Public Disclosure Authorized
'I x-VURN oE
TO7RTITE
|REro^RTS0
-I
WF,,y, I
R E ST R I CT E D
Report No. T.O
114-a
FILE. C(IPY
INTERNATAONAT
BANK
FOR
APPIDATLAT
(W
RECONSTRUCTION
IFREUTVISE
UTTTHW,AY
iR
COLOMBIA
Public Disclosure Authorized
Public Disclosure Authorized
Public Disclosure Authorized
This document was prepared for internal use in the Bank. In making
it available to others, the Bank assumes no responsibility to them for
the accuracy or completeness of the information contained herein.
LVL
Aay
Department of Technical ODerations
31,
195.6
AND
PPROCJT
DEVELOPMENT
CURRENCY EQUIVALENTS
UNIT
-
PESOS
OFFICIAL RATE OF EXCHANGE
U.S. $i
=Ps. 2,510
U.S. $1.000.000=Pn- 2.510.000
Ps. 1
*U.S. $0.398
Ps. 1,000,000
=U.S. $398,000
.EE MARKET RATE OF EXCHANGE
(Middle of April 1956)
U.S. ti
sPs. 4.500
U.S. $1,000,000Ps. 4,500,000
Ps. 1
=U.S. $0,222
Ps. 1,000,000
=U.S. $ZZZ,000
TABLB MT COTWENTS
Sim.anrv andi onncluisions
I.
II,
TTT
n7.
IT
TIn+rodl_i rn
The Colombian
UTTT
Secr.
r4
vii
1
-
I,
- 6
T
-10
'
Cons,+rucio,evrnn
,u
s
and
Orgnizatio
'\anaoem.r.t
E'conomrn
1)
15 -
21b
25-
29
-ustifcato
- 3
innvi^4n.n-? +he
.-
a,ao;l%4.,.r.dain
Y.*
11 -
30 - 32
of the Project
Descriptlni
TY
Y
-
The Firs+ T
Hi,hnr Te%nv,
L7
VI.
VII.
i-Inghay PnIr.
i
Pa eirvviyr v1A n +
Pi-nat,
37
S
4)'
r%vse
ai
Appendice s
Appendix A.
Actual and projected expenditures
"
C.
Map of roads
II
fl
T.c+ rList
o
'f 4 v
E.
Fuel consumption and vehic'es registered
G.
s*.
Ci..p
Su
mmaryaQf
G.
Sumary of dollar and peso costs
"
and
of
costs
-
I
4'U
APPRAISAL OF 1-VISED HIGHAi PROJECT
COLOIhBIA
SIfTlDARY AM CONCLUSIONS
d.
The Bank has made two loans to Colombia, totalling $30.85 million
(77.L3 million nesos). f'or a highwav construction project, generally known
as Highvray Plan I, and a maintenance program. Because of changes deemed
desirable on the basis of exoerlence gained to date, ;nd because of nigher
design standards, considered to be justifiable in view of greatly increased
traffi.c, more funds are noiwr needed to complete the Project. and the Govermnent
has requested anothier loan to provide for the additional foreign exchange cost.
ii.
The additional investment required to complete the Project based
upon reasonahle estimates, is "16.5 million in £nreic;n currency (hl.Li million
pesos) and 200 million pesos in local currency. The work for which the
additional finmd. ere reouired vrlI crover t.1he roads included in the orevious
loan agreements, and also 60 km. of new road between Cienaga and Barranquilla.
This road i9
essential to the operatinn of' the `agdalena Va'llev fji2iroad
Extension, which is being financed in part by another Bank loan.
iii.
The major part of the engineering and construction work accomplished
nd
n
onoetent foreign contrac.tors
operating in conjunction gith Colomb,ian contractors. The contractors are
doi np onod .vnork uindLpr difficult rnnnt.ror.ti on conditions. at reasonable uniit
costs. At the present time grading operations on approximately 75% of the
length Of' +.he Proniet iroadis t.o he graded anrd rpavi no o,.erati-ns on ar,oyirnatp1y
45% of the length of the ProJect roads to be paved have been finished.
to dat.e has been rarried omt. by experienc.er.
iv.
The scope of the Project lhad to be altered mainly because of tlhe
uneXnAeterd.a sptc
ular incease in t.raffic volumpes s-inep work was hPei-n
As the avork on the Project has progressed this increase created an urgent
need for introducing higher desirn standards which were consided satisfactory by the Bank.
Recent organizational and administr.ative measures increasing the
the lvJinistry of Pulic- W:Vnorlfs-o Ihannrile a oroneit of this size have
greatly improved the prospects for the Projectfs successful conclusion.
~~Apniinpenpes f'iinr. are heincg madre availnlv7e to
t r)ert
the nont-otors 1-.o
make satisfactory progress on the construction work. In the middle of 1955
v.
'capaneitr o_'
ey.-pendit-res
ard co,rn itm..en.ts in foreign eno.nrya exhauis+ted the fiinds
ia-valnhia
from the two Bank loans.
