L$- 15o1 VC

Report No. 1611-IVC

Appraisal of a Feeder Road andHighway Maintenance ProjectIvory CoastDecember 1, 1977

Western Africa ProjectsHighways Division

FOR OFFICIAL USE ONLY

Document of the World Bank

This docunient has a restricted dinribution and may be used by recipientsonly in the performance of their official dLiLies. ILs contents may nototherwise be disclosed without World Bank authorization.

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CURRENCY EQUIVALENT

Currency Unit CFAFUS$1.00 245 CFAFCFAF 1 = US$0.004CFAF I million = US$4,081

Fiscal Year

January 1 - December 31

System of Weights and Measures Metric

Metric British/US Equivalents

1 meter (m) 3.28 feet (ft)1 kilometer (km) 2 0.62 mile (mi)1 square kilometer (km ) 0.386 square mile (sq mi)I hectare (ha) 2.47 acres (ac)1 metric ton (m ton) 2,204 pounds (lb)

Abbreviations and Acronyms

ADB African Development BankBCEOM Bureau Central d'Etudes pour les Equipements d'Outre Mer

(Consultants, France)CATP Centre d'Application de Travaux PublicsCDLT Central Directorate of Land Transport (MPWTCU)CNBF Centre National des Bureaux de FretDER Directorate of Road Maintenance (MPWTCU)DERP Directorate of Periodic Maintenance (MPWTCU)DCMITP Central Directorate of Equipment (MPWTCU)DCPW Central Directorate of Public Works (MPWTCU)EDF European Development FundFAC Fonds d'Aide et de CooperationFRAR Fonds Regionaux pour l'Amenagement RuralGDP Gross Domestic ProductLBTP Laboratoires de Batiment et des Travaux PublicsCEBTP Centre d'Etudes de Batiment et des Travaux Publics (France)HPWTCU Ministry of Public Works, Transport, Construction and UrbanismRAN Regis des Chemins de Fer Abidjan-NigerSDPI Sub-Directorate of Programming and Investment (MPWTCU)SETEC Societe d'Etudes Techniques et Economiques (Consultants, France)UNDP United Nations Development Programme

FOR OFFICIAL USE ONLYIVORY COAST

APPRAISAL OF A FEEDER ROAD AND HIGHWAY MAINTENACGE PROJECT

TABLE OF CONTENTS

Page No.

SUMMARY AND CONCLUSIONS .... ........................... ........ i-li

I. INTRODUCTION ................................... 1

2. BACKGROUND .................................... 2

A. Geographic and Demographic Setting ........................ 2

B. Economic Setting . ...... ................. 2

C. Rural Economy ................................ *............ 3

D. The Transport System ...................................... 3

E. Transport Planning and Coordination ......... ......... 5

3. THE ROAD SECTOR .. ............................ ........ 6

A. The Road Network ............................ .... 6

B. Road Traffic ... .............................. ... 7

C. Road Transport Industry .........................e 8

D. Administration ................................. ..... 8

E. Financing ............................... ..... 9

F. Engineering and Construction .......................... 10

G. Maintenance ............................................... 11

4, THE PROJECT ....... ............................ 14

A. Description .......... v**@****>*o*e*es 14A. escipion..... .................................

14

B. Feeder Road Program . e ..... ... .......... ...... 14

C. Betterment Program for Primary and Secondary Roads ....... 15

D. Regional Workshops ............ . .............. 15

E. Technical Assistance ................ ...................... 15

F. Cost Estimate ..............................o* .. ...... 17

G. Execution ................. ............................. 20

H. Procurement ............. ...... ........ 24

I. Financing and Disbursements ........... o.............. 24

5. * CONOMIC AND SOCIAL EVALUATION .......................... ....... 25

A. Objectives ............... ................ *............... 25

Bo Economic Justification .... ................. .o ......... 25

C. Traffic Estimates ..... ........ ... ....o. ... ..o........... e e 26

D. Vehicle Operating Costs . ........ . ...................... 27

E. Construction and Maintenance Costs....................... 28

F. Overall Evaluation of the Feeder Road

and Road Betterment Programs ... ........ .. 28

6. AGREEMENTS REACHED AND RECOMMENDATION ........................... 29

This document has a mtricted distribution and may be used by recipients only in the performance

of their ofcial duties. Itn contents may not otherwise be disclosed without World Sank authorization.

2

TABLES

1. Development of the Rural Road Network 1971-762. Motor Vehicle Fleet, 19763. Road Sector Expenditure and Financing 1971-764. Revenues from Road User Taxes5. Feeder Road Design Standards6. Equipment to be Purchased for Improvement of Feeder Roads7. Equipment to be Purchased for Betterment Program8. Technical Assistance to DCMTP & DERP9. Financing of Project Costs

10. Project Costs11. Schedule of Implementation12. First Year's Feeder Road Improvement Program (1978/79)13. Roads Tentatively Selected for Betterment Program14. Training Program for DCMTP's Staff15. Key Personnel to be Assigned to Consultants

for Betterment Program and Equipment Repair16. Economic Costs and Benefits for Betterment Program17. Traffic Composition and Vehicle Operating Cost Savings for

Betterment Program18. Estimated Schedule of Disbursement

ANNEXES

1. Bank Group Activities in the Road Sector2. Agricultural Background3. Details of Technical Assistance to Ministry of Public Works, Transport,

Construction and Urbanism (MPWTCU) for Feeder Road Works4. Guidelines for Evaluation and Planning of Feeder Road Works5. Economic Evaluation of Feeder Road Works6. Terms of Reference for a Study on the Modal Distribution of Traffic

Between Road and Rail

CHARtT

Organization of the Ministry of Public Works, Transport,Construction and Urbanism (MPWTCU)

MAPFeeder Road and Highway Maintenance Project, Ivory Coast, IBRD 12899R

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

SUMMARY AND CONCLUSIONS

Agriculture and forestry account for about 30% of GDP and 80% of

Ivory Coast's exports. About 75% of the population depends directly or

indirectly on agriculture and forestry. The .Government is giving high

priority to increasing agricultural production and improving road infra-

structure to facilitate and support economic growth and social develop-

ment.

ii. The transport system of the Ivory Coast consists of about 45,200 km

of roads, 640. km of railways, two major seaports, about 400 km of navigable

lagoons, two airports of international standard and twenty-five airfields

for domestic services. The system is focuse& on Abidjan, the capital city,

principal port and commercial center. Roads are the principal mode for

domestic transport, carrying about 75% of total freight and 80% of total

passenger movements.

iii. The road network is generally adequate in extent, but many roads

are of too low a standard to serve the rapidly increasing traffic volumes.

Also, road maintenance has been inadequate even though it has significantly

improved over the last years.

iv. The Bank Group has had five lending operations for road devel-

opment in the Ivory Coast. They have included construction and pavement

strengthening of about 600 km of primary roads and reorganization and im-

provement of highway maintenance; project implementation has generally been

satisfactory.

v. The proposed project consists of: (a) a 3-1/2 year program for

the improvement and subsequent maintenance of feeder roads using six force

account brigades and contractors; (b) a 3-1/2 year program for the better-

ment of unpaved primary and seconidary roads by two force account brigades;

(c) construction of regional workshops; (d) procurement of maintenance and

workshop equipment; and (e) technical assistance to (i) assist and train local

staff in planning, implementing and monitoring the feeder road improvement and

maintenance programs, (ii) assist in installation and organization of regional

workshops and train the local personnel in equipment maintenace and repair, and

(iii) prepare a study on modal traffic distribution.

vi. Execution of the project would be the responsibility of the Min-

istry of Public Works, Transport, Construction and Urbanism. To implement the

feeder road program, a new Feeder Roads section would be created within

the Directorate of Road Maintenance.

vii. Total project costs are estimated at US$63.2 million, includingUS$9.6 million equivalent in taxes and duties. Project costs, net of taxesand duties, are estimated at US$53.6 million equivalent with foreign exchangecosts of US$29.0 million (54%). The proposed loan of US$29.0 million wouldcover the foreign exchange costs of the project. The Government's contribu-tion would be US$24.6 million plus tax of US$9.6 million equivalent.

viiie Equipment, spare parts, material and supplies amounting to aboutUS$13.0 million and civil works estimated at US$8.0 million, net of taxes,would be procured on the basis of international competitive bidding inaccordance with Bank Group Guidelines. Contracts for equipment, spareparts, material and supplies costing less than US$50,000 wou'ld be awardedon the basis of competitive bidding following local procedures acceptableto the Bank; the total amount will not exceed US$1.5 million. Contractsfor small civil works would also be awarded on the basis of competitivebidding following local procedures acceptable to the Bank; the total amountwill not exceed US$1.2 million.

ix. institution building and training of local personnel is of pri-mary importance in the proposed project; therefore, a considerable techni-cal assistance element is included in the-project. However, the technicalassistance will be phased out, and during its last year the project willbe managed entirely by Ivorian personneL.

x. The feeder road improvement works will yield a rate of return ofabout 24% and the betterment of unpaved primary and secondary roads willyield a rate of about 36%. The combined economic rate of return of thesetwo project elemencs is estimated at 29%.

xi. The proposed project is suitable for a loan to the Governmentof the Ivory Coast in the amount of US$29.0 million. The Loan term wouldbe 17 years with a 4-year grace period.

IVORY COAST

FEEDER ROAD AISD HIGHWAY IAINTENAMNCE PROJECT

1. INTRODUCTION

1.01 The Ivory Coast's road network consists of about 45,200 km of roads

and tracks. In the past road investments concentrated. on improvement and

maintenance of the primary and secondary network. However, the 1976-1980

Development Plan places increased emphasis on the improvement and maintenance

of the tertiary and non-classified (feeder road) network and allocates about

20% (an estimated US$58 million) of the US$286 million for road investments

for this purpose. The Government's objective is to provide reliable, all-

weather access to villages and areas inadequately served by roads. The

proposed project supports the Government's policy of improving the feeder

road network and continues Bank assistance for highway maintenlance of un-

paved primary and secondary roads.

1.02 The project would be the Bank's sixth lending operation for road

development in the Ivory Coast. The previous operations have included con-

struction and pavement strengthening of about 600 km of primary roads and

reorganization and improvement of highway maintenance. The execution of

the projects has generally been satisfactory, despite considerable cost

overruns under the Third and Fourth Highway Projects due to inflation and

an increase in design standards. In a few cases, the Government increased

the design standards above those agreed upon and considered adequate. Because

of this, it is important that future projects require that changes in road

standards from those agreed upon at negotiations be clearly justified under

criteria approved by the Bank. The Government is meeting all cost overruns.

The present system of planning and administration has worked fairly well, and

the Government has established a Department of Planning and Programming in the

Ministry of Public Works, Transport, Construction and Urbanism (MPWTCU) under

the Fifth Highway Project to advise on optimizing the allocation of resources

for future transport investments. The Bank's previous activities in the road

sector are described in Annex 1.

1.03 The proposed project will start upgrading the feeder road network

through improvement and subsequent maintenance of about 3,600 km of feeder

roads over a 3-1/2 year period and training of Ivorian staff. It will also

provide continued assistance for highway maintenance for primary and second-

ary roads started under a previous Bank project by strengthening betterment

work and periodic maintenance, and by improving equipment maintenance and

repair through training of Ivorian personnel and construction of workshop

facilities.

1.04 Total project costs are estimated at US$63.2 million, including

US$9.6 million equivalent in taxes and duties. Project costs net of taxes

and duties are estimated at US$53.6 million equivalent with foreign exchange

costs of US$29.0 million (54%). The proposed loan of US$29.0 million would

finance all foreign exchange costs of the project. All local costs (US$24.6

million) and taxes would be met by the Government.

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1.05 This report is based on studies carried out by the consultantsBureau Central pour les Equipements d'Outre Mer (BCEOM, France) and onfindings of an appraisal mission in December 1976 and a post appraisalmission in March 1977 by Messrs. Hertel, Tessier-Viennois and Fellinghauer(engineers) and Bonney and Mrs. Sebastian (economists).

2. BACKGROUND

A. Geographic and Demographic Setting

22.01 The Ivory Coast, with a land area of 322,500 km , is situated onthe Gulf of Guinea and bordered on the west by Liberia and Guinea, on thenorth by Mali and Upper Volta and on the east by Ghana. The topography ofthe country is generally flat or rolling although mountains rising to 1,200 mare found in the west and northwest. Climate and vegetation vary consider-ably between the north and south partly as a function of rainfall. In thenorthern savannah zone, rainfall is between 1,000 and 1,500 mm a year, andin the southern tropical forest zone it is between 1,500 and 2,000 mm a year.The greater part of the country has readily available supplies of lateritewhich are important for road building.

2.02 The population is estimated to have been about 6.7 million in 1975with approximately 4.6 million living in rural areas and 2.12 million in theurban centers. Included in the estimated population are about 2.0 millionimmigrant workers and their families-mainly from Mali, Upper Volta and Togo.The population, including net migration, is estimated to have increased at3.9% per year for the period 1970-1975 (2.4% in rural areas and 7.5% in urbanareas). Between 1975 and 1980, population in rural areas is expected to growat about 2.5% per annum, in Abidjan at about 10.4% and in other urban centers

-at about 6.8%. These rates are expected to decline after 1980.

B. Economic Setting

2.03 The economy is based on a diversified agriculture and timber exportindustry which contributed about 30% of the CFAF 826 billion (US$3.37 bil-lion) Gross Domestic Product (GDP) in 1975. Transport industries accountedfor about 10% of total GDP. Per capita GDP was estimated at CFAF 123,800(US$505) in 1975, which was appreciably higher than for other countries inWestern Africa. However, within the country there are large regional varia-tions ranging from the poor areas in the north to the relatively rich in thesouth.

2.04 The country's balance of trade has been consistently in surplussince 1960. Agricultural and timber products comprise about 80% of exports,although other exports have been growing steadily. Political stability andan active investment policy has led to a high economic growth rate; in the

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15 years since independence (1960-1975) the average annual growth rate of

GDP in real terms was 7.4% and during the period 1970-1975 it was about 5.6%.

This economic growth must continue if the country is to be able to finance

development on the scale anticipated.

C. The Rural Economy

2.05 Annex 2 describes the agricultural background. The economy remains

and will remain in the foreseeable future firmly dependent on a diversified

agriculture and timber industry, although, the secondary and tertiary sec-

tors of the economy have been growing at a faster rate than the primary

sectore Primary sector activities range from large, industrialized planta-

tions and timber operations to peasant farmers, livestock breeders and fish-

ermen. Large-scale agriculture mainly produces pineapples, coconuts, oil

palm, rubber and sugar cane; small farmers, although participating in the

production of these crops, are particularly active in the cultivation of

cocoa, coffee, cotton, bananas, rice and basic food crops.

2.06 Pineapple, coconut, oilpalm, rubber, banana and cocoa are culti-

vated in the southern part of the country. Coffee is grown in the center

and west and cotton in the north. Food crops are grown throughout the

countL 7.

2.07 Industrial and export crops have maintained an average annual

growth rate of about 5% in real terms over the past 10 years, and the Devel-

opment Plan for 1976-1980 anticipates that this rate will be maintained or

even increased for some crops such as cotton. Reserves of useful timber

have declined consi erably and attempts are being made to stabilize produc-

tion at 4 million m /year and to increase exports of sawn timber rather than

logs.

2.08 Most ministries engage in activities in rural areas; the Ministry

of Agriculture and the Ministry of Water and Forests particularly are con-

cerned with the primary industry sector. In addition, several autonomous

development societies deal with development of particular crops. There are

also two regional development organizations, l'Autorite pour l'Amenagement de

la Region du Sud-Ouest (ARSO) for the south-west of the country and l'Autorite

pour l'Amenagement de la Vallee du Bandama (AVB) for the Bandama Valley.

Specialized organizations exist for agricultural credit, cooperatives, re-

search and rural improvement schemes; these include la Caisse de Stabilisation

et de Soutien des Prix des Produits Agricoles (CSSPPA), Centre National de

Promotion des Entreprises Cooperative6 (CENAPEC), Institut de Recherches

Agronomiques Tropicales et des Cultures Vivrieres (IRAT), and Fonds Regionaux

pou;r l'Amenagement Rural (FRAR).

D. The Transport System

2.09 The transport system consists of approximately 45,200 km of roads,

640 km of railway, major seaports at Abidjan and San Pedro, 400 km of navigable

lagoons, two airports of international standard and 25 airfields for domestic

service. The country's infrastructure has developed along major north-southaxes which link the port of Abidjan with the land-locked countries of Maliand Upper Volta. The system is focussed on Abidjan, but San Pedro in thesouth-west is developing into another pole of attraction.

Roads

2.10 At independence the Ivory Coast inherited an important highwaynetwork, which it has significantly expanded and upgraded. Recently theGovernment began placing increased emphasis on improved road maintenance,and since 1973, about one-third of yearly road investment has gone to main-tenance. Beside maintenance, the Government stresses the need for a fullydeveloped road network to sustain a balanced regional growth. This is des-cribed in Chapter 3.

Railways

2.11 The railway system is part of the Regie des Chemins de Fer Abidjan-Niger (RAN), owned jointly by the Ivory Coast and Upper Volta. It consistsof a 1,159 km single track line from Abidjan to Ouagadougou (Upper Volta) ofwhich 640 km is in the Ivory Coast. Road transport competition and the needfor heavy capital investments necessitate RAN's continued financial dependenceon Government subsidies. The convention governing the railway requires thatthe Ivorian Government contribute 60% of the costs for maintenance and re-newal of track, special works and communication, and 100% of the costs fornew lines, both limited to works in the Ivory Coast. Freight traffic grew atan annual rate of 8.4% between 1969 and 1975. The Bank has proposed selecLivetariff increases, improved staffing policies and new capital injections inareas promising an increase in the productivity of the system to boost therailroad's financial viability. The recently approved Bank Loan and IDACredit will provide US$23.0 million to RAN and US$5.2 million to the Govern-ment of Upper Volta which, together with Canadian financing of US$29.2 millionequivalent, will meet the foreign currency costs and some local costs of theproject. RAN's traffic is expected to increase by one-third between 1976 and1980; the proposed railway project has been designed to meet the increasedcapacity requirements at lower operating costs. The technical assistanceunder the proposed railroad project should help improve the efficiency andquality of RAN's operations and management.

Ports

2.12 The two main ports are at Abidjan in the southeast and San Pedroin the southwest. Most cargo, including traffic to and from Mali, UpperVolta and Niger, passes throzigh Abidjan, where freight traffic amounted toabout 6 million tons in 1975. A long-term development plan needs to be pre-pared before the port becomes congested; already port improvements costingUS$36 million are proposed for the 1976-1980 period. The port of San Pedrowas developed for timber traffic as part of the general plan to serve thewestern regions; so far, traffic has not developed as anticipated due to areduction in timber exports between 1973 and 1975. The port has still tobe adequately developed and integrated into the country's transport networkto utilize efficiently its potential for handling general cargo.

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Air Transport

2.13 Air transport in the Ivory Coast operates from two airports of

international standard at Abidjan and Yamoussoukro. Abidjan is served by

major international airlines. In addition there are 25 airfields capable

of handling feeder line aircraft. The air passenger traffic is expected

to grow at a yearly rate of about 14%, while air cargo is forecast to grow

at 11%. Air Ivoire has a monopoly over scheduled internal routes.

Rail/Road Coordination

2.14 There is no rational allocation of traffic movements between rail-

way and roads in the Ivory Coast. Over long distances trucks should feed

shipments into the railway, but due to heavy competition many truckers offer

the same services at prices which undercut rail operations. In the trans-

port corridor extending northward from Abidjan, freight transport is sub-

sidized for both modes: directly for the railway, as the Government supports

60% of the cost of infrastructure maintenance; indirectly for roads, as the

user taxes paid by trucks, particularly heavy ones, are below corresponding

user costs which, according to 1973 study on road user taxes (and a 1976

update), shifts the road user tax burden to private passenger vehicles.

Whether the dual subsidization, combined with the Government's considerable

influence on rate setting for both modes, leads to significant distortions in

the allocation of transport is not known, first of all because the amount of

subsidization for operational costs is estimated at only 5-10% for both modes

(trucking subsidies in Upper Volta may be somewhat higher), and secondly

because factors othei than costs, such as flexibility and time savings, are

often more important in the choice between rail and road. However, a study of

the present situation is needed. This has been provided for in the proposed

project and the Government has agreed to undertake the study in accordance

with terms of reference discussed and agreed upon during negotiations (Annex 6).

