Corridor Vc in RS - Part 1

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 49053

Status Repaying

Location

Bosnia and Herzegovina

Business Sector

Transport

Notice Type

State

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Project ID 49053

Status Repaying

Location

Bosnia and Herzegovina

Business Sector

Transport

Notice Type

State

Environmental Category

Approval Date

16 Nov 2017

Disclosure date

31 Jul 2017

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Translated version of this PSD: Bosnian

Project Description

Provision of a sovereign-guaranteed loan of up to EUR 70 million to the Motorways of Republika Srpska (the "Company" or the "RSM") in Bosnia and Herzegovina (BiH) to construct two motorway interchanges at Johovac and Rudanka and a motorway section, approximately 6 km in length, between these interchanges (the "Project").

This motorway section is the first section of Corridor Vc to be constructed within the territory of Republika Srpska (RS). The total length of Corridor Vc within RS is approximately 45 km.

Corridor Vc is part of the Western Balkans Core Network and has been established as an indicative extension of the Trans-European Transport Networks (TEN-T). Corridor Vc is the key motorway which connects the BiH to the EU markets in the north and the Port of Ploce on the Adriatic coast in Croatia in the south.

Project Objectives

Support of BiH's economic development and contribution to BiH's regional and European integration by improving connectivity between its main cities and between BiH and neighbouring Croatia.

Transition Impact

he Project will facilitate BiH's internal and regional integration by improving its key transport infrastructure. The Project will assist the Company to improve its procurement and business practices by obtaining certifications from the Chartered Institute of Procurement and Supply (CIPS) and Quality Management System ISO 9001. It will further promote inclusion through the introduction of apprenticeships and work-based learning programmes for young engineers/students to be employed during construction either as permanent employees or as interns.

Client Information

MOTORWAYS OF REPUBLIKA SRPSKA

The Client is Motorways of Republika Srpska (RSM), a public company wholly owned by the Government of Republika Srpska.

EBRD Finance Summary

EUR 70,000,000.00

A sovereign-guaranteed loan of up to EUR 70 million to RSM with a back-to-back guarantee from the RS.

Total Project Cost

EUR 85,300,000.00

The total Project cost is estimated at approximately EUR 85.4 million. Investment grant co-financing is expected to be provided by the Western Balkans Investment Framework (WBIF).

Environmental and Social Summary

Categorised A (ESP 2014). The Project involves the construction of two motorway interchanges, Johovac (Tovira) and Rudanka (Kostajnica), and a 6.1 km long motorway section between the interchanges, plus a two lane connecting road of around 1 km to link to the existing trunk road including a crossing of the River Bosna. The Project is situated in the north-east part of BiH about 100 km east of the town of Banja Luka. The Project will improve the level of service, reduce congestion and will provide short term local employment during the construction phase where up to 500 workers are predicted to be hired during the construction phase. The Project will also deliver improvements in road safety as the new motorway will remove the heavy traffic passing through local villages and built up areas thus will help reduce community and road safety risks.

Assessment of alternatives and route selection were considered based on four key criteria (spatial, environmental, traffic and economic) and ensured that environmental and social impacts were avoided and minimised while providing for technical feasibility of the Project. Construction is planned to start early 2018 with construction completion in 2021.

The Project obtained the ecological permit from the Ministry of Physical Planning, Construction and Ecology in 2014 which is valid till 2019, based on the locally conducted EIA approved by the same body in 2011.

The linear nature of the Project will result in acquisition of land, the majority of which is privately owned and predominantly used for agriculture. Impacts on buildings have been minimised, however, a few houses will be directly affected. To mitigate these impacts, RSM developed a Land Acquisition and Livelihood Restoration Framework that defines impacted persons and entitlements for each type of impact.

The Project could have potential impacts of biodiversity mainly on River Bosna and the riparian vegetation along the river banks. A supplemental Biodiversity Screening Study was conducted within the Project area which identified the need to implement additional mitigation measures to ensure adequate protection to both species and habitats of conservation value in accordance with EU and EBRD requirements. These will be captured in the Project's Biodiversity Management Plan.

As part of the EBRD's environmental and social due diligence, an independent consultant was retained to supplement the Bank's internal review to ensure that the project is developed in accordance the Bank's Performance Requirements (2014). The due diligence identified a number of areas that RSM need to address prior to seeking EBRD financing.

