UNDP Project Document
Government of Nicaragua
United Nations Development Programme
Promotion of Environmentally Sustainable Transport in Metropolitan Managua
Table of Contents
PART i: sITUATION ANALYSIS
A. Context and global significance 5
B. Stakeholder Analysis 5
C. Baseline analysis 8
PART II: STRATEGY
A. Project Rationale and Policy Conformity 13
B. Project Goal, Objective, Outcomes and Outputs 15
C. Project budget allocation per output and outcome 26
D. Project Indicators, Risks and Assumptions 28
E. Expected global benefits 29
F. Country Ownership: Country Eligibility and Country Drivenness 29
G. Sustainability 31
H. Replicability 32
PART III: MANAGEMENT ARRANGEMENTS
A: Implementation/Execution arrangements 34
B. Consultation, coordination and collaboration between IA’s, and IAs and EXAs 35
PART IV: MONITORING AND EVALUATION PLAN AND BUDGET
Monitoring responsibilities and events 36
Project Monitoring Reporting 37
Audit Clause 38
Table 1. Indicative Monitoring and Evaluation Work Plan 39
SECTION II: STRATEGIC RESULTS FRAMEWORK AND GEF INCREMENT
PART I: Incremental Cost Analysis 41
PART II : Logical Framework Analysis 42
SECTION III: TOTAL BUDGET AND WORKPLAN
Total Budget and Work Plan 44
SECTION IV: ADDITIONAL INFORMATION
PART I : Other agreements 46
PART II : Project organization chart 46
PART III: Terms of References for key project staff and main sub-contracts 47
PART IV: Stakeholder Involvement Plan 47
PART V – APPENDICES 49
Acronyms
ALCISA Municipal Government of Ciudad Sandino
ALMA Municipal Government of Managua
ANE National Association of Engineers
AKIRIS Akiris of Colombia, Ltd.
APR Annual Project Review
AWP Annual Work Plan
BCN Central Bank of Nicaragua
BRT Bus Rapid Transport system
CABEI Central American Bank for Economic Integration
CAS Country Assistance Strategy
CCF Country Cooperation Framework
CDM Clean Development Mechanism
CIEMA Center for Research and Studies on Environment
CITU Inter-Institutional Committee for Urban Transport
CNCC National Committee on Climate Change
CORASCO Corea and Associates, Ltd.
CO2 Carbon dioxide
DNP National Project Director
EPYPSA Studies, Projects and Planning, Ltd.
FNC Nicaraguan Cycling Federation (p. 6)
FSP Full Size Project, GEF
GEF Global Environmental Facility
GHG Greenhouse Gases
GTZ German Agency for Development Assistance
IA Implementing Agency
ExA Executing Agency
IADB Inter American Development Bank
INDEC National Institute of Consumer Defense
INETER Institute for Territorial Studies
INE Nicaraguan Institute of Energy
INIFOM Nicaraguan Institute for Municipal Development (p. 17)
IPCC International Panel on Climate Change, UNO
IPK Index of Passengers per Kilometer
IR Inception Report
ISS Implementation Support Services
IW Inception Workshop
JICA Japanese International Cooperation Agency
IRTRAMMA Institute for the Regulation of Transport in Municipality of Managua
MAGFOR Ministry of Agriculture and Forestry
MARENA Ministry of Environment and Natural Resources
MIFIC Ministry of Industry and Commerce
MINREX Ministry of External Relations
MTI Ministry of Transport and Infrastructure
MTR Mid-Term Review
MYFF Multi Year Financing Framework
NESTLAC Network for Sustainable Transportation in Latin America and the Caribbean
NGO Non-Governmental Organization
NMT Non-Motorized Transport
NO x Nitrogenous Oxides
NPC National Project Coordinator
OP11 GEF Operational Plan #11 on Sustainable Transport
PDF Project Development Facility, GEF
PITRAVI Integral Road and Transport Plan for the City of Managua
PMU Project Management Unit
PND National Development Plan 2004-2010
PPP Public Private Partnership
UNDP United Nations Development Program
UNDP-CO United Nations Development Program Country Office
UNFCCC United Nations Framework Convention on Climate Change
UNEP United Nations Environment Programme
UNI National University of Engineering
USD United States Dollar
section i: elaboration of the narrative
PART I: SITUATION ANALYSIS
A. Context and global significance
1. The project “Promotion of Environmentally Sustainable Transport in Metropolitan Managua” is embedded within the national government priority to reform the public transport system in Metropolitan Managua, as quoted in the Integral Transport Plan for the City of Managua (2000-2015). Pre-feasibility studies for the implementation of a new Bus Rapid Transport (BRT) system were finalized in December 2004. These studies confirmed that the construction of a BRT system is an efficient and cost effective solution for Managua’s transport problems. Consequently, the President of Nicaragua has pledged a $35,000,000 cash contribution for the construction of the initial phase of the BRT system, and this project is listed as a priority in the IADB/Government of Nicaragua concessionary loan agreement for 2007.