E. Transport Planning and Coordination

2.15 The Ministry of Public Works, Transport, Construction and Urbanism

(MPWTCU) administers the transport system with the exception of maritime

transport; the structure of the Ministry is shown in the organization chart

and described in para 3.11. In addition to NPWTCU, there are several autono-

mous public bodies concerned with the transport; the most important are RAN

(para. 2.11), the National Freight Office (Centre National des Bureaux de

Fret, CNBF) (para. 3.09) and the autonomous port authorities of Abidjan and

San Pedro.

2.16 The current five-year economic, social and cultural development

plan covers the period 1976-80, but is modified each year by means of a

three-year revolving plan (the Lois Programmes des Investissements Publics)

in order to update investment needs and financial requirements according to

circumstances. The Ministry of Economy, Finance and Planning prepares and

coordinates the plan and redefines general sectoral objectives, while MPWTCU

makes specific proposals to meet these objectives. A similar procedure is

adopted for the estimation of recurrent expenditures, such as road main-

tenance.

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2.17 The planning of transport sector investments has not encounteredserious difficulties during the past, largely because the options were sim-ple and limited in scope. However, there still exists an inadequate capac-ity for sector planning, policy formulation and coordination of investmentswithin the MPWTCU. In particular, sector planning is still too dependenton foreign expertise; infrastructure tends to be overdesigned, and there isundue political interference at the planning process. In addition there isa lack of policy concerning rail/road competition and pricing and a lack ofmeasures to improve productivity of the Abidjan port and to integrate portdevelopment with that of the road and railroad subsectors. Future projectsshould seek, as far as practically possible, to improve this situation.

2.18 A step forward toward resolving some of these issues is being madeunder the Fifth Highway Project. The 1976 update of the 1969 UN TransportSurvey outlined investment ineeds and will serve as a basis for formulatingthe future investment policy in the transport sector. The Government hasestablished form a Department of Planning and Programming within NPWTCU toadvise MPWTCU on investment planning and the rational allocation of resourceswithin and among the various modes and to study and advise the Government ontransport issues.

3. THE ROAD SECTOR

A. The Road Network

3.01 The road network totals about 45,200 km (Table 1) and for admin-istrative purposes is divided into two categories: (a) classified, a-bout34,000 km, which are grouped into primary roads (Class A: 5,850 km), sec-ondary roads (Class B: 7,000 km) and tertiary roads (Class C: 21,150 km);and (b) unclassified, about 11,000 km consisting mostly of tracks and low-standard roads opened by lumber companies and state-owned agriculturaldevelopment corporations. This network is generally adequate in-extent, withtwo exceptions: the opening of the Port of San Pedro will require expansionof the trunk roads in the central and southwestern regions, and the diversifi-cation and growth of the agricultural sector will necesitate development ofthe secondary, tertiary and unclassified road network. Under the terminologyused in this report, feeder roads cover the tertiary and unclassified net-work.

3.02 There are about 2,000 km of paved roads; roughly one-half of themwere built before 1960 and are under-designed for present traffic loads.Even the best routine maintenance cannot preserve roads which are structurallyinadequate for the traffic loads they must carry, and many of these roadshave deteriorated to the extent that major rehabilitation is required. Mostof the unpaved primary and secondary roads are reasonably well maintained, but

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there still is a need for strengthening maintenance operations especially

for secondary roads and reducing the considerable backlog of betterment

works and periodic maintenance. The feeder roads are primarily dry weather

facilities, mostly with earth surfacing, and many become impassable during

part of the rainy season. Due to low construction standards, higher than

estimated traffic growth and inadequate maintenance, a large portion of the

feeder road network is in unsatisfactory condition and could act as a break on

rural development if urgently needed improvements and maintenance are not

begun.

3.03 The Government, in a major effort to improve the road network,

is concentrating its attention on (a) pavement strengthening of the most

deteriorated road sections, (b) construction of new trunk roads, (c) im-

provement of highway maintenance and (d) construction and improvement of

feeder roads. Notable progress has been made on the primary and secondary

road network aided by previous Bank projects; improvement and maintenance of

feeder roads has lagged, but is given high priority in the current five-year

plan.

3.04 The Bank has played an active role in the development of the pri-

mary and secondary networks under previous and ongoing highway projects,

with considerably less emphasis on improvement of feeder roads. The feeder

roads element of the proposed project will focus on the latter. Other con-

tributions to the country's road development have been made by several foreign

agencies, in particular, the European Development Fund (EDF) and the African

Development Bank (ADB), as well as bilateral assistance from various govern-

ments.

B. Road Traffic

3.05 The vehicle fleet was estimated at 88,320 units in 1976, of which

about 73% were passenger cars and pick-ups and about 27% buses, trucks and

other heavy vehicles (Table 2). These figures were taken from the 1976

Transport Survey carried out by the Consultants Societe d'Etudes Techniques

et Economiques (SETEC). The study raises considerable doubt concerning

the accuracy of the Government's statistics, which seem to grossly over-

estimate the vehicle fleet. Government data for 1975 show 117,990 units,

compared with the study estimate for 1976 of 88,320. It is difficult to

obtain the number and composition of vehicles as their removal from the fleet

is not recorded. The Department of Planning and Programming, created under

the the Fifth Highway Project, will propose improvements in Government

statistics on vehicles.

3.06 Roads carry approximately 75% of freight and 80% of passenger

traffic including that originating in or destined for neighboring countries.

Between 1969 and 1975, the annual increase in ton/km of total road freight

was 4.2%. Excluding timber transport, which was affected by shorter hauls

after the opening of San Pedro Port and by a decline in timber exports, the

annual rate of increase was 12%. Passenger traffic grew over the same period

at an annual rate of just over 10%. The annual rate of increase in ton/km of

agricultural produce between 1968 and 1975 is estimated at about 12%.

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C. Road Transport Industry

3.07 The road transport industry is regulated by the Central Directorateof Land Transport (CDLT) of MPWTCU. For private passenger transport and"lown use" freight transport, its role is limited to licensing and vehicleinspection. "For hire" passenger and freight transport is regulated in termsof entry and tariffs for loads over three tons, for hauls exceeding 100 km,and for all public passenger transport. Other cegulatory institutions are:Societe Ivoirenne de Controle Technique Automobile in charge of vehicleinspection; Syndicat National des Transporteuars de Marchandises et Voyageurs,allocating routes among the public passenger carriers; and Centre National desBureaux de Frets (CNBF) whose main task is to direct the operations of thefreight offices and to maintain statistics on supply and demand.

3.08 Transport of logs, oil productr and important agricultural produc-tion is hiandled by a small number of large carriers. Though domirated byforeign interests in the past, the Government encourages greater Ivorianparticipation in these concerns, which are now 70% controlled by Ivorians.The rest of the freight traffic and most of the rural passenger traffic iscarried by many small owner-operators, mostly Ivorian, with only one or afew vehicles. Bankruptcies have been common among these owner-operators andsmall firms; this is attributable to the following: (a.) their inability toobtain the larger, more profitable freight contracts; (b) over-capacity inthe industry resulting in fierce competition and price-cutting; and (c) alack of commerical training anid managerial skills.

3.09 The Government established freight offices (CNBF) as a serviceto truckers to match supply with demand and issue operating licenses. How-ever, strong competition among truckers made contracting outside the freightoffices more advantageous for producers. It is expected that by the end of1979 the over-capacity in the industry will be eliminated and with it themain cause of price-cutting which creates instability in the industry. Thtiswill be accomplished through Government's policy of holding the number oflicenses issued for trucks constant for that period. Under relatively stablemarket conditions, the freight offices will then be able to provide reasonableservices, and it is expected that adequate tariffs will be respected through-out the country.

3.10 The Government is interested in a study of the training needs ofthe industry. The Bank is now exploring with the Conseil de l'Entente thepossibility of funding this study which would outline a training program toimprove the managerial skills of Ivorian truckers. The Barnk may considerfinancing part of this training program under the technical assistance com-ponent of the next highway or education project in the Ivory Coast.

D. Administration

3.11 Under the recent reorganization, MPWTCU carries out its functionsthrough central direccorates and seven Regional Directorates of Public Works,Construction and Urbanism (RDPWCU). The regional directorates are located

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in Abengourou, Abidjan, Bouake, Daloa, Korhogo, Man and San Pedro. Planning,

programming and coordination are the tasks of the Department of Planning and

Programming within the Central Directorate of Public Works, while the physical

execution of road maintenance is done by the regional directorates. The

equipment fleet is managed by the Central Directorate of Equipment. All

laboratory work for soil .nvestigations is done by the Construction and Public

Works Laboratory, a financially independent entity under the technical control

of MPWTCU.

3.12 MPWTCU is seriously short of engineers and technicians and must

rely heavily on foreign technical assistance. Many head office functions

are carried out by expatriates provided principally by French technical

assistance (FAC) in upper level engineer and advisory positions, including

25 experts for the highway sector. An increasing number of Ivorians are

opting for training as professional engineers. But as yet only a small stream

of qualified and experienced engineers is emerging and many of these are being

attracted by the higher salaries in the private sector. The Government's

objective of transferring responsibilities to Ivorians is making slow progress,

and the Government will continue to depend on foreign technical assistance in

the near future.

3.13 The Bank is helping the Government to improve staffing and adminis-

tration through technical assistance under its highway projects. Under the

Third Highway Project, the Directorate for Periodic Maintenance of Primary and

Secondary Roads (DERP) was created and the Directorate for Road Maintenance

(DER) established within DCPW to plan, coordinate and monitor road improvement

and maintenance operations. Under Government's previous administrative

structure, maintenance work was entirely the responsibility of the regional

district engineers who reported directly to the Director of DCPW without any

coordinating body for maintenance operations on a national level. The es-

tablishment of DERP and DER will eliminate this shortcoming. In addition,

maintenance operations have been reorganized and Ivorian staff trained

in modern maintenance techniques. The Fifth Highway Project provides for:

(a) overseas fellowships for DCPW and DCMTP engineers, (b) a study recom-

mending increases in the capacity of local training institutions for civil

engineers, technicians and foremen and which is being implemented with the

Government's own financing; and (c) technical assistance for a department of

planning and programmming within MPWTCU. The proposed project will continue

and expand technical assistance for highway maintenance started under the

Third Highway Project by training Ivorian personnel and strengthening MPWT

administrative structure for maintenance of unpaved primary and seZondary

roads, and feeder roads.

E, Financing

3.14 Government's highway expenditures, exclusive of foreign financing,

increased from about CFAF 3 billion (US$12 million equivalent) in 1971 to

about CI'AF 22 billion (US$90 million equivalent) in 1976 (Table 3). In 1976,

about one-third of these expendi,ures was for road maintenance, the remainder

for construction and administration. Maintenance expenditures are met by

allocations from the road fund (70%), the general budget (13%), and other

- 10 -

sources (17%). New construction is financed from the investment budget, con-tractor financing, and by loans/credit mainly from the Bank Group, EDF, ADBand bilateral financing.

3.15 The road user taxes consist of fuel taxes (62%), vehicle entrytaxes (18%), and taxes on tires, spare parts, insurance and fees for regis-tration and licencing. In 1975, revenues from road user taxes amounted toCFAF 26.1 billion (US$106 million) (Table 4), nearly equalling road expendi-tures (including foreign financing) of about CFAF 26.5 billion (US$108 mil-lion). Government's contribution for new investment for 1976-78 is estimatedat CFAF 24 million (US$98 million) annually.- The Government will most likelybe able to provide the necessary local funds to support its investment andmaintenance goals given its present economic performance.

3.16 Road user taxes are unevenly levied, with heavy vehicles payingrelatively less tax in comparison with other vehicles. In 1976, consultantsupdated the 1973 road user tax study financed under a previous Bank projectand recommended increasing taxes on heavy vehicles. The Government is re-luctant to make major changes in the present system, because of the strongopposition by the truckers' union in view of the sector's already weakfinancial position. The studies' recommendations are being reviewed by theGovernment and the Bank and will be followed up by the Bank under present andfuture lending operations in order to improve the situation.

F. Engineering and Construction

3.17 The Sub-Directorate of Programming and Investment (SDPI) is respon-sible for economic studies and engineering of road construction works. SDPIitself carries out only minor studies; major studies are done mostly byforeign consultants and to a lesser extent by the National Planning Bureau(BNEDT). The Laboratoire du Batiment et des Travaux Publics (LBTP) carriesout materials testing for all MPWTCU studies and construction supervision. Afew local engineering firms have been established during the last years but sofar have done only minor studies and supervision of construction workse Jointventures of foreign and local consultants will be employed to carry out about300 km of preinvestment studies under the Fifth Highway Project in order topromote local firms and increase their participation in future works.

3.18 Contracts for highway projects financed by international or bilat-eral assistance are let on the basis of competitive bidding following guide-lines of the agencies involved. Large civil works are carried out primarilyby foreign companies. About 20 major civil works contractors (employing about10,000 persons) are active in the country; their annual turnover is about CFAF20 billion (US$81 million). Most of the contractors are local subsidiariesof European-based firms. Only two are Ivorian companies: SONITRA, which isjointly owned by the Government and an Israeli company, and SONAGECI a fullystate-owned, autonomous enterprise created in 1974. These two companieshave already carried out major road projects including two roads financedunder the First and Fourth Highway Projects, and their performance has beenadequate, despite some organizational problems during the initial construc-tion period. About 40 domestic contractors work primarily in the building

sector and participate only to a minor extent in civil works due to insuffi-

cient equipment, lack of experience and insufficient management capability.

Many of these companies could progressively undertake larger civil works if

given Government's support for their increased participation in such work,

as well as financial and technical assistance.

3.19 In order to assist small-scale domestic industries, the Ministry

of Economy, Finance and Planning has launched a study of small and medium

sized domestic industries to evaluate their present work capacity and their

technical and managerial competence and to make recommendations on how to

improve the competitiveness of the industry.' The study should be ready 'by

early 1978 and the Bank and Government will discuss its recommendations with a

view to possible assistance in future Bank projects. To promote this sector

in the shorter run, a large number of smaller structures and drainage works

under the project would be constructed by small domestic contractors. In

addition it is envisaged that about 25% of the road sections included in

the feeder road program are to be improved by contractors. These works

would be subject to international competitive, bidding open to qualified

local and foreign contractors. The MPWTCU believes the work could be done

at a lower cost to the Government if done on force account. Nevertheless,

MPWTCU has agreed that bidding should take place. If the lowest bids received

were unreasonably high, the Government would consult with the Bank on further

action.

G. Maintenance

3.20 A maintenance study, carried out under the 1969 UNDP financed

Transport Survey, recommended improving highway maintenance for primary and

secondary roads by reorganizing MPWTCU's administrative structure, introducing

modern programming and budgeting techniques, strengthening MPWTCU's force

account brigades, increasing budgetary appropriation and training Ivorian

personnel. These recommendations are being implemented under the four-year

maintenance program financed under the Third Highway Project with technical

assistance by consultants.

3.21 The assistance provided by consultants under this four-year main-

tenance program has more than met the objectives of improving DCPW's planning,

budgeting and executing road maintenance operations. Feeder road mainte-

nance, however, remains deficient. Reorganization of MIPWTCU's administrative

structure has been completed and has resulted in efficient operations. DCPW

through its newly created DER is responsible for planning, budgeting and

monitoring annual maintenance operations. At present the Government's admin-

istrative structure does not yet provide for a central unit for planning, bud-

geting and execution of the feeder road network. The Feeder Road Section

to be created within DER under the project will overcome this deficiency.

Physical execution of works is carried out by seven regional districts (sub-

divided into 24 subdivisions and 180 road sectors) and by DERP, mainly by

force account through mechanized brigades and the substantial use of labor.

However, maintenance work so far has been carried out mainly on primary and

secondary roads and, except for those maintained by agricultural (or regional)

- 12 -

development organizations (para 3.25), many of the feeder roads have not beenmaintained at all and are, therefore, in need of improvement. Periodic main-tenance of paved roads, primarily resurfacing, is done by contractors. Main-tenance and repair of MPWTCU's equipment fleet is the responsibility of DCMTP,a semi-autonomous agency, operating a central workshop in Abidjan and foursmall, inadequate regional workshops (Bouake, Daloa, Korhogo and Abengourou).DCMTP leases its equipment to the subdivisions at rates which cover costs forrepair, equipment renewal and overheads.

3.22 As a result of training under the four-year maintenance program,the increase in force account brigades, and the improvement in skills ofIvorian personnel, recurrent maintenance of the most trafficked primary andsecondary roads has improved, and periodic maintenance of these roads hasgot off to a good start. However, there exists a need for (i) strengtheningequipment maintenance and repair through further training of mechanics andconstruction of regional workshops, (ii) strengthening recurrent maintenanceoperations and eliminating the backlog for betterment and periodic mainte-nance of the primary and secondary road network, and (iii) improving andmaintaining feeder roads.

3.23 There is generally no lack of equipment for road maintenance.The deficiencies lie in the shortage of trained and experienced staff atprofessional and sub-professional levels, and in adequately equipped workshops.The shortage of mechanical engineering staff is particularly chronic. Thegrowth of the road maintenance program has created a demand for mechanics andsupervisors. This demand will be increased still further by the need toservice and repair the equipment to be procured for the feeder road programand for the betterment of primary and secondary roads under the proposedproject. The facilities of DCMTP's training center [Centre d'Applications deTravaux Publics (CATP)] have improved and a steady stream of trained mechanicsis now emerging. But very few have the experience and confidence to takeon work of greater responsibility as workshop foremen, inspectors and storemen.In a shortage situation the Government finds difficulty in competing with thewages offered by private industry which is also expanding. The supply ofmechanical engineering staff is likely to remain critical in the early stagesof the proposed project; it will be the subject of special review duringsupervision missions to consider with the Government whether special measuresare needed beyond those provided by the technical assistance component ofthe proposed project.

3.24 DCMTP operations are further hampered by the inadequacy of itsregional repair facilities. The Bank provided funds for construction of fourregional workshops (Bouake, Daloa, Korhogo, Abengourou) under the ThirdHighway Project, but only three are being constructed, primarily with Govern-ment financing, because of considerably higher construction costs thanprovided for under the project. The higher costs are due primarily to ajustifiable increase in construction standards and inflation since projectappraisal. The proposed project will provide for construction of threeadditional workshop facilities, procurement of workshop equipment and tools,and technical assistance for training of mechanics.

- 13

3.25 DERP is responsible for improvement and periodic maintenance of

the country's 6,130 km of primary and most trafficked secondary roads

(average daily traffic over 50 vehicles); #he regional subdivisions are in

charge of the remainder of the network. DERP is headed by an Ivorian engi-

neer assisted by consultants. It satisfactorily operates three betterment

units, created with Bank financing under the Third Highway Project in 1974

and 1975. DERP aanually carries out a total of about 450 km of improvement

and regravelling works which are then maintained by the subdivisions. DERP,

however, is underequipped and needs two additional betterment units and more

supervisory personnel (see Table 15). The proposed project will assist the

Government in this respect by procurement of additional maintenance equip-

ment.

3.26 Maintenance of feeder roads has until now been limited primarily

to reshaping only the most. trafficked feeder roads of the classified network

(21,150 km), with most of the unclassified roads (11,000 km) not being main-

tained at all. Maintenance works are carried out by the regional subdivisions

and by existing agricultural or regional development organizations, partly

under agricultural development projects. Improvement works are lagging due

to lack of equipment and trained staff. The 1976 BCEOM study outlined the

need for improvement and maintenance of an additional 6,800 km of priority

roads over a five-year period having an economic rate of return of over 12%.

The Bank has already made a start in assisting Government to improve the

feeder road network through improvement of about 1,200 km of feeder roads

under two rural development projects (Loan 1069-IVC, Second Cocoa Project,

and Loan 1077-IVC Cotton Areas Rural Development Project). The proposed

project will constitute a major step toward meeting the Government's objec-

tives regarding the maintenance and improvement of the feeder road network.

3.27 Road maintenance funds increased steadily from CFAF 2.1 billion

(US$8.7 million equivalent) in 1971 to CFAF 7.2 billion (US$29.4 million

equivalent) in 1976 (Table 3). This amounted to about 4% of Government's

total 1976 budget or to US$650 per km for the total network which is rather

high compared with other West African countries. The Government is consid-

ering a further increase (to a total of US$40-50 million annually in 1981)

in order to keep pace with inflation, increase maintenance standards for

primary and secondary roads, and to improve and maintain most of the feeder

road network.

3.28 To optimize the allocation of funds for future road maintenance,

the Department of Planning and Programming with the assistance of consultants

provided under the proposed project would determine by June 30, 1978 a long-

term strategy on:

(i) optimum standards for maintenance of the various

road categories; and

(ii) financial requirements to adequately maintain the

total road newtwork.

This matter has been discussed with and agreed upon by the Government.

