African Development Fund Republic of Kenya

KENYA

TIMBOROA ELDORET ROAD

REHABILITATION PROJECT

PROJECT COMPLETION REPORT

RDGE DEPARTMENT

June 2017

1

I BASIC DATA

A Report data

Report date Date of report: 15 September 2016

Mission date: From: 24 August 2016 To: 26 August 2016

B Responsible Bank staff

Positions At approval At completion

Regional Director D. GAYE G. NEGATU

Country Manager D. BUZINGO N/A

Sector Director G. MBESHERUBUSA AMADOU OUMAROU

Sector Manager D. GEBREMEDHIN ABAYOMI BABALOLA

Task Manager ZERFU TESSEMA GEORGE MAKAJUMA

Alternate Task

Manager

ZERFU TESSEMA

PCR Team Leader GEORGE MAKAJUMA

PCR Team Members

G. MAKAJUMA

P. OWUORI

E. NGODE

J. ECAAT

A. GITONGA

(Consultant)

PROJECT COMPLETION REPORT (PCR)

2

C Project data

Project name: ELDORET – TIMBOROA ROAD REHABILITATION PROJECT

Project code: P-KE-DB0-019 Instrument number: ADF Loan No. 2100150023344

Project type: Infrastructure Sector: Road Transport/Highways

Country: Kenya Environmental categorization (1-3): 1

Processing milestones – Bank approved

financing only

Key Events (Bank approved

financing only)

Disbursement and closing dates

(Bank approved financing only)

Financing source/ Instrument 1:

ADF Loan No. 2100150023344

Financing source/ Instrument

1:

ADF Loan

Financing source/ Instrument 1:

ADF Loan

Date approved: 24.11.2010 Cancelled amounts: UA

3,994,720.43

Original disbursement deadline:

29.02.2016

Date signed: 23rd March, 2011 Supplementary financing: NIL Original closing date: 31.12.2016

Date of entry into force: 20th July, 2011 Restructuring: NA Revised disbursement deadline:

NA

Date effective for 1st disbursement: - Extensions (specify dates): NA

Revised (if applicable) closing date:

NA

Date of actual 1st disbursement: 03.09.2012

Financing source/instrument:

Disbursed

amount

(amount, UA):

Percentage

disbursed

(%):

Undisbursed

amount (UA):

Percentage

undisbursed

(%):

Financing source/ instrument1: 35,000,000 UA 31,005,279.57 89% 3,994,720.43 11.4%

Government: GoK 3,920,000 UA 7,406,941.511 189% - -

TOTAL 38,920,000

UA

38,412,221.08 99% 3,994,720.43 -

Other external partners: N/A

Executing and implementing agency (ies): Kenya National Highways Authority

D Management review and comments

Report reviewed by Name Date reviewed Comments

Country Manager N/A

Sector Manager Abayomi Babalola

Regional Director (as chair of Country

Team) Gabriel Negatu

Sector Director Amadou Oumarou

1 Conversion rate 1 UA = KES 121.147 (Aug 2010)

3

II PROJECT PERFORMANCE ASSESSMENT

A Relevance

1. Relevance of project development objective

Rating* Narrative assessment (max 250 words)

4

The project objectives are consistent with Government of Kenya’s long-term economic development

strategy (Vision 2030) whose first five-year Medium Term Plan (MTP) for the period 2008-2012 had three

overarching pillars, namely, economic, social and political, with foundations anchored on expansion of

economic infrastructure. The project was also in accord with the main purpose of the Road Sector

Investment Program (RSIP) 2010-2014 which is to provide good roads for a globally competitive and

prosperous Kenya.

The project is aligned to Strategic Pillar no. 1 of the Bank’s East Africa Regional Integration Strategy

Paper 2011-2015 which is Regional Infrastructure with a focus on Regional Transport Corridors/Trade

Facilitation Infrastructure to promote seamless connectivity within the regional system, in order to further

reduce transportation cost and improve the business climate.

Rehabilitation of this road and thus improving the road network condition was expected to contribute to

reduction in travel time for heavy transit vehicles between Mombasa Port and Kampala by 25% and

increased intra-regional trade between Kenya and the neighbouring countries while at the same time to

contribute to the reduction of poverty (head count) in Rift Valley region from current 39% to 28% in 2015.

2. Relevance of project design

Rating* Narrative assessment (max 250 words)

3

The project had five components: Civil Works for rehabilitation of the road between Timboroa and Eldoret

(73 km) to bituminous (Asphalt Hot Mix) standard with 7.0 m carriageway and 2x2.0 m shoulders;

Consulting Services for Construction Supervision of the Civil Works; Consulting Services for Eldoret By-

pass study; Consulting Services for Project Technical Audits; and Compensation and Relocation of

Services.

The project design has taken into account lessons learned from previous interventions by the Bank and

other donors in the transport sector in Kenya. Specific measures included pavement design review to

minimise construction cost increase due to changed site conditions; precedent action to ensure adequate

local counterpart funds; starting procurement prior to Board approval (Advance Procurement Action) in

order to reduce project start-up delay; project execution through recently established autonomous highway

authority for improved governance and management; appointment of a Project Coordinator at the Kenya

National Highways Authority (KeNHA) Headquarters; technical assistance components including

supervision consultant and technical audit services to support the project management capacity of the

authority and improve auditing and reporting.

The significant increases in budgetary allocation for road sub sector in Kenya enabled the GOK to

adequately meet its local counterpart funds obligation under the loan. Furthermore, the part to be financed

by GOK, including compensation costs was low, at about 10.1% of the total project cost.

A capacity building component to KeNHA is also included under a separate Bank loan approved in 2009

to develop a Five-Year Business plan and modern business processes; to build capacity in procurement

and financial management; and provision of specialized ICT and software for modern highway

management systems.

4

3. Lessons learned related to relevance

Key issues Lessons learned Target audience

1. Design revisions

during project

implementation

Significant design changes were introduced very late during

implementation by Addendum No. 1 of 26th May 2014;-

11,704m of climbing lanes

4 km of concrete paved heavy vehicle parking lanes in Timboroa

Market, Burnt Forest, Cheptiret, Eldoret town and its environs (km.

10.11 km of footpaths to Eldoret town and its environs

1.1 km Timboroa access road

Various change of pavement rehabilitation works to take into

account deterioration, application of double seal surface dressing

Design changes due to initially overlooked components are bound to

affect project costs and time for completion, in this case a 67% increase

in contract cost and 305 day time extension. Project designs should be

comprehensively reviewed by an independent short-duration consultant

and amended before project appraisal.

KeNHA

2. Delays in land

acquisition

KeNHA surveyors undertook survey works in 2013 with a view to

acquiring land to ensure 60m right of way is secured throughout but the

process was never completed. By the time of final project completion

inspection, the land acquisition process had stalled and this meant that

road reserve boundary posts were not erected for the full road length.

Although the desirable road reserve for International Trunk Roads is

60m, in practice the road reserve for Timboroa – Eldoret has variable

dimensions, ranging from 75m width to only 36m with encroachment

observed along various sections.

The required right of way should be secured and be made available to the

Contractor at commencement in order to avoid implementation delays

and claims for extra time and costs. The Bank should consider making it

a condition for future project financing that all necessary acquisition of

ROW be completed prior to appraisal.

GoK and

KeNHA

3. Delays in relocation

of services

The Contractor was forced to revise his programme of works to start

construction works on section km 10 to 20 rather than km 20 to 30 due

delays by Kenya Power and Lighting Company (KPLC) in relocating

utility lines located within the right of way.

Ideally, KeNHA headquarters and regional offices should maintain

updated GIS mapping of the major road corridors showing all approved

utility service installations. KeNHA should have a road asset

management policy and system for approving utility service positioned

in the road environment, and strict requirements on use of ducts, GIS

mapping submission, fee payment and/or annual lease and written

undertaking to relocate services when required to do so at the cost of the

respective service providers.

KeNHA

5

B Effectiveness

1. Progress towards the project’s development objective (project purpose)

Comments

Provide a brief description of the Project (components) and the context in which it was designed and implemented. State the project

development objective (usually the project purpose as set out in the PM) and assess progress. Unanticipated outcomes should also

be accounted for, as well as specific reference of gender equality in the project. The consistency of the assumptions that link the

different levels of the results chain in the PM should also be considered. Indicative max length: 400 words.

The project development objectives were to contribute to improve transport communications between Kenya and Uganda,

Rwanda, Burundi, DRC and Southern Sudan for the benefit of the region and population of the project area. This was to

be achieved through reduction in transport costs and travel time between Nairobi and Kampala; improved economic and

living standards in towns along the corridor, and improved transportation of farm inputs and produce to and from the

project area.

The project was expected to contribute to increased volume of transit goods transported along the Northern Corridor,

reduction in transport costs and travel time; and increased agricultural produce transported from the project area. The

current assessment indicates that the volume of transit goods along the Northern Corridor has increased from 5,183,700

tonnes in 2010 to 7,843,730 tonnes in 20152; transit transport costs from Mombasa to Kampala reduced from US $ 2.90

per 40’container in 2010 to US$ 2.14 in 20153 while travel time for heavy vehicles between Nairobi and Malaba has

reduced from 24 hours in 2010 to 19.5 hours in 20154. Agricultural produce transported from Uasin Gishu County where

the project is located has increased from 200,000 tonnes in 2010 to 602,000 tonnes in 20145.

The Contractor was unsuccessful in securing substantial recruitment of women on construction work, the number of

women directly employed in the project reaching only 7% of the workforce which was far below both 30% Kenya

government target and the 20% target set by the project. Reasons why there were few women employees were mainly to

do with the cultural attitudes that consider manual and physical labour on the road is for men, while a primary role of

women is taking care of their children and homes. In addition, few local women have requisite technical and professional

qualifications.

Other direct beneficiaries included people along the corridor of the improved 73km road. According to the Uasin Gishu

County Integrated Development Plan there are 364,425 residents, who are located at Timboroa Trading Centre (11,771

residents) , Matharu Trading Centre (3,427), Burnt Forest Trading Centre (32,649), Cheptiret Trading Centre (24,367),

Ngeria Trading Centre (2,831), and Eldoret Town (289,380). These trading centres benefitted from improved connectivity

to the highway and facilities, including a paved access road 1.1km long to Timboroa market; truck parking lanes at

Timboroa, Burnt Forest , Cheptiret, Eldoret Kenya Pipeline Depot area and Maili Nne trading centre; parking lay-bys at

Matharu, Ngeria; service roads at Burnt Forest; market stalls at Timboroa; and pedestrian footpaths through Eldoret town.

