Infrastructure (Urban Development)

PROJECT MOC : URBAN DEVELOPMENT PROGRAMME (THIMPHU AND PHUNTSHOLING)

Project summary :

1. Project Area / Location : Thimpu and Phuntsholing Towns

2. Sector : City Corporation

3. Executing Agency : MOC / PWD,

4. Implementing Agency : Urban

5. Estimated Cost :
   Recurrent : Nu. 0.00 m
   Capital : Nu. 79.00 m
   Total : Nu. 79.00 m

6. Funds Secured : Nu 0.00 m

7. Financing Gap : Nu. 79.00 m

8. External Finance Required : Nu. 79.00 m

9. Status : New / Contribution

10. Documents available : 8FYP Proposals, Human Settlement Sector Review, National Report to Habitat II

Project Objectives

Improve the standard of living in urban areas through a planned development of infrastructure, to create a healthy environment, conserve cultural heritage and co-ordinate provision of urban utilities.

Project Description

Ongoing Status : Although development plans exist for Thimpu and Phuntsholing towns, they could not be implemented systematically due to lack of funds, particularly for construction of roads, drainage and footpath etc. Water supply and sewerage projects have been implemented with assistance from DANIDA. The growth and expansion have, however, called for 2nd phase and continuation of the programme during the 8 FYP period as well.

Future Programme : The rapid urbanization and fast population growth have called for improvement and expansion of existing services and creation of new infrastructure / facilities in the Thimpu and phustsholing towns. Extension of Municipal boundaries, particularly in Thimpu, also has necessitated provision of additional services and infrastructure. The infrastructures to be provided included : roads, with drains and culverts, footpaths, vehicle parking, river training works, installation of electric crematorium, solid waste disposal and management etc.

Project Impact

Improved urban environment for healthy living with provision of planned development of infrastructure / services.

Project Management

City Corporations (Thimpu and Phuntsholing) will be responsible for the management of infrastructure development and improvement programme. Construction activities will be contracted out to the private parties. Maintenance, however, will be the responsibility of the corporations.

Manpower Requirement

It is envisaged that existing strength with a few additional diploma holders will be able to implement and manage the programme.

PROJECT PW 15 : FEASIBILITY STUDIES OF MAJOR HYDRO-POWER PROJECTS

Project summary :

Location : District Municipal Areas.

2. Sector : PWD / Municipal Corporations

3. Executing Agency : MOC / PWD,

4. Implementing Agency : PWD / Municipal Corporations

5. Estimated Cost :
   Recurrent : Nu. 0.00 m
   Capital : Nu. 224.00 m
   Total : Nu. 224.00 m

6. Funds Secured : Nu 0.00 m

7. Financing Gap : Nu. 224.00 m

8. External Finance Required : Nu. 224.00 m

9. Status : New / Continuation

10. Documents available : Human settlement Sector Review (119 & 1193), National Report To Habitat II, Report on sector support for environment.

Project Objectives

Promote sustainable socio-economic growth and a healthy urban living environment through planned development of human settlements.

Project Description

Ongoing Status : Urban development plans were prepared in the past for a number of town in the districts. However, most of these plans could not be implemented for lack of funds. While some sporadic assistance was received for the improvement of water supply in a few of the selected towns, severe funding constraint persists for the development of facilities like roads, drainage, footpath, etc. With the rapid growth of most of the towns, especially the larger ones, there is an urgent need to develop basic urban facilities for the sustenance of urban environment and to enhance overall socio-economic development.

Future Programmes : The country's transition to modernization has led to rapid urbanization with corresponding growth in demands for urban services, infrastructure, land, housing, etc. The urban growth pressure is more alarming in the larger towns where pressure for urban infrastructure and services are increasing day by day. Although, the process of urbanization's profound environmental, social and economic implications, urban development sector has not been able to obtain the required funding so far owing to overall resource constraint with the RGOB. With the undeterred growth of the urban centers in the fact of resource constraint, the gap between investment requirement and the actual resource allocation is already increasing day by day. This trend, if not amended now, will cause irrecoverable financial backlog in the near future.