An Environmental and Social Action Plan (ESAP) has been agreed with RSM and is disclosed on the Bank's website. Actions addressed in the ESAP include but are not limited to: (i) Construction related environmental and social issues and impacts to be appropriately addressed in the Tender Documents for the construction contractor who will be required to develop a full construction environmental and social management plan (CESMP) that is in compliance with EBRD PRs, (ii) A road safety audit to be conducted in line with EU Directive including the delivery of a community
and staff road safety awareness program (iii) Risks to Project infrastructure from flooding to be assessed prior to final design which will be revised if necessary, (iv) A detailed Land Acquisition and Resettlement Plan (LALRP) to be prepared outlining compensation and assistance to project affected people, (v) A biodiversity management plan (BMP) will be developed and implemented to ensure no net loss of Priority Biodiversity Features.

Finally, a disclosure package has been made public and comprises an overarching Non-Technical Summary (NTS) covering all components of the Project, Environmental and Social Action Plan (ESAP), Stakeholder Engagement Plan (SEP), supplemental Biodiversity Screening Study, Land Acquisition and Resettlement Framework (LARF), as well as the original Environmental Impact Assessment (EIA) that was conducted in 2011.

The Bank will evaluate the Project's environmental and social performance in accordance with the Bank's PRs through review of reports and undertake periodic monitoring visits.

2017 Update

The project was signed in December 2017 and work is underway on the implementation of the ESAP. The tender document is being reviewed by the Bank and is expected to be published in early April. A Road Safety Audit has been completed and recommendations have been shared with the designers to review and confirm acceptance of measures to improve safety.

Technical Cooperation

The following Technical Co-operation assignment is envisaged as part of this project:
- Introduction of quality management systems and obtaining of ISO standards; and
- Adoption of internationally recognised procurement standards and obtaining CIPS certificate.
For consultant opportunities for projects financed by technical cooperation funds, visit procurement of
consultants.

Company Contact Information

Dusan Topic
dtopic@autoputevirs.com
+38751233680
+38751233700
autoputevirs.com
Vase Pelagica 10 78000 Banja Luka Bosnia and Herzegovina

Transition impact

ETI Score:63

PSD last updated

18 Jun 2019

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Project ID 49053

Status Repaying

Location

Bosnia and Herzegovina

Business Sector

Transport

Environmental Category

Disclosure date

23 Jun 2017

Project description

A sovereign-guaranteed loan of up to EUR 70 million to the Republika Srpska Motorways (RSM). The loan will be used to finance the construction of a 6.1 km motorway section between Interchange Rudanka (Kostajnica) to Interchange Johovac (Tovira), plus around 1 km of a two lane road connection to the existing trunk road, including a crossing of the River Bosna. This would be the first 6 km out of total 46.6 km of Corridor Vc that needs to be constructed within Republika Srpska (RS) territory. This section is part of the international Corridor Vc and will be built to full motorway standards with dual carriageway.

Corridor Vc is part of the Western Balkans Core Network and has been established as an indicative extension of the Trans-European Transport Networks (TEN-T). Corridor Vc is the key motorway which connects BiH to EU markets in the north and the Port of Ploce on the Adriatic coast in Croatia in the south.

The Project will facilitate BiH’s internal and regional integration by improving its key transport infrastructure. The Project will assist the company to improve its sound business practices by obtaining certification from the Chartered Institute of Procurement and Supply (CIPS) and obtaining Quality Management System ISO 9001.

ESIA disclosure package

Full ESIA availability

Full ESIA documentation is available locally at:

Client website

Documents: Serbian | English

City of Doboj
Hilandarska 1,
74 000 Doboj
Tel: +387 53 242 022
www.opstina-doboj.ba

And

EBRD, BiH
15th Floor, Tower B Unitic Towers
Fra Andela Zvizdovica 1
71000 Sarajevo,
Bosnia and Herzegovina
http://www.ebrd.com/ebrd-in-bosnia-and-herzegovina.html

Enquiries

Environmental or social enquiries

Ms. Dobrila Majstorovic, Public Relations
Republika Srpska Motorways
Address: Vase Pelagica 10, 78000, Banja Luka
Tel: +387 51 233 670
E-mail: info@autoputevirs.com

This document was prepared at an early stage of project development, before consideration by the EBRD Board of Directors. Details of a project may change following disclosure.

Where PSDs include copies of documents produced by project sponsors, the EBRD makes them available without any comment or implied endorsement. Any views expressed or statements made in such documents do not necessarily reflect the EBRD’s views or opinions.

Last updated 19 August 2025

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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Corridor Vc in RS - Part 1

Project timeline

Translated version of this PSD: Bosnian

Project Description

Project Objectives

Transition Impact

Client Information

EBRD Finance Summary

Total Project Cost

Environmental and Social Summary

Technical Cooperation

Company Contact Information

Transition impact

PSD last updated

Business opportunities

General enquiries

Public Information Policy (PIP)

Project description

ESIA disclosure package

Full ESIA availability

Enquiries