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LESSONS:

Dhaka Clean Fuel Project

sector: Energy | country: Bangladesh

1. Dependence on consultants for project preparation and implementation undermines the initiatives of executing agencies´┐Ż staff for implementing projects on time and for maintaining satisfactory standards. Therefore, executing agencies should build in-house capability to prepare and implement projects.

2. Timely acquisition of land is a fundamental requirement for successful completion of a project. The acquisition process should start earlier, maybe before appraisal, so that possession of land can be achieved before loan effectiveness.

3. The executing agencies should use the advance-action provision of ADB to their best. As a result, contracts could be signed immediately after loan effectiveness and the project could be successfully completed.

4. The onlending facilities to the private sector through commercial banks worked well under the project. This modality may also be used in future for private sector financing.

5. The loan covenants should be clearly set during project design so that they can be monitored properly during project implementation.

6. The design and supervision consultancy contract should ensure that the supervision services are made available during construction even if the mobilization of construction work is delayed by a considerable period.

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