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A Review of Highway Agencies in the South Asia Region

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A <strong>Review</strong> <strong>of</strong> <strong>Highway</strong> <strong>Agencies</strong> <strong>in</strong> <strong>the</strong> <strong>South</strong> <strong>Asia</strong> <strong>Region</strong><br />

REFORM<br />

Economist explicitly<br />

<strong>in</strong>volved <strong>in</strong> plann<strong>in</strong>g<br />

and development<br />

Some nontechnical (and nontraditional) competencies could be located <strong>in</strong> <strong>the</strong> national<br />

road agencies <strong>in</strong> <strong>the</strong> region and <strong>in</strong> <strong>the</strong> Road Development Corporation/Boards established<br />

<strong>in</strong> India. However, <strong>the</strong> quality <strong>of</strong> skills needs to be enhanced; for example, only 30 percent<br />

<strong>of</strong> <strong>the</strong> highway agencies are able to provide safety statistics for <strong>the</strong> road network because<br />

safety is not a core competence <strong>of</strong> <strong>the</strong> agencies, nor is it considered <strong>the</strong>ir responsibility<br />

or concern. In addition, only 40 percent <strong>of</strong> <strong>the</strong> highway agencies have a safety council or<br />

committee <strong>in</strong> place, evidence <strong>of</strong> <strong>the</strong> fact that safety is not on <strong>the</strong> list <strong>of</strong> priorities for most<br />

highway agencies.<br />

The structure <strong>of</strong> highway agencies <strong>in</strong> <strong>South</strong> <strong>Asia</strong> is based on <strong>the</strong> functions carried out<br />

by <strong>the</strong>m. Some highway agencies have restructured <strong>the</strong>mselves along functional l<strong>in</strong>es,<br />

but structures based on territorial/regional jurisdictions still cont<strong>in</strong>ue <strong>in</strong> many cases and<br />

sometimes coexist with functional arrangements <strong>in</strong> <strong>the</strong> headquarters. Some highway<br />

agencies have also set up regional branches for <strong>the</strong> execution <strong>of</strong> construction works. The<br />

creation <strong>of</strong> a separate, dedicated organization or department to deal with large projects<br />

is also not uncommon – particularly <strong>in</strong> those agencies that receive external multilateral<br />

fund<strong>in</strong>g for <strong>the</strong> development <strong>of</strong> highway networks. Most highway agencies have now<br />

established quality management/control units and a few have set up specialist cells for<br />

plann<strong>in</strong>g and asset management, road safety management, social and environment<br />

aspects, and so on. However, <strong>the</strong> terms <strong>of</strong> reference <strong>of</strong> <strong>the</strong>se specialist cells are usually not<br />

very well def<strong>in</strong>ed and <strong>the</strong>y fail to attract staff with relevant skills. Among <strong>the</strong> national road<br />

agencies, Bangladesh provides an exception <strong>in</strong> <strong>the</strong> region, where <strong>the</strong> road agency structure<br />

<strong>in</strong>cludes a Plann<strong>in</strong>g and Development cell, headed by an economist, responsible for <strong>the</strong><br />

prioritization <strong>of</strong> road projects accord<strong>in</strong>g to economic need.<br />

The RDCs have a slightly different management structure. They are formed as corporate<br />

entities under <strong>the</strong> relevant companies/corporate act and governed by a board consist<strong>in</strong>g <strong>of</strong><br />

majority representation from <strong>the</strong> government and limited representation from road users/<br />

private sector. Most organizations have been created as an implementation arm <strong>of</strong> <strong>the</strong> PWD<br />

to promote PPP contracts. They also enjoy more <strong>in</strong>dependence <strong>in</strong> decision mak<strong>in</strong>g and, at<br />

times, are able to raise resources from <strong>the</strong> market. Although <strong>the</strong>ir overall mandate is limited<br />

<strong>in</strong> comparison with <strong>the</strong> regular road authorities, <strong>the</strong>ir corporate structure provides <strong>the</strong>m <strong>the</strong><br />

leverage <strong>of</strong> faster implementation and expeditious decision-mak<strong>in</strong>g capability.<br />

In all cases, powers are delegated from <strong>the</strong> most senior <strong>of</strong>ficial to subord<strong>in</strong>ate <strong>of</strong>ficials.<br />

The extent <strong>of</strong> delegation varies across organizations. Delegation <strong>of</strong> powers is categorized<br />

by nature (approval <strong>of</strong> proposals, time extensions, cost overruns, and so on) and size, for<br />

example, m<strong>in</strong>or cost or time overruns can be approved by junior <strong>of</strong>ficials. For <strong>in</strong>stance, <strong>in</strong><br />

<strong>the</strong> case <strong>of</strong> Pakistan, powers are (<strong>of</strong>ficially) not delegated to a level lower than <strong>the</strong> head <strong>of</strong><br />

department.<br />

Bangladesh<br />

The Bangladesh RHD has a clearly def<strong>in</strong>ed structure (Figure 2.12): Five Additional Chief<br />

Eng<strong>in</strong>eers head <strong>the</strong> different departments <strong>of</strong> <strong>the</strong> RHD and report to a Chief Eng<strong>in</strong>eer,<br />

who is <strong>the</strong> highest-rank<strong>in</strong>g <strong>of</strong>ficial <strong>of</strong> <strong>the</strong> RHD. In addition, <strong>the</strong>re are n<strong>in</strong>e Additional<br />

Chief Eng<strong>in</strong>eers; one <strong>in</strong> each zone and four or five Additional Chief Eng<strong>in</strong>eers who work<br />

as Project Directors <strong>of</strong> Development Projects. The Chief Eng<strong>in</strong>eer is appo<strong>in</strong>ted by <strong>the</strong><br />

m<strong>in</strong>istry, to which he also reports. The departments <strong>of</strong> RHD are aligned to functions, for<br />

example, plann<strong>in</strong>g and development, and bridges as well as geographic zones. There are no<br />

departments cater<strong>in</strong>g specifically to projects funded by <strong>in</strong>ternational f<strong>in</strong>ancial <strong>in</strong>stitutions<br />

(IFIs) or donor agencies.<br />

India<br />

In India, many states have PWDs headed by a (Pr<strong>in</strong>cipal) Secretary, a bureaucrat from<br />

<strong>the</strong> adm<strong>in</strong>istrative services and/or an Eng<strong>in</strong>eer-<strong>in</strong>-Chief from <strong>the</strong> department itself, ris<strong>in</strong>g<br />

through <strong>the</strong> ranks. There are <strong>in</strong>stances where <strong>the</strong> technical head, that is, <strong>the</strong> Eng<strong>in</strong>eer-<br />

37

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