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4. THE PROJECT

A. Description

4.01 The main objectives of the project are: (a) to provide bettertransport services to the rural population through improvement and mainte-nance of feeder roads; (b) to strengthen betterment and maintenance opera-tions of primary and secondary roads started under the Third Highway Project;and (c) to train Ivorian staff to efficiently carry out the tasks under (a)and (b).

4.02 The proposed project consists of:

(i) a 3-1/2 year program for the improvement and subsequentmaintenance of about 3,600 km of feeder roads;

(ii) a 3-1/2 year program for betterment of about 900 km ofunpaved primary and secondary roads;

(iii) construction of three regional workshops;

(iv) purchase of equipment for: (1) six force'account brigadesfor the feeder road program, (2) two force account brigadesfor the betterment program, and (3) three regional work-shops; and

(v) technical assistance for: (1) training local staff inplanning, implementing and monitoring the feeder roadimprovement and maintenance program; (2) training DCMTP'spersonnel in equipment maintenance and repair and assist-ing in the installation and organization of regionalworkshops, and (3) a study on modal traffic distribution.

B. Feeder Road Program

4.03 The proposed project provides for the improvement and subsequentmaintenance of approximately 3,600 km of feeder roads over a 3-1/2 yearperiod, commencing in April 1978. The improvements consist of: (a) clear-ing heavy vegetation; (b) reshaping the roadway; (c) gravelling selectedsections (estimated at 35% of the total length); and (d) reinforcing andbuilding drains and drainage structures. Road design standards have beenchosen on the basis of expected traffic over the ten-year period followingexecution of works. The minimum road design standard is a 4.5 m wide surface;for higher traffic volumes the width has been increased to 6.0 m, and for avery limited number of road sections to 8 m. The two wider road cross-sectiolLs will only be adopted when justified on economic criteria; Chapter5 and Annex 5 describe the methodology used. Table 5 gives details of thedesign standards. The maintenance works would include reshaping the roadsurface, filling potholes, minor repair and clearing of ditches and drainagestructures. In addition to maintaining the roads improved under the project,the Government would maintain with its own financial resources a minimum

- 15 -

of an additional 2,000 km of feeder roads in 1978 to be increased to a total

of 5,000 km by 1982. The Government has confirmed these arrangements.

The proposed project will provide funds for equipment procurement and their

operating expenditures for a 3-1/2 year period (1978-81). A detailed list of

equipment to be procured is given in Table 6.

C. Betterment Program for Primary and Secondary Roads

4.04 The project provides for betterment works for about 900 km of pri-

mary and secondary roads by two mechanized brigades over a 3-1/2 year period

(1978-81). The works consist of improving drainage through construction

of culverts and small bridges, execution of minor earthwork, and spreading

a 15-20 cm gravel layer; only in exceptional cases will it include realign-

ment and widening of the roadway. The proposed program will complement

1,600 km of ongoing betterment works executed by the three existing force

account brigades created under the Third Highway Project, altogether pro-

viding for adequate betterment of the most important elements of the pri-

mary and secondary road network (Table 13). The proposed project will pro-

vide funds for equipment procurement for two additional force account brigades

and their operating expenditures for 3-1/2 years (1978-81). A detailed

list of equipment to be procured is given in Table 7.

D. Regional Workshops

4.05 Three regional workshops will be established under the project (San

Pedro, Man and Boundoukou) for maintenance and repair of the heavy equipment,

and for repair of vehicles now serviced by small, inefficient local repair

shops in the subdivisions. The project will also provide for procurement of

equipment and tools for these workshops. These three workshops together with

the three Government-financed facilities and the Central Workshop in Abidjan

will provide adequate repair facilities in each of the country's seven regions.

E. Technical Assistance

4.06 Technical assistance would be provided under the project to (a)

assist the Government in creating and developing the necessary capability

for planning and executing feeder road improvement and maintenance works,

and (b) continue and expand the training of road maintenance personnel begun

under the Third Highway Project. It is anticipated that when consultant ser-

vices end in mid-1979, MPWTCU will have skilled pe.csonnel to carry out the

feeder road improvement and maintenance works, equipment maintenance and

repair and trained mechanical staff for the latter without the need for fur-

ther technical assistance by consultants. The project will also provide for

a study to analyze necessary changes in the subsidy and taxation system for

freight transport to improve the modal distribution of traffic between rail

and road.

Feeder Road Program

4.07 Ten experts would be provided to assist and train Government per-

sonnel in planning, executing and monitoring feeder road improvement and

- 16 -

maintenance works. Three experts would be attached to the Feeder Road Sectionin DER; they would deal with overall planning and management. Three expertswould be attached to the six force account construction brigades to assist inthe physical implementation of the improvement works. Four experts would beattached to the DCMTP to advise on equipment maintenance and repair.

4.08 On the basis of the Feeder Road Study, technical assistance total-ling 228 man months of consultants services will be required. The technicalassistance would provide on-the-job training for MPWTCU engineers, techni-cians, mechanics and one economist. The experts' outline job descriptions andrequired qualifications as well as duration of assignment is given in Annex 3;these have been agreed upon by the Government.

Equipment Maintenance and Repair

4.09 Eleven experts would be provided for a period of up to two years(Table 8) to: (i) train DCMTP's staff, in particular chief of workshops,mechanics, mechanical inspectors, and operators, to maintain, repair andoperate equipment, and procurement/inventory personnel to procure and storespare parts; (ii) assist in installation of the regional workshops and trainIvorian staff in their operations; and (iii) improve qualifications of localtraining instructors. Of the eleven experts, one (project coordinator) willbe attached to DCPW and be responsible for performance of consultant teams andwill advise the Government on road maintenance. Nine experts will be assignedto DCMTP: one equipment inspector will assist in coordinating the work of thecentral and regional workshops; one mechanic with expertise in diesel enginerepairs and four master mechanics will assist in coordinating the work of thecentral and regional workshops and help to establish the six regional work-shops to be constructed; one accounting/inventory expert will improve pro-cedures for procurement and storage of spare parts at the central workshopin Abidjan and the regional workshop; and two training experts will organizeand carry out training courses for mechanics, equipment operators, chief ofworkshop at CATP and train local instructors. The project will also providefor one expert (highway engineer) assigned to DERP to assist in establishingthe annual work program and budget requirements, supervision and monitoringof betterment work executed by DERP's force account brigades.

4.10 About 246 man-months of consultants' services will be required.The training will consist of on-the-job training by consultants and coursesat CATP. It will provide basic training as well as refresher courses forabout 300 mechanics and equipment operators, consisting of both theoreticaland practical instruction on the type of equipment used in MPWTCU's mainten-ance operations. The training program will emphasize improving the qualifica-tions of Ivorian instructors, who will carry out training activities aftertermination of the consultants' assignments.

Modal Traffic Distribution

4.11 About 20 man-months of consulting services will be provided tocarry out a study to determine to what extent uneconomic distortions of themodal allocation of traffic do exist, if they are caused to a significantdegree by Government subsidies and what changes in the subsidy and taxation

- 17 -

system would be needed to improve the modal distribution of tt-affic. The

Department of Planning and Programming, set up in MPWTCU under the Fifth

Highway Project, will supervise the execution of this study in coordination

with a similar unit in the Voltaic Ministry of Public Works, Transport and

Urbanism. The study, to be completed by March 31, 1979, would be carried out

under the terms of reference given in Annex 6. Upon completion, the study's

recommendations will be reviewed with the Bank. The Government has agreed to

these arrangements.

F. Cost Estimates

4.12 Total project costs are estimated at US$63.2 million, including

US$9.6 million equivalent in taxes and duties. Project costs net of taxes

and duties are estimated at US$53.6 million equivalent with foreign costs

of US$29.0 million (54%). The proposed loan of US$29.0 million would cover

the foreign expenditures of the project; Government would finance the local

costs of US$24.6 million plus taxes. A summary of costs is given below

(details of financing of project costs and expenditures over the project

period are given in Tables 9 and 10):

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Project Costs /1

------CFAF million ------------------- US$'000----------- ForeignExchange

Local Tax Foreign Total Local Tax Foreign Total Component

A. Feeder Roads

(a) Equipment 174 220 1,050 1,444 710 897 4,285 5,892 73(b) Spare Parts 63 120 462 645 257 490 1,886 2,633 72(c) Fuel andLubricants 103 205 180 488 420 837 735 1,992 38(d) Materials 264 138 303 705 1,078 563 1,237 2,878 43(e) Civil WorksContracted 344 430 944 1,718 1,404 1,755 3,853 7,012 55(f) LocalSalaries 1,600 - - 1,600 6,531 - - 6,531 0

Subtotal A 2,548 1,113 2,939 6,600 10,400 4,542 11,996 26,938 45B. Betterment of

Primary andSecondary Roads

(a) Equipment 153 191 929 1,273 623 779 3,792 5,194 73(b) Spare Parts 58 108 428 594 237 441 1,747 2,425 72(c) Fuel andLubricants 83 .174 158 415 338 710 645 1,693 38(d) Materials 67 36 77 180 274 147 314 735 43(e) LocalSalaries 1,100 - - 1,100 4,487 - 4-487 0

Subtotal B 1,461 509 1,592 3,562 5,959 2,077 6,498 14,534 45C. Workshops

(a) Buildings 95 86 149 330 388 351 608 1,347 45(b) Equipmentand Tools 27 34 164 225 110 139 669, 918 73

Subtotal C 122 120 313 555 498 490 1,277 2,265 56

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Project Costs /1 (Cont'd)

----- CFAF million--------- ------------ US$'000--------- ForeignExchange

Local Tax Foreign Total Local Tax Foreign Total Coronent

D. TechnicalAssistance(a) Feeder Roads

Program 112 335 447 457 1,367 1,824 75

(b) Training of

HighwayMaintenancePersonnel 106 320 426 433 1,306 1,739 75

(c) Study on modal

trafficdistribution 14 42 56 57 171 228 75

Subtotal D 232 697 929 947 2,844 3,792 75

Subtotal A,B,C,D 4,363 1,742 5,541 11,646 17,800 7,109 22,615 47,529 47

E. Contingencies(a) Physical

(10% for A,& C) 267 123 325 715 1,090 503 1,327 2,918 45

(b) PriceEscalation 1,411 480. 1,225 3,126 5,760 2,000 5,000 12,760 39

Subtotal E 1,678 613 1,550 3,841 6,850 2,502 6,327 15,677 40

Grand Total 6,041 2_,355 791 15,487 24,650_ 9,612 28,942 632026 46

(Rounded) (24,600) (9,000) (29,000) (63,200)

/1 Based on January 1977 prices.

Source: Mission estimate, May 1977.

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4.13 Cost estimates of equipment and tools are based on suppliers'recent quotations. Operating costs of equipment are based on 180 working daysa year and actual cost figures observed under the Third Highway Project. Theaverage financial costs as of January 1977, net of tax, of improving roadsare: for 4.5 m wide feeder roads, CFAF 1.2 million (US$4,900) per km; for 6.0m wide feeder roads, CFAF 1.6 million (US$6,500) per km; and for bettermentworks on primary and secondary roads CFAF 3 million (US$12,200) per km. Thesecosts, which are reasonable, include equipment depreciatIon but exclude tech-nical assistance. Cost estimates for workshop buildings and workshop toolsare based on bids received from local contractors and suppliers in 1976 forexisting facilities.

4.14 Costs for about 494 man-months of consultants' services for contin-uation of the highway maintenance program, implementation of the feeder roadprogram and the study on modal traffic distribution were estimated on thebasis of consultants BCEOM/Louis Berger's present contract, and following areview of current costs for consulting services in Western Africa. Thebilling rate, net of tax, is an average of US$5,500 per field man monthincluding salaries, overhead (home office expenses, expatriate allowance,social security, and other indirect expenses), and fees. Reimbursable ex-penses payable to consultants are an average US$2,000 per field man-monthincluding housing, internal and external travel, telecommunications, reportpreparation, etc.

4.15 A physical contingency of 10% on the feeder road program, workshopsand civil works done by contractors has been included to allow for increasesin quantities. No allowance for physical contingencies has been made on thelarge technical assistance component and for betterment work, as this itemcan be estimated with accuracy from experience under the Third Highway Proj-ect. Price contingencies for both local and foreign costs amount to about26% of the total base cost and have been calculated taking into account thefollowing annual escalation rates: (i) for the construction items, 9% for1977-78 and 8% thereafter, and (ii) for the other items, 7.5% in 1977-78 and7% thereafter.

G. Execution

4.16 Execution of the project would be the responsibility of MPWTCU.A new Directorate of Road Maintenance (DER) has been established within theCentral Directorate of Public Works,.and a Feeder Roads Section will beestablished within DER to plan and monitor the feeder road program and fol-low-up projects. These arrangements, including terms of reference for thenew offices have been confirmed with Government; the creation of the FeederRoads Section will be a condition of disbursement of the feeder road componentof the proposed project. The implementation schedule and local staff require-ments for the proposed project are given in Tables 11 and 15.

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Feeder Road Program

4.17 The feeder road improvements will be executed by (a) force account

units of six mechanized brigades (equipment shown on Table 6), the first

three of which are scheduled to start work in April 1978 and the last three,

one year later; and (b) two mechanized brigades prov-ded by contractors (for

about 25% of the total improvements) which are scheduled to start work in

early 1978. In order to assure availability of adequately trained staff,

procurement of equipment for the three feeder road units to be created in 1979

will be contingent on satisfactory implementation of the training program

(para. 4.23, Table 14). The improvement works would take 3-1/2 to 4 years.

On the sections where work is carried out by force account brigades, small

local contractors would be used to build drainage structures. The roads

improved under the project would subsequently be maintained by the Government

maintenance teams. These arrangements have been confirmed by the Government.

4.18 The road improvements and maintenance operations would be carried

out by mechanized brigades, which was determined to be the most appropriate

technology. There is no significant excess labor in the Ivory Coast and

it is the Government's policy not to divert already scarce labor from agri-

culture. The economic benefits of using less mechanized and more labor

intensive methods have been examined, applying the Bank's research experi-

ence to Ivorian conditions. The following operations have been examined:

land clearing, excavation, loading, transport and spreading of materials.

For these operations, the financial cost of using more labor-intensive methods

was about double that of a mechanized brigade. The economic evaluation did

not use shadow pricing of labor. For sensitivity test purposes alone a shadow

rate of 150% for foreign exchange (see Annex 5) was used, and it was found

that the economic cost of using labor-intensive methods remained higher than

for the technology proposed in the project, i.e., the use of mechanized

brigades.

4.19 A work program has been established for the first year of implemen-

tation both for the force account brigades and for the roads to be improved

by contractors (Table 12). The second and subsequent years' programs will

be prepared by the Feeder Roads Section. These programs will be based on sub-

programs worked out for the country's seven regions in collaboration with the

agencies and other entities concerned. Once the national working program for

each year has been defined, it should be forwarded to the Bank for approval

three months before the scheduled start of the work- under that year's

program. These arrangements have been agreed upon y the Government.

4.20 Institution building is of primary importance in the project,

and a capability would be created within the new Feeder Road Section of DER

to:

(a) monitor the economic, engineering and social aspects

of the project including a regular program of sample

traffic counts;

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(b) develop the second and later years' programs of feederroad improvement and maintenance;

(c) prepare physical and financial plans for the secondand later years' programs; and

(d) prepare proposals for a continuation of the programafter completion of the proposed project.

These would be undertaken t the Ivorian staff in the new Feeder Road Sectionunder the guidance of the Chief of Technical Assistance in the new FeederRoads Section and a transport/development economist. Close coordination wiilbe maintained with other interested ministries.

4.21 In the economic analysis, the roads selected for the first year'sprogram have been justified on transport cost savings only. In selectingthe second and later years' programs, other factors may also be considered.For the purposes of economic justification, roads should be grouped intotwo categories (para 5.04). A minimum economic rate of return of 10% wouldbe applied in evaluating and selecting the second-and later years' programs.These evaluation and selection criteria have been agreed upon by the Govern-ment.

Betterment Program

4.22 The betterment works will be carried out by force account by DERP,which will prepare necessary engineering of the works prior to execution.This method of execution which offers the flexibility needed for the smallworks inivolved has been selected as the most economic and efficient on thebasis of costs and of past experience with the three existing brigades inoperation since 1974/75. The first betterment unit to be created under theproject will start operations in April 1978, the second unit one year later.Each unit is expected to complete about 150 km of betterment works each year,at an average cost of CFAF 3 million (US$12,200) per km, amounting to atotal of 900 km for the period 1978-1981.

4.23 A work schedule will be established on a yearly basis and perfor-mance checked accordingly. DERP will carry out adequate accounting in thefield to control the cost and the efficiency of the units. The Governmenthas tentatively selected a list of roads to be included in the program enthe basis of present traffic volumes and road conditions which together withthe works executed by the three existing brigades cover the most importantunpaved primary and secondary roads in the country (Table 13). The programmay be modified somewhat during project execution in the light of actualroad conditions and economic development at the time of implementation. Thework program for each year will be forwarded to the Bank for approval threemonths before the scheduled start of the works under that year's program.After 1981, these two units will continue road betterment and periodic main-tenance works in line with the Government's priorities.

- 23 -

4.24 The timing for equipment procurement both for the feeder roads and

betterment brigades to be created under the project in 1979 will be reviewed

by the Government and the Bank in June 1978 and will be contingent on satis-

factory progress of DCMTP's training of mechanical staff and equipment oper-

ators (Table 14). The Government will also assign the necessary supervisory

staff for DERP (1 assistant director, 1 technician, 2 brigade chiefs, 2 bri-

gade foremen), in accordance with agreement reached during appraisal (Table

15). The Government has agreed to these arrangements.

Regional Workshops

4.25 DCMTP will be responsible for the regional workshops. The central

workshop in Abidjan will continue to carry out specialized repair of heavy

equipment and will be used as the regional workshop of the Abidjan region.

The three workshops to be constructed under the project in San Pedro, Man and

Bondoukou are expected to be completed and fully operational by March 31,

1979, to coincide with the start of operations of the three feeder road and

one betterment force account brigades created under the proposed project in

that year; the three workshops currently being constructed by the Govern-

ment in Bouake, Daloa and Korhogo will be operational by April 30, 1978. An

implementation schedule for construction of both Bank and Government financed

workshops and procurement of workshop tools and equipment (Table 11) has been

agreed upon with the Government.

Technical Assistance

4.26 The Government has indicated that it may invite consultants BCEOM/

Berger to submit a proposal for providing technical assistance in implement-

ing the feeder road component and for training of mechanical personnel for

equipment maintenance and repair under the proposed project. This is accept-

able since these consultants carried out the Feeder Road Study under the

Third Highway Project and satisfactorily carried out their assignment for

implementing the 4-year maintenance program under the Third Highway Project,

and therefore possess the detailed knowledge to facilitate implementation of

the proposed project. A detailed list of technical assistance personnel for

the feeder road component is given in Annex 3; technical assistance staff to

DCMTP and DERP is given on Table 8. In order to allow for continuation of

consultant services the Government will finance their services to DCMTP from

termination of their contract in May 1977 until signature of the loan agreement.

A detailed time schedule for training of the mechanical staff, nomination of

local counterparts and trainees, and recruitment of additional local personnel

is given in Tables 14 and 15. The Ivorian staff should be made available

before the arrival of the consultants who will train them. The Government has

confirmed that it will attach qualified local staff to DER, the feeder roads

and betterment brigades, DCMTP, and the regional directorates.

- 24 -

H. Procurement

4.27 Equipment, materials and supplies (fuel, lubricants), civil worksfor construction of workshops, and feeder road improvement works to be doneby contractor, amounting to about US$21 million, net of taxes, will be pro-cured on the basis of international competitive bidding in accordance withBank Group Guidelines. Contracts for equipment, materials, and suppliescosting less than US$50,000 can be awarded on the basis of competitive bid-ding following local procedures acceptable to the Bank; the total amount ofsuch purchases will not exceed US$1.5 million. Bidding documents wereprepared by DCPW and reviewed with the Bank at negotiations. Contracts forsmaller civil works such as construction of culverts, smaller bridges andimprovements to road surface over short sections can be awarded on the basisof competitive bidding following local procedures. The total cost of civilworks procured under local procedures would not exceed US$1.2 million.Consultants for technical assistance will be retained in agreement with andunder terms of reference and conditions satisfactory to the Bank. Goodsmanufactured in the Ivory Coast would be allowed a preference equivalent to15% of the c.i.f, price of imported goods or the prevailing duties applied tonon-exempt imports, whichever is the lower. The above arrangements have beendiscussed and agreed upon by the Government at negotiations.