2. Total transport emissions in Nicaragua for 2004 are estimated to be 1,325,000 tons of CO2 per year. This represents a 57% increase since the first GHG inventory was conducted in 1994. In the Metropolitan Area of Managua, total transport emissions are 964,000 tons of CO2/ year, or 73% of the national emissions from the transport sector. Current projections (to be incorporated in the Nicaragua Second National Communication to the UNFCCC) indicate that by 2030 transport emissions in Metropolitan Managua are expected to increase to 2,215,000 tons CO2/ year, despite technology improvements in new vehicles. This is due mainly to urban expansion and an increase in the share of private car participation in total mobility.
3. This scenario explains why urban transport is considered a high priority within the national GHG mitigation strategy, as described in the National Action Plan for Climate Change (2001). A UNDP/GEF sustainable transport initiative that includes both the modernization of public transport through the implementation of a BRT system, complemented with a modal shift to non motorized transport, will respond to national development needs and global environmental priorities. Successful implementation of this project will result in high replication potential, both within Nicaragua and the Central American region.
B. Stakeholder Analysis
The key stakeholders involved in this project are:
4. INTER-INSTITUTIONAL COMMITTEE FOR URBAN TRANSPORT (CITU) – The CITU has been established during the preparatory phase of the project to coordinate all activities associated with the implementation of a Bus Rapid Transport system in Metropolitan Managua. It is comprised of the Presidency (chair), UNDP-Nicaragua, the Municipality of Managua, the Municipality of Ciudad Sandino, the Ministry of Finance and the Ministry of Transport and Infrastructure[1]. Its main functions are: coordinating international cooperation associated with the BRT, securing credit for BRT construction, and liaising with the Legislative Assembly to promote regulatory changes required for BRT implementation.
5. METROVIA – METROVIA is a technical and operational body which responds directly to the CITU. It is the responsible party for the execution, promotion, and operation of the BRT system in Managua.
6. MINISTRY OF TRANSPORT AND INFRASTRUCTURE (MTI) - MTI has the mandate for national infrastructure and transport planning. Its responsibilities include the application of the General Transport Law and the regulation of inter-urban transport.
7. MANAGUA, CIUDAD SANDINO, AND TIPITAPA MUNICIPALITIES - The proposed BRT system to be developed includes the municipalities of Managua and Ciudad Sandino, and may potentially expand into Tipitapa. Municipal Governments have a set of attributions according to the Law of Municipalities, including:
· Local (intra-municipal) transport regulation.
· Inter-municipal transport terminals (in coordination with MTI)
· Control of urban development and land use.
· Protection of the environment and urban landscape.
· Environmental protection and rational use of natural resources (in coordination with MARENA, MAGFOR and MIFIC).
· Garbage collection, public area care and treatment of solid wastes.
· Construction and maintenance of municipal roads.
Of the above municipalities, only Managua has a significant number of staff in a specialized transport department. This is IRTRAMMA (Institute for the Regulation of Transport in the Municipality of Managua), a decentralized administrative entity with its own legal framework. Among its main objectives are the regulation and control of public transport services within the Municipality of Managua.
8. MINISTRY OF ENVIRONMENT AND NATURAL RESOURCES (MARENA) - MARENA is the government institution in charge of conservation, protection and sustainable use of natural resources and the environment. To attain its objectives, MARENA formulates, proposes, coordinates and monitors the enforcement of national policies on environment, as well as the legal framework, regulations and standards for environmental health and for the sustainable exploitation and use of natural resources.
Among other functions, MARENA monitors and follows up the different international conventions related to the environment and natural resources, in coordination with other government institutions. Due to the inter-disciplinary nature of the issues relating to climate change, there has been a strong and close coordination between MARENA and the Institute for Territorial Studies (INETER). MARENA has created the National Office for Climate Change within the institution, and an information center on climate change.
9. NATIONAL INSTITUTE OF CONSUMER DEFENSE (INDEC) - INDEC was founded in 2004 in order to channel local community concerns about the price and quality of basic services. With chapters in five Nicaraguan departments, INDEC leads a national coalition of consumer defense groups. In the Managua area INDEC has identified public transportation as an area of concern alongside other services (water, electricity, and telephone) which are the primary national consumer issues.
10. CIUDAD SANDINO RESIDENTS’ ASSOCIATION, the Managua COUNCIL OF CITIZEN PARTICIPATION, and the MANAGUA COMMUNITY COUNCIL - These three umbrella organizations maintain community group networks that are the primary vehicle for community participation in municipal government decision-making in Managua and Ciudad Sandino.
