Bihar Power System Improvement Project
(RRP IND 41626)
TECHNICAL ASSISTANCE: BIHAR POWER SECTOR CAPACITY DEVELOPMENT AND
IMPLEMENTATION SUPPORT
A.
INTRODUCTION
1.
The Bihar Power System Improvement Project (the Project) is a proposed loan for 2010
included in the Country Partnership Strategy for India 2009-2012 (March 2009). The proposed
capacity development and implementation support technical assistance (TA) is listed in the 2010
Country Operations Business Plan will coincide with the proposed Project as a "piggy-back" TA.
2.
The loan is scheduled for approval in 2010 and as such, this TA for $300,000 is expected
to commence implementation in 2010.
The TA will target specific capacity development needs of the executing agency of the loan,
Bihar State Electricity Board (BSEB), particularly the most urgent capacity development needs
associated with project implementation.
B.
THE PROPOSED TA
1.
Impact and Outcome
3.
The TA's impact would be strengthened institutional capacity on general project
implementation matters. The outcome of the TA would be solid implementation of the Bihar
Power Sector Improvement Project combined with knowledge transfer.
2.
Methodology and Key Activities
4.
ADB's technical assistance will assist BSEB by addressing immediate project
implementation capacity needs. This includes assistance and training related to procurement and
contracts management, environment and social safeguards, training and human resource
management, and finance and accounts management and reporting.
5.
The TA will consist of consultants working with the project management unit (PMU) of
BSEB, as well as transmission and distribution engineers conducting construction supervision
support at the project sites.
3.
Cost and Financing
6.
The total cost of the subproject is estimated at $350,000 equivalent. ADB will provide
technical assistance not exceeding the equivalent of $300,000 to be financed on a grant basis by
the Technical Assistance Special Fund – Other Sources (TASF-Other Sources). The
Government of Bihar (GOB) will contribute $50,000 equivalent in kind by providing office
accommodation, support facilities, counterpart staff, maps, reports, and other logistical support.
4.
Implementation Arrangements
7.
The executing agency (EA) will be the Bihar State Electricity Board (BSEB). The Project
Management Unit (PMU) of BSEB is in charge of implementing the Bihar Power System
Improvement Project and will be the recipient of assistance under this TA.
8.
The TA will require the services of individual consultants in the fields of procurement,
environment and social safeguards, training and human resource management, and financial
reporting. Detailed terms of reference (TOR) are covered in Appendix 2. ADB will recruit the
consultants in accordance with its Guidelines on the Use of Consultants (2007, as amended from
time to time). The Government of Bihar will provide office accommodate and transport as
required, as well as counterpart office staff to be made available.
Attachment:
(1) Design Cost Estimates, Financing and Implementation Plan
(2) Outline Terms of Reference for Consulting Services
2
Attachment 1
COST ESTIMATES, FINANCING AND IMPLEMENTATION PLAN
A.
Cost Estimates and Financing
1.
The total cost of the TA is estimated at US$350,000 equivalent. ADB will finance
U$300,000 on a grant basis. The Government will finance the remaining US$ 50,000 equivalent
in kind through the provision of administrative setup, including office space, office equipment,
and local communication and transportation. Detailed cost estimates and financing plan are in
Table 1.
Table 1 COST ESTIMATES AND FINANCING
(US$'000)
Total
Cost
Item
A. Asian Development Bank Financing
1. Consultants
a. Remuneration and Per Diem
i. National Consultants
b. International and Local Travel a
c. Reports and Communications
2. Contingencies
Subtotal (A)
B. Government Financing b
1. Office Accommodation and Transport
2. Remuneration and Per Diem
of Counterpart Staff
3. Contingencies
Subtotal (B)
Total
173.1
93.5
3.7
29.8
300.0
20.0
20.0
10.0
50.0
350.0
a
Includes airfare, per diem expenses and land travel and/or vehicle hire.
These costs are in-kind costs borne by the executing agency.
Source: Asian Development Bank estimates.
b
B.