Men and Women hawkers selling agricultural produce by the road side at Timboroa, Matharu, Burnt Forest, Cheptiret,

and in Ngeria Trading Centres were temporarily affected during the construction works. However, these hawkers have

expressed appreciation for the opportunity of providing food and catering services to construction workers during the

course of the works and the improved facilities that allow safer vending to motorist. To improve vending conditions and

road safety, the road design incorporated provision of lay byes at these markets. At Timboroa, separate parking lanes were

constructed along with 50 purpose-built market stalls complete with washroom facilities to benefit over 100 roadside

traders who sell roast maize and vegetables. The market stalls were completed in August 2016, but are not occupied to

date, as they await formal taking over and allocation to traders.

Other beneficiaries benefitting from improved transportation and facilities such as footpaths and bus-bays include the

31,000 youth student population of Moi University campuses (Main Campus, School of Law, Eldoret Town Campus and

Eldoret West Campus next to Kenya Pipeline Depot); Moi Teaching and Referral Hospital (960 students/257 staff); the

new University of Eldoret (UoE) Eldoret Town campus; and other schools/colleges along the road and within Eldoret

itself; and large industries along the road including Rupa Textiles, Kenya Pipeline Company, Kenya Co-operative

Creameries and Rai Plywood.

2 Kenya Ports Authority 3 Shippers Council of Kenya, LPS Survey 2015 4 Draft Project Completion Report, Egis/Itec Consultants, May 2016 5 Economic Review of Agriculture 2015, Ministry of Agriculture, Livestock and Fisheries

6

Training and technology transfer were the other outcomes. Although all of the Contractor’s 31 senior staff were

expatriates, according to Contractor’s Employment data, at the peak of operations, a total of 571 local staff were employed,

approximately 54% of whom were unskilled. 70% of these employees were youth, who were offered a chance to learn

such artisan skills as welding, carpentry, driving. Regrettably only 44 women or 7% of the labour force were women,

which is far below both 30% Kenya Government target and the 20% target set by the project.

In addition, a total of 13 University and Technical College students benefited from internships of 3-4 months duration at

various times during the project period and received training from the Contractors and Supervision Consultant on modern

road construction techniques and procedures. These students were drawn from Eldoret Polytechnic (3), Sigalagala

Polytechnic (2), Nairobi University (1), Moi University (2), Kenyatta University (1), Masinde Muliro University (1),

Kenya Institute of Highways and Building Technology (2), Taita Taveta University (1).

Unanticipated outcomes included rapid development of land along the road corridor, which included a number of

manufacturing factories (Toyota Tsusho multi million-shilling fertilizer-blending plant in Ngeria), shopping malls

including Zion Shopping Mall, tourist class hotels such as the Boma Inn erected by Red Cross, The Horizon, Starbucks,

and Fig Tree Garden Hotel, the 26 storey Moi University Pension Scheme high-rise office block, residential estates and

mixed use developments.

7

2. Outcome reporting

Outcome

indicators (as per

PM)

Baseline

value

(Year)

Most

recent

value (A)

End target (B)(expected

value at

project

completion)

Progress

towards

target(%

realized)

(A/B)

Narrative assessment

(indicative max length:

50 words per outcome)

Core

Sector

Indicator (Yes/No)

1.

1.1 Increased

volume of transit

cargo.

6.3 m ton

(2010)

7.8 m

(2015)

10.45 m ton

(2015) 81%

Transit cargo along the

project road increased

51% growth from

5,183,740 tonnes in 2010

to 7,843,730 tonnes in

2015.

Yes

1.2. Growth of

trade between

Kenya and the

neighbouring

Countries.

US$

1.32b

(2010)

US$ 2.19b

(2014)

US$ 2.12 b

(2015) 114%

Regional trade between

Kenya and neighbours

Uganda, Sudan/South

Sudan, Ethiopia, Somalia,

and Tanzania is recorded

to have grown from US$

1.32 B in 2010 to US$

2.09 b in 2014. The target

has been exceeded.

Yes

1.3 Poverty (head

count) reduced

39%

(2010)

33.8% 6

(2013)

28%

(2015) 47%

No recent data available

poverty headcount for

Uasin Gishu county.

Yes

2.

2.1 Increased

volume of transit

goods through Port

of Mombasa

to/from Uganda,

Burundi, Rwanda,

DRC and Southern

Sudan.

5.83 m

ton

(2010)

8.07 m

(2015)

9.61 m ton

(2015) 84%

Transit cargo from

Mombasa Port to Uganda,

Rwanda, Burundi, DR

Congo and South Sudan

registered 50% growth

from 5,183,740 tonnes in

2010 to 8,067,178 tonnes

in 2015.

Yes

2.2

Reduction in

transport cost from

Mombasa to

Kampala

US$

0.195 per

ton-km

(2010)

US $2.14

per 40’

container

per km

(2015)

US$ 0.137

per ton-km

(2015)

60%

Cost of freight transport

per 40’ container from

Port of Mombasa to

Kampala7 reduced by

18% from US$ 2.9 per

km in 2011 to US$ 2.14

in 2015.

YES

2.3 Reduction in

travel time for

heavy vehicles

between Nairobi

and Malaba border.

24 hours

(2010)

19.5.hours

(2015)8

18 hours

(2015) 75%

Average travel time for

heavy vehicles on the

project road in both

directions reduced by

12% between 2013 and

20169 .

YES

2.4 Increased

tonnage of

agricultural

0.2m tons

(2010)

0.6 m ton

(2014)10

0.26 m ton

(2015) 300%

Tonnage of agricultural

products transported from

Uasin Gishu County

YES

6 “Exploring Kenya’s Inequalities” (Kenya National Bureau of Statistics, 2013) 7 Statistical Abstract 2015 (Kenya National Bureau of Statistics) 8 Project Completion Report (Egis/Itec Consultants, 2016) 9 Project Completion Report (Egis/Itec Consultants, 2016) 10 Economic Review of Agriculture 2015 (Ministry of Agriculture, Livestock and Fisheries)

8

Outcome

indicators (as per

PM)

Baseline

value

(Year)

Most

recent

value (A)

End target (B)(expected

value at

project

completion)

Progress

towards

target(%

realized)

(A/B)

Narrative assessment

(indicative max length:

50 words per outcome)

Core

Sector

Indicator (Yes/No)

produce

transported from

project

where the project road is

located increased to 0.602

million tonnes in 2014.

3. Output reporting

Output

indicators (as

specified in the

PM)

Most

recent

value(A)

End target (B)

(expected value at

project completion)

Progress

towards

target

(%

realized)

(A/B)

Narrative assessment

(indicative max length:

50 words per output)

Core

Sector

Indicator (Yes/No)

3.1

35 km of road

rehabilitated and

opened to traffic

by June 2012.

50km rehabilitated

and taken

over in Nov

2014

35km

(Sept 2012)

143%

Original target to

complete half of the road

mid-way through the 24

months contract was not

achieved. The first

completed section of

50km was handed over

and opened to traffic on

19th Nov 2014 which is

26 months after

commencement.

YES

3.2

73 km road

rehabilitated

between

Timboroa -

Eldoret by end

2013.

73km rehabilitated and taken

over July

2015

73km

Sept 2014

100%

Original target to

complete rehabilitation

of entire 73km length of

road under contract

within 24 months was

not achieved. Final

completion was on 9th

July 2015 which is 34

months after

commencement.

Additional works

completed July 2016

included 11.74km of

climbing lanes 1.21km

access road and 4km of

heavy truck parking

lanes, 9 km of footpaths.

YES

3.3

Road safety and

HIV/AIDS and

STI awareness

and prevention

program

implemented by

2014.

Road

safety

campaigns

undertaken

by sub-

contractor

targeting 8

road user

groups

Road safety

campaigns

implemented to at

least 8

communities/settleme

nts plus Eldoret town.

100%

Road safety training

/sensitization campaigns

held for eight separate

groups. Beneficiaries

included 40 contractor’s

staff, 62 PSV drivers, 35

Boda-boda Sacco

leaders, 139 boda-boda

riders, 10 schools and

Uasin Gishu county

police. Public road

safety awareness road

YES

9

Output

indicators (as

specified in the

PM)

Most

recent

value(A)

End target (B)

(expected value at

project completion)

Progress

towards

target

(%

realized)

(A/B)

Narrative assessment

(indicative max length:

50 words per output)

Core

Sector

Indicator (Yes/No)

Total of 10

HIV/AIDS

awareness /

prevention

campaigns

between

Nov 2014

and October

2015

HIV/AIDS

awareness and

prevention campaigns

to at least 8

communities/settlemen

ts plus Eldoret town

125%

show held for 3,000

people.

Ten HIV/AIDS and

STI awareness and

prevention campaigns

reaching out to 404

males/111 females. 6

VCT sessions covering

115 males and 51

females implemented in

in several locations

across the project area

3.4

Gender

sensitisation

Nil Gender sensitisation to

be implemented (at

least eight

communities) by 2012.

0% No gender sensitization

carried out within

communities. Gender

Mainstreaming Plan

relating to contractors

staff introduced in

November 2012

NO

3.5

Road side

market sheds

and parking

space

50 Market

Stalls

constructed

at Timboroa

Road side market

sheds and parking

space constructed at

Timboroa with water

and sanitation.

100% 50 market stalls and

parking lanes

constructed at Timboroa

complete with water

connection and sanitary

blocks to benefit 100

roadside traders directly.

YES

3.6

Jobs created

during road

construction

571 jobs

created

during peak

operation

160 job created

during peak

operation (2014)

at least 20% will be

for women

357%

35%

571 jobs created

during peak operation

7% of employees

were women

YES

NO

3.7 Implementation of ESMP.

Tree planting.

NEMA

EIA license

issued

1,755

trees

planted

100%

implementation of

ESMP by 2014.

At least 2,000 trees

planted along the

project road by

2014.

100%

88%

EIA license issued by

NEMA at

commencement of

project. NEMA

certificate on 9th Oct

2015 of satisfactory

restoration /

decommissioning of 3

borrow pits, 2 quarries on

completion.

