OFFICIAL gyy. x DOCUMENTS World Bank New Delhi Office Phone: +911141479301/+911149247601 INVATONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT 70 Lodi Estate Mailing Address: P.O. Box 416 IN NATIONAL DEVELOPMENT ASSOCIATION New Delhi- 110 003 India June 24, 2015 Mr. Raj Kumar Joint Secretary (MI) Department of Economic Affairs Ministry of Finance Government of India Room 40B, North Block New Delhi Mr. Gokul Chandra Pati Chief Secretary Government of Odisha Odisha Secretariat Bhubaneswar Odisha Dear Mr. Kumar and Mr. Pati: INDIA: Odisha State roads Project (Loan No. 7577-IN) Revision of agreed Key Performance Indicators We refer to: (i) the loan agreement between India (the "Borrower") and the International Bank of Reconstruction and Development (the "Bank") dated January 27, 2009 ("Loan Agreement"); and (ii) the project agreement of the same date between the Association and the State of Odisha (formerly known as Orissa) (the "Project Agreement"), all for the Odisha State roads Project (the "Project"). We also refer to the technical discussions between the Bank's team and the implementation agency regarding the need to adjust the Project's key performance indicators. We hereby propose that the key performance monitoring indicators referred Section II.A of Schedule 2 to the Loan Agreement and Section II.A.1 of the Schedule to the Project Agreement be revised to read as set forth in the Attachment hereto. Please confirm your agreement to the foregoing on behalf of the Borrower and the State of Odisha by countersigning and dating the corresponding form of confirmation set forth below, HeadquarterI Washington DC CQ USA Mr. Kumar and Mr. Pati -2- June 24, 2015 and returning one fully countersigned original of this letter to us. These revisions shall become effective as of the date of the last countersignature, upon receipt by the Association of a duly countersigned original. Yours sincerely, INTERNTIONAL BANK OF RECONSTRUCTION AND DEVELOPMENT Onno Ruhl Country Director, India Attachment: Key Performance Indicators Confirmed and agreed: INDIA By: Name:__Se, Deptt.!MRJ of Eco. Affairs Title: vt. of India Date: Confirmed and agreed: STATE OF ODISHA By:- le ecretary, Name~n~ i\\~R A~ Title: Date: Mr. Kumar and Mr. Pati -3- June 24, 2015 cc: Mr. Subhash Chandra Garg, Executive Director (India), World Bank Mr. LK. Atheeq, Senior Advisor to Executive Director (India), World Bank Mr. Bhaskar Dasgupta, Director (MI), DEA, Ministry of Finance, Government of India Mr. S.N. Das, DG (Road Development) & Special Secretary, Ministry of Road Transport & Highways, Government of India Mr. Upendra Nath Behera, Additional Chief Secretary, Department of Finance, Government of Odisha Mr. N.K. Pradhan, Engineer-in-Chief cum Secretary, OWD, Government of Odisha Mr. B.C. Pradhan, Chief Engineer (Roads), OWD, Government of Odisha Mr. O.P. Patel, Chief Engineer, (World Bank Projects), OWD, Government of Odisha Attachment Arrangements for Results Monitoring Actual Target Values Data Collection and Reporting Value Outcome Indicators Baseline 2013 2014 2015 June 2016 Frequency and Data Collection Responsibility (2006) -Re1_Lpots Instruments Vehicle speed in project corridors End of Project (EOP), RAMS OWD/PMU increased Cars - 45 47 54 Network Traffic Trucks - 35 46 53 Reports Buses-40 47 53 Road User Satisfaction Index - 2.38 User satisfaction Survey OWD/PMU Improved surveys - Baseline and EOP Improvement in Network - (i) 90% (i) 95% EOP Surveys, Secondary Data OWD/PMU Congestion Indices (%) (ii) 2% (ii) 2% Collection (i) Congestion free CRN (iii) 8% (iii) 3% (ii) Congested CRN (iii) Over Congested CRN Improved Road Policy and - - - Draft Road Policy EOP GOO/OWD Legislative Framework put in place Policy has Adopted by the been Government I prepared _ Intermediate Results Indicators Roads Rehabilitated, Rural (Core 0 Km 0 Km 1 30 Km 240 Km 310 Km Monthly reports. In-house reporting, OWD/PMU/CSC Indicator) quarterly FMRs certification of quantities by CSC Road Asset Management System, - - - - Systems and EOP In-house reporting OWD/PMU Road Safety and Environment and Functions Social Management functions operational operational in OWD Sustainable road maintenance - Study GOO decisions EOP In-house reporting OWD/PMU financing options developed Compl taken on new eted Road Maintenance Financing option(s). Note - Method of calculation for Road User Satisfaction Index and Congestion Indices to be as per the previous restructuring paper (Jan 2013