I. Financing and Disbursements

4.28 The proposed loan of US$29.0 million will finance about 54% of totalproject costs, net of taxes, i.e. 100% of the foreign exchange costs of theproject. All local costs (US$24.6 million) plus about US$9.6 million in taxeswould be provided by the Government, including local-currency recurrent costsof the road maintenance program. This has been confirmed by the Government.Tne foreign exchange portion of operating costs of the force account brigades(about US$3.6 million) would be financed under the proposed loan. Table 9gives details of the financing of the project. Loan funds will be disbursedas follows:

(a) 100% of the foreign expenditures of importedequipment, spare parts, vehicles, workshop equip-ment and tools, and 73% of the costs of these itemsif purchased locally;

(b) 41% of total expenditures on fuel, lubricants andmaterials;

(c) 55% of total expenditures on improvement works onfeeder roads carried out by contractors;

(d) 45% of total expenditures on workshop constructionby contractors; and

(e) 75% of total expenditures on consultants or otherforeign experts.

- 25 -

Requests for disbursements against items (a), (c), (d), and (e) would be

fully documented. Disbursements for item (b) would be against a certificate

of expenditures; detailed documentation would be retained by the Borrower and

available for inspection by the Bank. The estimated disbursements from the

loan account are shown in Table 18.

5. ECONOMIC AND SOCIAL EVALUATION

5.01 The Ivory Coast is a predominantly agricultural country. About 75%

of its population depends directly or indirectly on diversified agricultural

and forestry industries which account for about 80% of the country's exports

and about 30% of its GDP. Although other sectors of the economy are growing,

the Ivory Coast will continue to depend on the exploitation of its agricul-

tural and forestry resources. The primary means for transporting agricul-

tural products and timber is by road, and while generally adequate in ex-

tent, the country's road network, especialy its feeder and unpaved primary

and secondary roads, require improvement and maintenance. The proposed

project addresses this need.

A. Objectives

5.02 The main objective of the feeder road element of the proposed

project is to provide better transport services for the rural population

through the improvement and maintenance of roads in areas where an exist-ing or a potential transport demand has been identified. The primary and

secondary road betterment component provides Lor extension of the betterment

program initiated by Ivory Coast with Bank support under the Third HighwayProject in 1973. These improvement and maintenance works together with the

technical assistance components have high priority among numerous high-yield

investments available in the highway sector and will provide for the improve-

ment of the economically most important earth and gravel roads in the country.

The proposed feeder road program will ensure transport of agricultural and

forestry products at reduced costs. Institution building is an important

elemRnt of the project.

B. Economic Justiiication

5.03 Reductions in transport costs for the feeder roads program were

calculated as savings in vehicle operating costs which represent the differ-

ence between operating costs on existing and improved roads (mainly to a width

of 4.5 m or 6.0 m). The project woula also include some short sections of

secondary standard roads, 8 m wide, linking feeder roads to main roads where

traffic by 1987 is estimated to reach 150-300 vpd; at the most these would

total about 300 km. While a 4.5 m width is considered the minimum standard

for improvement, this has been increased to 6.0 m in the proposed first

year's program in cases where the marginal investment yielded a rate of return

of at least 12%. Since a large part of the road investment is in drainagestructures and the marginal investment from 4.5 m to 6.0 m width is relatively

- 26 -

small, it is often more efficient from an organizational point of view tobuild the roads to 6 m width standards at the outset of the program ratherthan proceed through stage construction. The question of choice of standardand possible stage construction would receive continuous attention duringimplementation of the proposed project. The first year's program includes715 km of roads improvement with a rate of return greater than 12% (Table 12),but the acceptable ERR in subsequent years' programs will be 10%.

5.04 Roads to be included in the second and later years' programs willbe grouped in two categories: (I) existing roads serving areas with estab-lished agricultural activities; benefits are, in such cases, calculated asroad user savings; and (II) new roads or existing roads (tracks) with littletraffic, which may form part of an agricultural or rural development project.For group II roads there are two benefit components, either or both of whichmay apply: (a) value added on existing and incremental output resulting fromthe road construction or from a combined road/agricultural investment; (b)road user savings for traffic not directly related to agricultural productionand thus supplemental to value added. While the majority of project roadscome under category I, it is intended that category II roads may be identifiedand included in the second and subsequent years' programs.

5.05 Reduction in transport costs has been the criterion in the selec-tion of roads to be improved in the first-year program, but other socio-economic indices have also been developed. These indices could be furtherstudied during the monitoring of the project and could (possibly in modi-fied form) be used to assist in ranking roads which proved justified usingquantifiable economic benefits. (Annex 5 gives a detailed presentationof the economic and social evaluation methodology.)

5.06 The quantification of benefits for the 900 km road betterment pro-gram is based on vehicle operating cost savings. The roads selected for thebetterment program have an average daily traffic of between 60 and 170 vehi-cles per day. Cost savings associated with bringing a poor earth road up togood gravel road standards are conservatively estimated for the traffic oneach segment included in the program from the time it is opened to trafficover the next eight years, the average time frequency for the bettermentbrigade intervention (see Table 16). The two brigades are supposed to startworking April 1978 and April 1979 respectively.

C. Traffic Estimates

5.07 For the feeder roads, twenty-three traffic surveys were carriedout on representative roads. These surveys were supplemented by estimates ofregional agricultural and timber production allocated by road section inproportion to population within the area of influence of the road. Trafficcomposition is also estimated as a function of the regional economic activi-ties. The traffic data base will be improved progressively during projectimplementation (Annex 4, para. 4). Traffic in 1977 is estimated to range froma few vehicles per day (vpd) to 150 vpd; in 1987, traffic is expected to reach150-300 vpd on a few of the roads, but most of them will be in the range of 30

- 27 -

to 100 vpd. Traffic volumes are dependent on population growth and increases

in agricultural production. The Government's objectives in the current

five-year development plan include a real rate of economic growth of 7%. The

agricultural sector will have to play a major part in achieving this rate of

growth, and the plan includes significant investment proposals to support

this. The main areas of development will be (a) industrial crops such as

oil palm, coconuts and rubber, through expanding existing operations such as

SODEPALM, (b) regional agricultural development projects in the poorer areas

in the south-west, west and north, (c) small-holder production of food crops

to meet the needs of the growing urban centers such as Abidjan, Bouake and San

Pedro, and (d) small-holder production of high-value coffee and cocoa in the

south and west. Previous experience with agriculture in the Ivory Coast has,

on the whole, been satisfactory. The sector has demonstrated considerable

growth, not only in the large-scale operations, but also in the small-holder

sector where spontaneous response to opportunities is evident in the acceptance

of new crops (e.g. cotton), development of new areas and the formation of

working cooperatives. Thus it is expected that agriculture in the areas where

feeder road improvement is planned will develop sufficiently to justify the

predicted levels of traffic employed in the evaluation.

5.08 Traffic estimates for roads included in the betterment program

are based on traffic counts undertaken by consultants (SETEC) in 1976.

Vehicle mix and their respective rates of growth follow patterns observed

over the 1969-1975 period. Two variants for the vehicle type mix were

adopted to represent the traffic flow mix: ii the south the traffic is

dominated by private passenger vehicles (50%) as opposed to the north where

light trucks and buses make up to 54% of the traffic flow (Table 17). All

roads selected for the betterment program show an average daily traffic of

at least 60 vehicles (Table 13).

5.09 The betterment work will serve regions of the country included

in the general plan for balanced regional development: the north, south

of Divo, east of Abidjan and north of Bondoukou. Traffic on these roads

is expected to grow at about 10% p.a., varying from 7.3% for light trucks

and buses, 14.9% for passenger cars and taxis, and 10.4% for trucks of 6.5

to 10 tons. In spite of the higher rates of growth in private passenger

traffic, the relative vehicle kilometrage recorded for this vehicle type

accounted for only 23%, while public service passenger traffic amounted

to 37% and goods traffic to 39% of total vehicle kilometrage.

D. Vehicle Operating Costs

5.10 Annex 5, Table 1 gives the vehicle operating costs on feeder

roads by vehicles and by road type. For existing road conditions, vehi-

cle operating costs have been calculated separately for poor (gravelling

required) and fair surface condition (reshaping required only); in both

cases, separate costs for wet and dry seasons have been identified.

5.11 The mission estimated that, by improving selected secondary roads

to good gravel standards, vehicle operating costs will drop 23% in the case of

- 28

trailer-trucks, 25% for car/taxi/pick-up, 30% for light trucks/ small buses,and 35% for trucks with an average of 5.5 ton capacity relative to the operat-ing costs on improved dirt roads of lower design standards. Although operat-ing costs were not specifically calculated for the roads included in thebetterment program, the values used for quantification of benefits reflect thelower bounds of country-wide vehicle operating cost saving estimates associ-ated with similar levels of road improvement throughout the year (Table 17).

E. Construction and Maintenance Costs

5.12 In the economic evaluation, net-of-tax costs have been used forconstruction. Shadow pricing has not been used, since unemployment amongrural labor is low and foreign exchange is not severely scarce. Conser-vatively, it is assumed that the costs of maintenance, with or without theproject, do not change. The costs of maintaining project roads are in theGovernment's maintenance budget. The current annual maintenance costs,excluding costs for regravelling, average CFAF 22,000 (US$100) per km for 4.5m roads, CFAF 37,000 (US$150) for 6.0 m roads, and CFAF 60,000 (US$275) for8.0 m roads.

F. Overall Evaluation of the Feeder Road and Road Betterment Programs

5.13 In preparation of the Feeder Road Program, about 1,160 individualroads with a total length of about 20,000 km were studied. Some 4,304 km ofroads were identified to yield an economic rate of return (ERR) of at least12%, with an average of 24%. In the first year program, 716 km (Table 12)were selected out of these roads and yielded an average ERR of 24%. An addi-tional 1,250 km of road improvements yielded an average ERR between 8% and12%. The overall ERR for the 5,554 km was estimated at 19%. Further detailson the evaluation are provided in Annex 5. As work progresses, road improve-ment priorities will be kept under review including the remaining 14,000 kmof feeder roads which now yield an ERR less than 8%.

5.14 Sensitivity tests carried out for the proposed first-year Programshowed that an increase of 20% in investment costs reduces ERR to 19%; areduction of benefits by 20% reduces the ERR to 18%, while a simultaneousincrease in costs and reduction of benefits by 20% results in a drop in ERRto 13X. The main area of risk is associated with the traffic estimatesderiving from forecasts of agricultural production. The values used in theanalysis correspond generally to the planned agricultural target figures butwith downward revision for certain products. The monitoring and planningprocedures to be instituted (Annex 4) will ensure that changes in data will betaken into account in formulation of the second and third year programs. Inparticular, efforts will be devoted to improving traffic data and refiningtraffic forecasts.

5.15 Quantification of benefits for the betterment program is madeover the life of the project for each road section in the two brigades'work schedule. Annual benefits are calculated as operating cost savingsfor each type of vehicle over the entire length of the road. Net benefits

- 29 -

accrue over an eight-year period starting with the first year the upgraded

road is open to traffic (Table 16). Given equipment and operating costs, net

of taxes, the economic rate of return for the betterment work is estimated at

36%. A sensitivity analysis performed on the data indicated that if costs

increase by 15% and benefits simultaneously decrease by 20% the economic rate

of return will drop to 13%. A reduction in benefits could be caused by a

significant drop in traffic flows on the roads selected. This is highly

improbable, considering the historic traffic trends and the level of economic

activity planned for the south-east and northern regions of the country.

5.16 A further element of risk in the project lies in the availability

of trained staff, particularly mechanics and associated supervisory staff

(para. 3.23). This risk cannot be quantified. The recognition that it exists

provides some warrant that the Government assisted by the Bank will do all

that is possible to make sure that the effects on the project are minimal.

5.17 The combined ERR of the feeder road and betterment programs is

estimated at 29%.

6. AGREEMENTS REACHED AND RECOMMENDATION

6.01 During negotiations, agreement was reached with the Government

on the following principal parts:

(a) Government will carry out a study under terms of reference

agreed upon with the Bank (Annex 6) to be completed by

March 31, 1979 to establish and formulate proposals to deal

with the impact of the subsidy and taxation system on

freight transport and the distribution of traffic between

rail and road; the results of this study will be reviewed

in consultation with the Bank (para. 2.14).

(b) the Department of Planning and Programming, with the assis-

tance of consultants employed under the technical assistance,

will establish by June 30, 1978 a long-term strategy

on optimum maintenance standards for the various road

categories and financial requirement to adequately main-

tain the total road network (para. 3.28);

(c) the Government will take all administrative, technical

and financial steps necessary to maintain to an agreed

and acceptable standard (i) the project roads after

the improvements have been made, and (ii) 2,000 km

of feeder roads in 1978 to be increased annually to

5,000 km by 1982 of feeder roads not included in the

project (para. 4.03);

(d) execution of the feeder road component will follow the

implementation schedule and arrangements for monitoring

the project (paras. 4.17 to 4.20);

30 -

(e) the Government will submit to the Bank for approvalthe annual feeder road and betterment programs nolater than three months before the beginning of eachworking year (paras. 4.19 and 4.23);

(f) procurement of equipment for the three feeder road andone betterment unit to be created in 1979 will be con-tingent upon satisfactory progress of the training pro-gram for mechanics and equipment operators (para. 4.24);

(g) the Government will assign an adequate number of counter-parts and trainees to work with the consultants 'n advanceof the arrival of experts in accordance with tim, schedule,qualification of staff and training programs (pazas. 4.24and 4.26); and

(h) construction of workshops and procurement of tools andequipment will follow the implementation schedule asoutlined in Table 11 (para. 4.25).

6.02 A condition for disbursement under the feeder roads program will bethat the Gove.rnment establishes a Feeder Road Section within DER (para. 4.16).

6.03 The proposed project is suitable for a loan to the Government of theIvory Coast in the amount of US$29.0 million. The Loan term would be 17 yearswith a 4-year grace period.

TabI- 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Development of the Rural Road Network, 1971-76

Non Clas- Total Road

Classified Roads sified Network

Year Paved Roads Earth & Gravel Total

Roads ..._..

A B C A B C

km km km, km km km km km km

1971 1260 5 11374 21827 34466 n.a. n.a.

1973 1269 81 59 4734 6793 20469 33495 .n.a. n.a.

1975 1555 199 200 4312 6802 20956 34024 11190 45214

A: National (Primary) Roads.

B: Regional (Secondary) Roads.

C: Local (Tertiary) Roads.

Source: MPWTCU, January 1977.

March, 1977

Table 2

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Vehicle Fleet, 1976

1/1. A recent detailed study of the vehicle fleet in the Ivory Coastindicated that the figures for previous yearz were grossly over-estimated.Therefore the earlier figures have little statistical value. The followingfigures are for 1976 only. The study recommends the introduction of a morereliable system of data collection and the maintenance of vehicle fleetrecords.

Estimated Vehicle Fleet, 1976

Passenger cars and taxis 58,260Pickups

6,500Bush Taxis ( < 20 passengers) 4,140Buses

4,380Trucks:

6 2 tons 2,3002 to 4.5 tons 3.1304.5 to 7 tons 2,4607 to 9 tons 1,480> 9 tons 2,150

Subtotal 11,520

Trailer and semi-trailer combinations 3,520

Total 88,320

1/ Update of the UNDP Transport Survey, SETEC-International December, 1976.Source: Consultants SETEC, December 1976

March, 1977.

Table 3

IVORY COAST

FEEDER ROAD AND, HIGHWAY MAINTENANCE PROJECT

Road Sector Expenditure and Financing 1971-1976(in millions CFAF)

Expenditure 1971 1972 1973 1974 1975 1976

1. Road Ma4ntenance 2050 2050 2610 5150 6600 7150

2. Road Investment 3720 5360 5860 8490 19930 27860

3. Administration 664 819 n.a. 976 n.a. n.a.

Total 5770 7410 8470 13640 26530 35010

Financing

1. Road Maintenance- General Budget 500 530 540 760 960 960

- Road Fund 1550 1520 2070 2880' 4330 4930

- World Bank - - - 650 750 870

- Others - - - 510 560 390

Total 2050 2050 2610 4800 6600 7150

2. R-ad Irvestment- National Investment Budget 1200 1700 1580 2230 5130 7360

- External non-specific Loans 680 250 70 230 180 20- External specific Loans 1600 258() 2860 170 5670 9150

- World Bank 220 81C 900 2500 3440 2840

- EDF & FAC 20 20 360 370 270 230

- CSSPPA - - 90 1490 5240 82-60

Total 3720 5360 5860 8490 19930 27860

Grand Total 5770 7410 8470 13290 26530 35010

3. Total Government's contribution 3250 3750 4280- 8336 15660- ?1510-

1/ Exclusive of Administrative Expenditures

Source: M4inistry of Planning, Marph, 1977

March, 1977.

Table 4

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Revenues from Road User Taxes(CFAF million)

1972 1974 1975

Variable Taxes

Fuel 10199 12540 16108

Lubricants .175 232 296

Tires 1085 1539 1281

Spare Parts etc. 1369 1560 1658

12828 15871 19343

Fixed Taxes

Vehicle Import Duty 3818 4337 4597

Insurance 265 382 440

Registration 459 587 606

Fiscal Stamps 110 131 142

Licences and Tax of Transport Industry 731 916 1008

5383 6353 6793

Total 18211 22224 26136

Source: Road User Tax StudySETEC August, 1974 and updated December, 1976

March, 1977.

Table 5

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Feeder Road Design Standards

1. Existing feeder roads to be improved under the proposed project are all

passable to vehicle traffic during the dry season,as are the majority during

the rainy season, though at much higher vehicle operating costs. The road

formation widths vary from 3 m to 8 m. Under the proposed project, roads would

be given a well-defined cross-section, improved (all-weather) surface and adequate

drainage.

2. The road width would be determined on economic criteria taking

account of traffic volume (vehicles per day and seasonal variations) ard

composition. The following standards will be adopted:

Design Standard

1/Designation 2, 1 2 3

Vehicles per day- 425 .25-75 >75

Clearing (m) 8.5 12 16Formation width (m) 5.5 7.53/ 10.0

Gravel surface width (m) 4.5-L/ 6.0-:- 8.0

Thickness of gravel (cm) 10-15 10-20 15-20

Drainage lateral ditches, culverts and fords;bridges only where the size of river or the

volume of traffic warrants it.

Design Speed (km/h) n.a. n.a. 80

1/ Roads with a maximum running surface width of 4.5 or 6.0 meters may be enlarged

to a running surface width of 6.0 or 8.0 meters, as the case may be,'provided

such increase in width has a demonstrated marginal economic rate of retii:rn not

less than 10%.2/ The figures referring to opening year are indicative only representing average

conditions.3/ Only to be regravelled where required.

Source: BCEOM and Mission

March, 1977.

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJ-ECT

Equipment to be Purchased for Improvement of Feeder Roads (CFAF millions)

(1) . Unit Costs Total Costs

Equipment Per Brigade Reserve Total Local Tax Foreign Total Local Tax Foreign TotalNo. No.. No.