90 trees planted along the

road, the other 1,665

trees planted off-site

mainly in adjacent

primary schools in a

change of strategy to

encourage participation

YES

YES

10

Output

indicators (as

specified in the

PM)

Most

recent

value(A)

End target (B)

(expected value at

project completion)

Progress

towards

target

(%

realized)

(A/B)

Narrative assessment

(indicative max length:

50 words per output)

Core

Sector

Indicator (Yes/No)

of students and ensure

high survival rate.

Rating* (see IPR

methodology) Narrative assessment

3 The main physical outputs were fully achieved, and exceeded by way of additional works. In

addition to the planned output of 73km road rehabilitated with 7.0m carriageway and 2 x 2.0m

sealed shoulders, additional works were implemented including 3.98km of truck-parking

lanes, 11.74 km of climbing lanes length of service roads and 9km of footpaths. However,

some non-physical targets such as gender sensitisation and employment were not achieved.

Average rating for the outputs is Satisfactory.

4. Development Objective (DO) rating

DO rating (derived

from updated IPR)* Narrative assessment (indicative max length: 250 words

3 The development objective was to contribute to improving the reliability of the transport

infrastructure system to promote economic growth and socio-economic development in

a socially and environmentally sustainable way, and to promote trade and regional integration.

The project entailed rehabilitation of the Timboroa-Eldoret road (A104) measuring 73km in

length which forms an integral section of the Government’s key priority transport corridor, the

Northern Corridor from the Port of Mombasa which serves Kenya, and is also the major transit

route for the landlocked neighbouring countries of Uganda, Rwanda, Burundi, Democratic

Republic of Congo and South Sudan. The other project components covered the related

supervision and technical audit services, and a design study of the Eldoret By-pass road which

will be critical to the efficient performance of Timboroa-Eldoret road.

Progressive increase in transit cargo tonnage through Mombasa and overall volume of trade

between Kenya and neighbouring countries has been recorded in the last years, and the successful

rehabilitation of the project road has indeed contributed towards reduction in transport costs and

travel time along the corridor.

The project met the sector outcomes and is rated Highly Satisfactory, met its development

objectives and is rated Satisfactory in meeting the expected outputs. The combined development

objective rating for the project is Satisfactory.

11

5. Beneficiaries

Actual (A) Planned (B) Progress

towards

target (% realized)

(A/B)

% of

women

Category

(e.g. farmers,

students)

1.

1.1 Populations of Kenya,

Uganda, Rwanda, Burundi,

Democratic Republic of Congo

And southern Sudan. 1.2 Public at large and population

of Rift Valley region

Populations of Kenya,

Uganda, Rwanda, Burundi,

Democratic Republic of Congo

and South Sudan

General population in the

project area of influence (Rift

Valley region).

100%

49.2 Populations

of Kenya,

Uganda,

Rwanda,

Burundi,

Democratic

Republic of

Congo

and South

Sudan total

196,432,144.

General

population of

Rift Valley

region -

10,006,805.

2.

2.1 Freight Shippers, Exporters and

Importers, Transport Operators,

Business community

2.2 Population, within the vicinity of

the project area.

2.3. Decision making authorities and

Financing Agencies.

Transit traffic operators

Direct population served by the

improved road

KeNHA, Government of

Kenya, AfDB, County

Government

>100%

NA

Total of 1,413

heavy goods

vehicles per

day of 4-6

axles on the

road (2016

ADT)

Commuters

/residents

between

Timboroa and

Eldoret Total

364,425

people

12

6. Unanticipated or additional outcomes

Description Type (e.g. gender,

climate change,

social, other)

Positive

or

negative

Impact on

project (High,

Medium, Low)

1. Traffic level after project completion slightly higher than

predicted levels for most project road sections. This has seen

increased traffic congestion especially during peak periods

through Eldoret town centre.

Economic Positive/

Negative

Medium

2. New factories established e.g. Toyota Tsusho fertilizer-

blending plant in Ngeria, amongst others.

Economic Positive Medium

3. New shopping / office complexes developed e.g. Zion Mall,

Moi University Pension Scheme complex tower.

Economic Positive Medium

4. Social amenities and recreation facilities e.g. Boma Inn, New

Pine Tree Gardens hotel, amongst others.

Social/Residential Positive High

5. Training and technology transferred to locals e.g. plant

operation skills, new construction techniques.

Social Positive High

6. Introduction of solar powered street lighting at new truck

parking lanes which is a renewable source of power that does

not contribute to climate change

Climate change Positive Medium

7. Lessons learned related to effectiveness

Key issues Lessons learned Target audience

1. Traffic generated

due to

unanticipated land

use development

1. Average daily traffic count in all vehicle classes (ADT) in 2016 was

7% higher than originally predicted at design stage. This is attributed

to generated traffic from new land use development along the corridor,

which has prematurely contributed to congestion at some intersections

and merging points in Eldoret and its environs. Generated traffic due

to land use development along a transport corridor should be

adequately accounted for at planning stage.

KeNHA

2. Travel times and

delays are

influenced by

design

deficiencies

2. The project road’s main function is for long distance transit traffic

flow, with partial access control. Travel time surveys11 conducted in

2013 and 2016 indicated that average travel time from Timboroa to

Eldoret reduced by an average of 5% across all vehicle classes and in

the opposite direction by an average of 19% for all vehicles. Time

taken for large buses reduced from 78 minutes in 2013 to 75 minutes

in 2016 northbound, and from 79 minutes to 68 minutes in the

southbound direction. However, the travel time savings benefits were

not fully realised owing to the introduction of speed humps and speed

limits at trading centres. Ideally pedestrian activity should be

segregated by use of pedestrian underpasses or footbridges bridges and

fencing. Direct accesses should be prohibited and access should be

provided from the service roads and full separation should be provided

between motorised and non-motorised modes.

GoK, KeNHA

3. Targets should be

defined better

3. Targets for road safety should be in terms of accident reduction by

number of accidents per number of vehicles as the traffic volumes are

expected to increase and accidents will follow the same trend

KeNHA

11 Draft Project Completion Report for Rehabilitation of Timboroa-Eldoret Road (A104): May 2016 (Egis International

Consulting Engineers/Itec Engineering Ltd.)

13

4.Unanticipated

outcomes should be

evaluated better

4. Many commercial and residential developments took place during and

after the project implementation whose impacts are beginning to

undermine some of the positive outcomes. Such developments should

be adequately catered for at the design stage, in order to reduce their

impacts at the operations stage.

GoK, KeNHA

5. Low uptake of

road construction

jobs by women

5. Meeting the Government’s requirement of 30% participation by any

gender (female) requires extra effort in road construction works.

Affirmative action in attracting more female employees particularly in

less strenuous construction works such as traffic control, landscaping

and tree/grass planting and office/laboratory/stores work

clerical/messengerial cadres should considered. Targeted project

interventions like training of female contractors could be implemented.

GoK, KeNHA

C Efficiency

1. Timeliness

Planned project duration –

years (A) (as per PAR) Actual implementation time –

years (B) (from effectiveness for

1st disbursement)

Ratio of planned and actual

implementation time (A/B)

Ratin

g*

24 months 34 months 70% 3

Narrative assessment (indicative max length: 250 words)

Implementation period for the road rehabilitation exceeded the planned implementation schedule mainly due to

increased scope of works and also deferred commencement caused by advance payment delay. The works were

completed in 34 months compared to the planned 24 months. Although initial commencement delay (deferral) was

occasioned by failure of the client to pay the Contractor’s advance payment, the additional 10.5 months’ time

extension to the contract period was therefore necessary to complete works that would ensure the project fully met

its development objectives, the efficiency rating is Satisfactory.

2. Resource Use Efficiency

Median % physical

implementation of PM outputs

financed by all financiers (A)

(see II.B.3)

Commitment rate (%) (B)

(See table 1.C – Total

commitment rate of all

financiers)

Ratio of the median percentage

physical implementation and

commitment rate (A/B)

Rating*

115% 161% 0.72 3

Narrative assessment (indicative max length: 250 words)

The final project cost for the works contract for Timboroa-Eldoret road rehabilitation was KES 5,001,277,391.40

which is 161% of the original contract amount KES 3,113,871,197.73. Part of the added amount is price

escalation payments and extended supervision offices, vehicle and housing costs. Final physical outputs are

estimated at 115% of the original outputs. The ratio is 0.72 indicating that fewer outputs were achieved using

higher financial inputs.

At project closure, 88.6% of the allocated funding for the civil works contract had been disbursed, and an amount

of UA 3,994,720.43 was cancelled. Resource use efficiency is therefore rated as Satisfactory.

14

3. Cost Benefit Analysis

Economic Rate of Return

(at appraisal)

Updated Economic Rate of Return

(at completion)

Ratin

g*

21.0% 21.7% 3

Narrative assessment (indicative max length: 250 words)

Economic re-evaluation was undertaken using the Highway Development and Management (HDM-4) model

version 2.08 at 12% discount rate and analysis period covering 15 years of road service. Two maintenance strategies

were considered:

(i) “Without project” i.e. do minimum case: Maintenance practice comprising routine maintenance (i.e. drainage

cleaning, grass cutting etc.), patching 90% potholes, edge repairs (75% damage) and 35mm overlay at 8 IRI.

(ii) “With project”: Maintenance practice comprising of routine maintenance, patching and edge repairs will be

applied as under the base case, with a 20mm reseal being applied after seven years (2022).

Accident costs were not taken into account as accident profiles and frequency were not available. The post

completion economic feasibility study has recorded a marginal increase in both the EIRR and NPV. These could be

attributed to the savings in vehicle operating costs being accrued to the increased number of road users.

It’s also vital to note that the weakening of the KES against the USD, from KES 79/USD to KES 101/USD between

2012 and 2016, has also led to a slight decline in the cost of the project in terms of the USD.

The HDM-4 object files used at appraisal stage could not be obtained and therefore the assumptions in the table

below were made in reconstructing the HDM4 workspace.

