and school rehabilitation. 1988 10 Ongoing. 'District Roads Improvement and Maintenance Program  - 16 - PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363ZCREDITS 1423 & SF-6-MAI) TABLE 1 PROJECT TIMETABLE ITEM PLANNE1 D&TZ REVISEZD DMTE ACTUAL DATE Identification Mission 06/81 Preparation Mission 06/81 Appraisal Iisolon 02/83 02-03/83 A 06-07/88 Loan/Credit Negotiation 09/16/83 10/27/83 Board Approvel 11/01/83 12/08/&3 12/08/88 Loan/Credit Signature 01/06/84 Loan/Credit Effsctiveness 04/30/83 06/22/84 Project Completion 03/31/90 01/31/91 Loan/Credit Closing 09/30/90 01/31/91 01/31/91 Account Closing 01/81/91 0O/81/91 06/31/91  17 - EROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF.6-MAI) TABLE 3 ;2ISATIVE ESTIMATED AND ACTuML DiSBuRSmaxTS (US$ million) CMLATIVE DISBUSEMENTS AT END OF QJARTER BANK FISCAL YEAR AND APPRAISAL REVISED QUARTER ENDING ESTIMATES ESTIMATES1 ACTUAL FY 1984 March 81, 1964 0.00 0.00 June 30, 1964 0.40 0.00 FY 1986 Sopt..b.r a0, 1P84 0.40 1.16 December 81, 1984 8.74 1.74 Morch 31, 1986 11.28 8.09 June 80, 1985 13.90 4.48 FY 1988 Septemer 80, 1086 16.31 6.12 December 81, 1086 16.64 7.71 7.97 March 81, 1986 21.88 9.41 10.44 June 30, 1986 24.14 11.36 18.42 FY 1987 SeptAmbr 30, 1086 26.56 13.64 18.76 December 81, 1986 28.99 16.94 23.86 March 31, 1987 31.26 18.76 23.86 June 80, 1087 83.84 21.67 26.81 FY 1988 September 80, 1907 86.24 24.67 29.61 December 81, 1987 38.60 27.82 80.07 Marech 31, 1988 88.05 81.20 31.92 June 30, 1988 89.14 88.27 88.52 FY 1989 September 80, 1988 40.80 36.48 86.79 December 31, 1988 41.18 86.10 86.99 March 81, 1989 42.13 36.76 37.60 June 30, 1989 42.86 87.20 37.78 FY 1990 Septembr 80, 1989 43860 87.86 88.29 December 81, 1989 44.01 88.86 40.38 March 81, 1090 44.65 89.00 42.74 June 80, 1990 44.90 89.70 48.07 FY 1991 sopter go, 100 47.79 Original Closing Dato: Septembr 80, 1990. Actual Closing Dates January 81, 1991. 'As at November 80, 1988.  - 18 . PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) TAFPE 3 A. VEHICLE OPERATING COSTS (MX Rer km) EARTH BITUMEN VEHICLE TYPE 1983 1989 1983 1989 CAR 0.41 0.81 0.23 0.47 LANDROVER 0.71 0.69 0.34 0.38 BUS 1.40 1.22 0.86 0.90 TRUCK (7 TON) 0.66 0.86 0.46 0.45 TRUCK (14 TON) 1.03 1.29 0.71 0.76 TRUCK (27 TON) 2.47 2.93 1.54 2.00 SOURCE: Staff Appraisal Reports (Fifth Highway Project and Infrastructure Project)  - 19 - PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) TABLE S PROJECT COSTS AND FINANCING A. PROJECT COSTS (MK million) APPRAISAL ITES ESTIMATES1 ACTUAL DRIMP Phase III 23.20 25.52 Road Maintenance 51.59 58.10 Road Construction 18.80 15.06 Axle Load Control 0.42 0.18 Training Center 0.31 0.61 Consulting Services 10.70 25.41 Front-end FeelPPF refund 0.06 0.06 TOTAL PROJECT COST 105.08 125.50 1 October 1983 prices (physical and price contingencies included)  - 20 - PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAf) TABLE 5 B. PROJECT FINANCING (US$ million) SOURCE PLANNED z FIAL Z IDA./Bank 44.90 58 47.80 61 African Development Bank 16.00 20 16.00 20 Government of Halavi 17.61 22 14.41 19 TOTAL (Net of Taxes and Duties) 78.51 100 78.21 100  - 21 - PROJECT COPLETION REPORT MAIAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) TABLE 6 A. ACTUAL AND FORECAST TRAFFIC: LUWAWA-CHAMPHOYO ROAD (Vehicles per day) 1986 1989 ACTUAL FORECAST ACTUAL FORECAST CAR 38 43 36 N/A LANDROVER 23 45 48 N/A BUS 17 5 11 N/A LIGHT TRUCK 41 33 12 N/A MEDIUM TRUCK 8 9 25 