Bulldozer 180-200 hp 2 2 14 3.7 5.0 24.3 33.0 52.0 71.0 339.0 462.0

Motor Grader 125 hp 2 2 14 2.0 2.8 13.2 18.0 29.2 38.8 184.0 252.0

Loader 100 hp 1 2 8 1.9 2.2 10.9 15.0 14.5 17.9 87.9 120.0

Agricultural Tractor 65 hp 1 - 6 0.4 0.6 2.5 3.5 2.4 3.4 15.2 21.0

Pneumatic tired towed roller 10/12 1 - 6 0.3 0.4 1.8 2.5 1.8 2.3 10.9 15.03

Dump Trucks 6 m3 4 3 27 1.1 1.3 6.4 8.8 29.7 35.1 172.8 237.6

Lubrification Truck 1/2 - 3 1.1 1.3 6.4 8.8 3.3 3.9 19.2 26.4

Service Truck 3.5T 2 - 12 0.4 0.6 2.7 3.7 4.8 7.2 32.4 44.4

Fuel Truck 6.000 1 1 - 6 0.6 1.0 4.4 6.0 3.6 6.0 26.4 36.0

Water Truck 10.000 1 1 - 6 1.1 1.3 6.4 8.8 6.6 7.8 38.4 52.83

Water Pump 50 m /1 1 - 6 0.1 0.1 0.4 0.I 0.6 0.6 2.4 3.6

Light Car 2 - 12 0.3 0.4 1.8 2.5 3.6 4.8 21.6 30.0

Total 152.1 198.8 949.9 1,300.8

(Rounded) .152) (1%,) (950) (1300)

(1) For six brigades including reserve. Procurement would be in two lots: Th.e first ye.ar for three brigadesplus one loader in reserve the second year for the remaining brigades and reserve. H

Note: CostB are as of January, 1977Source: Mission and BCEOM estimate W

March, 1977

TVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECTl/

Equipment to be Purchased for Betterment Program(CFAF Million)

Berigd 1eere Tt oclUnit Costs 1Total Costs _______

Ner Reserve Total Local Tax Foreign Total Local Tax Foreign Total

Equipment No. No . No .|I

Bulldozer (320 h p) 2 - 4 5.b4 7.05 34.31 47.0 22.56 28.20 137.24 ]8P.O

Bulldozer (180-200 h p) 2 2 6 3.96 4.95 24.09 33.0 23.76 29.70 14,-.54 198.0

Motor Grader (125 h p) 3 2 8 2.16 2.70 13.14 18.0 17.28 21.60 105.12 144.0

Motorscraper (25 m3) 1 - 1 2.90 3.63 17.67 24.2 5.81 7.26 35.33 48.4

Loader (100 h p) 2 2 6 1.80 2.25 10.95 15.0 10.80 13.50 65.70 90.0

Roller (Self Propelled) (10 t) 2 - 4 2.64 3.30 16.06 22.0 10.56 13.20 64.24 88.0

Pneumatic tired towed roller 1 - 2 .36 .45 2.19 3.0 .72 .90 4.38 6.0

(10-12 t)Agricultural Tractor (65 h p) 1 - 2 .36 .45 2.19 3.0 .72 .90 4.38 6.0

Dump Trucks 6m3 8 6 22 1.06 1.32 6.42 8.8 23.23 29.04 141.33 11G.6

Service Trucks 3.5 t. 3 - 6 .44 .56 2.70 3.7 2.66 3.33 16.21 22.2

Water Truck (10.000 1) 2 2 6 1.05 1.32 6.42 8.8 6.34 7.92 38.54 52.8

Fuel Truck (6000 1) 1 - 2 .72 .90 4.38 6.0 1.44 1.80 b.7

6 12.0

Lubrification Truck I - 2 .98 1.23 5.99 8.2 1.97 2.46 11.97 16.4

Repair-Truck 1 - 2 1.73 2.16 10.51 14.4 3.46 4.32 21.02 28.8

Laboratory Truck 1 - 2 1.20 1.50 7.30i lo_^ 2.40 3.00 14.60 20.0

Camper 8 - 16 .66 .83 4.01 5.5 10.56 13.20 64.24 88.0

Light Cars 4 - 8 .26 .33 1.61 2.2 2.11 2.64 12.85 17.6

Water Tank 3 - 6 36 .45 2.19 3.0 2.16 2.70 13.14 18.0

Fuel Tank 3 - 6 .46 .60 88 4.0 2.90 3.60 17.50 24.0

Electro-unit 1 - 2 .42 -53 2.55 3.5 .84 1.05 5.11 7.0

Motor Pump 3 - 6 .08 .10 .49 .67 .48 .60 2.92 4.0

152.76 192.92 42q.12 1272.8

1/ Cost as of January, 1977.

Source: Mission and BCEOM estimate

March, 1977

Table 8

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Technical Assistance to DCMTP & DERP

Technical Assistance Man-Month 1977 1978 1979

Team Leader 24

Highway Engineer 6

Equipment Inspector 24 -

Mechanical Specialist(Diesel Engines) 24 - -

Master Mechanic 1 24 - -

it2 24 - ____

It 3 24 -

if4 24 _ _ _ _

Accounting/Inventory Expert 24 -

Training Expert 1 24 - -

2 24 - -

Total 246

Source: Mission

March, 1977.

Table 9

IVORY COAST

FEEDER ROAD AND HIG,HWAY MIAITTEIIAICE PROJECT

Financing of Project Costs

(CFAF Million)

Government Financin.

Local Ta. Foreign Total Bank Financing Total Bank Financing

A. IFeeder Roads

Equipment 174 220 - 394 1050 1444 73

Spare 'arts 63 120 - 183 462 645 72

Fuel and Lubricants 103 205 - 308 180 488 38

Materials 264 138 - 402 303 705 43

Civil Works Contracted 344 430 - 774 944 718 55

Local Salaries 1600 - - 1600 - 1600 0

TOTAL A: 2548 1113 - 3661 2939 6600 45

B. ,ecterment of Primary andSecondary Roads

Equipment 153 191 - 344 929 1273 73

Spare Parts 58 108 - 166 428 594 72

Fuel and.Lubricants 83 174 - 257 158 415 38

Materials 67 36 - 103 77 180 43

Local Salaries 1100 - - 1100 - 1100 0

TOTAL B: 1461 509 - 1970 1592 3562

C. Workshops

Buildings 95 86 - 181 149 330 45

Equipment and Tools 27 34 - 61 164 225 73

TOTAL C: 122 120 - 242 313 555 56

D. Teciniical Assistance

Feeder Roads Program 112 - - 112 335 447 75

Training of Highway

M4aintenance Personnel 106 - - 106 320 426 75

Study on Modal Traffic Distribution 14 - - 14 42 56

TOTAL D: 232 - - 232 694 929 75

Subtotal A, B, C, & D: 4363 1742 - 6105 5541 11646 47

E. Contingencies

Physical (10% for-A & C) 267 123 - 390 325 715 45

Price Escalation 1411 490 - 1901 1225 3126 39

TOTAL E: 1678 613 - 2291 1550 3841 40

GRAND TOTAL 6041 2355 - 8396 7091 15487 46

(US$ '000): 24650 9612 34268 28942 63212 . 46

(Rounded): 24600 9600 34300 29000 63200

Source: Mission Estimates

IVORY COAST

FEEDER ROAD AND HIlGHWAY MAINTENANCE PROJECT

?i~ject Cost!1

Summary (CFAF Million)

1977 1978 1979 1980 MI8 19482 TotalI

0 00 a0 00 0 0El ,4 , E- - ~ 4 -E4, ,- -4., -

I. CAPITAL cosTs

A. Feede- Road,(q) Equipm-t 76 101 477 654 95 119 576 79017

20 5 44(b) Spare parts 5 9 36 50 15 27 107 149 20 37 143 200 20 37 143 200 3 10 33 4f 2320 1050 1444(c) Fuel & Lubricants 8 16 14 38 23 48 42 113 32 63 56 151 32 63 56 151 8 15 12 3' 103 205 180 488Cd) Local salaries 1 1 138 - - 138 375 - - 375 ~f5 - 48 45 - - 45 16 - - 11( 1600 - - 1600(e) Materials 20 11 23 54 61 33 70 164 82 44 92 218 82 44 92 218 18 9 24 51 264 138 303 705Cf) Civil works

contracted 62 67 152 281 95 120 264 479 95 120 264 479 95 120 264 479 - - - - 344 430 944 1718Total A 1 1 309 204 702 1215 664 347 1059 2070 714 264 555 1533 714 264 555 1533 145 34 6': 248 2548 1113 2939 6600B. Betterment of Primary

& Secondary Roads

(a) Equipment 77 96 465 637 76 95 465 636 153 191 929 1273Cb) Spare parts 5 9 35 48 15 28 1II 154 19 36 141 196 19 35 141 196 58 108 428 594(c) Fuel & lubricants 6 14 12 33 22 45 41 108 27 58 52 137 27 58 52 137 83 174 158 415(d) Material. 5 3 6 14 18 9 21 48 22 12 25 59 22 12 25 59 67 36 77 180(e) Local salaries 88 - - 88 286 - - 286 3,63 - - 363 363 - - 363 1100 - - 1100Total B 181 122 519 820 417 177 638 1232 4,31 106 218 755 431 105 218 755 1461 509 1592 3562

C. Workshops(a) Buildings 95 86 149 330

95 86 149 330(b) Equipm-ent & Tools 27 34 164 225 27 34 164 225Total C 122 120 313 555 122 120 313 555

D. Technical Assistance(a) Feeder Roads

Program 6 - 18 24 32 - 96 128 43 - 130 173 31 - 92 123 112 - 335 447(b) Training of Main-tenance Personnel.22 - 67 89 53 - 160 213 31 93 12410

Cc) Study Lon Modal 1. 4iTraffic Dlistri. 14 - 42 56 - -

14 - 42 56TOA f_ I3 ' -- - -79- 797 7 - 2-7-3 --9- 9- - 3232 - 607 I,,29Subtotal A to D 29 - 85 114 711 446 1832 2987 1155 524 1920 3599 1176 370 865 241 14 36 79 285 145 34 68 248433 1 2 541 6E. Contingencies

41 14 6 7 2,

(a) Physical 10% t;. Item A.and C 43 32 102 177 66 35 106 207 71 26 56 153 7 1 ?r, 56 152 1~ 7 25 ?r47 i 1)3 325 715(b) Price i-scalation 2 - 5 7 101 67 215 383 343 120 330 793 420 133 315 868 470 154 324 948 75- 16 36 12 141 9 12. 32Total E 2 5 7 144 99 317 560 409 155 436 1003 491 159 371 102.1 44. 4.U jzi .un ; iv 4 ' i .L)L .u7b 613 1550 3841

Grand Total =31 - 90 121 855 545 2149 3547 1564 679 2355 4598 1667 529 1236 3432 1686 549 115 3388 9*,52 1 Q 01 7~ f0 53

I/ Base costa as of January, 1977

Source: BCEOM and Mission

ma-y, 1977.

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJEGT

Schedule of Implementation

Activity 197, 197T 1970 1980 1981

INSTITUTION BUILDING

- Establish Feeder Roads Section ( in DER). x

- Budget Allocation x x x x x

PROCUREMENT OF BRIGADES

- Prepare Bidding Documents- Approval of Pocuments by Bank x

- Call for Bids x

- Receive Bids x

- Select Suppliers x

- Approve Contracts- Deliver Equipment

x x

REGIONAL WORKSHOPS

- Prepare Terrain x

- Prepare Bidding Documents- Approval of Bidding Documents by Bank

x 1/

- Call for Bids- Select Contractors- Award Contract

/ 3/

- Begin Construction x 2/ 3/ 1/

- Complete Construction x-/ '51 X1/

- Deliver Equipment x- x -

TECHNICAL ASSISTANCE FEEDER ROAD PROGRAM

- Prepare T.O.R. for Technical Assistance

- Invite Consultants to Submit Proposals x

- Receive Consultants Proposals x

- Consultants Provide Services -

- Reporting on Project Monitoring -

PROGRAM PREPARATION

- Prepare Yearly Feeder Road an,d Betterment Program

- Present Program to IBRD

PROGRAM EXECUTION (FEEDER ROADS)

- Three Brigades on Force Account

- Three Additional Brigades on Force Account - -_-

- Contractors Brigades- Routine Maintenance

IBRD SUPERVISION

- Engineer- Economist

1/ Workshops in San Pedro, Man and Boundoukou (financed under project)-

2/ Workshops in Bouake (financed by Government).

31 Workshops in Daloa and Korhogo (financed by Government).

Source: Mission

May, 1977.

IVORY COAST

FEEDER ROADS AND HIGHWAY LMAINTENANCE PROJECT

Distd Road Ler th Investment. T r a f f i c Benefits E Al Weiohted Soclo-EcoRoad no 4.5 6.0 8.0 Total CFAF mill. 1977 1987 (discoun- r nomic Index(1) (2) Veh/km 'O0O %OHT Veh/km '000 °°° [ ted at 12') 1fter. -eWights)mill.CFAF 1 2 3

ABIDJAN1007 - 37 - 37 50.9 947 39 1 226 a5 126.2 40 59 71 571001 14 22 - .36 42.9 508 39 657 45 65.4 29 47 54 451004 16 22 - 38 44.7 473 39 612 45 58.6 24 41 45 411006 12 25 - 37 45.2 390 42 .500 47 56.3 22 36 41 35Tr:tal 42 106 - 148 183.7 2 318 2 995 306.5

AGBP\VILLE

0114 - - 21 21 63.0 1 033 12 2 369 11 105.2 25 64 72 54DALOA

0109 (3) 2 10 - 12 12.3 156 13 382 13 21.6 28 65 74 660102 4 6 - 10 13.8 131 13 320 13 19.7 22 59 62 6320q4 6 12 18 16.1 204 13 498 13 24.7 24 60' 67 590307 (3) 7 18, - 25 24.6 340 13 830 13 46.6 30 56 68 540208 5 6 - 11 12.9 100 13 243 13. 17.2 20 54 58 550302 17 25 - 42 42.8 479 16 1 153 14 70.6 26 55 64 5301U' (3) 22 20 10 52 67.1 6B7 13 1 675 13 92.1 20 60 70 580110 (3) 4 6 - 10 9.3 72 13 174 13 9.6 14 50 92 500111 (3) 5 5 - 10 8.9 78 13 191 13 10.1 16 49 51 49Q3 (31 - 22 6 28 44.2 426 13 1 040 13 56.7 19 50 58 48021i (3) - 14 - 14 16.7 116 13 282 13 15.8 12 46 50 46010 . - 20 - 20 23.8 280 13 683 13 36.8 24 46 55 459lPI - 9 - 9 10.7 130 13 316 13 17.0 25 42 53 41

CDTotal 72 173 16 261 303.2 3 199 7 ' 7 '138.5 22.5

o ti

010 (3) - 5 - 5 5.9 100 26 149 28 10.9 35 60 67 60010O - G - 6 7.1 152 25 226 28 14.9 38 60 73 59010 - 40 - 0 17 .G 726 26 1 078 28 97.7 37 59 72 57

DISTRICT Road Length Inv,a stmant T r a f f i c Benefits E R R c;ichted Boo-

Road n0 4.6 6.o '8.0o Total CFAF mill. 1977 197 dscoun- 0b -Economic Index(1) (2) Veh/km '000 s-IT Veh/km '000 -/.HT terd at 12k) Ualter.weights)

ntill.CFAF 1 2 3 _

04,02 - 14 - 1 4 16.7 255 25 379 28 25.88 28 59 66 580109 (3) - 7 - 7 8.3 77 26 114 28 8.7 14 52 58 50

Total - 72 - 72 85.6 1 310 1 946 156.0 34

DI,MBOKRO

0302 - - 12 1.2 36.0 445 23 894 22 51.3 20 61 72 61

0702 - 6 13 19 50.5 471 23 947 23 72.6 21 51 62 49

Tatal - 6 25 31 86.5 916 1 841 123.9 20.5

GA-NOA

0401 6 14 15 35 66.2 903 15 2 134 14 132 31 67 77 66

0306 (3) - 11 - 11 13.6 137 15 324 14 19.2 23 57 62 57

02i3 (3) - 6 - 6 7.4 90 15 212 14 12.5 28 59 72 62

04035 13 21 - 34 36.9 a49 15 1 060 14 58.8 26 58 66 58

0302 4 17 - 21 2'9.7 2?0 15 639 14 35.8 23 52 59 50

0202 - 12 - 12 12.3 126 15 299 14 15.9 20 .54 61 55

03-1 - 18 - 18 18.5 177 15 ellA 14 22.9 19 49 55 49

0206 (3) - 9 - 9 9.2 83 15 1 i 14 10.6 18 45 49 45

037 - 4 - 4 5.6 34 15 79 14 5.1 12 46 42 47

020- - 5 - 5 5.1 44 15 103 14 4.6 12 46 47 47

0204 - 23 - 23 23.6 190 15 448 14 24.3 15 42 47 41

0304 - 5 - 5 5.1 29 26 64 19 5.4 16 32 37 32

Total 23 145 15 183 228.2 ; 532 5 976 347 25

Grand Total137 502 77 716 950 11 308 20 784 1 479.2 26

, s H0 I'.3

Source: Consultant and Mission '-ih

Ij Number refers to mapg/ Survev and design required for a 8 meter wide rdadj- Not yet inventoried : inventory to be carried out before improvement definitively

included in program

Table 13

IVOIY COAST

FEEP R3D AND_HIGHWIAY MAINTENANCE PROJECT

Roads Tentatively Selected for Betterment Progrnm!'

Estimated1977

Traffi 1976 1977 1978 1979 1980 1981 1982i (v,pd)A. Firat Betterment Unit (existing)

Bouake-Beoumi 62 280

Be-umi-S.kasaou 42 60

Beoumi-Botro 40 50

Bou.ke-S.l- 64 80 & 40

Sa.1a--S.rebou 89 40

Xatiola-s 90 120

Botro-Bouandougou 52 180

Bouandougou-Segucla 128 50

Seguela-Boundiali 198 50

Baundiali-Mali D8 80

B. Second Betterment Unit (existing)

Oume-Divo 74 230

Iasia-Gngnon 87 250

Gago.a-Saoaandra 129 100

Sasaandra-Lakota 111 100

Nakpalike-Laouda 33 60

Oume-Sufra 65 100

Sufra-Gounte 88 150

Sapia-Zuenoula 92 60

Zuenoula-B.uake 68 170

Dalna-ljai 49 390

Dimbolero-Bougouanou 63 140

Asa.hara.-MB.tto 35 65

C. Third Betterment lnit (existing)

Kouibi-Hnn-Nskoly 109 50

Agboville.-N'Douci 67 150

Youhouli-Grd Lahou 82 240

Guitri-Lakota 76 80

Gueyo-.oubre 69 60

S.a-andra-Carrefour SP-Iaaia 53 260San-Pedro-Tabou

117 35t!&110

Tabou-Guiglo 288 50

D. Fourth Betterment Unit (Crested under Project)

Odienne-Rorhogo 238 120675

korhogo.U.lie 115 140

Mali-Ferkessedougou 137 80

Badikah.-Korhogo 63 90

Korhogo-Niakara 147 140

E. Fifth Betterment Unit (Creqated under Project)

Grd-Lahou-Guitri 58 60

Guitri-Divo 43 140

Bingerville-Grd BaUsaei 28 60

Abrobrakro-Adiake-Aloo 39 100

Fraabo-Aboiseo 77 48&80

Abois.o-Ayame.-Borobo 97 170650

Bondoukou-bvn 183

1/ Betterment Program under project executed by units four and five.

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Training Program of DCMTP's Staff

1977 1978 1979 1980 1981

i4Quarter 1 jj2 3 4 1 2 3 1 1 3 1 2 3 4 1 2

Maater M-echaica 10

100

1~~~~i i i

Mechanica (Repair) 1

10 10 10 10 10 10 10M.chani.. (Maintenance). - ,.. . ,

Mechanica (Lubrification) 1 1

Mechanics (Electrics) -----

Mechanica (Dieael Injection) -

Accounting/Inventory Tx ining ac ording t needs

Drivers R. cruimeent in actor ance wit] equipme t delive =y. Tw d ye of t- ining

8 8 Y 8 8 A R RREquipment Operators 8 8

Chief of Equipment Brigades 8 8

basic training

---------- follow-uptraining

1/ Number of trainees

Source: MissionMarch, 1977

'YORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Key MPWTrU Personnel to be Assigned toConsultants BCEOM|BERGER for Betterment Program and Equipment Repair

1977 1978 1979 1980z

Civil Engineers

DER ( Director) 1

DERP (Assistant Director) 1 .

CATP (Director) 1

Technicians

DER (Technicians) 3 :2)

DERP (Technicisnr) 1

DERP (Chiefs of Brigades) 2

DERP (Foremen for Brigades) 4 (2) f2)DCMTP(Material Inspector) 1

DCMTP(Technical Inspectors) 3

DCMTP(Chief ef EquipmentProcurement) 1

DOMTP(Mechanical Trainee) 1

Chief of Workshops

a) Korhogo 1

b) Daloa 1

c) San Pedro 1

d) Man 1

e) Boundoukou 1

Personnel to berecruited and trained.

Master Mechanics 40 (10) (10) (10) 10)Mechanics (Repair) 44 (14) (10) (10) ( 10)Mechanics (Maintenance) 70 (10) ( (10) ( 1t ( 10) (10)Mechanics (Lubrification) 60 (10) (10) (10) (10) (10) (10)Mechcnics (Electric) 24 (6) (6) (6) (6)Mechanics (Injection Df esel) 20 (5) (5) (5) (5)Equipment Operators 80 (5) (5) (5) x (5) (5) (5) (5) (5) (5)Equipment Chiefs 16 | ( 3 . | |

(5) ]

()(B) in0.I i.e

Table 16

IVORY COAST

FEEDER ROADS AND HIGHWAY MAINTENANCE PROJECT

Betterment Program for Primary and Secondary Roads

Economic Costs and Benefitsl/(CFAF million)

-- INCREMENTAL COSTS ----------- ----------- BENEFITS------------------------

Year Vehicules& Operation Total Savings in2/ Residual Value Total%/ Net4/

Equipment Costs Vehicule Ope- of Equipment Benefits Benefits

rating Costs & Vehicules

1978 595 160.5 755.5 - - -755

1979 595 481.5 1,076.5 212 212 -864

1980 642.0 642.0 299 299 -343

1981 642.0 642.0 787 787 -145

1982 - 1,152 743.8 1,902 1,902

1983 1,279 1,279 1,279

1984 1,404 1,404 1,404

1985 1,541 1,541 1,541

1986 1,686 1,686 1,686

1987 1,426 1,426 1,426

1988 1,451 1,451 1,451

Internal Economic Rate of Return 36%

1/ Source - BCEOM, 1977 mission estimates

2/ Voc savings= t- t a vocv OADTv (1 iv) 365. Lt,ADT

v-l

Where: voct = annual vehicle operating cost savings starting the year the

improved road is opened to traffic.

b vocv = vehicle operating costs savings due to road betterment by type of

vehicle.v = 1 - passenger cars/taxi/pick up.

v - 2 - light trucks/buses of 1-2 tons capacity.

v = 3 - trucks of 3 to 10 tons capacity.

v =,4 - trucks of 18 to 25 tons capacity.