Assumptions

No. Item At Appraisal At Completion

1 Construction period 2 yrs. (2012-2013) 2.8 yrs. (Sept. 2012- July 2015)

2 Discount Rate 12% 12%

3 Analysis period 2011 - 2028 i.e. 15 years after

opening in 2014

2011 - 2029 i.e. 15 yrs. after

opening in 2016

4 Annual Cost Stream Year 1 - 50% & Year 2 - 50% Year 1 - 30%; Year 2 - 30% &

Year 3 - 40%

5 Salvage Value 10% 30%

6 Final IRI after improvement 2.0 2.0

7 Standard Conversion Factor

(SCF) 0.80 0.80

8 Exchange Rate 1USD = KES 79 1USD = KES 101

9 Total Project Cost

KES

4,134,860,000(Financial)

USD 52.34 Million (Financial)

USD 41.87 Million

(Economic)

KES 5,213,921,839 (Financial)

USD 52.62 Million(Financial)

USD 41.30 Million (Economic)

10 Economic Cost per Km USD 571,750 USD 565,731

1. For comparison of the outputs at the appraisal and at the completion stage, an analysis period of 15 years

has been adopted. The economic analysis on which the appraisal was based is contained in the report

“Economic Evaluation Assessment for Rehabilitation of Timboroa-Eldoret Road (A104), July 2010”. It is

vital to note that at the appraisal stage, the design entailed application of a strengthening overlay on the

existing pavement comprising 75mm dense bitumen macadam plus 50mm asphalt concrete for 58% of the

road length, and overlay of 50mm asphalt concrete only on 39% of the road. However, the revised pavement

implemented entailed, full pavement reconstruction of 19.5% of the road, and for 80% of the road

milling/reprocessing and relaying the existing pavement and strengthening overlay of the road using 70/or

90mm dense bitumen macadam (DBM) together with 50mm asphalt concrete (AC) wearing course and

double seal surface dressing. The completed pavement is therefore stronger and likely to have a longer

design life for the projected 90 million cumulative standard axle traffic than the initially envisioned service

life of 15 years. To take care of the anticipated longer service life, we have increased the salvage value to

30% from the initial estimate value of 10%.

15

2. Economic Analysis at the appraisal stage incorporated traffic flow data within Eldoret town CBD. However,

post-construction traffic studies did not collect traffic data within the CBD and we have therefore used the

2013 traffic flow data that was used in the design of the Eldoret town bypass.

3. Apart from the road sections within the Eldoret town CBD, the other road sections have been analysed as

being 2-lane 2-way including sections with climbing lanes. This has been precipitated by the difficulty in

extracting data for such short individual road sections given the differences in data collection points at the

appraisal and at the completion stage.

4. Despite higher traffic levels realised than originally projected, there is only marginal increase in EIRR

which can be attributed to the increase in project cost from KES 4.13 billion at appraisal stage to KES 5.2

billion at completion. NPV (12% Discount): US$ 21.14 million at appraisal and USD 45.46 Million at

completion.

5. The rating is Satisfactory.

4. Implementation Progress (IP)12

IP Rating

(derived

from

updated

IPR) *

Narrative comments (commenting specifically on those IP items that were rated Unsatisfactory

or Highly Unsatisfactory, as per last IPR). (indicative max length: 500 words)

3.5 The last IPR rating by AfDB supervision mission was made in December 2015. The final ratings were

derived from an assessment of the Bank’s Performance Criteria Monitoring filled after each of the 7

field supervision missions undertaken plus the PCR consultant’s own evaluation. The IP rating takes

into account all applicable IP criteria assessed under each of the three main categories: (i) compliance

with covenants; (ii) project systems and procedures; and, (iii) project execution and financing. The

simple arithmetic average of the individual ratings was then calculated to derive the final rating. Most

IP were rated satisfactory with no item rated unsatisfactory.

The IP ratings using the old supervision reporting and rating system have been converted from the 0-3

scale used in SAP to the 1-4 scale used in the IPR. Due adjustment has been made in the few cases

where computer generated performance rating output considered blank spaces against particular

indicators which were not rated during supervision missions to be zero. The Supervision reports are

attached with this PCR as Annex 1.

The overall IP rating is 3.5 which is Satisfactory.

5. Lessons learned related to efficiency

Key issues (max 5) Lessons learned Target audience

1. Delay to project

delivery due to

relocation of services

1. Relocation of services often cause delays to start of civil works

and therefore should be settled early enough before awarding

contracts. At appraisal, the Bank should request for evidence that

the services have been identified and relocated.

GoK, Bank

2. Cost and time overruns

due to additional

works

2. Final designs should be subjected to independent review and

updating before appraisal of the project. Additional works

introduced during project implementation skew the planned

project outcomes.

KeNHA, Bank

3. Evaluation of outcomes 3. Accurate evaluation of outcomes requires original design and as-built

documentation, and accurate baseline and latest indicator data.

Therefore, project design and as-built documents (e.g. the HDM-4

object files used at appraisal stage) should be safely kept, and indicator

data collected regularly.

KeNHA

4. Financial performance of

the Government

4. The Government should set aside funds in a separate account and

provide account statements to the Bank at every field mission.

GoK, Bank

12 For operations using the old supervision report and rating system in SAP, the IP ratings need to be converted from the 0-3 scale used in

SAP to the 1-4 scale used in the IPR.

16

D Sustainability

1. Financial Sustainability

Ratin

g*

Narrative assessment (indicative max length: 250 words)

4 KeNHA receives funding for road maintenance from Road Maintenance Levy Fund (RMLF) which is

managed by Kenya Roads Board. In July 2015 the rate of fuel levy was increased from KES 9 per litre of

petrol and diesel to KES 12, which raised the RMLF revenue from KES 25,328,747,812 in 2014/2015 to

KES 29,178,479,746 in 2015/2016. A further increment affected in July 2016 to KES 18 per litre was

intended to raise an extra KES 18.7 billion in 2016-2017 which will specifically target the construction of

5,000 km of road under a planned annuity programme.

KeNHA receives a statutory funding allocation amounting to 40% of Road Maintenance Levy Fund revenue

which amounted to KES 11,940,279,898 in 2016/2017 out of which KES 10,800,000 KeNHA directly

finances road maintenance and the balance is set aside for operations and overheads. KeNHA is in the

process of procuring a Performance Based Maintenance contract for this road (2-year routine maintenance)

which is designated corridor B (Timboroa – Maili Tisa) 80km.

2. Institutional Sustainability and Strengthening of Capacities

Ratin

g*

Narrative assessment (indicative max length: 250 words)

3 The Executing Agency for the project was KeNHA which has successfully implemented many road projects

KeNHA and its parent ministry of Transport and Infrastructure are well established and robust in terms of

organization and management of their functions. They are well staffed and equipped to preserve the

investment and sustain asset value of the project. The project significantly contributed to strengthening

institutional capacities within KeNHA/MoTI. The existing Institutional set-up and staff capabilities are

deemed sufficient to ensure the continued proper maintenance of the completed road.

The major shortcoming highlighted on this project was that all payments to the works contractor and

supervision were received late. It is important for the KeNHA/MoTI to urgently review the payment process

and procedures to drastically cut down the time for processing payments.

With respect to pavement maintenance, KeNHA has placed various sections of the Northern Corridor under

2-year Performance Based Maintenance contracting arrangement following rehabilitation. Adequate

funding for road maintenance is provided from Road Maintenance Levy Fund (RMLF). This should be

supported by a pavement management system for prioritising maintenance and scheduling

Sustainability of the project will depend largely on the timely implementation of effective axle load control

on the project road. KeNHA has continued the existing arrangement of axle load control enforcement along

the Northern Corridor with 5 fixed axle load control stations under management of private sector operators.

Modernisation of these weighbridge stations is required. Although fitted with modern high speed weigh-in-

motion scales and static scales, these weighbridge stations have dilapidated infrastructure resulting in

congestion and traffic jams on the highway. The nearest axle load control centres to the project road are

Gilgil (127km south of Timboroa) and Webuye (60km north of Eldoret). Latest reports13 indicate that 15%

of the vehicles weighed at Gilgil in 2015 were overloaded but only 0.22% charged for this infringement,

while at Webuye 22% of the vehicles were overloaded and only 0.02% charged. The overloading rate has

reduced over a period of 3 years in Gilgil but in the case of Webuye it went up. These results point at an

urgent need for increased enforcement and strengthening of axle load control, and modernisation of existing

facilities.

13 Final Contract Completion Report 2016, Management Contract for Webuye and Gilgil Weighbridge Stations, SGS Kenya

(Ltd).

17

3. Ownership and Sustainability of Partnerships

Ratin

g*

Narrative assessment (indicative max length: 250 words)

3 All key partners were involved to varying degrees in the implementation of the project. They included

KeNHA, Ministry of Transport and Infrastructure and County Government of Uasin Gishu, amongst others.

Local participation was quite visible within the works supervision consultant’s team, the technical audit

consultant and the consultant carrying out design studies for Eldoret Bypass; and NGOs involved in road

safety and HIV/AIDS awareness campaigns as well as the small contractor responsible for construction of

market stalls.

The project offered an opportunity for training to KeNHA staff and interns from university and technical

colleges, transfer of expertise in road construction to local personnel working with the contractors and

consultancy firm.

The experience gained by local staff will be useful in future road projects and maintenance of the project

road.

4. Environmental and social sustainability

Ratin

g*

Narrative assessment (indicative max length: 250 words)

3 A full Environmental and Social Impact Assessment (ESIA) including an Environmental and Social

Management Plan (ESMP) were submitted by KeNHA for approval to National Environment Management

Authority (NEMA) who issued the Environmental Impact Assessment Licence for the works on 10th

September 2010. NEMA also issued a separate EIA licence to the Contractor on 6th June 2012 for quarry

rock excavation and installation of crushing plant.

The approved ESMP was used as a tool by KeNHA and the supervision consultant to monitor the

Contractors’ compliance. Environmental issues were generally well addressed. Borrow pits and quarries

were reinstated satisfactorily as attested to by NEMA certification dated 9th October 2015 and by the

relevant landowners.

Road embankments side slopes were grassed as an erosion protection measure, but tree planting along the

road was minimal. Siltation in side drains and culverts as well as water ponding on the road verges was

observed, indicating deficiencies in the drainage system.

The project incorporated certain provisions such as heavy vehicle parking lanes in major market centres

(Timboroa, Burnt Forest, Cheptiret, Eldoret KPC), and lay-bys at smaller centres such as Matharu and

Cheplaskei) erection of market stalls at Timboroa to cater for roadside traders, and pedestrian footpaths into

and out of Eldoret town.

In terms of direct employment creation, the project generated about 17,242 person-months of local labour,

both unskilled and skilled labour, although the proportion of female employees stood at only 7% of the total

workforce.