N/A HEAVY TRUCK 5 14 15 N/A TOTAL 132 149 156 N/A t Not available SOURCE: Ministry of Works road traffic counts and IDA estimates  22 PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & j%i-- ). TABLE 6 B. ECONOMIC IMPACT ECONOMIC RATE OF RETURN ESTIMATE ESTIMATE COMPOU1ENT AT APPRAISAL AT COMPLETION DRIMP' Phase III 12Z > 12Z Construction Luwawa Turnoff-Champhoyo Road 29Z 30Z Rehabilitation of Paved Roadb Chikwawa-Bangula Road 18Z 25Z Balaka-Lilongwe (Ml) 25S 19Z Ml via Lilongwe Township 48Z 42Z Rehabilitation of Earth & Gravel Roads Kasungu-M1O Junction (S54) 419Z 330? Zomba Airport-Jali-Phalombe (S35, S41 & S40) 400? 255Z Jenda Loudon- K. Banda Road (S49) 151? 136Z Dedza-Linthipe (S25) 120? 178Z S49 Junction-Kachulu (S69) 300Z 267Z S85-Lake Kazuni- Mpherembe (S49) 313Z 133Z Nsanje-Bangula (M8) 120z 158Z ' District Roads Improvement and Maintenance Program  - 23 - PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1.423 & SF-6-MKI) TABLE 6 C. STUDIES STUDY PURPOSE STATUS InPACT Blantyre - 10 ApOrs tehe coapl-ted In Uved in the prepration Car-es-Solosa Northern Access December 1987. of th- Northern Transport Transport Corridor Route. Corridor Project. Study Detailed Engineering To propere tender Coopleted In Uoed in the preparation Design for Champhoyo- and bid evaluation March 1986. of the AfID2-financed Mbove Road for construction. construction component. De-tiled Engineering To prepare tender Completed in Usod in the preparation Design for Saline- and bid evaluation December 1988. of the Northern Transport Balaka Road for construction. Corridor Project. PVH&3 Management Study To study managemnt Completed in Used in the reorganization structure and determine August 1986. and restructuring of PVHO. roquirents for PVHO. Study of Tobacco To augment planning Completed in To be usod in the propars- Transportation capabilities of TPU'. March 1987. tion of future projects. Lake Services Study To augment planning Completed in To be usod in the prepara- capabilitios of TPU. August 1987. tion of future projects. Pavement Faijure To dotermino causoo of Completed in To be used by TPU in Study - CSIR road pavement failure October 1987. planning future projocts. nationaid-. National Bridge Study To determine priorities Comploted In Used in the preparation for bridge restoration October 1987. of the Igfrastructuro and restructuring. Project. DRIMP7 - Kasungu To examine the effects Completed in Used In th- planning of District of Phaso I of DRIMP on March 1986. subsequent DRIMP th- Kasungu District. operations. DRIMP IV Study To determine work to Completed in Usod in the preparation of be done under Phaos IV. March 1988. the InfrastructureProject. I Credit 1879-MAI, 1988, US.13.4 million 2African Devolopment Bank 3 Plant and Vehilel Hire Organization 4 Transport Planning Unit of the Economic Planning and Developent Division, (Office of tho Prosident & Cabinet) Council for Scientific and Industrial Research (Division of Roads and Transport), Republic of South Africa Credit 2089-MAI, 1989, US828.8 million District Roads Improvement and Maintenance Program  - 24 PROJECT COMPLETION REPORT MAIAWI FIETH HIGHWAY PROJECT (IOAN 2363/CREDITS 1423 & SF-6-!4I) TABLE 7 STATUS OF COVENANTS COVENANTS UNDER DEADLINE FOR LOAN/CREDIT AGREEMENT SUBJECT COMPLIANCE STATUS Section 3.01 Wake funds available to Complied with District Councils for fully in FY8SS/86 maintenance of roads under and