Road Sector Management in Lao People’s Democratic Republic, Papua New Guinea, and Philippines
sector: Transport | country: Lao, People’s Democratic Republic Papua New Guinea Philippines
Assessing risks that are known to be associated with any pavement management system like the road assessment management system should be stressed in the terms of reference of the consultants; otherwise, such risks may be ignored, affecting the long-term sustainability of the system.
For politically sensitive recommendations, a technical assistance attached to a loan, possibly with a covenanted time-bound action plan, may be a more effective mechanism than a stand-alone technical assistance as ADB and the other stakeholders will remain engaged through the duration of the loan. It has been an advantage that progress in implementing the politically sensitive recommendations related to privatization in the Lao PDR and disbanding Bureau of Equipment in the Philippines could be monitored by frequent loan review missions over a long period.
In the initial stages of transition, when economies have pervasive state control over road sector institutions, and a banking sector that is not motivated to deal with the private sector, privatization may take the form of management buy-outs and may precede attempts to reform the banking sector.
Long-term involvement with the stakeholders should be required, with support and follow-up over a period of 5 or more years, to maintain momentum and stakeholder interest.
Where significant retrenchments are anticipated, technical assistance projects (TAs) need to consider recommendations for transitional arrangements, including change management and counseling. These are necessary to minimize the social costs of downsizing. Furthermore, in TAs that substantially affect components of the executing agencies, the reporting channel of the consultants needs careful consideration.