18

5. Lessons learned related to sustainability

Key issues Lessons learned Target

audience

1. Road

maintenance

revenue

1. The Road Maintenance Levy Fund (RMLF) managed by the Kenya

Roads Board (KRB) is projected to reach KES 29.18 billion in 2016/17,

but is still inadequate to cover the whole road network. KRB estimates

that about KES. 70 billion is required for the maintenance of the entire

road network annually. GoK is considering several options to increase the

fund, including long-term infrastructure bonds; public private

partnerships and tolling which experience has shown is a viable option

for heavily trafficked roads like the Northern Corridor.

GoK, KeNHA

2.Vandalism of

road assets

2. Effort was made on this project to introduce road furniture made of

materials which cannot be easily converted to other uses or find readily

available market for sale. Road signs which were all manufactured from

plastic plate and the supporting posts were made from recycled waste

plastic have been spared from theft. However, the plastic reflective road

studs (cats’ eyes/ reflectors) particularly on the outer lane making have

been extensively vandalised, as has happened to guardrail mounted

reflectors. Although no vandalism has taken place with the steel guardrails

and steel posts, it is suggested that fibreglass guardrails and recycled

plastic waste posts be used in future.

KeNHA

3. Encroachment of

right of way

(ROW) and

broken down

vehicles on

roads

3. Encroachment of ROW and occupation of carriageway lanes by roadside

traders who stockpile building materials and carry out other business on

the road side. They should be controlled by enhanced road reserve

management and enforcement of existing laws in collaboration with

County Government. Haphazard parking of trucks in market areas reduce

the capacity of roads and are safety hazards and should be tackled by

enforcement of traffic rules in by Traffic Police. Parking lanes are

currently being mis-used by truck drivers who cause obstruction by double

parking and carrying out major engine and body repairs, which can be

controlled by levying of fees for heavy vehicle parking in collaboration

with County Government in order to instil discipline.

KeNHA

4. Road safety and

security of

vulnerable

roads users

4. Road safety and security countermeasures for vulnerable users should be

adequately included at the detailed design stage and independently

audited. Pedestrian/vehicular under-passes and footbridges would address

pedestrian safety and allow free flow of traffic without use of speed bumps

and pedestrian crossings.

KeNHA

5. Asset

Maintenance

and

Management

1. KeNHA has successfully rolled out Performance Based Maintenance

contracting of 2-year duration to the major road corridors including the

subject road. Consideration should be given to increasing the PBMC

durations to 7-10 years coinciding with the periodic maintenance cycles.

2. Implementation of a Pavement Management System that facilitates

prioritisation and scheduling of maintenance works would further enhance

the maintenance and management of KeNHA’s road networks.

3. Axle Load Control in its current form is not effective, the rate of

overloading is still high and court fines are negligible. There is need to

improve its management and enforcement urgently in order to preserve the

physical assets.

KeNHA

19

III V

III

PERFORMANCE OF STAKEHOLDERS

1. Bank performance

Ratin

g* Narrative assessment by the Borrower on the Bank’s performance, as well as any other aspects of

the project

(both quantitative and qualitative). (indicative max length: 250 words)

4 Borrower’s assessment of Bank’s performance: The Bank appraised the project in October 2010 and

prepared the project in good time and ensured that it received the Board approval on 24th November 2010,

and adequately advised the Borrower of its loan conditions. Disbursement of the loan was undertaken as

per the agreement and this enabled the efficient implementation of the project.

The Bank closely monitored the project’s progress through regular field supervision missions during which

it provided practical and useful advice on many issues that were encountered during implementation. During

these missions, which also involved site inspections and meetings, the Bank always gave advice to the

contractor and consultant on the project on how they could address challenges and difficulties to the

progress of the works. The contractor’s main challenge was delayed payments and in this regard, the Bank

worked closely with the Borrower in expediting settlement of contractors’ invoices.

The Bank's participation was not only limited to financial issues but also entailed effective monitoring and

reviewing progress. The Bank also helped the Borrower in focusing on the critical activities that helped in

achieving the development objectives of the project.

The Bank’s performance rating was Highly Satisfactory.

Comments to be inserted by the Bank on its own performance (both quantitative and qualitative).

(indicative max length: 250 words)

The Bank throughout the project cycle deployed the right skills mix, which facilitated the provision of vital technical

advice to the Borrower based on their experiences from similar operations in other member countries. The Bank

participated in 7 field supervision missions and made relevant recommendations to the Borrower for timely action.

It is however desirable that the Bank should regularly attend monthly progress meetings together with the project

implementation team for faster decision making and resolution of problems that directly face the project. The close

interaction would enable the Bank to address timely responses to Borrower requests.

Key issues (related to Bank

performance, max 5, add rows as

needed) Lessons learned

1. No objections to Borrower’s

project documents

1. Documents from the Borrower for the Bank’s “no objection” should be

prepared in accordance with the Bank’s guidelines for faster processing

and progress of projects.

2. Team work 2. Supervision missions of the Bank should maintain close and cordial

relationship with the Borrower’s project officials for better project

implementation.

20

2. Borrower performance

Ratin

g* Narrative assessment on the Borrower performance to be inserted by the Bank (both quantitative

and qualitative, depending on available information). (indicative max length: 250 words)

3 Bank’s assessment of Borrower’s performance:

The Government met and complied to a large extent with covenants, agreements and safeguards, in line

with the Bank’s regulations. However, the Government signed the Loan on 23rd March 2011 which is 4

months after the loan was approved by the Bank’s Board. It took another 4 months for entry into force

signifying the Government’s compliance with conditions precedent to First Disbursement of the Loan which

required GoK to open a counterpart project account and to deposit therein the initial amount of KES 47

million as the Borrower’s counterpart fund to finance expenditure for civil works under the project. The

requisite account was opened and funded on 19th July 2011. The Loan came into force the following day

20th July 2011. This is rated satisfactory although the proceeds of the loan could have been drawn sooner

for implementation of the project.

Other conditions of the loan included;-

KeNHA provides evidence of recruitment of Transport Economist, Senior Environmentalist and

Sociologist by February 28, 2011. This was fulfilled.

Undertaking to conduct traffic count at least twice a year on the project road and to develop a

national network database for planning and programming purposes. The undertakings were given

but not practically implemented.

Quarterly status reports to the Bank on of implementation of the ESMP and on the undertakings

specified in NEMA approval letter of August 18, 2010. Fulfilled.

Prior to construction of any diversion roads and/or any access roads to material sites and quarry

site, an inventory of properties and assets shall be made and evidence submitted to the Fund that

full compensation has been paid, or secured for disrupted or litigious cases, in accordance with the

Fund’s Involuntary Resettlement Policy and any applicable Borrower’s laws and regulations. This

was fulfilled and relevant certification provided by NEMA and landowners.

Replenish the counterpart Project account, in a timely manner, by the amount required to finance

the Borrower’s contribution and ensure that the Funds deposited into the counterpart Project

account are exclusively to finance expenditures of the project. The project account was not always

replenished on time and this resulted in regular payment delays to the Works contractor.

The supervision undertaken by KeNHA is assessed to be satisfactory, the appointment of a dedicated Project

Manager helped in faster resolution of implementation issues.

The main challenge the Government generally met was in its financial obligations as far as provision of

counterpart funding was concerned and payment delays in general. All payments to the works contractor

were late well beyond the stipulated payment period, which adversely affect work progress and incurred

late payment interest penalties. Similarly all payments to the supervision consultant were late. Another

matter is the slow processing of Contractor’s claims which remained to be settled after expiry of the Loan.

93% of total allocation was disbursed (including GoK amount). Considering the AfDB loan utilisation,

was 88.6% of the loan amount actually disbursed, resulting in balance cancelled amount of UA

3,994,720.43. The Borrower’s utilisation of the loan was fairly satisfactory. However the final payments

to the works Contractor and the Supervision Consultant were yet to be processed at the time of project

closure.

Aside from this, the project progress was well documented in monthly progress reports and Borrower’s

Quarterly Progress Reports which were submitted to the Bank, and there was timely action on Bank’s

recommendations from supervision missions.

In general, the Government and the executing agency performance is rated Satisfactory.

21

Key issues

(related to

Borrower

performance,

max 5)

Lessons learned

1. Delayed

payments of

Contractor’s

IPCs and

consultant’s

fees

1. The Contractor’s Advance payments and all interim payment certificates were all paid late

beyond the stipulated payment period – both AfDB and GoK counterpart payments. The

average time taken for payments was over 9 months, some cases exceeded 12 months, and the

Client incurred unnecessary cost on account of delayed payments and extensions of time for

completion. Not to mention the ever-present risk of the contractor actuating his option to

terminate the contract on grounds of payment delay on any IPC. Similarly, the Supervision

Consultant‘s advance payment and 14 quarterly payments were all delayed beyond the

stipulated payment periods of 50 days after receipt of invoice (Advance payment) and 60 days

respectively.

The average time taken for interim payment certificates paid by GoK was 262 days with as

much as 482 days recorded on one IPC. The average period for payments by AfDB was 110

days with one IPC taking 210 days.

The delays are primarily caused by inefficient internal payment process within KeNHA.

Additionaslly, AfDB portion which after processing in KeNHA is then channelled through

Ministry of Transport and Infrastructure then to Ministry of Finance and eventually to the

Bank.

It has been recommended14 that as an immediate measure, KeNHA’s internal payment

processes should be restructured to reduce the payment processing times to 17 days for GoK

payments and 29 days for donor payments.

Occassional late release of Exchequer counterpart funds for payment was a factor in the

delayed payment of GOK component and sometimes split payments were made according to

available funds. For future projects, AfDB and the GoK may further consider adopting a

mechanism for project funding whereby a first tranche of donor and GoK funds is deposited

with KeNHA prior to commencement of implementation and sequential replenishment takes

place as the project progresses.

2. Covenants of

the Loan

Agreement

2. The Government took too long in meeting loan conditions, causing delays in project

implementation and delivery of objectives. The Government should improve on its

negotiation of loan with Bank so that conditions that are finally included in the Loan

Agreement are realistic and can be met in good time.