Implementation Arrangements
2. The TA will require the services of 5 domestic consultants, for a total of 34 person-months.
The national consultants include a Procurement Specialist, an Environment and Social
Safeguards Specialist, a Training and Human Resource Management Specialist, a Financial
Reporting Specialist and an Institutional Specialist. ADB will recruit the consultants in
accordance with its Guidelines on the Use of Consultants (2007, as amended from time to time).
All consultants will be recruited individually.
3.
Bihar State Electricity Board (BSEB) will be the executing agency (EA). BSEB is to
provide adequate office accommodation and administrative support to the consultants for
carrying out the tasks of the TA. It is expected that the TA will commence in Q4 2010 and will be
implemented during a 3 year period. Any equipment for the TA will be procured according to
ADB’s Procurement Guidelines (2007, as amended from time to time) and will be turned over to
EA upon TA completion.
Attachment 2
OUTLINE OF TERMS OF REFERENCE FOR CONSULTING SERVICES
1.
The team composition of the national experts along with their estimated person months
(intermittent during 2 year period) is shown in the table below:
A.
Consultants Team Composition
A. Consultants
B.
No. of Experts
1. Procurement Specialist
2. HR Management cum Training Specialist
3. Finance and Accounts Specialist
4. Social, Environmental and Resettlement
Specialist
5. Institutional Specialist
1
1
1
1
Total
5
1
National
National
National
National
National
National
Total
P-M
6
9
8
8
3
34
Scope of Works
2.
The primary responsibility of the Consultants is to advise and assist the EA’s PMU in
management of sub-projects, providing technical support, administration and implementation of
the TA and loan financed projects.
1.
Social, Environmental and Resettlement Specialist (8 person months)
Detailed Tasks:
i.
Assist PMU in development of forest cases, compensation cases, pre-construction
activities and liaise with the various Central and State Government agencies on Social
Safeguards, Environmental and other regulatory matters;
ii.
Review and approve the Contractor’s Implementation Plan for the Social Safeguards,
Resettlement and Environmental measures, as per the EMP and/or RP in consultation
with ADB, BSEB and other concerned State Govt. Agency;
iii.
Interaction with local & national and/or international NGOs and Community groups in
establishing dialogue with the affected communities and ensure that the Social
Safeguards and Environmental concerns and suggestions are incorporated and
implemented in the project;
iv.
Ensure that the project design and specification adequately reflect the Social
Safeguards and Environmental Management Plan,
• Provide orientation for Field Staff on safeguard measures, including implementation
of the Environmental Management Plan (EMP), Resettlement Plan.
• Supervise the implementation of environmental mitigation and monitoring measures
as specified in the EMP.
• Assist in developing the forest and compensation cases.
• Monitor and supervise resettlement and other social impact mitigation activities, as
defined in the Resettlement Plan, resettlement framework, and indigenous peoples’
development framework.
• Assuring that all the safeguards related works (resettlement and timely disbursement
of compensation, necessary mitigations, etc) are completed before the preconstruction activities;
4
Attachment 2
v.
vi.
vii.
viii.
ix.
x.
xi.
Coordinate, monitor to ensure that all concerned activities being implemented smoothly
by Field Staffs and contracting firms;
Represent PMU, Government Agencies and the ADB in supervision of the
implementation of the EMP and/or RP during the construction as well as operation stage
of the projects by the contractor as per guidelines of ADB;
Review environmental, social and poverty assessment reports of contractors and submit
it to PMU, ADB and BSEB;
Provide the guidelines during land acquisitions (if any) and ensure proper monitoring and
implementation of RPs etc.;
Assist in training of PMU Field staff on Social and Environmental issues;
Periodical performance monitoring, review and evaluation of resettlement activities and
mitigation of social and environmental plans and reporting of different phases as per
ADB guidelines; and,
Assist BSEB to prepare a Grievance Redress Mechanism, acceptable to ADB, and
assist establishing a task force at the BSEB to receive and resolve complaints and/or
grievances or act upon reports from stakeholders on misuse of funds and other
irregularities, including grievances due to resettlement and environmental issues.