ADTv = average daily traffic by type of vehicle.

iv = average annual rate of Frowth of traffic bv tvne of vehicle.

LtADT = length of the road segment becoming operational at time t,

associated with a daily traffic ADT.

3/ Total benefitst - Savings in operating costst-r residual valuet

4/ Net benefitst = Total benefitst- Total costst

Table 17

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Betterment Program for Primary and Secondary Roads

Traffic Composition and Vehicle Operating Costs Savings

Traffic Mix User Savings % averageVehicle Type Group 4 0orth) Group 5 (outh) VOC/km Annual Traffic

% % (CFAF) Growth Based onthe 1969-1975

data

Light Vehicles

Passenger cars-taxi 19 50 5.2 14.9

Light truLks-bus 54 23 15.32 7.3

3 - 10 tons 21 21 24.18 10.4

18 - 25 ton capacity 6 6 53.0 8.8

Source: 'SETEC, Transport Survey Study, Dec. 1976Mission Estimates.

July 5, 1977

Table 18

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Estimated Schedule of Disbursements(US$ Thousand)

IBRD Fiscal Year Disbursements Cumulative Disburse- UndisbursedDuring Quarter ments at End of at End of

Quarter Quarter

1977-78

Sept. 30, 1977 29000Dec. 31, 1977 - - 29000

March 31, 1978 6000 6000 23000

June 30, 1978 700 6700 22300

1978-79

Sept. 30, 1978 900 7600 21400

Dec. 31, 1978 900 8500 20500

March 31, 1979 3500 12000 17000

June 30, 1979 3500 15500 13500

1979-80

Sept. 30, 1979 1400 16900 12100

Dec. 31, 1979 1400 18300 10700

March 31, 1980 1300 19600 9400

June 30, 1980 1300 20900 8100

1980-81

Sept. 30, 1980 300 21200 7800

Dec. 31, 1980 2300 23500 5500

March 31, 1981 1200 24700 4300

June 30, 1981 1200 25900 3100

1981-82Sept. 30, 1981 1200 27100 1900

December 31, 1981 1200 28300 700

March 31, 1982 300 28600 400

June 30, 1982 400 29000 -

Source: Mission Estimate

ANNEX 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Bank Group Activities in the Road Sector

1. First Highway Project (Loan 524-IVC, US$5.8 million, 1968; ProjectPerformance Audit Report, June 28, 1.977) consisted of 60 km of road construc-tion, feasibility studies and detailed engineering of about 700 km of road.Construction under this project was completed in mid-1971, and the studieswere completed in 1974. The latter, together with a UNDP-financed TransportSurvey formed the basis of the Second Highway Project.

2. Second Highway Project (Loan 761-IVC, US$20.5 million, 1971) con-sisted of construction of two roads totalling 170 km and detailed engineeringstudies of about 200 km of roads. During project execution the Bank agreed tofinance a study of road user taxation by eliminating part of the engineeringstuidies. The project was completed in 1975.

3. Third Highway Project (Loan 837-IVC, US$17.5 million, 1972) con-sisted of a four-year road maintenance and betterment program for unpavedprimary and 'secondary roads, pavement strengthening of 110 km of main roads,bridge construction and a study of the infrastructure development of Abidjan.The maintenance and betterment program is progressing satisfactorily, and itwill be extended under the proposed Feeder Road and Highway MaintenanceProject. The remaining project components were completed in mid-1976. Due toinflation and an increase in construction standards over and above those foundadequate, project costs have increased to 50% above appraisal estimate;Government is meeting all cost overruns.

4. Fourth Highway Project (Credit 406-IVC, US$7.5 million, 1973)consisted of road (90 km) and bridge construction and a study of Leeder roadrequirements in cotton growing areas. Road construction costs are about 60%above appraisal estimates due to inflation and an increase in constructionstandards. Government will meet all cost ovrerruns. Works are expected tobe completed in end-1977. The feeder road study formed the basis forimprovement of about 920 km of feeder roads included in the Cotton AreasRural Development Project (Loan 1077-IVC, 1975).

5. Fifth Highway Project (Loan 1161-IVC, US$40.0 million, 1975)consists of pavement strengthening (200 km) and new road construction (80 km),road feasibility and engineering studies (300 km), updating of the TransportSurvey, and a study of feeder road requirements (upon which the proposedproject's feeder road improvement program is based), technical assistanceand procurement of equipment. This project is now in its second year ofimplementation.

6. In addition to the projects described above, the Second CocoaProject (Loan 1069-IV) contains a feeder road component comprising construc-tion of 270 km feeder roads and improvement of 60 km of existing roads.

ANNEX 2Page 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Agricultural Background

A. The Environment

1. The Ivory Coast covers 322,500 km and may be broadly dividedinto two ecological zones. The southern half of the country is largely

tropical rain forest with rainfall ranging from 1,500 to 2,000 m; the

northern half is predominantly savannah with an average rainfall of

1,100 mm.

2. Within the forest area, conditions are favorable for the cultivation

of valuable tree crops like coffee, cocoa, oil palm, coconut and rubber.

Principal food cr2ps are cassava, yams and 5ice. Rural population density

ranges from 24/km in the southeast to 3/km in the southwest, where the

last remaining expanses of virgin forest are found.

3. The'northern savannah, with accounts for half of the country's area

and 35% of its population, has a less favorable resource endowment than Phe

southern part of the country. Overall population density is low at 9/km , and

there are wide emp'. areas principally in the central part. Until the mid-

1960's, only annual food crops were grown, mostly for subsistence, with minor

market sales of cereals and yams for consumption in urban centers, including

Abidjan. In 1964, cotton was introduced and has since developed rapidly. It

is currently grown by one fourth of the area's inhabitants. Important rice

and sugar developments are also taking place.

4. Abundant land and, until some years ago, good labor supply (pri-

marily immigrant workers), as well as generally favorable world markets for

its principal products, have assured rapid agricultural growth. In terms of

overall development of the agricultural sector, the record of achievement of

the Ivory Coast has been remarkable, placing the country in a leading posi-

tion in Western Africa.

B. Agriculture in the Economy

5. Agriculture and forestry account for about 80% of the Ivory

Coast's exports and 28% of its GDP. They are the basis of the country's

growth and will remain so for many years to come. In 1974 the Ivory Coast's

exports were valued at CFAF 292 billion (US$1,200 million), three commodi-

ties--coffee (22%), timber (18%) and cocoa (21%)--accounted for nearly two

thirds of that value.

ANNEX 2Page 2

6. About 75% of the population depends directly or indirectly onagriculture and forestry. Average per capita rural income is about $130,compared to an estimated average urban per capita income of US$900. But,there are also fairly large income disparities within the rural sectoritself. Average rural income, which exceeds US$220 in the southeast,drops to about US$110 in the center, where production patterns of theforest and savannah regions overlap, and falls below US$70 in the north.These disparities account in part for migration from rural to urban areasand within the rural areas from the savannah to the forest zone.

7. Although, until recently, efforts to improve agricultural pro-ductivity have been mostly focused on individual export crops, substantialincreases in food crop production have been achieved as well, In the lastfew years, the Government has turned its attention to the interrelated prob-lems of rural poverty and regional income disparities. It has undertakenmajor programs of cotton and sugar development and additional programs ofoil palm cultivation as part of its plan for regional development. Someof these programs include food crops in rotation with cash crops.

C. Main Crops

Food Crops

8. Food crop production is estimated to have reached 4.4 million tonsin 1975 (Table 1) or about 67% of the total agricultural output (6.6 milliontons). Annual production of yam, the most important staple food, was esti-mated at 1.75 million tons in 1975. Production is country-wide with someconcentration in the center. Cassava (650,000 tons), and plantain (780,000tons) come next in the basic diet. Whereas cassava production is widespread,plantain is produced only in th.e coastal forest zone, Production of maize,which was 327,000 tons in 1975, is expected to increase by growing maize inrotation with cotton in the northern savannah area. For these food crops, theportion of total output marketed is not known, but it is likely to be smallsince the crops are primarily produced for home consumption. Traffic surveysundertaken in 1975 indicate that the following tonnages are transported overthe following d erage distances:

Yam Cassava Plantain Maize

Traffic in 000' tons 35 35 116 48

Percent of production 2% 5% 15% 15%

Average distance (km) transported 290 n.a. 180 443

However, these traffic surveys took place on main and secondary roads andthus probably underestimate the proportion transported and overestimate theaverage haul.

ANNEX 2Page 3

9. In spite of a rapid development in the sixties and early seventies,

rice production lagged behind a strongly expanding demand due to increas-

ing urbanization, a generally improved standard of living and low prices.

As a result imports reached 150,000 tons in 1973/1974. In 1974, the Govern-

ment decided to raise substantially the official paddy and rice price, which

resulted in a sizable drop in demand and a boost in production from about

335,000 tons in 1973 to about 400,000 tons in 1974 and 460,000 tons in 1975.

Besides eliminating imports in 1974/1975 and 1975/ 1976, this price increase

also contributed to important changes in the marketing and distribution

systems; however, imports were resumed in 1977. Development plans call for

increasing production to reach self-sufficiency and possibly with exports to

neighbouring countries. However, because of high transportation costs, it is

not certain at present that the Ivory Coast would be able to export a surplus

profitably. Since most of the production is consumed locally, only surpluses

amounting to 20% to 25% of production are shipped over long distances to main

cities, Abidjan in particular.

Cash Crops

10. Cash crops are estimated to have reached 2.2 million tons in

1975 (Table 2). Coffee and cocoa are the main cash crops of Ivory Coast.

In 1974, each accounted for over 20% (CFAF 63 billion) of the total value

of exports (CFAF 292 billion). Ivory Coast is now the world's third producer

of coffee behind Brazil and Colombia. Production was estimated at 278,000

tons in 1975 and could reach 350,000 tons in the mid-eighties with the ongoing

replanting/new planting program. Most of the production is shipped by truck

to Abidjan from where it is exported. Cocoa production has risen by an

average of 10,500 tons or 6.5% annually over the past 15 years. It reached a

record level of 240,000 tons in the 1974/1975 season, and it is forecast to

reach 350,000 tons by 1980. Like coffee, most of cocoa is produced in the

south and central zones where it is collected and shipped by truck over

distances averaging 230 km to the port of Abidjan for export.

ii. Oil palm, coconut and rubber are other industrial cash crops of

the forest coastal belt. Production and development of oil palm and coconut

are mostly under control of a public agency (SODEPALIM) which manages its own

estates and provides technical assistance to village outgrowers. Production

of fresh fruit bunches is expected to increase from about 650,000 tons

in 1975 to 1.3 million in 1980. TransportatLon of the fruit bunches takes

place only over short distances from the plantation to the oil mill where

they are processed. From there, the oil and kernels are trucked to storage

areas located in Abidjan and San Pedro. Planting of coconut trees is also

expected to increase sharply from 17,000 ha in 1975 to 46,000 in 1980 and

70,000 ha in 1985, under the technical assistance of SODEPALM. Latex produc-

tion reached 17,000 tons in 1975. Other secondary cash crops include bananas

(100,000 tons), pineapples (223,000 tons), avocados and citrus fruit (50,000

tons). Prospects for increasing production and export will depend on the

quality of produce and the efficiency of the transport, marketing and dis-

tribution systems.

ANNEX 2Page 4

12. Cotton is the most important cash crop in the savannah region. Itprovides the main source of cash income for one-third of the 200,000 farmfamilies living in the area. Production of seed cotton reached 64,000 tons in1974/1975 and could increase further to 95,000 tons if continued assistanceand adequate price incentives are provided to the farmer. Most of the cottonis exported, but a rapid expansion of the domestic textile industry is expectedto absorb at least 30,000 tons of cotton by 1980. Total tonnage of cottontransported by road in 1975 reached 86,000 tons, and the average haul was345 km.

13. Timber was the most important export in 1972, with 2.9 milliontons valued at CFAF 66 billion. Production decreased slightly since then,and exports in 1975 were down to 2 million tons valued at CFAF 46 billion.Logs accounted for about 90% (1.8 million tons) of total timber exports in1975 of which 55% (1.0 million tons) was shipped from Abidjan and 45%(800,000 tons) was shipped from the port of San Pedro. Transport is effectedalmost exclusively by logging trucks over distances averaging 225 km. Futureproduction and export plans are uncertain and will depend principally upontwo factors: the competitive advantage of South Asian sawn timber andGovernment policies with regard to forest reserve management and the localprocessing of timber.

D. Livestock and Fisheries

14. Livestock is estimated at about 420,000 head of cattle; 1.6 millionsheep and goats, 80,000 pigs, and 9-10 million poultry. About two thirds ofthe cattle are found in the northern part of the country where trypanosomiasisis not a serious problem. Livestock development is constrained by ecologicalfactors and lack of experience and tradition. The Ivory Coast depends heavilyon imports for its supplies, particularly of beef (85%). In order to reduceimports the Government is encouraging livestock development but the success oflivestock projects will largely rest on their close integration with ongoingagricultural operations comprising animal traction followed by fatteningoperations, introduction of fodder crops in the rotations, and use of cropby-products as livestock feed.

E. Main Institutions and Policy Instruments

15. Overall development planning is in the hands of the Ministry ofFinance, Budget and Planning, which was recently created from three separateministries. Detailed agricultural development programs are the responsibilityof the Ministries of Agriculture and of Livestock. Execution of this programhas, until recently, been generally entrusted to autonomous agencies set up bythe Government to promote one or several crops. However, in September 1977,Government reorganized the above structure and in the new structure SODEPALM,SOCATCI and CIDT will be responsible for execution of all projects in theSouth, Center, and North respectively.

ANNEX 2Page 5

16. The Caisse de Stabilisation et de Soutien des Prix des Produits

Agricoles (CSSPPA) is responsible for carrying out the Government's agri-

cultural price support policies. It supports producer prices for cotton,

cocoa and coffee in a conventional manner, paying a guaranteed minimum

price fixed annually, selling the commodities on the world market, and

absorbing profits or losses on its operations. CSSPPA surpluses have

partly been used for new investments, mainly in the agricultural sector

but also roads.

17. The Banque Nationale pour le Developpement Agricole (BNDA), the

main source of agricultural credit, has so far operated through the auton-

omous development agencies, which handle credit distribution and recovery.

For these purposes BNDA has used its own equity and a line of rediscount

with the Banque Centrale des Etats de l'Afrique de l'Ouest (BCEAO). BNDA

is establishing branches in the rural areas to deal directly with farmers

and farmers' groups.

F. Development Strategy

18. The Government's objective, as recently reformulated, is to place

rather less emphasis on growth and to redirect efforts to raise the income

of low-income rural segments of the population such as small-scale farmers

in the Northern Region. Agriculture and rural development will, therefore,

continue to receive high priority but with the emphasis on equalizing rural

income rather than accelerating growth and foreign exchange earnings. None-

thrless, it is clear that the latter objective will still receive some

cunsideration. In addition to these objectives, the Government also seeks

to increase food production and decrease reliance on imports and to diversify

production of exportable products.

G. Progress of Agricultural Projects Financed by the Bank

19. Loan 611-IVC-Palmivoire US$3.3 million equivalent (June 13, 1969)5

The project consisted of establishing and bringing into production 4,000 ha

of oil palms at Ehania estate. The loan became effective on December 30,

1969. Planting was completed in 1972 and plantation maintenance has been

satisfactory.

20. Loan 612-IVC-Palmindustrie US$4.8 million equivalent (June 13,

1969): The project financed the construction of a palm oil mill to service

the 10,000 ha Ehania estate and some outgrowers. The loan became effective

on December 30, 1969.

21. Loan 513-IVC-Sodepalm US$9.0 million equivalent (June 13, 1969):

The project consisted of the establishment and bringing into production of

12,000 ha of outgrower oil palms, the establishment and maintenance until

1974 of 3,500 ha of estate coconuts and 3,000 ha of outgrower coconuts,

the provision of credit and supervisory services for oil, palm and coconut

outgrowers and the necessary infrastructure associated with the 3,500 ha

of estate coconuts. The loan became effective on December 30, 1969.

ANNEX 2Page 6

22. The above three loans were the first Bank operations in supportof the oil palm sector in the Ivory Coast. After a relatively slow start,disbursements of the Bank loans accelerated and are now completely disbursed;physical progress has been satisfactory.

23. Loan 686-IVC-Cocoa Project US$7.5 million equivalent (June 5, 1970):This project consists of the planting of 18,000 ha of cocoa and the rehabili-tation of about 15,500 ha of existing cocoa plantations; it became effectivein November 1970 and has been completed. The project proceeded satisfactorilyexcept for administrative problems which delayed submission of requests forreimbursement. The administration of this and the recently approved secondcocoa project will be combined and an estimated 3,200 ha of cocoa will beplanted under the second project. Physical execution of the first project isconsidered to be completed.

24. Loans 759-IVC and 760-IVC-Sodepalm and Palmindustrie US$7.0 millionequivalent (June 22, 1971): The project consists of (a) planting 4,500 haoutgrower oil palms, (b) 4,500 ha of outgrower coconut palms, and (c) 8,000ha of coconut palms on Government-owned land. The oil mill was commissionedin December 1972, and is operating satisfactorily. The planting programs areproceeding satisfactorily and on schedule.

25. Loan 938-IVC-SOCATCI Rubber Estate US$8.4 million equipment(October 23, 1973): The purpose of the loan is to finance, pari passu withCCCE and FED, the planting of 13,500 ha of modern rubber estates and theestablishment of auxiliary services under the management of "EtablissementMichelin", a French tire manufacturer. The project ran into infrastructureand management problems. When these two constraints were corrected, a short-age of field labor reduced planting, and the project objectives had to bereduced to match the original cost estimates. Plantings are now expectedto cover about 7,000 ha and to be completed by 1979.

26. Loan 1036-IVC-Sodepalm and Palmivoire US$2.6 milion equivalent(July 31, 1974): This loan became effective in August 1975. The loan is afollow-up to a previous loan from CCCE, provides for the planting of 5,000 haof oil palm by outgrowers and 5,500 on SODEPALM estates. Implementationof the project is proceeding satisfactorily.

27. Loan 1069-IVC-Ivory Coast Government Second Cocoa ProjectUS$20.0 million equivalent (January 10, 1975): More than 50% of the totalplanting foreseen for the five-year project period was completed in 1976.Block planting has been behind schedule due to difficulties in infra-structure development.

28. Loan 1077-IVC-Ivory Coast Government Cotton Areas Rural Develop-ment Project US$31.0 million equivalent (January 17, 1975): Physicalprogress of the project under CIDT is in line with appraisal estimatesand overall performance of CIDT is satisfactory. As a result of over-estimated increase in demand for food crops, marketing of the crops hascaused problems. Although the village water supply and feeder roadprograms was originally delayed, appropriate measures have now been takento implement both programs.

ANNEX 2Tab le .

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Agricu ltural Product ior. 1960-1965-1970/75Main Food Crops

(Volume ir thousand tone; Value in CFAF million)

Crop/Year 1960 1965 1970 1971 1972 1973 1974 1975-1

MaizeVolume 147 200 231 280 225 232 240 327

Value 1764 2400 2930 3612 2903 2993 3406 n.a.

Sorghum-MilletVolume 52 45 43 45 38 46 46 78

Value 842 731 1076 1114 951 1114 1267 n.a.

YamVolume 1150 1300 1551 1555 1520 1624 1680 1750

Value 13800 16900 15510 15550 15700 16240 18480 n.a,

CassavaVolume 450 500 540 567 555 625 625 650

Value 3150 4000 5400 5670 5350 6250 6875 n.ad

PlantainVolume 490 600 650 670 690 665 720 780

Value 3430 4800 4030 4154 4275 4092 4910 n.a.

