The World Bank Report No: ISR12933 Implementation Status & Results Bulgaria Second Trade and Transport Facilitation Project (P094018) Public Disclosure Copy Operation Name: Second Trade and Transport Facilitation Project (P094018) Project Stage: Implementation Seq.No: 12 Status: ARCHIVED Archive Date: 18-Dec-2013 Country: Bulgaria Approval FY: 2007 Product Line: IBRD/IDA Region: EUROPE AND CENTRAL ASIA Lending Instrument: Specific Investment Loan Implementing Agency(ies): Key Dates Board Approval Date 21-Mar-2007 Original Closing Date 30-Jun-2012 Planned Mid Term Review Date 10-Dec-2009 Last Archived ISR Date 26-Jun-2013 Effectiveness Date 05-Jun-2007 Revised Closing Date 31-Dec-2013 Actual Mid Term Review Date 16-Dec-2009 Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the project is to facilitate trade by improving the capacity, efficiency and quality of services at selected European Union border crossings with particular focus on the Trans-European Transport Network. Has the Project Development Objective been changed since Board Approval of the Project? Yes No Component(s) Component Name Component Cost Improvement of physical capacity and working conditions at 37.15 selected European Union external border crossings. Construction of the access road to Kapitan Andreevo border 16.25 crossing point Enhancing sharing of border crossing data and streamlining 9.40 operational procedures of border crossing agencies Public Disclosure Copy Capacity building and support to Project implementation 1.31 Overall Ratings Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Unsatisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Implementation Status Overview Page 1 of 6 The World Bank Report No: ISR12933 The PDO monitoring indicators for the period April -September 2013 continue the trend of notable reduction in border processing times at the two major border crossing points: Kalotina and Kapitan Andreevo, with the exception of the indicator for entry at Kapitan Andreevo BCP which shows significant delays in border processing due to the reconstruction works. The overall improvement in the transit time by about 34% compared to the revised 2010 baseline and 60% compared to the first measurement in 2008. Currently the project implementation it is focused on three major contracts: (i) reconstruction of the main border crossing point between Bulgaria and Turkey - Kapitan Andreevo; (ii) Public Disclosure Copy construction of Customs terminal in Svilengrad (rail terminal between Greece, Turkey and Bulgaria); and (iii) construction of the remaining 3.4 km section of the Maritsa highway which provides access to the border crossing at Kapitan Andreevo. While the implementation of the works contract under component 2 (the access road to Kapitan Andreevo BCP) is almost completed, the project continues to be impacted by delays in implementation of the contract for reconstruction of Kapitan Andreevo BCP under component 1. The construction of Svilengrad Customs terminal, which has been on track, has recently also been delayed and its implementation will slip beyond the current closing date with up to 3 months. The four small works contracts under component 1.2 have still not been launched, due to fiscal constraints in the beginning of the fiscal year. Locations Country First Administrative Division Location Planned Actual Bulgaria Not Entered Vrska Cuka Bulgaria Not Entered Varna Bulgaria Not Entered Svishtov Bulgaria Not Entered Logodazh Bulgaria Not Entered Ruse Bulgaria Not Entered Ribartsi Bulgaria Not Entered Nesebur Bulgaria Not Entered Tsarevo Bulgaria Not Entered Malko Turnovo Bulgaria Not Entered Lom Bulgaria Not Entered Kapitan-Andreevo Public Disclosure Copy Bulgaria Not Entered Kalotina Bulgaria Not Entered Burgas Bulgaria Not Entered Bregovo Bulgaria Not Entered Balchik Bulgaria Not Entered Zlatarevo Results Page 2 of 6 The World Bank Report No: ISR12933 Project Development Objective Indicators Indicator Name Core Unit of Measure Baseline Current End Target Average border entry time for freight transport Text Value Revised Baseline: 57 minutes 53 Revised end target: 48 Public Disclosure Copy at Kapitan Andreevo minutes Date 31-Dec-2010 30-Sep-2013 30-Jun-2014 Comments The baseline was revised in Data for April - September, New end target introduced 2010 based on a newly 2013 with the restructuring defined methodology that Initial end target: 70 minutes represents 7.5 % of the freight traffic. The initial Baseline: 88 minutes was set in 2008 based on the first fully automatic measurement Average border exit time for freight transport at Text Value Revised Baseline: 61 minutes 40 Revised end target: 52 Kapitan Andreevo minutes Date 31-Dec-2010 30-Sep-2013 30-Jun-2014 Comments The baseline was revised in Data for April - September, New end target introduced 2010 based on a newly 2013 with the restructuring defined methodology that Initial end target: 84 minutes represents 7.5 % of the freight traffic. The initial Baseline: 105 minutes was set in 2008 based on the first fully automatic measurement Average border entry time for freight transport Text Value Revised Baseline: 61 minutes 44 Revised end target: 52 at Kalotina minutes Date 31-Dec-2010 30-Sep-2013 30-Jun-2014 Comments The baseline was revised in Data for April - September, New end target introduced 2010 based