Further, promoting orderly development of urban centers other than the few larger ones are not only important in improving the living conditions of the concerned urban population, but the process is also critical as a measure to counterbalance the growth of the larger some of which are growing at alarming scale.

The 8FYP proposal for township development, therefore, includes improvement of basic infrastructure like water supply, roads, footpaths, drainage, street lighting etc. in most of the strategic urban centers.

Project Impact

Improved urban environment for healthy living, desirable socio-economic developments and reduced growth pressure on some of the larger towns with the provision of basic infrastructure and services.

Project Management

The Public Works Division and respective Municipal Corporations will be responsible for the management of infrastructure development and improvement programmes.

PROJECT MOC : URBAN WATER SUPPLY AND SANITATION

Project summary :

1. Location : City / Municipal Corporation (9 towns)

2. Sector : Human Settlement

3. Executing Agency : MOC / PWD

4. Implementing Agency : PWD / City / Municipal Corporation

5. Estimated cost:
   Recurrent : Nu. 0.00 million
   Capital: Nu. 300.00 million.
   Total: Nu 300.00 million

6. Funds Secured : Nu. 0.00 million

7. Financing Gap: Nu. 300.00 million

8. External finance reqd.: Nu. 300.00 million.

9. Status : New / Continuation

10. Documents available: Human Settlement Water and Sanitation Programme

Project Objectives

- Increase the provision and use of improved water supplies and sanitation,
- Enhance institutional capacity of Public Health Engineering sections (PHEs) and Corporations,
- Enhance beneficiaries' awareness of relationship between hygiene, diseases, water quality and sanitary conditions.

Project Description

Ongoing Status : The ongoing DANIDA - assisted Water Supply consolidation project for six towns (Thimphu, Phunsholing, Paro, Gelephu, Trashigag, and Samdrup Jongkhar) and Sewerage projects for two towns (Thimphu and Phuntsholing), which commenced in December, 1994 at an estimated cost of Nu. 507 million, with Nu. 82 million government contribution, are scheduled to be completed by June and October 1996 respectively. Request for continuation of the projects to establish water supply and proper sanitation facilities in three more towns (Mongar, Tashiyangtse and a satelite town) has been put up to DANIDA for their assistance.

Future Programme : The Urban Water Supply consolidation project (six towns) and sewerage project in Thimpu and Phuntsholing have established or rehabilitated most of the technical components necessary for providing satisfactory water supply and sanitation services as well as mechanisms for cost recovery. However, a number of weaknesses still remain un addressed in the institutional and management capacity necessitating continued support. While extension of municipal boundary in Thimpu calls for expansion of services, rapid growth is expected in Mongar and Tashiyangtse towns as well. Therefore, request for support has been placed to DANIDA.

Major components of the programme consist of the following :
- Continued institutional development at PHEs, City / Municipal Corporations to address financial, technical and institutional sustainability.
- Consolidation of water supply schemes in six towns, expansion of Thimphu water supply system and provision of water supply and proper sanitation in Mongar, Tashiyangtse and a satelite town.
- Extension of sewerage scheme in Thimpu and Phuntsholing
- Preparation of water resource management and a master plan / action plan.

Project Impact

Improved water supply and sanitation and strengthened institutional capacity at Headquarters and City / Municipal Corporations level.

PROJECT MOC : LOW INCOME HOUSING PROJECT

Project summary :

1. Location : Thimpu

2. Sector : Human Settlement

3. Executing Agency : MOC / PWD

4. Implementing Agency : PWD / MOC

5. Estimated cost:
   Recurrent : Nu. 0.00 million
   Capital: Nu. 35.00 million.
   Total: Nu 35.00 million

6. Funds Secured : Nu. 0.00 million

7. Financing Gap: Nu. 35.00 million

8. External finance reqd.: Nu. 35.00 million.

9. Status : New / Continuation

10. Documents available: Draft Housing Policy (1986) ADB Report on Housing 1988, Habitat II report, Urban Development Plans for Thimpu and Phuntsholing.