In order for '.iork to continue at the desired rate
the
ada-)nr,erA
r
Bar.co
oe
la 'Rvepblica
ri llion +.o
cro.rer the J nvi,ncra
foreign exchange needs of the Project while a third Bank loan -.
ras being
discusned
T'.se f-.r.ds
-Ahic for irb,semt,o
wulZbesou,.t from a
new Bank loan, have nol,-i
been expended.
-
Tt.i s
't4
r
recoi
ii
con-,der a +rd
3ar
a*
t
-A
-
loan +o Co.lomta
of U.S. t16.5 million, provided that the Bank receives satisfactory assurances
o
-tl
1rlowng matt rs be Jore
WTa
ur,>X=~
¶,Wrnw.g
r.annv
l.a
verr
ItIn e
A,,nrX
.
IL
*,.n
JL1S
igndi
Slgre,
i
A,n
r
,fnv
-n+,a
urder -or.rac+ sho-u 4'dbe t^--fer- A
wo^orkz novwben
- ~VV.LL
~
'X
t
~ done
JLA~
%
,VSUV
LO idV
to force-account work by the lrinistry of Public -iorks unless
the Bank agrees.
1.
Z
vii,
"'J
U
J~_
U~A
-
A A
2.
The Borrower should not change the general design Etandards
w.ithout the consent of the Bank.
3.
The Borrower should undertake to consult the Bank from time
to time on 'its program fQr investments on highway construction
outside the Project,
1X.
The Borrower should retain consultants satisfactory to the
Bank for the design and superv-MsLon. of the constructionl of
the Cienaga-Ba ranquilla highway!
Because of the character of the Project, a term of 15 years and
a period of grace of about 22- years for the ioan is appropriate.
T
T_ON
'y
T7
This report is an appraisal of a p4 -oposal by thre Government of
1.
foreign ePcyanger.
;.A
+tl;e
Colombla that the Bank. a slst in N ac in
two icans:
made
already
cost of tne Hich-ay rroject for which it has
..X
C
II
-L
I
*-
t!:
M-,,
-'-h
The,ins
n
,
/1.
4
-1
1.
a11
1-.
-
-
4 G--f
-A
t o.lAnn
t__*J.
: 1 -I.
-
4
,
--
*JJ
'
A
n,: l
-ir
'n
r
m'
cV-
i
rsXor
emlse
yBr
nlfr.alnoavie
l.e
nICZ
f'-
on from
the h.inistry of ?u1blic 7orks and from the major contractors employed on the
~
'n
~ ~
±i
A~
LJ)L2
1.~~~ It
£
ae T=rh2,15
eot
prvostcn^a
suppl.emaents
ir oject.
(No. 124) and September 2, 1953 (T.O. lOa).
4--JJ
-'A'n
- £~A
-.
.A..
U;
4
1o
90
1"n
The estimated increase in foreign excihange costs, over previous
3.
On-z6.5
ot P.ro
Tee+ae
ess.
Ln(14I,li
es-lr-mat-es, is
based upon e,:tensive experience on thle .roject since the work began in l951,
andu are bOelieved to be
4.
rea-Li.LsU.
.. ut
A
4.A
nUL±U
G vernUrent
'e
of ColVo.
-hch
vT
r
mLt
II.
V
Yr'.'%
)
TISTC'.t-h. If
T
ha.s asslg'ned
of Public Work.
responsibilit-y for the execution of the Project to the :linistr
'r V T
'The general survey mission to Colom'Tha in 19419 found that inadequate
transportation facilities presentec. t,Lie reatest single obsUacle to Colombials
In Particular thne highw,ay system, instead of being
economic development.
5.
progressively ir,proved,
had been allowed to detleriorate
ut a
r
point t-icre
highwray transport, even between the major cities and from the ports to the
interior, vras subject to delays of many -- eek-s during a large part of each year.
Following the recoxr,endations of the survey mnision, the Colombian
6.
Government in 1951 selected for ia:aediate improvement the country?s most
iinortant
highwvys,
totallin1g
&- O-C''.Jiily
3,00t'0
km.,
G ad
Ufolring
Lh;
These highwa-yrs provided or rs
Highway Plan I("Plan Vial Ir,Ap,pendix C).
impre
~rovide conn4c~nn
population centers
pore
he mi
connections between -.
;rouida
as well as between these centers and the principal ocean and river ports.
III .
l
E rIFRST HIGE.-ii
T OAN
In 1951 the Banlk made a loan of .416.5 million for an emergency
7.
rehabilitation project "or the ap--tproximatel.y 3,000 ia. of highways of
The 1Project included t.he limited reconstruction and
Highwayr Plan I.
±.-aintenance of tnese highways. ApproSimaatey 15$ of the roads -vere to
be paved. ht the time it -vwas expected that the ?roject would be completed
in about three years.