TaroVolume 135 158 182 180 175 200 206 247

Value 945 1120 1274 1383 1305 1400 1586 n.a.

Sweet PotatoVolume 18 20 21 21 21 21 23 13

Value 144 160 168 168 168 168 202 n.a.

GroundnutVolume 24 28 43 41 40 44 47 50

Value 600 644 770 741 750 796 934 n.a.

PaddyVolume 160 250 316 385 320 335 406 460

Value 2880 4500 6320 7700 6770 8375 26890 n.a.

SubtotalVolume 2626 3101 3577 3744 3584 3792 3993 4355

Value 27555 35255 37478 40092 38172 41428 64550 n.a.

1/ The 1975 figures are based on the 1974/75 agricultural census.

Source: 1960/74 - Minist6rc du Plan. La Cbte d'Ivoire en chiffres (1976)

1975 - Ministbre de l'Agriculture - Statistiques.

March, 1977

ANNFX 2IVORY WA5T Table 2

FEEDER ROAD AND HIGH'WQAY MIAINTENANCE PROJECTAgricultural Productions-1960-1965-19M2I75

Mnir Crops

(Volume in thousand tons; Value in CFAF million)

grqpfYeTr 1960 15S5 1970 1971 1972 1973 1974 1975

Coffee

Volume 137 213 275 241 283 277 199 278Value 13508 19150 26950 25044 30145 30772 24562 n,a,

Cocoa

Volume . 86 134 168 232 200 179 223 238Value 7797 8506 14252 19996 17647 725 33365 n*a.Oil Palm (bunches)

Volume 298 329 480 539 687 686 916 980Value 941 1031 1792 1974 2609 2670 6551 n.a,Coprm

Volume 2 4 10 11 12 13 14 14Value 66 99 310 335 380 471 667 n.a,Rubber ( latex)

Volume - 4 11 14 15 15 17 17Value - 372 900 928 86 1763 2477 n,a.EBnana

Volume 80 138 179 188 212 177 208 -100Value 1743 2923 3716 3944 4514 3336 4961 n.a,PinM22le

Volume 20 44 111 139 203 199 228 223Value 268 523 1538 1833 2549 2547 3325 n.a,Cotton

Volume 7 10 34 31 49 54 59 64Value 192 369 1176 1221 1953 2153 2B90 n,a,Tobacco

Volume 2 2 2 2 3 3 3 5Value 165 216 166 178 191 221 252 n,aiCitrus

Volume 1 5 19 28 30 38 50 n;c,Value 11 54 230 345 350 397 476 n.a.SubtotalVolume 633 683 1289 1425 1694 1641 1917 1920Value 24691 33303 51036 56398 61324 63132 8006 n,a,

Source: 1950/1974 - Ministere du Plan. La Cote d'Ivoire en ¢hiffres (1976)1975 - Ministere de l'Agriculture - Statistiques

Marchh, 1977

ANNEX 3Page 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Details of Technical Assistance to MPWTCU for Feeder Road Works

1. Consultants would be engaged to provide technical assistance toMPWTCU for the feeder road works. The following personnel is required (refer-

ence is also made to Table 1 of this Annex):

(1) Chief of Technical Assistance Team (36 months) 1/

Qualifications: Civil Engineer (minimum 10 years professionalexperience) with experience in (i) planning, constructionand supervision of road works, including low cost roads;(ii) public works administration; and (iii) personnel manage-ment and training;

His duties will be, inter-alia, to:

(i) maintain overall responsibility for work of technicalassistance team;

(ii) plan, direct, supervise and monitor implementation ofimprovement and maintenance works in close cooperationwith his counterpart;

(iii) implement adequate accounting and reporting procedures;

(iv) develop with the economist a long term strategy forfeeder road improvement and maintenance;

(v) in cooperation with the economist plan and undertake

traffic censuses; and

(vi) draw-up a training program for permanent and temporarylo-zal staff (para. 2), provide on-the-job training tohis counterpart and other professional personnel toensure that local personnel can gradually take overproject responsibility.

(2) Senior Technician (20 months)

Qualifications: (minimum 8 years professional experience)

with experience in construction/maintenance of low cost roads,

1/ Effective working period excluding leave time.

ANNEX 3Page 2

His duties will be, inter-alia, to:

(i) prepare contract documents for road works to becontracted and evaluate contractors bids in closecooperation with his counterpart;

(ii) supervise, guide and assist contractors;

(iii) assist in planning, directing, supervising andmonitoring the implementation of improvement andmaintenance works on force account; and

(iv) provide on-the-job training to local staff.

(3) Economist for Project Planning, Monitoring and Evaluation(10 months total, at periodic intervals)

Qualifications: Degree in economics (minimum 5 years pro-fessional experience) with experience in program p:eparation/evaluation in agriculture and transporLation.

His duties will be, inter-alia, to:

(i) define criteria for feeder road development andselection;

(ii) draw-up annual feeder road programs;

(iii) monitor the socio-economic aspects and impactsof feeder road improvements being undertaken;

(iv) provide on-the-job training to local counterparts; and

(v) supervise and analyze a sample program of traffic count-ing on project roads.

(4) Mechanical Inspector (20 months)

Qualifications: Mechanic (minimum 10 years professionalexperience partly obtained in developing countries)in maintenance and repair of road construction equip-ment.

His duties will be, inter-alia, to:

(i) provide overall responsibility for equipmentmaintenance and repair; and

(ii) provide on-the-job training to local mechanics aswell as provide training as part of an organizedtraining program for local mechanics.

AiNEX 3Page 3

(5), (6), (7) Technicians (20-30 months)

Qualifications: Technician or inspector of work with training

as mechanic or surveyor (minimum 8 years professional experi-

ence) with experience in operation of mechanized road brigades

(as chief of brigade) in developing countries.

His duties will be, inter-alia, to:

(i) plan and direct the work of two road improvement

brigades ensuring adequate efficiency and quality;

and

(ii) conduct on-the-job training of local staff (chief

of subdivisions, chief of brigades) to ensure that

the daily operations of the brigades can be

competently handled after his departure.

(8), (9), (10) Mechanics (20-30-month)

Qualifications: Mechanic with experience partly obtained

in developing countries in maintenance and repair of road

construction equipment.

His duties will be, inter-alia, to:

(i) plan and direct all equipment maintenance for two

road improvement brigades;

(ii) direct all equipment repairs for two road improvement

brigades; and

(iii) conduct on-the-job training to local mechanics.

2. The Government would provide the following permanent personnel

in advance of the arrival of the experts by whom they should be trained:

ANNEX 3Page 4

For the Division of Feeder Roads

No.

Project Coordinator 1Engineer or Senior Technician 1Economist 1 (part time)Accountant 1

For Each Brigade on Force Account

Chief of Brigade 1Mechanic 2

For Supervision of Each Contractor's Brigade

Technician 1Works Inspector of Works 1

For Each Regional Workshop (where brigadesare working)

Chief Mechanic 1

For Each Regional Directorate (where brigadesare working)

(to establish a drawing office)Senior Technician as Chief 1Draftsman 1Surveyor 1

For Each Regional Subdivision (where brigadesare working)

Senior Technician 1Accountant 1

MIRY COAST

FEEDER ROAD AND MAINTENANCE PROJECT

Technical Assistance for Feeder Road Works

Technical Assistance M§nhs. 1977 1978 1979 1980 1981 1980 Key MPWTCU Project Personnel

Feeder Road DivisiontTeam Leader, Engineer 36 .------------------- Project Chief

Senior Technician 20 . . Engineer or Senior Technician---- -- -.- -- - - --

Economist 10 --- - --- Economist (part time)

Brigade PersonnelBrigade Technician No 1 30 .----------------------- Chief of Brigade 62 Mechanics

Chief of Brigade & O MechanicsBrigade Technician No. 2 20 ----.------ ------ Chief of Brigade & 2 Mechanics

Chief of Brigade & 2 Mechanics

Brigade Technician No. 3 20 Chief of Brigade & 2 Mechanins

Chief of Brigade & 2 MechanicsDirectorate of EguipmentMechanical InspeciDr 20 -------.- Mechanical Inspector

Chief Mechanic No. 1 30 --------------- Chief Mechanic

Chief Mechanic NO. 2 20 ------- Chief Mechanic

Chief Mechanic No. 3 20 -------------- Chief Mechanic

Home Office Support 2

Total 228

Source Mission (------- Technical aAssistance)

. -Key NMWTCU Project Personnel)

March, 1977 I

ANNEX 4Page 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Guidelines for Evaluation and Planning of Feeder Road Works

A. Objectives

1. Within the Feeder Road Section of MPWTCU a capability would bedeveloped to:

- undertake on a continuous basis the economic, traffic,engineering and social aspects of the project;

- define the second and subsequent years' programs offeeder road improvement and maintenance; and

- prepare physical and financial plans for the second andsubsequent years' programs of feeder road improvement andmaintenance.

2. These tasks would be the responsibility of the Chief of the newFeeder Road Section assisted by a Transport/Development Economist and othertechnical assistance staff and their Ivorian counterparts. The Governmentwould, no later than three months before a new program starts, forward theproposed program to the Bank for review and approval.

3. In a project of the size of that proposed, extending over nearlyfour years and to be followed by a second phase, it is important to improveprogressively the effectiveniess of the analysis and planning in order tominimize risks and to maximize benefits. In view of the size of the project,measurements of traffic and transport costs will 1- carried out on a samplingbasis although detailed studies of particular roads should be made to theextent that time permits. Particular importance is placed on this proposedevaluation and planning operation not only to control the implementation andto improve the quality of this and subsequent projects, but also as an import-ant stage in institution building. It is through participation in theseactivities that Ivorian staff can best be trained.

B. Methodology

4. Economic Evaluation and Planning. Activities will include:

(a) measuring traffic flows on a statistical sample of selectedproject roads with higher traffic volumes using automaticcounters to establish annual traffic and seasonal variations,supplemented by visual counts to establish traffic composi-tion;

ANNEX 4Page 2

(b) for all project roads collecting data on,

(i) population size and location;

(ii) agricultural crop production and sales by crop type

and location;

(iii) timber production and sales, and

(iv) investment in economic and social fields; with these

and the traffic data, examine relationships that may

exist between the different variables to improve future

planning estimates used in the evaluation of road improve-

ment programs;

(c) maintaining up-to-date records of vehicle operating costs and

transport charges on project roads;

(d) for the second and subsequent years' programs: refining the

data for the proposed roads and making use of any improved

relationships established as a result of (a) and (b) above and

engineering inventories, undertaking the necessary evaluation

to prepare annual road improvement programs; and

(e) identifying and analyzing and operational difficulties affecting

the project.

Engineering Evaluation and Planning. Activities will include:

(a) evaluating the productivity and costs of the force account

brigades and of contractors;

(b) evaluating the quality of operations and the rate of deterioration

of project roads in relation to materials, rainfall, traffic and

maintenance effort and techniques;

(c) resulting from data obtained from (a) and (b) proposing any

necessary modifications to methods of execution, type of equip-

ment and road standards; and

(d) undertaking inventories of proposed project roads and elaborating

work programs and cost estimates.

ANNEX 5Page 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Economic Evaluation of Feeder Road Works

A. Objectives

1. The proposed project has two basic objectives:

(a) to promote and facilitate growth in the agricultural sectorby providing roads of an adequate standard to carry thepredicted levels of traffic at reasonable cost; and

(b) to provide reliable and cheap access (i) between ruralcommunities and (ii) to social and administrative services.

These objectives are also stated as priorities in-the current 1976-1978Public Investment Program.

B. Roads Studies

2. Ivory Coast has more than 32,000 km of classified tertiary andnon-classified roads serving rural communities. Of these roads, about12,000 km are already being maintained or improved as part of specificprojects or by existing agricultural and regional development organizations.Consequently the following roads were excluded from the BCEOM Feeder RoadsStudy from which the project roads were selected:

- SODEPALM 4,500 km on palm-oil and coconut plantations;

- Cotton Project roads 4,500 km (including the Bank-financedCotton Area Rural Development Project);

- Authority for the Improvement of the Bandama Valley (AVB)1,000 km; and

- Cocoa Project and others, 2,000 km.

The study examined approximately 20,000 km of roads located throughout thecountry. In the north, where many feeder roads are already included underthe Cotton Area Rural Development Project, the kilometrage of roads studiedwas relatively lower. Approximately 2.15 million inhabitants or 45% of thecountry's rural population were served by the about 1,160 roads includedin the study.

ANNEX 5Page 2

C. Evaluation Methodology

3. The roads were evaluated in the following way:

(a) each section of road was assessed in engineering terms

and costed for improvement to 4.5 m, 6.0 m, or 8.0 m,

all weath-.r standards;

(b) typical vehicle operation costs were estimated for

existing and improved roads (Annex 5, Table 1) allowing

for dry and wet season operations on the unimproved roads;

(c) employing traffic estimates for normal and generated

traffic and predictions for a 10-year analysis period

the voc savings derived from road improvement to the

different standards were estimated, taking into account

traffic distribution between dry and wet seasons;

(d) in deciding whether to improve a road to 4e5 m or6.0 m standard, a test marginal rate of return of 12%

was employed for the proposed first year's program; and

(e) overall cut-off rate of 12% was employed in selecting

roads for the first year's progral of proposed project.

Engineering

4. The roads studied were identified from: (a) a 1972-73 study by

Fonds Regionaux pour l'Amenagement Rural (FRAR) of agricultural road needs

of prefectures and sub-prefectures; (b) a survey by MPWTCU in their sub-

divisions in January 1976 to ascertain improvement needs of classified and

non-classified roads; (c) a survey in 1976 of feeder road needs by AVB and

Autorite pour l'Amenagement de le Region du Sud-Ouest (ARSO); and (d)

enquiries among regional offices of MPWT and Ministries of Agriculture, and

Water and Forest during 1976.

5. Of the approximately 20,000 km of roads included in the study,

road inventories were carried out on about 10,000 km. The road condition

and probable improvement works needed on the non-inventoried roads were

assumed to correspond to the average of the inventoried roads in the same

area. Unit construction costs were calculated for clearing, earthworks,

drainage structures and gravelling for each region. Based on the inventory,

sections of road were identified and costed which required improvement to

either 4.5 m standard, 6.0 m standard or in exceptional cases 8.0 m standard.

The choice of road standard was based on estimated traffic and consequently

vehicle operating :ost savings, indicative traffic thresholds being estab-

lished for each standard.

ANNEX 5Page 3

Traffic Estimation

6. Traffic on individual roads was estimated for 1977 and 1987 as afunction of regional agricultural production, marketing patterns, andthe population in affected areas. Twenty-three traffic counts were carried

at representative points to check the estimated figures and also to obtaindata on traffic composition. The number and duration of these traffic countsis insufficient to develop statistical tests but they indicate that belowabout 30 vpd the methodology adopted slightly underestimates traffic andabove 50 vpd overestimates traffic. The proposed project includes a programof traffic counts using both automatic counters and visual counts to establishseasonal traffic variation, absolute traffic flows and the composition oftraffic. This information will be used to: (a) provide more accurate datafor the improvement program in the second and subsequent years; in particular,data to be used in establishing the optimum standard of road improvement andresources required for road maintenance; and (b) improve methods of trafficestimating and forecasting.

Vehicle Operating Costs

7. Table 1 of this Annex details vehicle operating costs (voc) of therepresentative vehicles used in the evaluation. The costs on the improvedroads are given for roads 4.5 m wide, 6.0 m wide and 8 m wide. The costsfor the unimproved roads are given for the dry season and for the rainyseason, the duration of which varies from one part of the contry to another.

8. For any particular road, the voc' s are calculated using thefollowing notation:

Y - percenitage of existing road length in "bad"condition during the wet season and in "fair"condition during the dry season. The remainingpart of road (1-Y) is assumed in fair conditionduring the wet season and in good conditionduring dry season. Voc per km on road condi-tion "i" (i = 1 for 8.0 m road in good condi-tion; i = 2 for 6.0 m road in good condition;i = 3 for 4.5 m road in good condition all theyear or an unimproved road in "fair" conditionduring the dry season; i = 4 for an unimproved"fair" condition road in the wet season or foran unimproved "bad" condition road during thedry season; i = 5 for an unimproved "bad" condi-tion road during the wet season). These refer-ence numbers apply to Table 1 of this Annex.

ss - dry season.

sh - wet season.

ANNEX 5Page 4

Thus, the average vehicle operating cost for each vehicle type on unimproved

roads isz

C (sh) = vehicle/km (y C5 + (1-y) C4' during wet season.

C (ss) = vehicle/km (y C4 + (l-y) C 3) during dry season.

After improvement, the average vehicle voc for each vehicle type becomes

C (4.5 m), C2 (6.0 m) or C1 (8.0 m) during the whole year. Given these

savings for each vehicle type and for dry and wet season, and the volume of

traffic by type and season, total vehicle operating cost savings have been

calculated for each relevant level of road improvement on a road by road

basis.

9. For each road a stream of costs and benefits was estimated for the

10-year analysis period and economic rates of return calculated for each road.

For transition from a 4.5 m road to a 6.0 m road, a test marginal rate of

return of 12% was applied for the first year's program (para. 5.03).

D. Socio-Economic Factors

10. The proposed first year road improvement program has been selecLed

on the basis of roads yielding an economic rate of return of at least 12%

with the benefits derived from vehicle operating cost savings. However, it

was also considered desirable to assess each road in terms of socio-economic

indicators. Thus, each road, while being economically justified, would

have an estimated value in socio-economic terms which could, if desired,

be used to match the investment with specific social objectives. While

socio-economic indicators have not been used to select the roads included in

the first year's program, their application is suggested for establishing

priorities in future programs.

11. The socio-economic indicators assessed were:

(a) "secondary benefits" related to touristic, international

transport or regional development needs;

(b) distribution of vehicle operating cost savings among the

rural population mainly peasant farmers;

(c) the size of the population served by the road;

(d) the improvement in the road's reliability as a result

of the reduction in the amount of time the road was

closed due to rain;

(e) the number of social service units (e.g. schools and

clinics) served by the road; and

ANNEX 5Page 5

(f) the type of administration connection (e.g. countrysideto village, village to regional center, etc.).

For each of these social indicators a road would score from 0 to 10.

12. In order to provide an overall socio-economic evaluation theeconomic rate of return was also scored from 0 to 10 (0 corresponding toERR < 0%; 1 to 0% < ERR < 4%; ... 10 to ERR > 36%) and then combined withthe social indicator scores using a system of weights. Three series ofweights were tested.

Weights1 2 3

- Internal Rate of Return 33 50 30

- Distribution of Benefits 10 10 10

- Population Seived 10 5 10

- Improvement in Road Reliability 10 10 10

- Social Services Served 10 10 10

- Administrative Connection 10 5 10

- Touristic. Internationalor Regional DevelopmentInterest 17 10 10

TOTAL 100 100 100

The results of this scoring and weighting system are given in Table 12of the text and Table 2 of this Annex.

13. The economic rate of return (except in the case of roads servingtimber concessions) and "population served" are population related; both"social services served" and "administrative connections" are also populationrelated although to a lesser extent. Distribution of benefits is related tothe economic structure of the area served. With the exception of roadsprimarily concerned with heavy timber traffic, those roads yielding an econo-mic rate of return of 12% and above have a population per kilometer of road(assuming a 3 km width of influence either side of road) seldom falling below200 and on average about 250 persons per km of road, while those roads with arate of return less than 8% have a popjlation of less than 100 per kilometerof road or less than 17 persons per km . Improvement in "road reliability"is related to the economic rate of return as it is an indication of the levelof improvement to the road and hence the size of vehicle operating cost

ANNEX 5Page 6

savings. The "touristic, international. and regional development inlterest",

which was treated in the study as a secondary benefit, appeared to be of low

significance among the roads studied.

E. Discussions of Study Results

14. All prices are net of taxes and duties and no shadow pricing was

employed. Related to this latter point is the question of the possible

use of construction and maintenance methods employing a large element of

labour. Labour-intensive methods were examined but were considered to be

unsuitable for the following reasons:

(a) the rural areas of the Ivory Coast-- especially those of high

agricultural potential-- are generally short of labour, and

this shortage may become more pronounced with the planned rate

of increase in agricultural production of 7% per annum,

while the rural population is expected to increase only by

about 2% per annum;

(b) it is Government policy that the rural population would not be

employed on road-works at the expense of agricultural produc-

tion; and

(c) even arbitrary shadow pricing the foreign exchange content of

equipment-intensive operations at 150% (which is higher than

justified for the Ivory Coast) the economic cost of construction

by labour-intensive methods is higher than by using mechanized

brigades.

