The World Bank
Efficient & Sustainable City Bus Services (P132418)
REPORT NO.: RES38264
RESTRUCTURING PAPER
ON A
PROPOSED PROJECT RESTRUCTURING
OF
EFFICIENT & SUSTAINABLE CITY BUS SERVICES
APPROVED ON DECEMBER 9, 2014
TO
DEPARTMENT OF ECONOMIC AFFAIRS
TRANSPORT
SOUTH ASIA
Regional Vice President: Hartwig Schafer
Country Director: Junaid Kamal Ahmad
Regional Director: Guangzhe Chen
Practice Manager/Manager: Shomik Raj Mehndiratta
Task Team Leader: Nupur Gupta
The World Bank
Efficient & Sustainable City Bus Services (P132418)
ABBREVIATIONS AND ACRONYMS
PDO Project Development Objective
GEO Global Environment Objective
MoHUA Ministry of Housing & Urban Affairs
ITS Intelligent Transport System
MIS Management Information System
PMU Project Management Unit
ESCBS Efficient and Sustainable City Bus Services
SUTP Sustainable Urban Transport Project
GEF Global Environment Facility
NURM National Urban Renewal Mission
GHG Green House Gases
EA Environmental Assessment
The World Bank
Efficient & Sustainable City Bus Services (P132418)
Note to Task Teams: The following sections are system generated and can only be edited online in the Portal.
BASIC DATA
Product Information
Project ID Financing Instrument
P132418 Investment Project Financing
Original EA Category Current EA Category
Partial Assessment (B) Partial Assessment (B)
Approval Date Current Closing Date
09-Dec-2014 31-Dec-2019
Organizations
Borrower Responsible Agency
Department of Economic Affairs Ministry of Urban Development
Project Development Objective (PDO)
Original PDO
The project's Global Environment Objective (GEO) is to improve the efficiency and attractiveness of city bus transport
and reduce greenhouse gas emissions in the demonstration cities.
OPS_TABLE_PDO_CURRENTPDO
Summary Status of Financing
Net
Ln/Cr/Tf Approval Signing Effectiveness Closing Commitment Disbursed Undisbursed
TF-18577 31-May-2016 31-May-2016 29-Aug-2016 31-Dec-2019 9.20 2.80 6.40
Policy Waiver(s)
Does this restructuring trigger the need for any policy waiver(s)?
No
The World Bank
Efficient & Sustainable City Bus Services (P132418)
Note to Task Teams: End of system generated content, document is editable from here.
I. PROJECT STATUS AND RATIONALE FOR RESTRUCTURING
PROJECT STATUS
A. Project Components
1. The project comprises two major components:
Component 1 - National Capacity Building for Urban Bus Sector: This component is implemented by the
Ministry of Housing & Urban Affairs (MoHUA, erstwhile Ministry of Urban Development) and covers: (i)
a review of the legal, regulatory, institutional and fiscal constraints to operation of sustainable city bus
services; and (ii) capacity building initiatives involving development of knowledge materials, training
activities, knowledge sharing and cross learning events.
Component 2 - City Demonstration Projects: This component involves targeted city level modernization
interventions to showcase low cost high impact investments in bus operation efficiency and user
responsiveness: (i) modern depot equipment; (ii) intelligent transport systems (ITS) including
management information systems (MIS); and (iii) technical assistance and capacity building to support
the modernization initiatives i.e. technical assistance with ITS-MIS, bus fuel efficiency, business planning
etc. in four demonstration cities, Bhopal, Chandigarh, Jaipur and Mira Bhayandar.
B. Project Status
2. The Project was approved by the Board in December 2014 and became effective in August 2016. Following
initial delays in effectiveness and starting procurements supported by the GEF grant, progress has improved
in the past year with major procurements now substantially complete.
3. Under Component 1, the capacity building component managed by MoHUA has made progress in all modules
and activities are expected to be substantially complete within the project timeline.
4. Under Component 2A, the depot modernization subcomponent has progressed well and now substantially
complete. The new Todi depot in Jaipur is operational and the Ghodbunder Depot in Mira Bhayander is now
substantially complete. The installation and commissioning of depot equipment has been completed in three
cities and is substantially complete in Mira Bhayandar.