Output and Reporting Requirements:
Inception Report
Quarterly Progress
Report
Assessment of PMU
Review of Terms of Reference with recommendations, if appropriate,
on any alternative approach.
a)
ADB Loan Background and Basic Data
b)
Environmental and Social Implementation Plans and Progress
c)
Utilization of Funds for these Plans
d)
Safeguard Issues and Progress
e) Compliance with safeguard related Loan Covenants
PMU organization review from a safeguards perspective, training
needs assessment and safeguards training implementation plan.
Attachment 2
2.
Procurement Specialist (6 person months)
Objective and Purpose of the Assignment:
The consultant will support the implementation of the ADB Project by assisting the Project
Management Unit (PMU) to ensure timely and proper management of the procurement and
bidding processes. This role also includes transferring capacity to the EA in procurement
matters with particular attention to ADB's Procurement Guidelines.
Scope of Work and Detailed Tasks:
i.
Preparation: Assist PMU in the preparation of each sub project bidding documents
(studies, investigations, designs, specifications and drawings, contract conditions,
commercial conditions, Bill of Quantities) to properly define the work;
ii.
Procurement: Review tender documents in accordance with BSEB and ADB’s
standard procedures and guidelines. In the review of the tender documents, the expert
shall particularly consider completeness of the scope of work, coherence between
sections, constructability, cost, risk, shared risk and consequences thereof, and
compliance with ADB’s procurement procedures and guidelines;
iii.
Evaluation: Assist with advertisement, pre bid meetings, evaluation of technical and
financial bids, preparation of bid evaluation reports, contract negotiations and
preparation of documents for contract signing, and advice on submission of documents
to ADB for review and approval; and
iv.
Assist PMU in preparation of contract documents.
Output and Reporting Requirements:
Inception Report
Quarterly Progress
Report
Review of Terms of Reference with recommendations, if appropriate,
on any alternative approach.
a) ADB Loan Background and Basic Data
b) Procurement related status, including contract award data.
c) Procurement Issues and Progress
d) Compliance with procurement related Loan Covenants
6
Attachment 2
3. Finance and Accounts specialist (8 person-months)
Objective and Purpose of the Assignment:
The consultant will be responsible for working with the PMU to ensure timely management of all
financial and reporting related requirements under the ADB loan.
Scope of Work and Detailed Tasks:
i.
To assist PMU in preparing and maintaining separate accounts for projects and/or
contracts for ADB funded projects viz. accounting books, documents, records, bank
accounts, financial statements etc. These may be consolidated on prescribed formats for
appraisal or update for ADB, BSEB and Auditing agencies as per guidelines of ADB;
ii.
Impart training to PMU accounts staff with regard to book keeping and payment system;
iii.
Pre-checking of bills of contractors due for payment besides other claims and
processing of penalties, if any, and keeping track of disbursement etc. with the
Accounting Unit;
iv.
Assisting in preparing financial analysis as well as updating an economic appraisal of
the sub-projects to be implemented in forthcoming tranche with regard to current
operating cost, time cost and time schedules etc. and also examine its aggregate (total)
effect on the project, evolving appropriate cost control mechanism;
v.
Assist PMU in Funds Management, Banking Operations, Payments and reconciliation.
vi.
Dealing with Insurances & Insurance claims with regard to ADB Projects;
vii.
Cost analysis, performance budgeting and functional budgeting, variance analysis and
cost control for projects and apprise to PMU and ADB accordingly;
viii.
Assist in preparation of the reply to the internal and/or external Audit of all ADB Projects
as per guidelines;
ix.
Periodical performance monitoring, evaluation, review and reporting of different phases
as per ADB guidelines;
x.
Developing computerized accounting and Financial Information System for PMU; and,
xi.
Work on developing an effective “Claims Avoidance Regime”.
Output and Reporting Requirements:
Inception Report
Review of Terms of Reference with recommendations, if appropriate,
on any alternative approach.