14 Business Process Re-engineering of KeNHA, Redesigned Business Processes Report, August 2016

22

3. Performance of other stakeholders

Rating

* Narrative assessment on the performance of other stakeholders, including co-financiers, contractors

and service providers. (indicative max length: 250 words)

4

4

2

Consultants: The quality of supervision consultant services however was satisfactory as staff deployed was

responsive to the emerging needs of the project and changed site conditions. The Supervision Consultant

had to carry out extra design work for climbing lanes, truck parking lanes and footpaths which were missing

from the original design as well as pavement re-evaluation to take into account pavement deterioration in

the interim period.

With regards to the Technical Audit Consultant, the performance is assessed to be satisfactory. This contract

was awarded late (15 months into the project) thereby limiting the contribution that could be made. The

Consultant’s reporting was rather minimalistic, tending to rely more on the Supervision Consultant’s

reporting and less on independent findings and recommendations.

There was no financial audit consultancy on this project.

Contractor: The quality of the outputs was satisfactory. From visual inspection the pavement construction

is sound and no rutting or other defects observed. Positive feedback on the road quality was received from

road users and County Government. The Contractor deployed experienced staff and appropriate equipment

for the various work items. The only negative comment was that the footpaths in Eldoret which were too

narrow located on one side only and poorly finished using milled asphalt.

County Government: The County Government of Uasin Gishu hierarchy was initially confrontational and

critical of the project management. But subsequently a satisfactory working relationship was established

through the County Executive for Roads, Transport & Public Works resulting in useful contributions

towards the successful implementation of the project, and promoting facilities for local communities such

as market stalls for roadside traders, Timboroa access road, pedestrian footpaths, heavy vehicle parking

lanes and street lighting.

3 Social Service Providers (NGO/CBO’s): Two firms of local consultants were actively involved in road

safety awareness campaign (Smart Drivers Organisation) and HIV/AIDS awareness and VCT

testing/treatment campaigns (Welread Initiative Ltd.) respectively for local communities. A local contractor

Ibrahim Construction Co. Ltd was assigned the work of constructing market stalls at Timboroa.

3

2

Stakeholders: Various groups of stakeholders were consulted and incorporated in the project activities.

Public service bus and minibus (matatu) drivers/operators and motorcycle taxi (Boda-Boda) riders/operators

and a total of 10 schools were targeted in Road Safety awareness campaigns. A total of 10 Local

Social/Community groups benefitted from HIV/Aids awareness and testing activities. Tree planting

activities took place in 4 primary schools and one secondary school all located along the road.

Utility companies: The performance of electricity service provider KPLC was unsatisfactory due to delay

in relocating affected poles between Km 0 – Km 63 even after full payment made. Other services affected

included Kenya Oil Pipeline whose pipeline needed protection at road crossings. An amount of KES

5,628,128.00 was expended in respect of relocation of services.

Key issues (related to

performance of other

stakeholders, max 5)

Lessons learned (max 5) Target audience

(for lessons learned)

1. Involvement of utility

companies

For individual road projects, utility companies should be

involved/consulted at the detailed design stage so that their

installations are located and mapped, and the process of

relocation of services should be completed before award of

the works contract.

Nationwide, KeNHA should carry out GIS-based mapping

of road reserves and collaborate with service providers to

identify utility service lines and regularise the placement of

services within road reserves in accordance with the Roads

Act.

KeNHA

2. Stakeholder Consultations Involvement of key stakeholders at the design stage ensures

overall acceptance of the project and smooth

implementation, incorporation of critical features that may

otherwise be overlooked, and can result in cost reduction

and timely completion of the project.

KeNHA,

Stakeholders

23

IV SUMMARY OF KEY LESSONS LEARNED AND

RECOMMENDATIONS

1. Key lessons learned

Key issues

Lessons learned Target

audience

1. Changes in design

at implementation

Design changes introduced during implementation resulted in additional

works including Timboroa access road, truck parking at Timboroa,

Cheptiret market and Eldoret km 70-73, NMT facilities and drainage

improvement which all accounted for a 53% increase in value of permanent

works from KES 2,650,103,147.00 to KES 4,066,483,934.12.

These additional works attracted the Contractor’s claims no’s 2, 3, 4, 5 for

time extension and time related costs against which the Supervising

Consultant recommended to the Engineer an award of 200 days extension

to the period of performance and time related costs amounting to KES

109,799,200. Another Claim no. 18 was submitted on similar grounds for

which the Supervising Consultant recommended 105 days extension to the

period of performance and time related costs amounting to KES

187,511,205.

It is recommended that in future KeNHA subjects all projects design and

tender documents to technical audit by Independent Consultants before

procurement of works, in order to allow for rectification of any deficiencies

in the design and tender documentation and avoid amendments during

project implementation with associated cost /time overruns leading to

skewed results of the anticipated economic viability of projects.

KeNHA

2. Road safety

provisions

Several road safety features were incorporated in the project during

implementation as an afterthought such as 53 speed bumps erected along

the road at market centres and other accident prone locations, and speed

limit restrictions as low as 50 kph where sight distances were found to be

inadequate. Such measures are undesirable on an international transport

corridor and the design ought to have considered more appropriate facilities

such as traffic separation at market centres by use of service lanes and

vehicular/pedestrian underpasses and improvements to geometric

alignment.

KeNHA should as a matter of policy subject all capital projects to

independent Road safety audit before procurement of works so that any road

safety deficiencies or omissions can be addressed.

KeNHA

3. Delayed payments Delayed payment of IPCs results into unnecessary additional costs due to

interest on delayed payments and extensions of time for completion. All

payments to the works Contractor were delayed beyond the stipulated

payment period of 56 days after the engineer receives the interim payment

certificate. The average time taken for interim payment certificates paid by

GoK was 262 days with as much as 482 days recorded on one IPC. The

average period for payments by AfDB was 110 days with one IPC taking

210 days. Accordingly, the Contractor claimed substantial amounts of

interest on delayed payments (conditions of contract clause 14.8.1) and the

contract ran the risk of Contractor invoking his rights of termination on

grounds of payment delays when the period exceeded 98 days (conditions

of contract clause 16.2 (c). Similarly, all of the Supervision Consultant’s

quarterly invoices were paid very late.

KeNHA/GoK

24

The primary cause of these payment delays was the lengthy processing of

payments within KeNHA involving too many staff with no value addition.

For payments by the Bank, paymentrs processed by KeNHA were routed

through Ministry of Transport and Infrastructure and then to Ministry of

Finance (Treasury) before arriving at AfDB after which 73 more days on

average to effect payment. The second reason adffecting GoK payments iis

that of frequently delayed transfer of Government counterpart funds to

KeNHA by Treasury.

The Consultant recommends that in the short term, KeNHA should urgently

review its internal payment processes to reduce the number of staff involved

and payment timeline. To address the problem of late exchequer releases,

the Bank should make it conditional for Government to set aside counterpart

funds in a separate account and provide information to the status of funding

of that account to the Bank at every mission. In the longer term, Donors and

GoK could explore other disbursement mechanisms, for example depositing

a first project tranche of both Donor and Government funds with KeNHA

prior to project commencement and replenishing in a timely manner as it

progresses.

4. Variation of

Prices (VOP)

Clause

The amount invoiced by the Contractor for price escalation under clause

13.8 of Conditions of Contract was KES 951,837,092 or 25% of the final

valuation of work done KES 3,845,257,535.21 (IPC 28). This far exceeded

the original budget of KES 265,010,314 or 10% of works items.

Critical review should be undertaken of current practice relating to Price

Escalation indices and relevant clauses of the conditions of contract to

ensure fairer apportioning of benefits of price fluctuation between contractor

and client.

KeNHA

5. Delays in land

acquisition and

relocation of

services

The roadworks on this project were successfully undertaken and completed

within the available road reserve which varies from 30m to 75m, KeNHA

had in 2013 embarked on land acquisition exercise to secure a minimum of

60m which is the desired minimum road reserve for international trunk

roads. This exercise was abandoned. As a result the Contractor could not

erect road reserve boundary post for part of the road (33.4km or 46%) where

the road reserve width is less than required. In the current situation some

buildings and fences are clearly erected within the road reserve, and traders

selling building materials and metal products on the road verges.

In practical terms, the restricted Right of Way with insufficient room for

two-way temporary diversion forced the Contractor to implement one way

traffic flows continuously which was an inconvenience to motorists and

safety hazard due to the fact that most drivers tended to ignore traffic

warning signs and flagmen directions.

In principle, when making capital investment of this type KeNHA should

take the opportunity to regularise the road reserve corridors and demarcate

and secure them. The full right of way for the intended works should be

acquired and cleared of all encroachment and utility services relocated

before the works contract is procured. The Contractor should be granted

possession of the complete site without encumbrance and this will avoid

unnecessary delays and claims.

It is recommended that in future the Bank considers including acquisition of

ROW as condition for project appraisal.

KeNHA

25

3. Key recommendations (with particular emphasis on ensuring sustainability of project benefits)

Key issue (max

10) Key recommendation Responsible Deadline

1. Roads

maintenance

financing

The project road forms part of the Corridor B (407km long Rironi-Malaba road

A104) which is managed by KeNHA headquarters. KeNHA is in the process

of procuring Performance Based Maintenance Contracts (PBMC) of 24 month

duration for Timboroa-Maili Tisa road (80km) section and Maili Tisa-Malaba

(114km) section of the A104 respectively. It is expected that the contracts will

be awarded by end of September 2016. The budget allocation for Timboroa-

Maili Tisa are KES 35 million in 2016/2017 financial year and forward budget

for 2017-2018 is KES 50 million.

Therefore adequate steps have been taken to ensure sustainable maintenance

of the newly completed Timboroa-Eldoret Road.

However, it is recommended that KeNHA considers procuring long-term

PBMC contracts of at least 7 to 10 years which will span the period from new

construction/rehabilitation up to the next scheduled periodic maintenance

intervention. Such arrangements will allow for better definition of performance

standards, allow stable financial environments for both the Client and

Contractor, and while reducing overall workload for the Client.

In addition, KeNHA should consider developing and implementing a

pavement management system, compatible with HDM-4 platform, for

prioritising and scheduling maintenance.

To support the maintenance efforts, it is recommended that changes be carried

out for effective management and enforcement of axle load control in order to

ensure sustainability of the investment.

KRB/

KeNHA

As soon as

possible

2. Road

reserve management and

protection

Changes in land use within urban areas were not addressed by the contract

design. The project implementation team was confronted by numerous

requests for additional parking lanes for heavy vehicles, additional pedestrian

walkways in areas where very high numbers of pedestrians now use the road,

access culverts to adjacent properties, additional drainage provision and

demand for additional speed bumps at the site of every road traffic accident as

the only means to quieten and satisfy the local residents.

