Framework for Sustainable Mobility and Access to Road Transport

Location:

Romania

Project number:

47667

Business sector:

Municipal and environmental infrastructure

Notice type:

Public

Environmental category:

B

Approval date:

25 Nov 2015

Status:

Approved

PSD disclosed:

07 Aug 2015

Sub-projects signed under this framework

Translated version of this PSD: Romanian

Project description and objectives

The EBRD is considering establishing a € 120 million framework to support sustainable transport investments in several counties/cities in Romania. The aim is to establish a critical mass of investments that have the potential to enhance the quality of local transport in Romania, a sector that remains a bottleneck in the country’s transition to an effective market economy.

Under this Framework, selected Romanian cities and counties are expected to:

(i) upgrade, reform and improve the reliability of public transport infrastructure and rolling stock, and

(ii) improve road networks by using an asset management approach to protect the value of investment.

Transition impact

Transition goals of the operation include the following:

 i) developing integrated transport in the participating cities/counties in line with Sustainable Urban Mobility Plans promoted by the EU and the Romanian Government and supported by the Bank;

ii) commercialisation of public transport operations by introducing EU-compliant Public Service Contracts ("PSCs") in each participating city; transforming municipal operations from Regia-s to commercial entities; outsourcing bus services, where possible, through competitive route tendering to the private sector;

iii) introduction of private sector participation (“PSP”) in the areas of parking, bike/car sharing schemes, integrated ticketing systems, parking management, heavy goods vehicle charging, asset management approaches to the road sector.

The expected transition impact rating is ‘good’.

The client

Sub-projects under the Framework will target Cities and County Authorities as well as local public transport companies.

EBRD finance

The Bank will provide senior loans in Romanian leu or euro to city/county or public transport companies.

Total project cost

The Framework will amount to EUR 120 million or RON equivalent.

Environmental and social categorisation, impact, and mitigation

The potential environmental and social (E&S) impacts of the planned priority investments in local transport infrastructure are likely to be site-specific and can be readily identified and addressed through adequate mitigation measures. Sub-projects are expected to result in significant community health benefits.

The due diligence for each sub-project will include:

  • An E&S review of each participating client’s existing facilities and operations and their management systems to assess the compliance with the relevant Performance Requirements (PRs); and
     
  • An analysis of the potential E&S impacts and benefits associated with the sub-project.

Based on the recommendations of the due diligence, an Environmental and Social Action Plan (ESAP) will be prepared for each sub-project; as well, a Stakeholder Engagement Plan that will include a grievance mechanism will be developed.

The ESAPs will be part of the legal agreements between the Clients and the EBRD. The Project Summary Documents (PSDs) for sub-projects will summarise the due diligence results and ESAPs.

Technical cooperation

The Technical Cooperation (TC) assignments listed below are indicative of the scope and resources that will be required for the preparation and implementation of sub-projects. Each sub-project will be assessed and, within the below remit, an appropriate TC structure will be designed. TC projects are proposed to be financed from one of the following sources: Infrastructure Project Preparation Facility, an international bilateral donor, a multi donor fund or the EBRD Shareholder Special Fund.

  • Technical and environmental due diligence for each sub-project under the Framework.

For local transport companies:

  • Support for implementation of EU-compliant public service contracts (“PSCs”) to ensure that appropriate regulatory arrangements are in place to facilitate the sustainability of the sub-projects (estimated at € 200,000 per sub-project).
     
  • Twinning to support commercialisation of the public transport operations, including the conversion of selected companies from the state-owned Regia to commercial companies (estimated at € 150,000 per sub-project).
     
  • Participation in a benchmarking programme to be set up for the transport sector peers in order to optimise transport operations (estimated at € 60,000 per sub-project).

For County/City Authorities:

  • Support for the preparation of sustainable urban mobility plans (“SUMPs”) to ensure that appropriate regulatory arrangements are in place to facilitate the sustainability of the sub-projects (estimated at € 200,000 per sub-project).
     
  • Integrated Urban Mobility Structures, depending on the requirements of the sub-project, including Automated Fare Collection contract preparation, bike and car share schemes and parking management etc. (estimated at € 100,000 per sub-project).
     
  • Twinning to support governance improvements in County Road Agencies, where this is required for the specific sub-project (estimated at € 150,000 per sub-project).

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

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