Investment Opportunities In Road Infrastructure Development 8th October 2013 Bangkok, Thailand

Investment Opportunities
In Road Infrastructure Development
Bangkok, Thailand
8th October 2013
Bangladesh
National data
Population
-
60 millions
Area
-
676,578 sq.km
Road Length
-
148690 km
-
2476672
(2012 Mar)
No of Registered
Vehicle
Neighboring Countries-
(2012 June)
China, Laos
Thailand,
Bangladesh,
India
Statistical data of Vehicles & Road Length
Year
Registered
Vehicles
2001
2002
445167
461692
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
476350
960341
978522
991566
1024372
1997358
2067839
2298677
2331663
2476672
Road
Length
(Km)
69732
73843
Myanmar has about 148690 Km of road networks. The length of various categories of road are as under:
•Union Highways
19503 km
•Township network road
19580 km
78266 •Major city road and other roads 27507 km
90713 •Village and boundary area roads 82100 km
92859
Among these roads , under the Ministry 104058 of Construction is about 39083 km. (26.3%)
111737
125355
127942
130050
142395
148690
No.
Department
Concrete
Road
(Km)
Bituminous
Road
(Km)
Gravel
Road (Km)
Metalled
Road
(Km)
Donkey
Earth Road
Road(Km)
(Km)
Total
(Km)
Ministry of Construction,
Public Works
1 Expressway & Highways
611.7
11733.0
2440.8
2700.3
1973.5
44.1
19503.2
2 Regional & State Roads
49.7
5451.8
3299.6
2941.4
6497.1
1340.0
19579.5
661.3
17184.8
5740.3
5641.7
8470.6
1384.0
39082.7
6.6
4880.7
2215.5
660.8
3509.0
‐
11272.6
120.1
4073.0
17041.5
4976.7
55888.5
‐
82099.9
126.7
8953.8
19257.0
5637.5
59397.5
‐
93372.5
1239.7
1747.5
12.9
454.9
472.9
‐
10.8
573.4
119.7
-
309.8
‐
1013.8
246.1
129.3
43.0
734.9
1130.8
‐
2284.1
393.4
61.8
605.3
166.4
6822.7
‐
8049.5
48.3
88.5
542.1
-
280.2
‐
959.2
2726.3
28739.1
26320.4
Sub-total
Ministry of Border Areas
3 Urban Road
4 Village & Border Road
Sub-total
5
Yangon City Development
Committee
Mandalay City Development
Committee
Naypyitaw City Development
7
Committee
6
8 Directorate of Military Engineers
9 Ministry of Electrical Power
Total
12635.4
76884.6
1384.0
3928.0
148689.9
Percentage Ratio of Paved and Unpaved Road
Public Works
Whole Country
(As of March, 2012)
Here Paved refers to AC, DBST and Pen‐Mac only 5
Roads managed by Public Works
6
Length of Road Network in States and Regions under Public Works
Source: Public Works, March 2013
7
Source: Public Works, March 2013
Public Public –– Private Partnership (PPP)
Build – Operate – Transfer (BOT)
Under BOT scheme (as of September 2013)
Under BOT scheme Number of local companies – 28 companies
Number of roads – 64 roads
64 Total length of BOT roads – 3414 mile (5494.300 km)
9
BOT Road Network
BOT in States and Regions Exclusion for Kachin and Kayah(as of September 2013)
11
BOT Regulations for Local Companies
‰ Contract Period
‐ 40 years (from the start of Operating Period until the end of Transfer Period)
‰ Upgrading of Road and related facilities ‐ Road to be upgraded until bituminous road with stipulated standards within 3 years construction period depending on the traffic volume
‐ Bridges along the road to be upgraded until R.C bridges of 60 ton loading bearing capacity
BOT Regulations for Some International
Company
‰ Contract Period
‐ 60 years (from the start of Operating Period until the end of Transfer Period)
‰ Upgrading of Road and related facilities ‐ Road to be upgraded until bituminous road with
stipulated standards within 3 years Construction Period depending on the traffic volume
‐ Bridges along the road to be upgraded until R.C bridges of 75 ton loading bearing capacity
BOT Regulations for Int; Co.,
‰ Tax on the toll collected payable to the State by BOT Companies
™ First 3 years (3 years) ‐ Exempted
™ From 4th until 18th year (15 years) ‐
10 % of total toll collected
™ From19th until 33th year (15 years) ‐
15% of total toll collected
™ From 34th until 48th year (15 years) ‐
20% of total toll collected
™ From 49th until 60th year (12 years) ‐
30% of total toll collected
‰ Beyond 60 years period
‐ the Company can extend contract for 5 years period each time until 3 times
‰ Performance Guarantee
‐ the Company has to pay 1 % of the investment and which will be returned back on attaining the Completion Certificate
Support of Government to BOT Companies
• Exemption of tax for importing construction materials, oil, vehicle and machinery by the certification of Public Works
• Provision of construction materials, able to provide by Government at Government price rate.
