TARAPOTO-RIO NIEVA ROAD, PERU. ANNUAL REVIEW AND EVALUATION

Evaluation covers the period from 1/75 to 3/76. No evaluation methodology is indicated. The loan was reactivated on 1/10/75 after an interruption between 1969-74, due in part to a change in administration of the Government of Peru (GOP). The GOP delayed six to eight months replacing the Chief of Party (CP) and three engineers from the Ministry of Transportation and Communications (MTC), whose poor management has delayed construction. Under a new CP, construction has accelerated since the last quarter of 1974. A major problem has been delays by MTC's Lima Headquarters in procuring equipment and spare parts. As a result, only $3.058 million of $9.49 million reactivated funds has been disbursed. It should be noted that although the GOP has already contributed $1 million to the project, it will have to contribute another $2 million if the project is to be completed satisfactorily. AID/W backstopping has generally been satisfactory. Performance of the heavy equipment specialist, the USAID contract project monitor, and of local labor, has been excellent. MTC has investigated bridge foundations at three problem sites, but has yet to provide a comprehensive study of landslides, which continue to threaten completed road sections. Construction progress has been satisfactory, and its technical quality is very good. Due to the inaccessibility of the area, costs are comparatively high. A final survey of centerline and road design were recently completed. Still to be completed are: clearing of 7 kms of construction area; excavation of 15 1/2 kms of jungle mountain terrain; placing of culverts and construction headwalls; construction of seven bridges (five should be completed by 12/77); 33 kms of final shaping of the roadbed; 79 kms of subbase; and 120 kms of course and final road improvement. If commodities arrive by 9-10/76 (MTC/Lima has begun procurement), and the Army Construction Company lends assistance, all loan funds could be disbursed by the terminal disbursement date of 12/31/77.