on a newly 2013 with the restructuring defined methodology that Initial end target: 63 minutes Public Disclosure Copy represents 7.5 % of the freight traffic. The initial Baseline: 79 minutes was set in 2008 based on the first fully automatic measurement Page 3 of 6 The World Bank Report No: ISR12933 Average border exit time for freight transport at Text Value Revised Baseline: 57 minutes 19 Revised end target: 48 Kalotina minutes Date 31-Dec-2010 30-Sep-2013 30-Jun-2014 Public Disclosure Copy Comments The baseline was revised in Data for April - September, New end target introduced 2010 based on a newly 2013 with the restructuring defined methodology that Initial end target: 90 minutes represents 7.5 % of the freight traffic. The initial Baseline: 112 minutes was set in 2008 based on the first fully automatic measurement Annual number of processed customs Text Value Revised Baseline: 405 248 Revised end target: 453 declarations per customs staff Date 15-Dec-2007 30-Sep-2013 30-Jun-2014 Comments For the forthcoming period Annual value based on data New end target introduced 2011-2013 the number of from the period April - with the restructuring Single Administrative September, 2013 Initial end target: 500 Documents and Transit Documentation per employee will be based on the number of all custom staff employed in the NCA. Intermediate Results Indicators Indicator Name Core Unit of Measure Baseline Current End Target Detailed design and land acquisition completed Text Value NA Done for access road to Kapitan Andreevo BCP Date 15-Dec-2006 14-Dec-2011 31-Dec-2008 Comments LAP was finalized, followed by regular consultation and sent to the Bank in October 2011 and following Bank Public Disclosure Copy clearance, disclosed bythe Borrower in December 2011. Works for the road on-going. Number of border crossing points with Text Value 0 Full system in place integrated data sharing system and with Date 15-Dec-2006 30-Apr-2011 31-Dec-2009 telecommunication systems in place Comments New integrated information and in use system, up-grading the SPW currently released in operation by the National Customs agency. Page 4 of 6 The World Bank Report No: ISR12933 Number of irregularities, found by detailed Percentage Value 5.08 9.53 15.25 Customs inspections / number of detailed Date 30-Sep-2011 30-Sep-2013 30-Jun-2014 Customs inspections at Kapitan Andreevo CP, Comments 121 irregularities / 2380 Data for April - September, Kalotina CP, Port Varna-West CP, Port Public Disclosure Copy Burgas-Center CP detailed inspections 2013 Number of detailed Customs inspections / total Percentage Value 0.35 0.28 0.34 number of freight at Kapitan Andreevo CP, Date 30-Sep-2011 30-Sep-2013 30-Jun-2014 Kalotina CP, Varna-West CP, Port Burgas- Comments 2380 detailed inspection/ Data for April - September, Center CP 676892 total freight 2013 Percentage of completed physical works for Percentage Value 0.00 35.00 100.00 border crossing restructuring Date 30-Sep-2013 30-Jun-2014 Comments Construction of access road to Kapitan Percentage Value 0.00 95.00 100.00 Andreevo BCP completed Date 30-Sep-2013 30-Jun-2014 Comments The works started in November 2011. Data on Financial Performance (as of 28-Oct-2013) Financial Agreement(s) Key Dates Project Ln/Cr/Tf Status Approval Date Signing Date Effectiveness Date Original Closing Date Revised Closing Date P094018 IBRD-48540 Effective 21-Mar-2007 23-Mar-2007 05-Jun-2007 30-Jun-2012 31-Dec-2013 Disbursements (in Millions) Project Ln/Cr/Tf Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P094018 IBRD-48540 Effective USD 52.80 50.90 1.90 33.66 20.09 66.00 Disbursement Graph Public Disclosure Copy Page 5 of 6 The World Bank Report No: ISR12933 Public Disclosure Copy Key Decisions Regarding Implementation In order to allow completion of the works on the biggest border crossing point in Bulgaria on the external European Union (EU) border with Turkey, as well as to streamline project implementation and to focus on the on-going large civil works contracts, the Borrower requested project restructuring on September 27, 2013. The restructuring involves: (i) an extension of the project closing date of 6 months, (ii) cancellation of small portion of the loan (EUR 2.25 million) and (iii) small adjustment to one baseline value of an intermediate indicator in the results framework. This is the second project restructuring. While the Project was first extended in 2011 with 18 months, the currently proposed restructuring is going to bring to an overall extension of 24 months, expanding the overall implementation period to 8 years. Given the current pace of implementation of the works contract for reconstruction of the Kapitan Andreevo BCP, there is a risk that the reconstruction might not be even completed before the newly revised closing date (June 30, 2014). Therefore, there could be a risk that the PDO indicators for Kapitan Andreevo will not be reached at project closure, unless the implementation of this contract is significantly accelerated or if the government implements a stage approach allowing completion of most significant part of the reconstruction and achieving the PDO targets by project closure. Restructuring History Public Disclosure Copy Level two Approved on 10-Jan-2012, RVP Decision on 26-Nov-2013 Related Projects There are no related projects. Page 6 of 6