• BOT Companies can loan from local banks for the fund necessary to carry out the project.
Related helpful regulations and laws
• Most BOT road projects are upgrading of existing road track. So there's very less problem regarding land acquisition.
• There are also regulations regarding the right of way estimating the future expansion. So, these regulations help avoiding the land acquisition problems.
• For Highway regulations, “Highway Law 2000 edition, Myanmar” is used as standard law in Public Works.
• For the BOT scheme, Myanmar will adapt the Policy of ASEAN Standard of Transport System.
Process in attaining BOT project by Local Companies
Asian Highway (32) countries ‐ 143000 km
Asian Highways
AH1
1650 km
(Myawaddy – Yangon – Mandalay – Tamu)
AH2
807 km
(Tachileik – Meikhtila – Tamu)
AH3
93 km
(Mongla – KyaingTong)
AH14 453 km
(Muse ‐ Mandalay)
Total length of roads inside Myanmar – 3003 km
19
1
ASEAN Highway
Route
14
14
111
14
3
2
1
2
1
112
1
12
13
16
1
14
13
3
11
15
16
16
12
1
121
19
123
19
15
131
16
132
11
1
112
132
17
123
11
1
1
17
2
18
140
18
2
141
142
- 23 Routes , Length 36,000 kms
18
2
- 7 Routes in Myanmar :
AH1, AH2 , AH3 , AH14 . AH111 , AH112 ,
AH123
Development of ASIAN Highways
GMS Economic
Corridors
Some of the roads Links
between the nodal points of
Border Trade Posts at the border
with neighbouring countries, such
as
™ Muse, Lwejel and
Chinshwehaw with China
™ Tachileik, Myawaddy,
Kawthaung and (Myeik)
Mawtaung with Thai,
™ Tamu and Rhi, Maritwa with
India and
™ Maungdaw with
Bangladesh.
Geographically, Myanmar
will play a key role as a
Landbridge both between India
and the PR China and between
south Asia.
Location of Proposed Projects
Pontaung tunnel (AH1/AH2)
Watalone tunnel (AH2)
Mawlamyine Kawkareik road (EWEC)
Momywa-Pale-Gangaw-Kalaymyo Road
Gangaw‐Kalaymyo section about 133km
2015~ 2016 (Priority)
Tamu
Monywa
AH1/ AH2
Meiktila-Taunggyi-Loilem-Kyaingtong Road
Takaw‐Kyaingtong section about 190 km
Takaw
Road Section
Road
Length
Meiktila-Taunggyi-Loilem- 420/7 Miles
Kyaingtong Road
677 Km
Paved Road
Unpaved Road
12'
22'
24'
272/5
511
97/1
..
439
82
156
..
Passing Through
Region & State
Mandalay/
Shan(S)/Shan(N)
2015~ 2016 (Priority)
Kyaingtong
Thibaw
AH111
Loilem
AH2
Proposed Tunnel
Taunggyi
2015~ 2016 (Priority)
Kawkareik - Mawlamyine Road (EWEC)
AH1
Thailand
Yangon
AH1/Trilateral Kawkareik
Mawlamyine
(western end of EWEC)
AH112
Dawei
Thanphyuzayat-Ye-Dawei-MyeikKawthung Road
Paved Road
Road Section
Road
Length
12'
22'
Unpaved
Road
24'
Thanphyuzayat 580/5 347/
687 13/0
-Ye-DawieMiles
4
MyeikKawtaung
934 Km 559 111 21
Road
Passing
Through
Region &
State
151/2
243
Mon /
Taninyaryi
Minbu-Ann-Kyauktaw-Sittwe Road
Magway – 61 miles
Rakine – 235/5 miles
A section of Myanmar – Lao – Vietnam Tripartite Corridor
Shwebo-Myitkyina Road
Union Highway Proposal of Projects for Loan and Grant
Sr.No
Financial
Institutions/
Organizations
Proposed Project
Area
1
China
Improvement of YangonMandalay Expressway
Yangon,
Bago,
Mandalay
Duration
Proposed
Amount
(in million
US$)
Loan/
Grant/TA
2015-2016
600.00
Loan
Public Works,
Ministry of
Construction
High
Ministry
/Department
Priorities
List
High
2014-2015
15.00
Grant
Public Works,
Ministry of
Construction
Ayeyarwadd
y
2016-2017
230.00
Grant
Public Works,
Ministry of
Construction
High
Yangon
2016-2021
110.00
Public Works,
ODA Loan Ministry of
Construction
High
2015-2021
188.70
Loan
Public Works,
Ministry of
Construction
High
2014-2016
10.00
Grant
Public Works,
Ministry of
Construction
High
Yangon
2014-2016
4.50
Grant
Public Works,
Ministry of
Construction
High
Loilem-Kyainton Road
Shan
2014-2018
359.00
Loan
ADB
Kyainton-Monglar Road
Shan
2014-2018
93.00
Loan
10
ADB
Thilawa-East Dagon
Road
Yangon
2016-2018
41.00
Loan
11
ADB
East Dagon- NR1 Road
Yangon
2016-2018
58.00
Loan
Bridge Maintenance and
Naypyitaw
Management System
2
Japan
3
Japan
Ayeyarwaddy Bridge
(Hinthada)