The World Bank
Efficient & Sustainable City Bus Services (P132418)
5. Procurement of the Intelligent Transport Systems (ITS) and Management Information Systems (MIS) was
delayed but now completed in 2 cities, Bhopal and Mira Bhayander, where pilot of ITS is currently underway
and will soon be expanded to the entire fleet. The procurement in Jaipur and Chandigarh had to be cancelled.
Jaipur will no longer advance the implementation of ITS as Jaipur Smart City in collaboration with Rajasthan
State Road Transport Corporation (RSRTC) would be implementing the project. Chandigarh has started the
rebidding and targets to award by November 2019. The project is not expected to complete within Project
closing date. As a result of Jaipur not utilizing the grant funds towards ITS, there are expected to be savings
under this subcomponent.
6. Owing to grant savings, cities plan to procure additional depot equipment (Bhopal, Chandigarh, Jaipur) and
implement additional MIS features (Mira-Bhayander) which are programmed for completion by project
closing. Procurement actions for these activities have been initiated. Due to the developments in the project,
a saving of USD 1.0 million under the component has been reported.
7. Under Component 2B, which consists of Technical Assistance (TA) activities to support the Project Cities in
the implementation of projects, technical support for ITS implementation and capacity building are in various
stages of implementation. None of the cities, other than Bhopal, have undertaken the service and business
planning activities. As such there are savings to the tune of $1.1 mn available under the subcomponent.
8. The status of procurement and commitments by components as of August 2019 is provided below.
Commitment & Disbursement Status as of August 2019
Grant Committed Current
Allocation Cost Disbursement
Component 1 0.70 1.67 0.15
Project 0.40 0.25 0.13
Management
Component 2
Component 2A 6.0 3.58 1.90
Component 2B 2.1 0.82 0.60
Total 9.2 6.07 2.80
9. The project has disbursed about 30 percent of the total grant amount of $9.2 million and is currently
scheduled to close in December 31, 2019. The re-allocation of grant savings in component 2 from the cities
to Component I on capacity building and technical assistance activities has been planned and disbursement
of the remaining grant is planned by end of the project timeline.
C. RATIONALE FOR RESTRUCTURING
10. The proposed project restructuring comprises of the following:
Re-allocation of GEF Grant savings
Changes to disbursement estimate.
11. Re-Allocation of GEF Grant saving: As outlined earlier, Jaipur will realise substantial savings of the GEF grant
due to non-procurement of ITS/MIS. Similarly grant savings are available with cities from the technical
The World Bank
Efficient & Sustainable City Bus Services (P132418)
assistance sub-component. There have also been savings realised owing to depreciation of the Rupee. As the
cities are unlikely to utilize these grant savings within the project timeline, the cities have agreed to surrender
the unutilized grant to the Ministry. The Ministry has proposed to re-allocate the grant savings towards
ongoing and additional activities planned to be completed within the project timeline. It is estimated that
there will be a grant saving of $2.225 mn ($1.0 mn from Component 2A; $1.1 mn from Component 2B; $0.125
mn from Component 3).
12. The Grant savings are proposed to be utilized for additional capacity building and technical assistance activities
under the Component I being implemented by MoHUA. The following additional activities are proposed to be
taken up through grant savings.
Service & Business Planning for Chandigarh and Mira-Bhayandar
Review of experience with Guidance document on contracting private bus operators
Extension of ESMAP Bus Fuel Efficiency Training Program
Documentation of SUTP demo project case studies
Capacity Building Program for City Bus Officials
LUTP Training Program (CEPT+IUT)
Knowledge Workshops on City Bus.
13. All activities are proposed to be completed within project timelines, and any spillover beyond this would be
funded through state resources. The identified additional activities are in line with the project description of
Component I.