partially DRIUP r, II, and III. thereafter. Section 3.01 Review appropriateness of annual work programs and Not later than 4 amounts mad available to months before be- District Councils for this ginning of each purpose. fiscal year. Complied with. Section 3.01 Make funds available to MWS for maintenance, rehabilitation, Complied with improvement and resealing of fully inFY85/86 road networks in accordance and partiolly with Agreements. thereafter. Section 3.01 Review appropriateness Not later than 4 Complied with of funds made onths before be- fully inFY86/88 available to ginning of each and partially MWS, fiscal year. thereafter. Section 3.02 Recruitment of consultants This covenant Jas a to assist executing condition of agencies. effectivenesw. Complied vith. Section 3.03 Consult with Bank on Before carrying recovimondotiona of out engineering studies. studies. Compliod with. Section 3.07 Review annual Transport By January 31 Soctor Investment Program in each fiscal with Bank. yar. Complied with. Section 4.01 Submit audited Not later than 3 account months after end of Complied with records, each fiscal year. but withde lys.  - 25 PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SF-6-MAI) TABLE 8 USE OF BANESOURCES A. STAFF INPUTS STAGE OF PROJECT CYCLE STAFF WiZZS Through Appraisal 10.3 Appraisal through Board Approval 43.9 Board Approval through Effectiveness 7.9 Supervision 53.8 B. HISSIONS STAFF STACE OF NWM OF VEEKS IN SPECIALUATIO4 PERFORMANCE TYPES OF PROJECT CYCLE M1H/YEAR PERWS FIELD REP2ESENTE RATEIN STATUeI PROBLE Identification 08/81 1 2.8 EN Pro-appraisal 09/82 3 2.0 EN, EN, EC Appraisal 02-03/83 3 3.8 EN, EN, EC 08-07/83 1 2.0 EN, Supervision 03/84 1 0.6 EN 1 Finrwcial 12/84 3 2.0 EN, EC, EC 2 &kirial 04/96 3 2.2 EN, EC, FA 2 Finwcnial 10/86 1 3.0 EN 1 06/88 2 1.6 EN, EC 1 02/87 2 2.8 EN, EC 2 Fliwrcial 10/87 2 2.8 EN, EC 2 Fianeial 10/88 1 4.2 EN, 2 Fincial 06/89 1 2.0 EN, 2 Fltancial 04/90 1 2.8 EN, 2 Finacial EN = Engineer, EC = Economist, FA = Financial Analyst b I = Problem ftre or minor problem 2 = Moderate problems  TABLE 9 - 26 - PROJECT COMPLETION REPORT MALAWI FIFTH HIGHWAY PROJECT (LOAN 2363/CREDITS 1423 & SE-6-MAI) ROAD WORKS c~COTrUCTION 1.04GTH (kpj Luwawo Turnoff-Chaphoyo Road 51.0 REHABILITATION OF PAVED ROADS Chikuava - Banguli Road 22 .0 Section on Ml through Lilong. Township 12.S Section on Ml betwen Li longw. and OaIeke 40.0 TOTAL 74.5 Rewea Ing Secti.on on Ml froe John MHuamra Junction to Chilumbe Jetty Road Junction 86.0 Section on M4 between Zambio Border and Lilong,. 120.0 TOTAL 206.0 REHABILITATION OF EARTH A GRAVEL ROADS Section on S64 betwoen Kaoungu and MlO Junction 71.0 Zoeb. Airport-Jali-Phaloeba Junction (S3M, S41 A S40) 108.0 Betwe-n RuMphI Junction (S1O) and Nthalire (S6J/SlO A S77) 110.0 Jenda-Loudon-K-eteteka on S49 and section on MIS at Loudon Junetton (D150) 93.0 S25 Loop 43.0 Section on S38 bet en Muons and MO 61.0 Section of SOO betveen S40 Junction and Kachulu 26.0 Section of US between NeonJe and Bongula 47.0 Sections on MI/S52/Mi4 between Ek..ndeni-Kafukule-MziWm 117.0 Section on S19 between Kawendo and Chilanga 101.0 Section on MO betwn Bonguls and Muone 21.0 Linthipe-Dedzi (S23 & S27) 60.0 Section on M1 between Euthini Junction (S66) and K. anda-Eavenzini (SlO) 58.0 TOTAL 916.0  (' /z 9OmcSOQY ( / ' / .tEkeerder, 4 \ // * IANIN6INA Z A M B I A h , / _ ./ 1Me'>Et J ^oae 30,303 YR _ NKHATA BAY (Ii' ) o.mhoo3 'p )