4
Japan
Yangon-Thilawa
Bridge
5
Korea
6
Japan
7
Japan
Upgrading Thuwunna
Training Center
8
China
9
Korea-Myanmar
Friendship Bridge (
Yangon
Dala)
Technical Trainings for
Capacity Building for
Naypyitaw
Road and Bridge
Engineering Fields
Public Works,
Ministry of
Construction
Public Works,
Ministry of
Construction
Public Works,
Ministry of
Construction
Public Works,
Ministry of
construction
P bli W k
Aims
Expected Outcome
to improve road safety and Improvement of
ITS with eight lanes safety
to maintain major bridges improvement in
over 20 years life and
management and
make the systematic
maintenance
preventive maintenance of technology
bridges
Development for all
round sectors in
to connect the road
network in Yangon, Bago Yangon, Bago and
and Ayeyarwaddy region Ayeyarwaddy
region
to get smooth
Rapid development
transportation between
in Yangon region
Yangon and Thilawa SEZ
to get smooth
rapid development
transportation between
in Yangon region
Yangon and Dala region
to upgrade the
to broaden the knowledge
capacity building of
and improve high tech
road and bridge
design skills
engineers
to utilize
to establish the
modernized
modernized training
facilities and
center
techniques
High
to have smooth
connection of AH roads
Medium
to have smooth
connection of AH roads
ASEAN Class II
Standard
Medium
to get smooth
transportation
to develop rapidly
in Yangon region
Low
to get smooth
transportation
to develop rapidly
in Yangon region
to develop road
ASEAN Class III
Standard
i
i
h
Proposal of Projects for Loan and Grant
13
USA
Technical Aid Feasibility
Study (FS) for Highway
Legislation and Highway
Trust Fund
Naypyitaw
Technical Aid Study in
Transportation Eng, Value
Naypyitaw
Eng, Geotechnical Eng,
Road Safety Eng
14
USA
15
Transportation
Technical Aid Study in
Leadership and
management subjects
16
Swiss
To Aid Study in Contract
Field
2015-2016
4 .00
Grant
Public Works,
Ministry of
construction
High
High
to utilize the ability
to develop engineering
of engineers
knowledge in various fileds effectively and
efficiently
2014-2016
4.00
Grant
Public Works,
Ministry of
construction
Naypyitaw
2014-2016
4.00
Grant
Public Works,
Ministry of
construction
High
to enhance the institutional
capacity building
capacity
Naypyitaw
2014-2015
4.00
Grant
Public Works,
Ministry of
construction
High
efffective and efficient in
contract administration
field
to slove the dispute
between contractor
and owner
Medium
to strangthen the capacity
of machines to be used
effectively for entire
service life
proper maintenance
and management
system for
construction
machineries
to improve the existing AH
and TTRs to have smooth
connection
Technical Aid Using,
maintenance and
Naypyitaw
management of machinery
2014-2015
4.00
Grant
Public Works,
Ministry of
construction
Kayin
2016-2021
128.00
Loan
Public Works,
Ministry of
Construction
Medium
Road, Bridge and
Tunnelling Research
Centre
Naypyitaw
2014-2016
30.00
Grant
Public Works,
Ministry of
Construction
High
China
Goatwin Bridge
Shan
2014-2016
20.00
Loan
21
Korea
Gyaing (Kawkereik)
Bridge
Kayin
2014-2016
10.00
Loan
22
Japan
Thakata Bridge (New)
Yangon
2014-2016
10.00
Grant
17
Sweden
18
ADB
Phann-Thaton-Payagyi
Road
19
Japan
20
to enhance the road
safety system & to
facilitate the road
maintainence by self
funding
to follow laws and
regualtions & to develop
special road fund
Public Works,
Ministry of
Construction
Public Works,
Ministry of
Construction
Public Works,
Ministry of
Construction
High
High
High
ASEAN Class III
Standard
Improvement of
to establish the modernized research in related
fields
research centre
to have smooth connection
to withstand the AH
and reduce travel time on
load class
AH roads
to have smooth connection to comply and
and reduce travel time on withstand the AH
load class
AH roads
to facilitate the smooth
transportation in Yangon
Reduction in traffic
congestion
Thank you for Kind Attention