Quarterly Progress
Report
Covering all project activities to include
a) Loan Background and Basic Data
b) Implementation Plans and Progress
c) Utilization of Funds
d) Safeguard Issues and Progress
e) PPMS
f) Compliance with Loan Covenants
g) Loan Implementation Issues
h) Bidder Complaints
Attachment 2
4. HR Management cum Training specialist (9 person-months)
Objective and Purpose of the Assignment:
The consultant will be responsible for working with BSEB within the PMU to facilitate the
implementation of the capacity development component under the ADB loan, including the
consultant recruitment process for the loan funded capacity development activities.
Scope of Work and Detailed Tasks:
i.
Organization and management. Assess and propose necessary improvements for
organizational effectiveness: clear functional responsibilities by department and district
offices, efficient reporting structure and procedure, and staffing allocation for PMU and
Divisional offices;
ii.
Capacity development plan. Prepare a capacity development plan for BSEB, by taking
the report prepared by the Institutional specialist including the needs assessment,
description of improvement programs with implementation time frame, and indicators
and milestones for measuring progress and achievements;
iii.
Assist PMU in preparing the Terms of Reference and hiring for the Consultant for the
HVDS system training, pilot implementation and DPR preparation; and conduct a need
assessment in consultation with EA for development of specifications for Meter and
Relay testing labs, Transformer repair workshop equipment to be procured under the
loan component.
iv.
Training. Conduct a diagnostic needs assessment of the current technical and
management skills and capacity, identifying specific deficiencies and proposing targeted
improvements with a time frame. Based on this, develop and implement practical training
programs consisting of in-house workshops and seminars. Recommend an effective
setup for the on-the-job training and monitor progress;
v.
Assist in developing key capacities within the PMU and field staff. Some illustrative
topics include, but are not limited to: Procurement, Financial disbursements, safeguards
reporting, Loss reduction and Distribution Management Planning usage of CYME
software for load management, Construction Management and Supervision Training,
Claims management, project management training, Energy Audit, use of GPS
techniques in network management, Compliance reporting to electric regulatory
commission (ERC) regulations, manpower planning and organization design etc.; and,
vi.
Assist in the selection of suitable candidates for training programs and local study tours
and appropriate venues for their training through the combined knowledge and
experience of the consultant team.
Output and Reporting Requirements:
(i)
Training plan including TOR and budget for consultant training needs.
8
Attachment 2
5. Institutional Specialist (3 person-months)
Objective and Purpose of the Assignment:
The consultant will be responsible for working with BSEB to conduct the intermediate and
longer term needs assessment in institutional capacity in regards to commercial, financial and
regulatory
activities,
and
in
corporate
and
managerial
planning.
Scope of Work and Detailed Tasks:
(i)
Review BSEB's institutional capacity for carrying out commercial, accounting, financial
and regulatory related activities.
(ii)
Review BSEB's corporate and management planning activities and capabilities.
(iii)
Identify the presence of any institutional capacity development programs that are in
implementation or are to be undertaken over the next 3 years by stakeholders, including
central and state government programs or other agencies. Assess how these programs
would meet BSEB's institutional capacity requirements.
(iv)
Based on the above, identify existing gaps and recommend immediate and longer term
solutions and prepare a short report on management information system gaps on the
institutional, accounting and finance at BSEB (not an IT experts’ perspective) including
developing requisite TORs recommending next steps for bringing in the requisite IT
expertise for specific system design activities, as required (whose activities would be
outside the scope of this TA and could be funded under loan component)..
(v)
Conduct needs assessment and prepare a list of required hardware and software for
procurement as proposed under the Loan of Divisional offices.
(vi)
Prepare detailed report, including consultation with ADB mission leader, on intermediate
and longer term training needs including a plan and proposed program with terms of
reference (TOR) for recommended consulting services. The report shall also identify
required capacity enhancement and specific training needs for BSEB staff in the field of
management information systems that would need to be met before the installation and
operation of IT systems at the divisional level.
Output and Reporting Requirements:
Training plan including TOR for consultant training needs.