News Column

National Roads Programme

September 2, 2014

Business sector:Transport Public/Private: Public Environmental category: A Target Board date: 11 Nov 2014 Status:Passed structure review, Pending final review PSD disclosed: 1 Sept 2014 Project Description : EBRD is considering extending a sovereign guaranteed loan of up to 162.5 million. The loan proceeds will be used to finance four national road sections in FYR Macedonia. Much of Macedonia s national road network is aged and it follows existing routes that have been progressively upgraded in status, but still contain poor alignments with inadequate capacity and safety standards. The project will be divided into two tranches as follows: Tranche 1: Reconstruction and widening of the section Stip Kochani of national road A3 (approx. 27km); Construction of the section Raec - Drenovo of National Road A1 (approx. 10km). Tranche 2: Construction of the section Trebenista- Struga of National Road A2 (approx. 8km); Construction of the section Ohrid - Pestani of National Road A3 (approx. 12km). In addition, the loan will fund a digital archiving system. Transition Impact : The transition impact of the project is based on the following: Increased competition and private sector involvement by tendering the maintenance of part of the project road sections together with the construction works. Improving standards for corporate governance and business conduct: IT capacity building to help PESR manage its assets and implement investments more efficiently; ISO 9001 certification for quality management. Road Safety standards: Development of internal requirements for Road Safety Auditors based on a regional benchmarking study; implementation of a Road Safety Management System in accordance with ISO 39001. The Client : The Borrower is the state-owned Public Enterprise for State Roads ( PESR ). PESR is responsible for the operation and maintenance of the national and regional road network in FYR Macedonia ( the State ). It was established in December 2012 as legal successor to the Agency for State Roads. EBRD Finance : Sovereign guaranteed Loan of up to 162.5 million, to be provided in two tranches of up to 74 million and up to 88.5 million respectively, with each tranche financing two National Road sections. The second tranche will be uncommitted and commitment will be at the Bank s sole discretion and subject to Board approval. Environmental Impact : The overall project has been categorised as A. The four road sections have been split into two tranches with the Raec-Drenovo road section in Tranche 1 and the Ohrid-Pestani road section in Tranche 2 categorised as A and both requiring an Environmental and Social Impact Assessment (ESIA) as they are new roads of four lanes of 10 km or more and located in sensitive locations with protected areas. The A3 Stip- Kocani and A2 Trebenishta Struga roads have been categorised B as the roads are a combination of rehabilitation, road widening and new road alignments of less

Project completion date : 2015-12-31 12:00:00


Address : Dame Gruev str. 14 1000 Skopje

Country :Macedonia, the Former Yugoslav Republic of

Email :

Url :

Financier : European Investment Bank (EIB),

Financier address : European Investment Bank 98-100, boulevard Konrad Adenauer L-2950 Luxembourg Website : Tel : (+352) 43 79 1 Fax : (+352) 43 77 04

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Source: TendersInfo (India)

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