- 2 To ensmre soeedv and comvetent execution five experienced foreign
8.
contractors Irere engaged under cost plus fixed Lee contracts. They started
construction ;-ork ir;riediately although detailed engineering plans or estimates were not then available. This was considered justified because of
the ureencv of the orogram and because little realignment .wias then
anticipated. The contractors vwere to unc.ertake the necessary engineering
nlans and estimates wiere found necessarv and w,jere to maint.o deve'on v-.f.h±t
tain the roads assigned to tnem until such time as they ;,ere completed and
turned over to t+ie :W1inistrv of Public .orks.
09
TEy%nrionrncnron sho-,r ri tha;t. the gravel
surfaces of the comDleted
stretches of road suffered much from the action of traffic and clinatic
conditions an' that maintenance Costs after completion wvould be excessive.
F'or this reason and at the request of the Government. the Bank
10.
agreed in 1952 to incrvase the prooortion of roads to be paved from 15%
to 5r oft+he total. The additional foreign currency required bv this
change vras to be taken from the contingency item in the List of Goods.
.VL.
SECOlD LITT-;I4AY T.OAN
As the execution of the Project proceeded, it was found that
11.
require.d and more equip.m..ent needed than orig…nally anticrmore or'k'-as
pated to complete the Project to aJequate standards .vithin a reasonable
In addit+on, experie.-ce had also saowrn t'n 6esirab4i ity
length of tim-.e.
of increasin,g the roads to be paved to about 82Po of the total.
'Lhese changes increased the original foreign exchange estimates
12.
iion t.o a total of
for the completion of the Hi-gh-ay Plan. h 7 ;jll.5
*P27.75 million.
13.
-- lso, it
soon became a-parent
-1that the full benefits of the work
t'ne linist rv of Fublic Works
could be achieved only through the ado-tinotn hbyr
of an effective maintenance program for the entire national highway system.
This required a comp..lete reorganization of C-6oloiats highway maintenance
facilities and practices.
Lh.
The Bank, therefore, maade a loan of '14.35 million in seotember 1953
t'o prov de for additiora1 road mainilion
lauedu an amount of s
wvhic;h inc
trained and experlenced outside
for
tenance equipment, shop equiopment and
m-atters.
on.mainten.ance
engizreers to act as consultants
- 3V.
CONSTRUCTION PiOrjRESS
15.
Early in the construction period the work assigned to one of the
foreign contractors was reassigned to one of the others, leaving four foreign
contractors on the Project. Later tile Gove.rnment took over from one of the
foreign contractors the reconstruction of the road betwveen ledellin and
Taraza (approximately 250 lm.) in an effort to speed up the work in this
section. This road is now under reconstruction, partly by Colombian contractors and partly by the Ministry!s own forces.
16.
An unexuectedly large increase in traffic volum.e developed early
in the execution of the Project as roads were improved. This became even
more marked as tine wfent on. Official circles became more aopreciative of
the significance of the Proiect while the travelling Dublic began to see
the advantages of better high-ways. Miore and more the fear vas expressed
that the roads, if built to the original standards, might not for long give
adequate service to the traffic, and that aaray stretches would become obsolete
at a relativoly early date. Interruptions to traffic, due to structural
failures and extensive maintenance operations also would becor.e less tolerable
with the increase of traffic. Thus there has been a continuing tendency to
raise the design standards and to improve on the strength of road surfaces
and on drainage features. These imorovements included:
a) Riediition of naximLim s-'rad-ents in mountain terrain.
b) Improveraents in alignment by reducing the severity of curves.
G)
Tncrpase in the nTmher of' relocnatiorqs
narfcilarly tor rnvite
by-passes arouzncd tolwQns in which streets are too narrols to
ancomnmodate through trffinc.
d) Adoption of proper methods for the design of base thicknesses,
hbaedc
on fiele
anrl
try tests=
e) Replacement of substandard bridges and culverts.
f
Tn)-rpase in the wiAth of the finished grade and the paveme-n.t
sections. On mountain side-slopes even a small amount of
widening produces heavy innreases in excavation qantities.
g) Thicker bituninous pavements to carry heavier traffic loads.
h)
Hi Pher tvne pavements because
of vieather condtitions.
For
example,
plant-mix is being used instead of road-mix in
a-reas having the hea-vi-est. and most fron1etnt rains.
Mos-t of these improvements
have been adoptedl, -wit.h
priot B_nk
as
-1:7"Ll
the work progressed.
17.
The general upgrading of standlards has now reachied a point beyond
which further improvements woulld not onlyr increase the nosts uindullv hut woifrl
delay the completion of the Project. Detailed plans and specifications are
nowv availahle for the major part nf the remAining work and -will fiurnish a
control over further changes.
In addition the Minister of Public Works has
drdr _h
n further improve.ents n design -+anda-is are t be
made without his approval.
- 4 A.^pendi x D sets out the ravn- stnd ,s
to
'-phcth
roads are
now to be constructed and indicates the present traffic volumes on some of
the more important routes.
omparison rith Scriedule 2 of the Seconrd Loan
Agreement (P-CO) shows changes in type of surfacing, pavement widths and
18=
tUhicknesses.qpC
19.
l;-With the abovte inprovement 4n thne dsien
+t
character
of the 'rroject changed from its origina-l concept a. an emergency rehabilitation
nrneit--.