KeNHA should develop and enforce a clear road reserve management and

protection policy in accordance with its mandate under Roads Act. KeNHA

should further engage County Governments in order to articulate its policy on

access control to highways and forge a common understanding with regards to

Spatial Planning including land-use zoning, and requirements for land sub-

division and change-of-user approvals in areas adjacent to major corridors.

KeNHA/Go

K

Immediate

3. Environmen

t Protection

Proper baseline studies should be undertaken before, during and after the

completion of a project to enable proper documentation of a project’s impact

on the environment.

KeNHA Continuous

4. Utilities

within the

road’s right

of way

It is noted that the Contractor was forced to revise his initial programme of

works due to delay by Kenya Power & Lighting company in relocating power

poles between km 20 and km 30. All in all KPLC had to relocate affected

poles between Km 0 – Km 63.

For individual projects, all utility services should as far as possible be

identified and relocated prior to procurement of works. KeNHA should

invoke Kenya Roads Act 2007, section 27 (2) “Where any infrastructure

utility is located within a road reserve, the provider or operator of such

infrastructure utility shall, upon written request by the responsible Authority,

relocate such infrastructure utility to a location or alignment approved by the

Authority at no cost to the Authority”.

For the future KeNHA should implement strict rules and regulation to control

installation of utilities within its right of way and not only charge fees/ or

leases as a commercial entity but also enforce the requirement that all future

relocations of utility services demanded by KeNHA be carried out at the

Service Provider’s own cost.

KeNHA As soon as

possible

26

V Overall PCR rating

Dimensions and criteria Rating*

DIMENSION A: RELEVANCE 3.5

Relevance of project development objective (II.A.1) 4

Relevance of project design (II.A.2) 3

DIMENSION B: EFFECTIVENESS 3

Development Objective (DO) (II.B.4) 3

DIMENSION C: EFFICIENCY 3.125

Timeliness (II.C.1) 3

Resource use efficiency (II.C.2) 3

Cost-benefit analysis (II.C.3) 3

Implementation Progress (IP) (II.C.4) 3.5

DIMENSION D: SUSTAINABILITY 3.25

Financial sustainability (II.D.1) 4

Institutional sustainability and strengthening of capacities (II.D.2) 3

Ownership and sustainability of partnerships (II.D.3) 3

Environmental and social sustainability (II.D.4) 3

OVERALL PROJECT COMPLETION RATING 3.22

Overall project completion rating is Satisfactory

27

VI Acronyms and abbreviations

Acronym Full name

AC Asphaltic Concrete

ADB African Development Bank

ADF African Development Fund

AICD Africa Infrastructure Country Diagnostic

CBD Central Business District

DBM Dense Bitumen Macadam

DLP Defects Liability Period

DO Development Objective (rating)

EAC East African Community

EoT Extension of Time

ESIA Environmental and Social Impact Assessment

ESMP Environmental and Social Management Plan

FIDIC Fédération Internationale Des Ingénieurs-Conseils

FY Financial Year

GDP Gross Domestic Product

GoK Government of Kenya

GCS Graded Crushed Stone

HDM4 Highway Development and Management tool (released in year 2000)

HIV/AIDS HIV: Human Immunodeficiency Virus. AIDS: Acquired Immune Deficiency

Syndrome.

IPC Interim Payment Certificate

IPR Implementation Progress and Results Report

IRI International Roughness Index

KeNHA Kenya National Highway Authority

KES Kenya Shilling

Km/h Kilometre per hour

KNBS Kenya National Bureau of Statistics

KRB Kenya Roads Board

MoTI Ministry of Transport & Infrastructure

PAPs Project Affected Persons

PCR Project Completion Report

RAP Resettlement Action Plan

RMLF Road Maintenance Levy Fund

RSIP Roads Sector Investment Program

PM Project Matrix

TA Technical Assistance

UA Unit of Account

USD United States Dollar

VPD Vehicles per day

Required attachment: Updated Latest Project Supervision Implementation Progress and Results Report (IPR) – the

date should be the same as the PCR mission.

28

VII References

1. Draft Project Completion Report for Rehabilitation of Timboroa-Eldoret Road (A104): May 2016 (Egis International

Consulting Engineers/Itec Engineering Ltd.)

2. Draft Design Review Report Rehabilitation of Timboroa-Eldoret Road (A104): Nov 2012 (Egis International Consulting

Engineers/Itec Engineering Ltd)

3. Design Review Report For Rehabilitation of Timboroa-Eldoret Road (A104): Feb 2011 (H. P. Gauff Ingenieure GmbH

Consulting Engineers)

4. Formulation Study Report For Rehabilitation of Timboroa-Eldoret Road: Feb 2007 (H. P. Gauff Ingenieure GmbH /Runji

& Partners Consulting Engineers )

5. Timboroa-Eldoret Road Rehabilitation Project Appraisal Report: October 2010 (African Development Fund).

6. Economic Survey 2015, Kenya National Bureau of Statistics

7. Statistical Abstract 2015, Kenya National Bureau of Statistics

8. Economic Review of Agriculture 2015, Ministry of Agriculture, Livestock and Fisheries

9. Aide Memoires, Implementation Progress and Results Report by AFD Missions.

10. Disbursement records, AfDB and KeNHA/GoK

11. Final Technical Audit Report, Eldoret-Timboroa Road Rehabilitation Project (Wanjohi Mutonyi Consult – June 2016)

12. Final Detailed Engineering Design Report, Eldoret Town Bypass Road Project ( APEC Consortium/Timcon Associates

– 2015)

I

ANNEX 1

AfDB Supervision Summary

For

Rehabilitation of Timboroa-Eldoret Road (A104)

II

AFRICAN DEVELOPMENT BANK GROUP

SUPERVISION SUMMARY

TIMBOROA – ELDORET ROAD (A104) REHABILITATION PROJECT

I. BASIC DATA PROJECT NUMBER P-KE-DB0-019

LOCATION KENYA

SECTOR ROAD TRANSPORT / HIGHWAYS

BORROWER GOVERNMENT OF KENYA

EXECUTING AGENCIES KENYA NATIONAL HIGHWAYS AUTHORITY

BENEFICIARIES KENYA

DURATION 4.0 YEARS

LOAN ALLOCATED

LOAN

NUMBER

SIGNED IN

UA

AMOUNT in Loan

Currency INSTRUMENT APPROVAL SIGNATURE

Entry into

Force

Disb.

Deadline

2100150023344 35,000,000.00 35,000,000.00 UA PROJECT 31.12.2010 23.03.2011 05.05.2011 29.02.2016

TOTAL 35,000,000.00

LOAN

NUMBER

APPROVED

in UA SIGNED IN UA

CANCELLED

in UA

NET LOAN in

UA

2100150023344 35,000,000.00 35,000,000.00 3,994,720.43 31,005,279.57

II. SCHEDULE, COSTS, FINANCING AND DISBURSEMENT

A. PROJECT COSTS AND SCHEDULE (UA) COST AT APPRAISAL PRECEDING COST (SUP. SUMM.) CURRENT COST (ESTIMATES)

38,920,000.00 - 38,920,000.00

COMPLETION DATE PLANNED FIRST DISBURSEMENT

DATE PLANNED LAST DISBURSEMENT DATE

31.12.2016 - 29.02.2016

B. PROJECT FINANCING (in UA) SOURCE OF FINANCE FOREIGN CURRENCY LOCAL CURRENCY TOTAL

AFRICAN DEVELOPMENT FUND (LOAN) 28,910,000.00 6,090,000.00 35,000,000.00

GOVERNMENT OF KENYA - 3,920,000.00 3,920,000.00

TOTAL 28,910,000.00 10,010,000.00 38,920,000.00

C.LATEST DISBURSEMENT STATUS TO DATE (in UA) LOAN

NUMBER NET Amount Disbursed % Undisbursed % Commitment %

First

disb.

Latest

Disb.

2100150023344 35,000,000.00 31,005,279.57 88.6% 3,994,720.43 11.4 35,000,000.00 100 ---- …..

III

III. PROJECT PERFORMANCE

Indicators RATINGS

Field Supervision Mission Dates This

Report

30.11.2012 24.04.2013 05.11.2013 23.04.2014 10.11.2014 15.04.2015 16.11.2015 26.08.2016

PROJECT IMPLEMENTATION

Compliance with loan condition conditions

precedent to entry into force

3 3 3 3 3 3 3 4

Compliance with General Conditions 3 3 3 3 3 3 3 4

Compliance with Other Conditions 3 3 3 3 3 3 3 3

PROCUREMENT PERFORMANCE

Procurement of Consultancy Services 3 3 3 3 3 3 3 4

Procurement of Goods and Works 3 3 3 3 3 3 3 4

FINANCIAL PERFORMANCE

Availability of Foreign Exchange 3 3 3 3 3 3 3 4

Availability of Local Currency 3 3 3 3 3 3 - 3

Disbursement Flows 2 3 2 2 2 2 3 3

Cost Management 2 2 2 2 2 2 3 3

Performance of Co-Financiers - 3 2 2 - - - 3

ACTIVITIES AND WORKS

Adherence to implementation schedules 2 3 3 2 2 2 2 3

Performance of Consultants or Technical Assistance 2 3 3 3 3 3 3 4

Performance of Contractors 2 3 3 2 2 2 2 4

Performance of Project Management 2 3 3 2 2 2 2 3

IMPACT ON DEVELOPMENT

Likelihood of achieving development Objectives 3 3 3 3 3 3 3 4

Likelihood that benefits will be realised and

sustained beyond

3 3 3 3 3 3 3 4

Likely contribution of the project towards an

increase in impact

3 3 3 3 3 3 3 3

Current Rate of Return - - - - - - - 3

OVERALL PROJECT ASSESSMENT Implementation Progress (IP)15 3.38 3.90 3.71 3.43 3.49 3.49 3.38 3.30

Development Objectives (DO) 4 4 4 4 4 4 4 3.5 RATINGS: 4 = Highly Satisfactory, 3 = Satisfactory, 2 = Unsatisfactory, 1 = Highly Unsatisfactory

15 The overall IP and DO ratings during Supervision Missions has been adjusted to reflect new 1-4 rating scale. The computer generated outputs which considered blank spaces to have a value of zero have also been adjusted.

