A Review of Highway Agencies in the South Asia Region

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A Review of Highway Agencies in the South Asia Region 1 Introduction 1.1 Background High economic growth experienced by the South Asia region (Figure 1.1) is driving the growing demand for passenger and freight transport in the region. Figure 1.2 shows the projected car ownership between 2002 and 2030. India shows the highest growth in car ownership (547 percent), in line with the country with the highest economic growth in the South Asia region. On the other hand, though Pakistan is projected to have the lowest growth in the region, car ownership is still expected to increase by 142 percent. Thus, it is evident that ever larger freight flows and rising motorization rates will pose a challenge across the region. Figure 1.1: Expected GDP growth 2007-12 as Compounded Annual Growth Rate (CAGR) (%) across South Asia India Bangladesh Sri Lanka Nepal Pakistan CAGR of GDP growth 2007-12 (%) 14 2.9 3.8 Source: Joyce Dargay, Dermot Gately and Martin Sommer (2007). 5.4 6.0 8.6
A Review of Highway Agencies in the South Asia Region Figure 1.2: Growth of car ownership (left) and ratio between growth of car ownership and per capita income (right) Total World Pakistan India China Brazil Turkey Great Britain United States Cars per 1.000 people 12 17 29 16 110 121 96 130 254 269 377 377 515 Source: The World Bank (2010). 1.2 Objective of the Study 685 812 15 849 2002 2030 Ratio between growth of car ownership and per capita income Total World Pakistan Turkey Great Britain United States Enhanced delivery of transport infrastructure and services is crucial to sustain this high growth and demand, and is one of the priorities of governments in the South Asia region. However, the governments are facing several challenges including: the need to attract additional resources from the private sector; construction industry capacity constraints; rising construction unit costs; demand for more accountability, transparency and good governance; increased user interface; and pressures of expeditious delivery. While governments have formulated varied strategies to meet these challenges across the region, one common issue that has emerged is the capacity of their road agencies, which are largely traditional and inadequately equipped to face challenges associated with a high growthhigh demand situation, to implement these strategies. It is therefore essential for policy makers and development partners in the region to assess the capacity and performance of the implementation agencies, before policy reforms or large investment programs can be planned. Although considerable work has been undertaken worldwide in the past on institutional strengthening, only a few agencies in the region have embarked on reform processes to address these challenges. Furthermore, the degree of success achieved by these reforms and institutional capacity building endeavors remains largely unknown due to lack of data. Therefore, considering the rapidly expanding economies in the region, there is a need for a fresh look at the role, institutional structure and function of the region’s road administrations/organizations. The objective of the study is to help governments and policy makers in identifying reforms that are required to modernize and strengthen the capacity and performance of their road agencies to deliver large investment programs in the current market scenario through performance monitoring as a tool. The study carries out a review of the highway agencies India China Brazil 0.1 0.5 0.9 1.5 1.4 1.7 2.0 2.2
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mandate 6b Expenditure (plan/capita
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20c Over-congested CRN % 21 Network
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7k Expenditure on R&D, technology a
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1. 6 Whether road condition surveys
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land management f) Environment impa
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3.1 3 Preparedness for delivery/imp
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Transport Division Transport, Water
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A Review of Highway Agencies in the South Asia Region

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