+to
fnull-fledgaedreconstructl.on
and ^onsuction
r-rovet.
C
quently,
quantities of work to be peerfonmed per unit of length increased
subst.nr,ial l-- This mean.t that te
total quantity of r to be execved+.arl
for the completion of the work wvas raised considerably, although the length
of the
roads in t;he DrVlc
reaie
Xwchn
reconstruction has resulted in a more severe impediment to construction
o.1Uperations than
often delayed in
origir.all,y anticii
-ras
kv,tAuZtil
f
,s
its
operati.on, being obliged to give passage to ever
growfing linies of wraiting vehicles. .Particularly-dull tle
J
esos
'
much construction equipment is tied up keei,ng the construction sites
passiab-l fov; --Llc
la
s1c.t -,uK
Lasu
'IL
I;:Iii_tI
I.L
Ibst
Is_7
had an adverse effect on equipment performance and raised the construction
±L±~~~~auuv~e
4.Le
.
LA
~I
UU
'Ul
JJy -"I,
.LY
/ _
I i~±e
uIILL
21.~ ~~~~~~~~
Te ab-,efac+ors led to a sltua`,on ;-uus,
1955
Orr ntreth
expenditures and comunitments in foreign excl-.ange equalled the total amount
ofthe
4VvO
.L
Bank- loans,
U
u 4.LUsUi.l
cons.Lea'
t
funds -.- r
r,eesarybeor
the Project could be entirely completed.
22.
The contractors on the Project have been able to carry on their
wVorkl due to an advance to the i'^inistry of P-ublic W'orks Of 9?6.3 m.>illiorn frotm
the Banco de la Republica pending decision by the Bank on making a third loan.
At nresent approximately 75% of the total length of grading has
23.
been
complUttejJ.1.e
l
whI.LeC
Leu,
JL1IA-V4LIUt=.Ly i45p/ V.L
W!
-eUdsU
UtV
ub
paveU
hlave
been
paved.
24.
4
he
The work performed by the contractors engaged on the execution of
'1.roJectO
has been
C
VI,
'n
r, M~~
ist
LY -.
OFflNIZATION .ND ri'MNAGEDENT
,
,-
..
T.
-
25.~m
he-eec-ulo-n of uzC rvoject is the -resp;onsiblll±y of' th-e ru.gnway
Department of the Ministry of Public !,orks. In general, the administration
of the present Bank-financed Project by the Highw,ray Departr,ent has been
deficient in a number of respects. There has been evidence that the rapidly
expanding commitments on highway construction outside the Highwvay Plan I have
for several years nearly overtaxed the administrative capacity of the
- 5Department and have thereby endangered the execution of the whole of itS
The Department has been understaffed, and there has been an
operations.
urgent need to attract more competent personnel. This situation appears
to have been improved somewhat through the recent issuing of a decree
providing substantial increases in salaries Ior the engineers on tne staff,
It is,
though the effects of this decree can, as yet, not be fully judged.
therefore, desirable to follow closelj the developments with respect to the
highway construction activities outside the Highway elan I.
26.
ihe rapid increase in the amount of work assumed by the Highir.;ay
Departmfent during the past six years, particularly in 1954 and 1955, is
period, administrative badgets were
illustrated in A: pendix B. During tiis
increased only slightly wrhile the total budget increased almrost four times,
27,
A detailed plan for reorganizing the Highway Dppartment vras
developed by the Miinister of rublic <or;s and his advisers, with advice
from the 3Dnrk, after the Second Loan .igree:aent was signed. The plan calls
for a miore suitable division of responsibilities, imr)oved operational
The new organization :ould provide a staff
procedures and a larger stafi.
capable of directing the p;resent work, ani fould rra'e possible the preparation
by the Ministry of detailed plans arnd sp:ecifications for future hiighwray
construct on projects. The plan wras approved by t^he linistry on M.arch 16,
1955, 2nd becamie effective bir a 1-residential Decree of Novemkber 8, 1955,
writh the exception that the "Interventoriall (field inspection denartment)
was not transferred to the engineering section of th.e H-ighw,.iay Jepartment,
as proposed in the reorganization plani. How-ever, aS rientioned earlier,
wias curtail ed.
its authority to make changes in plans and specificati|ons
The establishlment of the new organization is no.,, .,ell under way.
28.
The Second ,Loan A-reement stipulated that specific steps be
taken to imT)rove the maintenance organization and, to provide more effective
hiqhwxay mnaintenance. Although there have been somie delays in the aDpointment
of foreign experts and in the acq,uisition of'additional equipment, the
operation of the maintenance organization is developing generally in a
satisfactory manner. The substantial increase in the annual m,laintenance
budgets for 1955 and 1956 as compared to 195)4 (see popendix B) is indlicative
of the importance now being placed upon tne maintenance program. A large
part of the nelw maintenance equipment ha s been delivered and orders are
being placed for all of the remaining major requirements.