Project Objectives

Short term : - Provide housing as per development plans.
- Promote house ownership through savings schemes.
- Enable easy access to housing by promoting appropriate housing policy.

Project Description

With rapid urbanization, the housing situation, particularly for lower income group, is deteriorating in bigger towns like Thimphu and Phuntsholing. Illegal occupation and construction of hutments in government land are visual evidence of the situation that require urgent attention.

The project will help produce housing units through cost effective construction modality and use of appropriate construction technique. In order to do this the PWD shall identify suitable housing sites for mass production, acquire land wherever necessary, plan design and implement people friendly housing schemes so that it becomes affordable to the low income group people. The target groups shall be fixes according to the prevailing government policy.

Project Impact

- Housing shortage in the urban areas will be eased:
- Prevent development of slums and sqatter settlements:
- Create employment opportunities in the construction sector and also skills of artisans; and
- Improve human health and hygiene.

Project Management

The project will be managed by the Ministry of Communications and PWD

Financing Detail

As shown in the project summary.

PROJECT MOC : STRENGTHENING OF POSTAL SERVICES IN BHUTAN

Project summary :

Location : Thimpu

2. Sector : Communications

3. Executing Agency : Ministry of Communications

4. Implementing Agency : Postal Division

5. Estimated cost:
   Recurrent : Nu. 0.00 million
   Capital: Nu. 28.78 million.
   Total: Nu 28.78 million

6. Funds Secured : Nu. 0.00 million

7. Financing Gap: Nu. 28.78 million

8. External finance reqd.: Nu. 28.78 million.

9. Status : New

10. Documents available: None

Project Objectives

Immediate Objective : Improve the quality of Bhutanese postal services through an efficient nationwide postal network to ensure guaranteed speed, security and reliability of letter mails, goods and money, modernization of management and operations and development of human resource capability of the Division.

Long term objectives : Attain the goal of creating the necessary social and physical infrastructure to remote socio-economic development of the country.

Project Description

The postal administration encounters a variety of difficulties in running its postal services smoothly and effecitvely due to difficult terrain and scattered population. These difficulties arise mainly on account of the scarcity of financial resources, the lack of proper transport and communication facilities and trained manpower.

The postal administration does not have its own mail road transportation means and presently uses private passenger bus services all over the country. However, the private bus services have seriou7s draw backs in that their servic3es are not reliable and their operational schedules are decided without taking into consideration postal mail; and sometimes there is no space for loading the mail bags. In addition, postal security cannot be maintained as mail bags are loaded on the roof with other goods due to lack of space inside the bus. Also, the bus services do not operate in many of the postal routes.

The project consists of the following components:
1) Mail transport facilities
The postal administration proposes to set up a transportation network during the projected time (1997-99)

ii) Provision of essential equipment including micro computers.
Acquisition of new and modern equipment (micro computers, weighing scales, mail trolleys, franking machines, sorting frames, safe, date / cancellation stamps, photocopiers) will be necessary inter-alia to modernize counter service, and management and operation.

iii) Human resource Development-Training
External training assistance is needed for both operational and managerial staff who have a high potential to form a core of the postal operations group in the future needs. The administration proposes to train at least seven officials under this project.

Project Impact

By the end of the project period, the following impacts will have been created :

Direct Impact : By the end of the project mail circulation will have been streamlined through creation of mail circulation network ensuring efficient, fast and secure transportation and delivery of mails.
Counter service and management system will have been modernized, mail processing streamlined, and human resource capability developed through provision of modern equipment and other technical inputs.

Indirect Impact : The postal transport network would improve the communication facilities thereby contributing to socio-economic development of the country.

Project Management 

The project will be implemented and managed by the Division of Posts.

Financing Detail

As shown in the project summary.

Manpower Requirement

A total of four managers with some supporting staff including drivers will be required for efficient and effective implementation, management and operation of the project.

Equipment

As discussed in the project description.

Technical Assistance

None