15. In general, the traffic level yielding a marginal rate of return of

12% on the incremental investment to improve a road to 6.0 m width rather than

4.5 m was 25 vpd in the "opening" year assuming a traffic growth of 8% per

annum and a 10-year analysis period. Sections are proposed for improvement

to 8.0 m standards if the 1987 traffic is above 150 vpd; these are most

frequently the sections adjacent to the main or secondary road passing through

large villages with considerable road-side friction.

16. It is anticipated that at least between 35% and 45% of thlXe savings

in vehicle operating costs may, on average, accrue to the population (peasant

farmers) served by the improved roads. This is the result of the competition

for passenger transport and for the transport by pickups and small trucks

for which rates are not fixed. Present over-capacity in the transport in-

dustry also stimulates competition. The monitoring function included in the

proposed project will be concerned inter alia with obtaining further informa-

tion on benefits and their distribution.

19. Using a minimum rate of return of 12% to justify road improvements,

improvment of 158 roads totalling 4,304 km was found economically justified

assuming construction in 1978. Of this total 1,343 km justified improvement

ANNEX 5Page 7

to 4.5 m standard, 2,636 km juistified improvement to 6.0 m standard and 325km to 8.0 m standard. These roads are listed in Table 12 of the text (FirstYear Improvement Program) and Table 2 of this Annex together with the estimatedsocial indices. The overall rate of return for these roads is 24%.

.>nn2x-

Table 1

IVORY COAST

FEEDER ROAD AND HIGHNAY MAINTENANCE PROJECT

Mean Vehicle Operatin Costs by RoadTyp

(CFAF/kin. Jannuary, 1979)

Road Improved 8 Improved 6.0 Improved 4,5 Unimproved Jnimproved

Type meter wide meter wide meter wide ry season Wet season

cle Type Net of With Net of With Net of With Net o7 With Net of With

Tax Tax Tax Tax Tax Tax Tax Tax Tax

iCar/Taxi 21.3 31,9 ,224 33.64 j 23.4 35.09 27,17 40.92 32.92 49.79

Pick-up11/

120.85

Bush-Bus 51 ,2 70.8 53,9 74.61 57D94 79.23 6B862 93,92 88.19 120.85

i / iI i I

Light Trucks I49.3 6s8.6 51.871 72.24 57.68 79.12 72.01 98.45 89.:9r 123045

Heavy Trucks i69.2 89.5 72A881 94.24 82,02 105eO3 10504 153552 130,5 z17 168.53

4/

ISemi-trailer 1230.4 312.8 '242.571329.26 249,41 .330. '3440? .452,74 444,91 1 619

I ___ ,__ ,1,___ ,_ _ - -__ -

1/C 20 passengers2/ 1-2 tons capacity3/ 3-10 tons capacity (average 5.5 tons)

4/ timber carrying vehicles 25 tons capacity

Source : Consultant, BCEOM and Mission es timates

March, 1977

IVORY COAST

FEEDER ROAD AND HGTGF)AY MAINTENANCE PROJECTList of Feeder RoadJs with Rate of Return Greater than l12l

Other than Those Incluled in First Year 's Road Improvement Prqo am

District and Length of Road Investment Internal Rate Socio-Economic IndicesRoad Number 4.5m 6.Om 8.Om Total Cost of Return rnative weights)km km km km CFAF million X 1 2 3

ABIDJAN

0601 14 - 14 19.2 4Z 63 73 610106 - 63 - 63 86.7 40 46 61 440104 6 14 24 44 96.7 27 58 71 58om i - 7 - 7 9.6 18 45 47 451 ODB 13 12 - 25 28.2 22 42 46 420702 37 9 - 46 45.7 18 30 31 30,56 119 24 199A801S:30

0109 7 6 - 13 11.5 40 61 71 590107 5 23 10 30 86.8 40 59 70 580110 - 5 - 5 6.5 31 53 60 520101 3 13 14 30 57.9 30 56 68 540205 4 4 - 8 11.5 24 44 46 420106 5 8 - 13 8.9 39. 48 60 460103 6 18 - 24 35.2 16 41 41 370203 8 11 - 19 46.0 19 39 43 400211 24 - 24 45.6 21 36 41 360105 8 9 - 17 40.1 16 31 32 310204 10 - - 10 16.7 12 34 34 320201 5 7 - 12 20.3 12 33 33 310112 8 - - 8 10.3 13 31 32 320102 6 13 - 19 17.9 14 35 38 3575 141 24 . 240AD-ZP-E

0102 15 - 15 20.3 31 66 73 67 o0103 I 5 - 9 9.6 19 57 60 610201 - 5 - 5 6.3 19 54 57 5401301 15 13 - 28 26.9 22 65 6 65

DisLrict and Internal Rate Socio-tconomic IndicesRoad Number 4,5m 6.Om 8.Omk Total Cost of Return (alternative weights~

km km km km C:AF million q / 1 2 3

0502 23 5 6 34 45,7 17 54 59 530106 16 19 1 9 53 79.4 23 53 65 52

58 62 24 144AGBOVtILLE

0114 10 - - 10 5.1 25 64 72 640113 4 5 - 9 9,3 18 55 9 580110 11 21 - 32 40.8 12 43 44 430106 7 10 17 22.3 13 35 37 36

32 36 - 68DIVO

0308 10 47 - 57 54,2 40 53 6B 510309 21 - 21 27.5 25 52 58 500401 12 16 28 34,4 1B 46 49 4 50108 - 13 - 13 17.0 1? 44 48 430104 5 13 - 18 20.7 14 41 43 410103 26 30 - 56 45.6 23 40 49 390201 11 20 31 24,9 16 37 39 340202 25 28 53 41,3 18 27 32 24

89 188 2?77BIANKOUM/A

0101 25 21 46 66.8 14 54 52 510106 17 6 23 31,9 13 51 47 48

42 27 69DC)NANE

0301 3 12 15 30.9 21 57 59 540201 13 18 31 46,7 20 52 53 490217 11 11 21,, 4 25 52 59 500215 13 13 25r,3 l a 51 53 510205 10 22 32 63.4 20 47 90 60308 9 22 34.8 14 48 48 45

054 4 8 1301 14 47 47 M0216 12 22 36,6 19 46 M 450105 9 -- 16 26.8 45 45 43

z 7 i 62 '- 170

District and Length of Road Investment Internal Rate Socio-Economic IndicesRoad Number 4.5m 6. O 8,0-n To tal1 Coast of Return (o1lterr1 -Itivie weights)km km km km CFAF million 1 2 3

GUIGLO

0201 11 19 8 38 77.4 23 60 64 590506 13 2 - 15 21.9 14 51 50 490101 5 21 - 26 49.9 12 41 41 4229 12 8 79MAN

0512 14 10 13 37 68.2 34 82 710106 10 1? 13 40 81.2 22 64 73 63040 4 4 - 8 11.9 13 51 50 520401 2 3 13 18 51.5 19 55 62 550101 12 3 9 24 43.1 14 60 67 590511 5 8 - 13 20.2 16 44 44 430306 5 8 3 16 29.2 14 50 55 490407 15 21 - 36 61.5 12 46 47 460501 12 13 - 25 37.4 14 34 35 340108 15 24 - 39 72.1 18 34 36 3394 111 51 256ABENGWURCW02070207 3 8 - 11 11.6 35 65 77 660112 3 25 - 28 21.9 34 58 68 540106 - i8 12 30 55.9 22 65 %6 640202 4 7 5 16 24.3 20 66 77 6?0204: 13 25 3 41 45.B 23 55 64 540203 7 15 - 22 27. 9 18 44 48 440201 - 40 2 42 38.9 28 49 64 480105 11 15 - 26 23.4 16 40 45 390111 13 20 8 41 73.9 13 42 46 4154 173 30 257

10 NDOUIKOU

0116 26 - 18 44 70.7 15 62 66 58 M F-0122 - 9 - 9 10.0 1B 48 49 49 m N0302 - 9 9 12.2 16 45 45 48 o0501 10 10 - 20 10.2 13 37 35 3436 28 i8 82

District and Lenahof Road Investment Interrnl Rate So(io-EronatiC indicesRoad Number 4.5m 6.m 8 Omni Total C:-.st of Return (alternative weigh2s

km km km km CFAF million 1 2 3

BOAFLE

0405 17 - 17 20.2 34 68 77 67

0203 11 5 3 19 23.3 19 63 67 59

0102 - 4 4 8 14.9 13 1 79

0402 2 13 15 30 54.6 21 64 71 60

0105 11 27 - 38 40.2 25 54 63 53

0201 8 4 - 12 10.8. 13 48 47 47

0110 10 I0 - 20 26.L 12 45 45 43

0302 3 3 -6 4.5 12 48 50 48

0111 - 14 - 14 12.2 12 39 42 38

45 9? 22 164k90iAKE

0102 6 11 - 17 14.5 18 4? 51 48

0707 6 12 18 16.8 17 45 30 43

0705 8 17 - 25 15.4 18 47 52 47

0902 11 20 - 31 20.2 19 40 48 38

0903 13 11 24 17.9 13 30 36 29

44 71 - 115DVABAKALA

0101 22 29 - 51 50.4 16 36 38 35

22 29 - 51DIMBEOKRO

0508 22 15 - 37 32.0 18 52 54 48

0302 3 - - 3 2.9 20 61 7 21

1-)202 8 20 10 38 115.2 22 43 45 43

0215 9 11 - 20 32.7 14 39 39 38

0303 - 7 - 7 14.4 12 41 41 41

0802 28 26 14 68 104.5 21 4 55 4

0809 18 8 - 26 38.8 13 34 34 35 d e

0101 10 10 - 20 25.1 15 36 30 36 0

98 97 24 219 m >

3JONDIALI 0 r ;

0317 9 16 25 25.6 18 24 42 41

0301 17 ti? - 34 32.9 15 42 41 39 a

26 33 - 59

District and Len of Road Investment Internal Rate Socio-Economic Indicesno-ad Nurfbier 4.5m 6.Om 8.O0fl T otal C oast of Return 7[alternative weigh ts7km km km km CFAF million 1 2 3

KORHOGO

0411 11 6 11 28 35.0 20 68 74 640)415 6 2 - 8 8.0 12 34 31 3506.12 9 3 - 12 4.0 21 29 29 290307 14 - 14 14.1 12 33 31 350109 12 15 - 27 4.6 23 26 28 2652 26 11 89ODIENNE

0206 35 - - 35 25.2 12 25 26 2535 - - 35D,Y-LOA

0302 17 25 - 42 (2. 8 26 22 17 220303 30 - - 30 18.6 19 19 16 190103 12 - - 12 1 24 22 17 220101 13 - - 13 4,6 25 17 15 170202 6 19 - 25 16,4 19 18 15 180201 31 31 - 62 39.2 20 36 38 35109 75 - 184

0301 a - 8 10e? 19 49 55 49(206 9 9.I 18 45 49 451201 9 - - 9 5S8 12 6 47 47(1204 15 - - 15 7.0 15 42 47 41ro4 8 - - 8 9.2 16 32 37 3249 - - 119SASSANDRA

0501 - 46 - 46 65,1 40 53 65 4180101 20 87 107 64,4 40 46 58 510301 - 36 - 36 38.2 26 49 60 450501 121 - 121 109,1 39 43 55 38 p0703 42 - 42 37.5 32 47 58 43061 13 32 - 32 21.3 29 51 63 '16 L(303 9 11 - 20 8.9 19 39 43 36 o ) '

nistrict and Lg of Road Investment Internal Rate Socio-Economic IndicesRoad Number 4.Sm 6.Om 90mrn Total Coast of Return (alternative weights)

km km km km CFAF mrillion 1 2 3

0201 - 60 - 60 54.3 25 40 El 360601 - 37 - 37 25.6 22 42 52 3807(68 a 10 18 13.4 18 35 38 320612 14 76 - 90 80.1 22 34 41 300705 24 16 - 40 28,6 12 33 34 30

0303 21 16 - 37 25n9 14S 590 - 686

Grand Total 1201 2055 236 3492

5ource: BCEOM G Mission

.l-rcIi, 1977

(DN

0

X \

ANNEX 6Page 1

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Study on the Modal Distribution ofTraffic Between Road and Rail

Draft Terms of Reference

A. Objectives

1. The consultants shall analyze for both road and rail transportthe present situation in the relevant regions of the Ivory Coast, UpperVolta and Mali, regarding transport flows, economic transport costs, usercharges, subsidies, tariffs and the quality of service. They shall determinethe economically best distribution of traffic between both modes and recommendto improve the present modal distribution.

B. Scope of Work

General

2. The consultants shall perform all studies, field investigations,and related work herein described, as required to attain the objectivesset forth in part A above. The consultants shall take into account allexisting relevant information, such as recent studies on different aspectsof transportation, Government and railway statistics and budgets, railwaycosting data, etc. The consultants shall limit their field investigationsto areas where important data are not available or appear unreliable. Theyshall be solely responsible for their findings and recommendations.

3. The consultants shall clearly explain in their reports themethodology and assumptions used in their studies, and their work shallbe presented in sufficient detail for it to be verified without furtherinformation. This shall include the methodology and assumptions ofcomputer models, should such models be used.

4. The geographical coverage of the study shall be limited to thearea of influence of the Regie des Chemins de Fer Abidjan - Niger (RAN),con s ing essentially of the Abidjan - Ouagadougou corridor and southernMali. in making their recommendationE, the consultants shall, however,ta>,_ i o account the influence of the Ouagadougou-Tema and Ouagadougo-Lome roLds and the repercussions of their recommendations on road transportoutside of RAN's area of influence.

ANNEX 6Page 2

Traffic and Transport Costs

5. The consultants shall estimate present rail and road transport flowsfor both passenigers and homogeneous group of coaamodities for:

(a) domestic Ivorian traffic;

(b) Ivory Coast-Upper Volta traffic;

(c) Ivory Coast - Mali traffic; and

(d) Upper Volta traffic using the ports of Tema and Lome.

6. The consultants shall determine economic road and rail transportcosts as a function of size and value of shipments of transport distances

and/or for important origins/destinations for passengers and for homogeneousgroups of commodities. This determination shall be based on the concept of

long-term marginal costs, including at least the following cost components:

(a) operating costs;

(b) costs of transshipments and on carriage; in particularfor rail transport;

(c)C cosiJ of maintaining, renewing and, if needed, extending

transport infrastructure excluding, however, projectspresently in an advanced stage of execution; and

(d) quantifiable costs relating to the quality of service,stemming in particular from differences between modesin speed and reliability of transport, the incidenceof pilferage and breakage, and the like, taking intoaccount service improvements presently planned by RAN.

Modal Distribution of Traffic

7. Based on the analyses under paragraph 6 above, the consultantsshall determine the economically best modal distribution of the trafficvolumes deZ.rmined under paragraph 5above. In doing so they shall consider

the total vhlume of Mali traffic going through Abidjan as being determinedby exogenous factors, and they shall therefore not be obliged to analysethe question of a better distribution of Mali traffic between Dakar and

Abidjan. The best modal allocation shall be determined for passengers andhomogenous groups of commodities, and for an appropriate range of transportdistances and/or for important origins/destinations, and as a function of the

size and value of shipments.

8. The consultants may have to determine the best modal allocation

in an iterative process since any significant difference between the actual

ANNEX 6Page 3

and the best modal distribution would necessitate an evaluation of the carry-ing capacity of one or the other mode. This appl, es in pazticular to railwayinfrastructure capacity. The econornic oo f ;- of .-t-- - ld J a,dti nional capacity,if needed to carry the allocaW6 L' -: i ' 1 ' the ;.c--tomic transportcost and thus may alter the origi-illy d6.. 7 -3i modal distribution.The economic cost of additional capacity m--,' be -i(>ed equal to theopportunity cost of the corresponding invesLme i-1

9. The consultants shall identify, ar.alyze and describe other factorswhich, in addition to economic transporG c-rj:7s, _Influence the actual modaldistribution of traffic between rail and road. Thefy shall in particularanalyze the following factors:

(i) the degree of recovery of 3co''A.. x:c5- users,taking into account,

(a) road user chargcs;

(b) indirect subsidizat-I.n- of heavy vehicles createdby the existing system of road sL -?o'i

(c). railway subsidies ;:HnLI

(d) railway tariffs; and

(e) road transport :ar.if£, V-t-owned truiCking n

(ii) differences between sconrci.` v ..; co.ts androad transport tariffs actually r *'ghy f-jr-lvate truckingand forwarding compznIe-. h:4.; -r : .: y- be due interalia to overcap.zB:y, *:J. - 'e. . i.r-efficientvehicle fleet oi. a or ; ..- 2'1 vis-a-visthe railway, wihich are , ,- ' ii£ the road transportindustry; and

(iii) non-quantifiable differ-,-e- -h-:va ofeach mode, taking into account both '±3 a ,iual qualityof service, and the shippers' percep-"''. - -: ';.ia-iis quality.

10. The cotasultants s.hal1l7o 1-e D . b.es..; eat modal distribu-tion, as determined by them, with the aci 7u v.'r.r-n of traffic. Theyshall estimate the economic costs of di. .'Lr:.r Te rod-.al allocation oftraffic. This shall be doaa -1rbally ii - - " . r : important origins/destinations.

11. The consultants shall try to etpl--JI-n I-rvici between the bestand the actual modal distribution, taking :1.nc:o the analyses made under

ANNEX 6Page 4

paragraph 9 above. They shall endeavor to quantify the influence of indivi-dual factors on the distortion of the modal distribution, with particularemphasis on the effects of direct and indirect subsidization of the railway

and the trucking industry respectively.

Recommendations

12. The consultants shallw recommend specific actions to improve the

modal distribution of traffic. The consultants' recommendations shall cover

all areas analyzed in their studies and they shall endeavor to quantify the

benefits expected from implementation of each action.

13. Particular attention shall be given to determine adequate levels

of cost recovery from transport users and to recommend specific actions to

achieve these levels, taking into account (a) the potential economic cost

of frustrating trcaffic through increasing road user charges and decreasing

railway net subsidies, if frustration of traffic can reasonably be expected;

and (b) the Government's budgetary constraints. The consultants shall

endeavor to determine the optimum levels of road and rail user charges by

taking into account Government budgetary constraints, the economic cost, if

any, of frustrating or not generating traffic, and the economic cost of modal

distortions in traffic allocation.

C. Reports and Timing

14. The consultants shall submit:

(i) a Draft Final Report within s'.x months of t'e startingdate, summarizing all work performed and describing theconsultants' findings and recommendations; and

(ii) a Final Report within six weeks of the receipt of allcomments in the Draft, incorporating all appropriate

revisions.

15. All reports shall include a summary of the consultants' findings

and recommendations. The Draft Final Reort shall be submited in --------

copies in French and ----- in english. The Final Report shall be submitted

in ---- copies in French and copies in English.

D. Information Provided by the Governments

16. The Governments of the Ivory Coast,and Upper Volta, represented by

their ministries in charge of transportation, will:

(i) provide the consultants with a.1 available information,including information on RAN and the ports of Abidjanand San Pedro, deemed useful by the consultants; and

ANNEX 6Page 5

(ii) assist the consultants in their respective countries inobtaining necessary information from the private sector.

The Government of the Ivory Coast will, additionally, assist the consultantsin obtaining necessary information from Governments and Government agenciesof third countries.

IVORY COAST

FEEDER ROAD AND HIGHWAY MAINTENANCE PROJECT

Or9ganization ofthe Ministry of Publi.cWoIks,Transport ,Construction and Urban;Sm

MINISTERF- M INISTER O POFIETIRT AYA LC;UCII DOCUMENTATION~

ND S,ERVICES -i -. CENTER

DIRECTOL CENTRAL RAL C TRAECENTRAL ENTRAL ETRAL CENTRAL CENTRAL CENTRAL DIRECT RATEDIRECTORIATE: OF CENTRAL DIETRTS CETA CNRL DICOAE DRCOAE D IIRECTORIATE DIRIECTORATE DIRECTORATE DIRECTORAT DIREC1TORATE DIRECTORATE FOR

TRT E SUB-DIRECTORATE 1SUBDIRECTORATE DIRETORE O DIRECETORATE

OFA OFF PBLROGRASDIECTRANDO OE ROASFOA O FRIDI

NEOGRA^.1VIP<. AND INVESTMENT | OF OA MAINTENUBO:PE MAINTENANCE

IFEEDER ROADANoSI SEERA

DE-P.11;r lARTM; EN1:T.;. SUB.......... IF CTOAT :IRECT.OtAT O.. ... DIRECTORATE-OFlZv. PLNNN DS -IRCORT

IBRD 12899R* JULY 1977

IVORY COAST ____________ Feeder roads program for1978/79 | J 1977

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