29.
Arrangemr-ents have been made for the Maintenance Division of the
Highway Department to takce over from the contractors completed sectors of
the Bank-financed Froject and afproximately 420 km. of the ?roject have
already been taken over. This is beginning to be effective in helping
to expedite the construction work by relieving the contractors of mainIt is also providing an opportunity for the
tenance responsibilities.
M1aintenance Division gradually to assume its increased responsibilities
for the wldole primary highway system,
- 6VII.
DE$CRIPTION OF THE PROJECT
The Project for the proposed loan includes the completion of the
30.
construction or reconstruction in accordance with the improved standards
and the maintenance during construction, of the approximately 3,000 km.
of highways included in the slightly modified original Highway Plan I as
shown on the map in Appendix C and listed in Appendix D.
Additional equipment is required to do this work, particularly
31.
increased quantities of excavation, w;rithin a reasonable time.
greatly
the
The cost of this equipment is included in the estimates for the proposed
nevr loan. as well as the cost of replacement of some of the older equipme..t
which is now approaching the end of its useful life.
It is proposed that the newv loan should include the foreign exchlange
32.
This road is now under
costs of the road betveen Cienaga and Barranquilla.
the Bank-financed
outside
Department
Highwfay
the
of
project
a
as
construction
highwav Droject. Its original purpose was to join Barranquilla with the port
of Santa Marta and the surrounding area. However, it has since acquired a
much greater importance as the route of the tractor-trailer service that will
form a vital link between the port of Barranquilla and the new Atlantico
(!Jagdalena Valiey) Railroad for which the Bank made Loan No. 119-CO. Because
of the difficult engineering involved, consulting engineers have been given
the tasc of supervising its desigr, and construction. The sarLe consultants
are presently engaged on the railroad project. Such an arrangement will help
tniml taripons completion of these twao comiplementary proiects.
toinsrp
VIII.
ECONOV'IC JUSTIFICATION
Available statistical data reflect the very rapid expansion of
33.
traffic using the highways of the Highway Plan I since the first Bank loan
was made in 191l. Both fuel consumution and motor vehicle registration have
doubled in the last four years (Appendix E). A great increase in traffic
volume has been observed on practically all sections of the Project. On a
number of routes, traffic volizaes have more than tripled. The Ihighest traffic
volrn.es have been measured in the vicinities of the large cities where, at
present, they range betvxeen 3,000 and 4,000 vehicles per day in average. The
ovterall increase of traffic volmLes on the highwatis of the Project has been
particularly spectacular during the last ttvo years of the four-year period
referred to above, indicatingQ the growing influence of the execution of the
It is to be expected that as further sections of the Project are
Project.
completed, the upward trend of development of highway traffic will continue
and by the time of the completion of the Project will reach a level which
at the timT1 the Pro-ect was conceived.
ororeseea-h
wxras
3h.
On manmv sections of the £ro.ect the number of orolong-ed traffic
interruptions due to aclverse reather conditions has already been reduced
to DracticaLly nothinr. This increased deerendabilitvy tozether -sith the
better o-perati .nal features of these sections due to smoo'her alignments,
less steep gradients; increased width and greater evenness oCf roan surfaces
have resulted in a decrease in vellicle on-eration time and costs, {.;ith consenuent diminution of transiDortaticn
No adecuiate st-iti
rharqes.
sti nrs
in
this respect exist in Colombia.
However, a few examples are indicative of
the trend. Costs of cattle transport bet.veen Sinceleio and TMJedellin have
been reduced from 600 pesos per head in June 1954 to hLoo pesos in December
1955: freight rates betw.een Cucuita and
i}ve
vucaramna
been redu-ed from
0.35 pesos per ton-kilometers in 1954 to 0.26 pesos per ton-kilometers in
1955; exoloitation costs of the bus servii rce ehtieen (Cartagna and Barrr>nquilla
have been reduced from 50.05 pesos per trip in 1952 to 29.33 pesos in 1955.
35.
The greater accessibility of !and alon- thae reconst;ructed roads
and the
-pen.ngiu
of'
n-.oul
ra-_a^s'l
are
-cn-m-icben-flts
which are difficult to measure but v-hich are im.ortant to Colombia?s
economic and social dev1lopment.
The ,pent-up demand ior good hir. ghwal.
36
l,io
to 195~1
~an
the ra
economic development of the country since thlat time have com,ressed the
nvrme1l
of
a
re1uencf r,-Ohn..+.tnto
dl
e'-p-tl-.allir
sh.ot+
This has led to a successlon of objectives in the program.
4
fi' r't4
loan
to
vrr,oro4-
perlod
Originally, the
We
'.a
sections on the most important roads. The second loan covered minimal
pa.n of~.,os of the rvads, and nou U±1k- ?nUJeUL
I1'=V
.JU'L
-V-ul
Jll-Ude
fur'ther improved surfacing and alignm:ent.