IV

IV. PROJECT SUMMARY AND ASSESSMENT

A. PROJECT MATRIX

1. PROJECT OBJECTIVE :

Sector Goal:

The sector goals of the project are to:-

1. Contribute to improve the reliability of the transport infrastructure system to promote economic

growth and socio-economic development in a socially and environmentally sustainable way; and,

2. To promote trade and regional integration.

Project Objective:

To improve transport communications between Kenya and Uganda, Rwanda, Burundi, DRC and Southern

Sudan for the benefit of the region and population of the project area

2. PROJECT OUTPUTS :

Outputs - Medium term results:

1. Transport cost and travel time between Nairobi and Kampala reduced.

2. Improved economic and living standard of people in towns along the corridor.

3. Improved transportation of farm inputs and produces to and from the project area

Short-Term Outputs:

1. Road between Timboroa and Eldoret (73 km) rehabilitated to bituminous (Asphalt Hot Mix) standard

with 7.0 m carriageway and 2x2.0 m shoulders.

2. ESMP implemented and relocation of utilities done.

3. Construction workers and local communities sensitized and fully informed about HIV/AIDS/STI and

road safety.

4. Obtained feasibility, EIA and preliminary engineering design for Eldoret Bypass.

5. Employment created.

3. PROJECT ACTIVITIES :

1. Civil Works for rehabilitation of Timboroa –Eldoret road (A104), 73km

2. Supervision Consultancy

3. Eldoret By-pass study

4. Audit consultancy (Technical Audit)

5. Compensation & Relocation of Services

4. PROJECT ASSUMPTIONS AND RISKS :

1. Favourable macroeconomic conditions and terms of trade.

2. GOK’s continued commitment to the implementation of Vision 2030.

3. Continued Government and Development Partners financial support to the implementation of Vision

2030.

4. Kenya and the EAC countries remain committed to regional cooperation within COMESA.

5. Peace and stability is maintained in Kenya and the EAC countries.

6. Axle load control on the project road has been incorporated to mitigate risk of heavy goods vehicle

overloading.

V

B. BRIEF ASSESSMENT OF PROGRESS

At this Supervision

1. Rehabilitation of road between Timboroa and Eldoret

(a) Contractor

China Wu Yi were appointed contractor for the works through competitive bidding. The contract was

signed on 25th January 2012. The original commencement date of 28th May 2012 was deferred

because of delayed advance payment to a new works commencement date of 11th September 2012

for a contract of 24 months duration which was extended by contract addenda by 305 days to 29th

July 2015. Actual completion was attained on 9th July 2015.

(b) The physical works accomplished were;-

73. 3km of existing bitumen surfaced road, single carriageway, 7.0m wide with 2.0m wide paved

shoulders on each side.

11,704m of climbing lanes

3.98 km of concrete paved heavy vehicle parking lanes in Timboroa Market, Burnt Forest,

Cheptiret, Eldoret

10.11km of pedestrian footpaths

1.1km Timboroa access road

Substantial Completion of works on 19th November 2014 for km 0+000 to km 50+000 (Taking-over

certificate no. 1 of 3rd February 2015) and on 9th July 2015 for km 50+000 to km 73+000 (Taking-

over certificate no. 2 not seen). Defects Liability inspection 16th July 2016. Certificate not yet issued.

(c) ESMP Implementation and Relocation of Utility Services

The project Environmental Management Plan was approved by National Environment Management

Authority (NEMA) and Environmental Impact Assessment license issued on 10th September 2010

for the proposed rehabilitation of Eldoret-Timboroa road. A separate EIA license was issued on 6th

June 2012 for quarry rock excavation and installation of crushing plant.

At completion, NEMA issued letters on 9th October 2015 certifying the satisfactory

decommissioning of the project site and specifically borrow pits, quarries, explosives magazine,

crusher and asphalt plant and camp site. Additionally, written confirmation was submitted by

respective landowners of borrow pits at km 3+690, km 11+300, km 36+400, km 31+450, and km

73+000 that the Contractor had satisfactorily restored them by levelling steep slopes and backfilling

or leaving a pond for water.

The PCR Consultant inspected the borrow pits at km 3+690 and km 36+400 and found them to be

properly restored with vegetation cover regenerating. The borrow pit at km 11+300 located within

Kenya Forest boundaries was inaccessible but the Forest Guard confirmed it was now overgrown

with thick forest cover. In the case of borrow pit km 31+450 excavations was going on by the County

Government and other parties and the water pond and steep sides were observed to be danger to

children and livestock found on the site. The borrow pit at km 73+000 was left exposed at the request

of the landowner and continues to be commercially exploited. With respect to the borrow pit off km

15 (Nabkoi road) where one rock crusher was previously located, the adjacent area has been

extensively excavated for granular material leaving behind a deep water pond and steep sides which

pose a danger to children found playing on location. Hardstone quarry km 19 Sengwer Farm was

securely fenced off with barbed wire and locked gate, although the deep excavated pits remained,

and there were large stockpiles of crushed stone aggregate left behind.

With regards to relocation of utilities, electricity power poles were relocated by KPLC between km

0 and km 63. Protection works were carried out to the KPC oil pipeline crossing under the road at

km 8+100. Rotalink Construction Company was subcontracted to carry out water pipe repair and

relocation works for Lake Victoria North Services Board (LVNSB). An amount of KES

5,628,128.00 was expended in respect of relocation of services.

VI

(d) Employment created

In terms of direct employment creation, the project generated about 17,242 person-months of local

labour, both unskilled and skilled labour, although the proportion of female employees stood at only

7% of the total workforce. At peak operation the local labour force reached 571 employees out of

which 44 were women.

(e) Construction Workers, Local community sensitised and fully informed about HIV/AIDS/STI

and road safety.

The works contractor appointed a local organisation to carry out HIV/AIDS and STI awareness and

testing campaigns over a period of 12 months targeting both the road construction workers and host

communities living along the road rehabilitation project. Another local organisation was

subcontracted to carry out road safety awareness campaigns among different interest groups

including the site staff, public service bus and motorcycle taxi drivers and operators, and schools.

2. Supervision of works

The firm of Egis International in association with /ITEC Engineering and EGIS BCEOM Kenya Ltd.

were appointed supervision consultants. The contract was signed 30th April 2012 for duration of 36

months including 24 months works period and 12 months defects liability period. The contract duration

was extended vide two contract addenda to 49.6 months due to revisions to the works construction period.

The KeNHA General Manager (Design & Construction) was appointed the Engineer and delegated

responsibilities as Engineer’s Assistance to the Consultant.

Upon commencement, four of the five Supervision Consultant’s key Staff proposed in its tender were

substituted, namely, Resident Engineer, Assistant Resident Engineer, Materials Engineer and Surveyor.

Overall performance of the Consultant was satisfactory despite the initial work of re-evaluating the

pavement and reviewing/amending the design to incorporate missing elements after commencement. The

reporting requirements described in the ToR were complied with including Design Review, Monthly

progress reports and Project Completion report.

3. Consultancy Services for Engineering Design of Eldoret Bypass

The contract for Feasibility Study, ESIA and Detailed Engineering Design study for Eldoret Bypass was

awarded to APEC Consortium in Association with Timcon Associates. The Contract was signed on 23rd

January 2013.

The contract duration was 12 months from 20th February 2013. Final design documents were submitted

in August/ September 2014 and updated documents following Client comments submitted in February

2015.

The construction of the 31.9 km bypass is intended to alleviate the perennial congestion through the

Eldoret CBD caused by heavy vehicle traffic to and from Uganda. Procurement of the supervision

consultant is in progress while AfDB is currently reviewing the tender documents for “no objection” to

procurement of the works contract.

4. Audit Services

The contract for Technical Audit of Timboroa-Eldoret (A104) Road Rehabilitation was awarded to

Wanjohi Mutonyi Consult Ltd. Contract was signed on 6th August 2013. Final Technical Audit report

was submitted in June 2016. The Contract was awarded very late, 15 months into the project, thereby

limiting the opportunity for the consultant to make meaningful contribution.

The scope of work covered Inspecting the works during construction and upon completion; Verifying

that the materials, the works, the measurements of the works, and the valuation of the works approved

for payment to the Contractor are in accordance with the contract; and Conducting independent random

or localized sampling and testing of materials for compliance with the project’s technical specification.

The reporting was rather minimalistic, tending to rely more on the Supervising Consultant’s reporting

and less on independent findings and recommendations.

VII

5. Compensation and relocation of Services

Although the right of way width was not an inhibiting factor in the rehabilitation works, it was KeNHA’s

intention to acquire land to expand those sections with less than the desired 60m road reserve width for

international trunk roads. KeNHA submitted the documents for compensations to the Commissioner of

Lands for valuation and intended Land Acquisition was gazetted on 26th April 2013. However, KeNHA

failed to follow up and no compensation payment was ever effected. The proposed compensation details

are as summarised below:-

Chainage Description

Existing

Road

Reserve

(m)

Width

To

acquire,

m

Area,

HA

km 4+650 - km 9+000 Timboroa Settlement scheme 40 20 8.70

km 21+800 - km 22+525 Kondoo Farm 40 20 1.45

km 24+275 - km 25+750 Burnt Forest 40 20 2.95

km 28+000 - km 38+750 Rorian Farm to Kerita 36 24 92.93

km 44+700 - km 51+150 Cheplaskei 40 20 12.9

km 60+925 - km 66+300 Sosiani River to Huruma 30 30 16.13

km 66+300 - km 70+600 Huruma area 37 23 9.89

TOTAL 144.95

6. Other Issues - Claims Submitted by the Contractor

The Contractor submitted a total of 24 contractual claims during the period of execution of works but later

withdrew 15 of them vide his letter of 21st August 2015. The other 9 are pending determination and settlement.

VIII

V. ISSUES AND ACTIONS

ISSUES

PROPOSED ACTIONS ACTIONS TAKEN / RESULTS

A. MANAGEMENT

.. .. ..

B. TECHNICAL

C. FINANCIAL

D. INSTITUTIONAL

E. GOVERNANCE

D. OTHERS

IX

APPROVAL

Author of the Report Authorized by Division Manager Approved by Department Director

Name:

GEORGE MAKAJUMA

Date :

Name:

BABALOLA ABAYOMI

EARC

Date:

Name:

OUMAROU AMADOU

ORVP

Date: