General proceedings - Association mondiale de la Route
General proceedings - Association mondiale de la Route
General proceedings - Association mondiale de la Route
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• Estimated value of the SSA road network is US$150 billion. Using an asset accumu<strong>la</strong>tion<br />
rate of 5.5 percent, the road network is equivalent to approximately 15 percent of the<br />
region’s gross domestic product (GDP).<br />
• In spite of the high value of the road network - and importance to economic growth -<br />
efforts to preserve, renew or <strong>de</strong>velop the network have been dismal.<br />
• Roads are a public good therefore their provision is the domain of the public sector; poor<br />
public policy framework, for instance c<strong>la</strong>mping of roads, water and housing estates. This<br />
is reflected in network management problems (note: whilst major reforms have been<br />
ma<strong>de</strong> to bring market discipline to public policy, the ills of the past persist), and<br />
reverberate in the road network management (unclear responsibilities and acutely<br />
ina<strong>de</strong>quate finance). The end result is poor road networks.<br />
• The current road investment gap in SSA, and in<strong>de</strong>ed most of the world, is to a <strong>la</strong>rge<br />
extent caused by a <strong>de</strong>lusion that roads are a public good (hereinafter ‘the <strong>de</strong>lusion’). A<br />
public good, in the strict sense, is a commodity that is both non-rival and non-excludable<br />
• Lack of Clear Responsibilities: This stretches from unclear roles at ministerial level to<br />
poorly <strong>de</strong>fined staff job specifications at the road management level. While good<br />
progress has been ma<strong>de</strong> at the ministerial level, duplication of roles is still common at the<br />
road management level.<br />
• Thin Skills Base: Technical and management skills shortage is a problem in SSA just like<br />
the rest of the world. Ina<strong>de</strong>quate finance in SSA compounds the problem. With exception<br />
of donor financed projects, staff pay is poor. Staff motivation is low, and does not<br />
measure to the challenges that the network poses.<br />
Recommendations:<br />
• Road space should be treated as a private good, subject to market forces of <strong>de</strong>mand and<br />
supply. Where <strong>de</strong>mand is high, road space should be packaged and taken to the<br />
marketp<strong>la</strong>ce.<br />
• Utility enhancement must address equity and efficiency<br />
• To improve efficiency in road provision, private finance and expertise are vital<br />
• Poor equity and <strong>de</strong>bt markets are major hurdles in capturing private finance<br />
• Government initiatives and pro-action by the private sector are required in overcoming<br />
these hurdles.<br />
Title: Development Corridors: Emphasizing Economic Function to Accelerate<br />
Infrastructure Development<br />
Author & Presenter: Mr. Smak Kaombwe (pictured), Central Development Corridor<br />
(CDC) Project Manager, Rwan<strong>de</strong>se Development Bank (BRD), Rwanda<br />
The presenter highlighted on the Development Corridors (Spatial<br />
Development Initiatives) methodology as a tool to expedite<br />
infrastructure <strong>de</strong>velopment by emphasizing its economic function. He<br />
further listed various <strong>de</strong>velopment corridors. He pointed out some<br />
factors that contribute for projects taking a long period to be<br />
implemented. Such factors inclu<strong>de</strong>: Difficulty to appreciate p<strong>la</strong>ns and<br />
timing of key inputs from other projects or sectors for success of<br />
project, (to show ways to mitigate externally driven risks for potential<br />
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