If tle icneed for ex;,ansion of
~~~~~e m
v
_~ . E. .....-..........................
the _ighwVay zyste1m hadUincrse
U
at a Ltss rpid
Lat,
stnldlualrs would
have been raised in separate stages over a much longer period.
..
t
'_
^
- J
3
1As ZLiN l'Ci!'£'.LAMIUJJ
4JA.
-
U
I
_.....................--- .L.............-.
-1 iF,
iR<>NECT
±r
tGdf-.-
-X-
-
_
37.
The esbimated cost of the d.ghway project to the standards which
evrre
established at the tire the second loan was made was 2L1.6 million pesos
equivalent, of which the foreign exchange component w-vas estimated at
$27. 75 miillion (69.0 m,illiln pesJt ).* ihe totual estimated foreiig,n exchange
amount *Iras covered by Toans 3-CO and 84-Co. (The second loan included an
additona
U -Lllo
:. L
fo
r,.ainenanc
-rram.)
The tot-al cost of
construction of the Project (not including the Cienaga-Barranquilla highwtay)
to the llr;41Zr ster.dardsUc
Lo.VI
C61z7tUe
to l)e UtUtVoessay
Zistes5.111aUtd
fiU
485 million pesos equivalent, of which '.'i43.05 million (108.0 million pesos)
represents tUhe foreign. eyc,hange com,uonent.
'11ese est-inates
upon a proposed completion date of ;.ugust 1958,
com..pleted -n
'57,
5
are
consiUereu reasonable.
.-hlch are 'uDased
'ith mnost of the w1ork to be
A
Uetaild±±U
coi",-1,
l0f
oI
cost
estimates in ;esos and dollars made at the time thle various loans vere being
oonsiduerued
is
presented
ut'±11 in
'
A
.
38.
The additional j'1.3 million reqoired to complete the original
Projeot consists of ,P8.3 million -for equiptoent. aind spare parts, $1.8 million
fo, r aterials. S1.8 million for salaries and administrative exc'enses. of
contractors, yl.7
million for contractors4 fees and -'1-.7 million contingency.
39.
The estimated cost of the Cienaga-Barranquilla Highway, a proposed
addition to the ?roJect. is 17.5 million pesos ecuivalent, of whiich
1.2 million (3.0 million pesos) represents the foreign e.xchange requirements.
ho.
Tlhe additional foreign excehange therefore totals :,16.5 million
(LI.LL million oesos). thie breakdowr. of which is shown belowa. The additional
estimated costs in pesos as per A'ugust 1, 1955 amounts to 186,215,000 pesos
for the original oroiect and 12.926.000 nesos for th,e fliena2a-Rarranauilla
higharay or in total, 199,141,000 pesos. A summary of both dollar . nd peso
needs is inoluded in Aooendix G.
Estimated U.S. Do'lar Require--.ents Covered by Proposed Loan
( in '"ilsn
sq)
Aug~ 1 to *
Contract
Dec. 31,
1956
Morrison-Knudsen I
962
1,477
II
-
729
633
1,278
h69
2,380
-
2,334
C65
9,9~~~~~S000
8
l,285
628
-
1,C
222
1,921
1,022
M orrison-Knrudsen
Utah
pt;,or.d
INinston
Medellin--Taaza
Morrison-Knudsen III
T
Tunja-Barbosa
1,163
3,602
729
-
250
-
- _____
1,603
TOThLS
*
Total
250
-
e
l9¢7l958
795f
9,003
3, 08
13,65h
Cienaga-Barranquilla High-way
15,300
1,200
Iproposed Loan
16,500
Thisis in addition to the uaisbursed
funds from t-he second loan.
*41.
Bar.co de
As menitioned above, an advance of $6.3 million was made by the
lan
r.h=m
blc
to-j c-+ove
tia
m
nreds
r.
forv
foreign exchang
funds, and this amount is considered suitable for reimburseirent from the
propose.
d 'loan.
-9L12.
r=.e
42
most urU,er.t .eed
moslu~~
r..
for add4inalI----
ivorrgn
-.
PYrhAn;
----
is
-_
the
for
---
acquisition of nevr construction equiprroent. Aks already stated, the volume
of excavation has been greatly increased. Although the construction period
has been extended to mid-1958 from the earlier target of completion by the
of
end1955,
4t
.J.l'
be r,ece--,
earthmoving equipment if
to
-mplol rsubstantlal
ay.oun s
oP adcVitnonal
the Project is to be cormapleted according to Schedule.
Local currency needs for 1956 and 1957-1958 are estimated at
the
of
evclus ive
r.,illnJon pesos respect J e'-,
m-,
72.4 million pesos ar.d
program.
maintenance
the
of
and
cost of the Cvi.enaga-Barranquilla highway
ConsIderinc the size of the Iiighv.ra,y bICiget, the Government should be able
to provide the funds which vill be needed for tne vroject during these
1Th.e Governme nt
years, if necessary by reducing otiher .ighlay corfl,-itlCtentts.
to carry
currency
has ho-.wever already budgeted sufficient funds in local
out the construction work prograf.mmned for '956.