II. DESCRIPTION OF PROPOSED CHANGES
The details of the proposed changes are as follows:
D. Reallocation of GEF Grant: The reallocation of grant savings is presented below.
S. Category Current Proposed Proposed Disbursement
No Allocation Adjustments Allocations ratio
1 (1) Non-Consulting Services,
consultants services and training 700,000 2,225,000 2,925,000 100%
of Part 1 of the Project
2 (2) Goods and non -Consulting
Services for Part 2(a) of the 6,000,000 1,000,000 5,000,000 100%
project
3 (3) Non-Consulting Services,
2,100,000 1,100,000 1,000,000 100%
consultants services and
The World Bank
Efficient & Sustainable City Bus Services (P132418)
Incremental Costs for part2(b) of
the Project
4 (4) Non-Consulting Services,
consulting Services and
incremental Cost for project
400,000 125,000 275,000 100%
Management unit and
Incremental Costs for part2 (b) of
the Project
Total 9,200,000 9,200,000
Note to Task Teams: The following sections are system generated and can only be edited online in the Portal.
III. SUMMARY OF CHANGES
Changed Not Changed
Components and Cost ✔
Reallocation between Disbursement Categories ✔
Disbursement Estimates ✔
Implementation Schedule ✔
Implementing Agency ✔
DDO Status ✔
Project's Development Objectives ✔
Results Framework ✔
Loan Closing Date(s) ✔
Cancellations Proposed ✔
Disbursements Arrangements ✔
Overall Risk Rating ✔
Safeguard Policies Triggered ✔
EA category ✔
Legal Covenants ✔
Institutional Arrangements ✔
Financial Management ✔
The World Bank
Efficient & Sustainable City Bus Services (P132418)
Procurement ✔
Other Change(s) ✔
Economic and Financial Analysis ✔
Technical Analysis ✔
Social Analysis ✔
Environmental Analysis ✔
IV. DETAILED CHANGE(S)
OPS_DETAILEDCHANGES_COMPONENTS_TABLE
COMPONENTS
Current
Current Proposed Proposed
Cost Action
Component Name Component Name Cost (US$M)
(US$M)
Component 1: National
Component 1: National Capacity
3.30 Revised Capacity Building for Urban Bus 2.93
Building for Urban Bus Sector
Sector
Component 2A: City Component 2A: City
Demonstration Projects: Physical 105.20 Revised Demonstration Projects: 76.76
Improvements Physical Improvements
Component 2B: City Component 2B: City
Demonstration Projects : Demonstration Projects :
2.90 Revised 1.59
Technical Assistance and Technical Assistance and
Capacity Building Capacity Building
Project Management Cost 1.70 Revised Project Management Cost 0.88
TOTAL 113.10 82.16
OPS_DETAILEDCHANGES_REALLOCATION _TABLE
REALLOCATION BETWEEN DISBURSEMENT CATEGORIES
Financing %
Current Allocation Actuals + Committed Proposed Allocation
(Type Total)
Current Proposed
TF-18577-001 | Currency: USD
iLap Category Sequence No: 1 Current Expenditure Category: NonCS,CS, Trng - Part 1
The World Bank
Efficient & Sustainable City Bus Services (P132418)
700,000.00 154,482.04 2,925,000.00 100.00 100.00
iLap Category Sequence No: 2 Current Expenditure Category: Gds, Non CS - Part 2(a)
6,000,000.00 1,904,082.30 5,000,000.00 100.00 100.00
iLap Category Sequence No: 3 Current Expenditure Category: Non CS, CS, Incre cost Part 2(b)
2,100,000.00 603,231.19 1,000,000.00 100.00 100.00
iLap Category Sequence No: 4 Current Expenditure Category: Non CS,CS,Inc cost, Proj Mgmnt unit
400,000.00 133,816.21 275,000.00 100.00 100.00
Total 9,200,000.00 2,795,611.74 9,200,000.00
OPS_DETAILEDCHANGES_DISBURSEMENT_TABLE
DISBURSEMENT ESTIMATES
Change in Disbursement Estimates
Yes
Year Current Proposed
0000 0.00 0.00
2015 0.00 0.00
2016 0.00 0.00
2017 0.00 0.00
2018 910,000.00 0.91
2019 5,000,000.00 2.13
2020 9,200,000.00 9.20
.