11. UNION OF TRANSPORTATION COOPERATIVES (URECOTRAACO) - This is the federation which represents the current owners of public bus route concessions in Managua.
12. CONSEJO SUPERIOR DE EMPRESA PRIVADA NICARAGUENSE (COSEP) -The umbrella federation of all the major business associations and chambers in Nicaragua.
13. NATIONAL COMMITTEE ON CLIMATE CHANGE (CNCC) - The National Committee on Climate Change was created in 1999 (by the Ministerial Decree No.014-99), and was formed as the main government instrument for management and execution of activities related to the national application of the international convention on climate change. The Committee was created as a consulting body among MARENA and other institutions and sectors in the country (INETER, MAGFOR, INE, MINREX, BCN, as well as representatives of the private sector, civil society and universities).
14. NATIONAL ENGINEERING UNIVERSITY (UNI) - The National Engineering University (UNI) has an independent and affiliated Research Center called the Center for Research and Studies on Environment (CIEMA), whose purpose is to generate, transfer and promote knowledge and technologies on environmental topics, thereby contributing to human sustainable development of the country. This research center has gained valuable experience and is the most specialized research center in the country for urban environmental topics. Some of its most relevant studies in the country have been the mapping and survey of pollutants in different points of the capital city, and participation in the development of GHG inventories for the Second National Communication to the UNFCCC.
15. NATIONAL ASSOCIATION OF ENGINEERS (ANE) – This association includes most engineers and engineering consulting/construction companies that design and execute infrastructure projects in Nicaragua.
16. NATIONAL CYCLING FEDERATION (FCN) – The FCN is an association of bicycle enthusiasts, including Olympic competitors, that has been promoting the use of bicycles in Nicaragua for sporting and recreational purposes for over 50 years. It currently has over 400 members.
17. INTERAMERICAN DEVELOPMENT BANK (IADB) - The Inter American Development Bank (IADB) has financed a technical assistance package for the feasibility study of a Busway Municipal System in Managua (2001). The IADB will contribute with specific technical assistance for operational system and financial engineering of the BRT system, an update of the BRT demand study, marketing and outreach program for the promotion of the BRT system, and technical visits to Latin American cities with similar experience in BRT systems - (Bogotá, Colombia; Mexico City and Leon, México). Furthermore, the IADB and the Government of Nicaragua have an agreement for a credit allocation of $35 million for the construction of BRT and associated cycle path infrastructure. This credit will be allocated to Nicaragua in 2007.
18. CENTRAL AMERICAN BANK FOR ECONOMIC INTEGRATION (CABEI) – The CABEI will provide a grant for detailed engineering of the BRT infrastructure. It will also open a credit line, under commercial terms, for BRT private bus operators and service industries (bus maintenance and fare collection system).
19. UNITED NATIONS DEVELOPMENT PROGRAMME (UNDP) UNDP is involved as the Implementing Agency and co-financier of the GEF project. Additionally, UNDP has the mandate, established in an agreement with the Presidency, to administer all international cooperation funds. As such, UNDP will administer all grant funding associated with this project.
C. Baseline analysis
20. The metropolitan area of Managua[2], comprised of 6 municipalities (Managua, Ciudad Sandino, Tipitapa, El Crucero, Ticuantepe and Nindiri), has an estimated population of 1.4 million inhabitants and an annual population growth rate of 2.4%. The urban area holds almost 25% of the total population of the country and concentrates over 70% of the national industrial sector. As a result, the metropolitan area is experiencing rapid and disorganized urban growth.
21. Private car registration at the national level is around 252,000 vehicles, of which 170,000 circulate in Managua. In addition, there are approximately 13,100 units of public transportation: 11,000 are taxis, 1,000 are buses for collective transport, 800 are small passenger transport vehicles, and 300 are school buses. The collective bus system is made up of two private enterprises and 27 cooperative enterprises, which transport an average of 840,000 passengers per day (47% of motorized transport demand) over 34 bus routes.
22. Managua has severe structural and operational problems in its public transport system, which in turn cause deficient service and quality, a high index of accidents, and reduced quality of living standards for its inhabitants. There is a lack of technical and economic capacity to implement adequate planning, regulation and control of public transport within the metropolitan area. As a result, public transportation operations are disorganized, quality of service varies greatly, and public perception of the bus system is quite low (disapproval ratings exceed 70%). Without a thorough public transport reform, the modal share of buses in urban mobility is expected to drop below 35% of motorized transport in the next 20 years. This will have strong impacts in terms of air pollutant emissions, road congestion, and traffic accidents, due to the shift to private cars and to the weak financial capacity of bus companies to maintain vehicles and replace older buses.