43.
X.
IECO:: r:
aONS
T
It is recommended t',at tihe Bank wnsider a thlird ;-.ighwray loan to
Colombia of U.S. $16.5 million, p'rovided the Banlk receives satisfactory
assurances from the Borro-,er on the followuing matters before the loan is
signed:
44.
1.
I\To .work now being done under contract should be transferred
unless
yn of Public
t,o force-account v;ork by the hlinistrr!orks
agrees.
the Bank
2.
The Borrower shlnuld not change the gereral design standards
:ithout the consent ,f -heBank.
3.
The :Borrowser should uniertak--e to consult the "ank frtom time
to time on its prograri, for investments on highwray construction
outside the 'rrojectU.
4.
'ihe Borrower should retain consultants satisfactory to the
Bank for th'e design and supervision of the construction of
the Cienaga-Barranquilla highlwiMay.
Because of the character of the Projecut a term of 15 ,years and
45.
a period of grace of about 2-; years for the loan is a-propriate.
COLOMBIA
ACTUAL AND PROJECTED EXPENDITURES
_- (MILLIONS OF PESO EQUIVALENTS*)
5001
I
I
t
|
|PROJECTED EXPENDITURES
I
N.
-~~~~~cs
I-
based on standords
necessitated by
traffic*
~~~~~~~~~~~~~~~~
-
14400
400
Agreement on need for
improved standards
3
300
300
sJ/| i
T
;
__________
____________
EXPENDITURESo
|acTuAL
Improved standards
\
-82 1/2 % paved
1,2nd Loan project
/
{
4
I
0
.
.
IO[
t
All-weather roads I
1 15% paved
i
_st Loan project
I___
____________
!
I!952
1953
*Rate of exchange assumed 2.51- $ throughout
1954
1955
____I
___
1956
1957
"*Excluding Cienoga-Barranquilla highway
APPENDIX B
C(JLOl.BA
nITh AYL BUDGETS
Pesos in thousands )
Year
Maintenance
Construction &
Reconstruction
(including
Bridges)
IB-BD Loan
Disbursements
(Peso L-quivalent)
TOTPAL
37,316
1949
10,900
26,416
1950
18,050
25,398
1951
21,000
38,650
6,728
66,378
1952
23,000
45,261
21,590
89,851
1953
21,214
51,550
8,760
81,52h
l9.h
23,000
1lh.,943
8,949
1465892
1955
43,000
1h3,h00
23,569 *
209,989
1956
36.100
171.100
23,600
230,700
*
-
43,448
Of tlhs amount, 19,56L,000 pesos were disbursed from the Bank loans
No. 43-CO and llo. 84-CO, and 1h,025,000 pesos frormi tne advance of t'e
Barnco de la Republica, which will be reimbursed from the new loan.
APPENDIX C
MAP OF
0P0( IPFrT PrtA C
COLO MB IA
RIOHAC ,,-
NATIONAL ROAD NETWORK
ROAD
ROADS IN PROJECT
RAILWAYS, EXISTING
kSANTA MARTA-
BARRANOUL
RAILWAYS, UNDER CONSTRUCTION
-
,/
,
j
A
IENAGA
5-
--
OR PROPOSED
PROPOSED ROAD
CARTAGEN4*
UA;
2
SGALE: /"- /30km.
gA~LAMAR
\
/
ER,.
L
7
4)
t\'
( -
\
/VEJAS
\'\3>
I(
(NC9N HONDO
INCELEJO
i
-
~~~~~~~~-Ak
~ ~ ~ ~ ~~~~~
t
<
_
_MONTERIA,,j
4'J
(
P~~~LA
ETA'
GAMAR
t /tD
-
1<|
~
ILMIZARIr[
RIC
jRBO,
WILOHE ?,CUCUTA
'4 \fICACW IA
| /
k'
I
\~~ U
.-
EIEIPA
E
IA
RTO s_l'PURO
I
f5ARUMAL
ANTDOI
)
LA
_OP
.V
I{<
UE TR
KEDELLIN
Z
R_AN
_
1
A
I
S'
XALT,
G7,
-l
I
eiXQUIBDO
LA pINTAA-UE4(N-SAGASOGA
|r
URILLR
DA RiAS
PU.ELL
L
SUPIJA
V~'~AlRGIN
\
{
)
-JA
/
,4O
rl~~~~~~~
/
JATA'
A,:
_
dULI1J/~~~~V~~NIU~~ UGA
PluENAvENST,,
UNJA,
v
L
LA
l7
~~FARTA66MRJAz,2,
A
D
A
,4
g
,,
-
-L*PUERTo
LOPEZ
EUSGSUA'--'2
s+x8bKj~~~~PRA6ERA
,'
-
OLOMBIA
I,~~~~~~~~~~~~OA
7
YS~fjANTANDER\/|
EL DIVISO~~~~~~~~~~~~~~~~~~~RILA
I
/
\
POPISYE~~~~~~~~~~~
I~~
, NrE
~
\q,,
~
~~~
I~~~~~~~~~~~~~~~~
|
(
\___-n
//JARZO~~~~~~~~~~~~~~~fGRZN"I
A~'
195
r
ES
I _\ TUMACO
|
LMAY,
1956
;
\
~ESPIO
Z~~~~~L
\L,
~ ~~~~~
8 D28
~~~~
rIAFFORFNr.A
~
^|
IBRD-2 18R
i
0*~~~
,~~~~~~~~
1;
i£
~
~~
S
'I \0V:e
§ g r
\YE ' uo
-4 -4\C0
,4
0 ..4 .-4
S2'o 'O
§i
~ ~~~ ~ ~ ~ ~~~~~~~~~~~~~4.
-O
rrlrh
rrl
rrl
V,rVI'4
rrlro
w
rE
0
1
r Z1 rEUN
z4 tE !
tc
3\
t- U
-0
'co-16"r-4
-0
fla
4
ff bXf
L
ol
f. Ire
V
6
eO
.! XO
v MPv
d4
4>
v"
In
M.1
0
'
t-.t
I-
.3
L.-
-
.
q-
-4 la
%4 -1
-C-4
P4
- N rE N
!
l 221
-
5-4~
Wo~~~~~~1
-4 I
x3g
RRoo
00000o
ooo
0o000ocoo0roovlou
0
oo-c
2j3
01M
17
oo
0
o00
0zRo
R0>01
0
i00O
III it'§l i I I III!tzt2t2
a3
0 8t
t*2S!Ql~~~~~~~~~~~~~~
E.~~~~~fl
3.
zR|i ls
El>}O|g
]q@1
gS
'2e2jt
y!ct
Al
5|i
3qxs
1;|tqxi
6- 1-
e
*sM3
4g4
00~~~~~~~~~~vJ~01
10
S
,m
e
0S
d
C.
~~~~~:
0 N~
C.
4--~~~
OChOeI,N4
r4"^JV\4l~~~
$:;~44
r11>
I~~~~~~~~~~~~~I
60U, A
e
V"o ."'g
o
k
e4%
la
i
JU4I
0w4N
t.
f-04CO%0.4'C
~~~~~~~~~~~~~~~~~~~~~~~~'
2ls4.R@
ErBsz-C
Car>f:^Ls
t A'sA
4-o
;1,a
a
tI
aiP
01 1; ~411- 0,. C"
cm-44 cwwce4%-*U\-40
V
T
VI1V
5
sc
IHta1
APPENDIX
E
COLOMBIA
FUEL CONSUMPTION AND VEHICLES REGISTERED
(MILLIONS OF GALLONSj
(THOUSANDS OF VVEHICLES
350 r
--
300
250
1
1
I
/jl50
A
N
ANNUAL
(
j
4
~IITOTAL
gr-
GASO NUAE
GAOJECONSUMPTION..
~~LeftscGI.,1)I
VEHICLES REGISTERED
Rhtsae*
i)
.(Right scale
:; -9'. : :::--
......
1::.'
200
1 00
150
.....
_...
.,,
9.'
< .'''JSa
,,,,." TREGISTRKS
E
:SSW:':"'
j-,
W
.w
...........................(Right
-W
; .}4-
,,.4
SENG R CARS
e
50-
,.,,Io
50r-III
o'
\<
_
0
STO.TA
scale
'
|
'
-
~~~~~~~~ANNUAL
_~~~~~~~DIESEL CONSUMPTION
(
Left scale) j
§
I
l
l
I
r
ii
1951
192
1953
1954
1955
1956
1957
loI
5
(in
(Plus Aditional p"ng
-b1t
Dlr&
frr
or 1!% to 150%)
to al Pto
LM
E
fhouaa,)
(Inolu
%;of Pec
1!TSo Opt
-ZPA
82j% Paring)
ls
Total Pee.
2141% S
111Al.
(Imalnd.. JImpwovs SI *tnida)
%of Pesos
Jbo TO kl 02X1L
jMA
M
!
total Plie.
J117T" M
Korriseo-Knuafen I
21,823
3,OA
31,589
Morrisob-zKnudae
Utah
30,190
14,716
15,871
5k4W3
1.770
2,599
43,852
19.159
i22.394
81.3n
29,337
30,842
9,0?9
ILO,101
4,202
£,835
39881
£12,978
41h612
58.920
5.1q1
7.3sa
5h,516
77.321
22,900
19,678
3,310
3,743
:n1,208
29.085
40,400
27,306
1,000
3,000
6,222
5,125
2O0
56,017,
40,169
1,502
3,000
112,9b4
55,51
15.230
9,300
ll,0
7,3155
£40
1L40.697
74,6b;
16,35S
9,30O
162,075
26,027
t27,40;1
37b,8315
IsO,43
i76,3410
4. ,I
4£131
Nlorn
I1
-Knudsen 111)
)
M.4elltn-taru.a
wInston
.oluogrnror-Buanavsatura
uLS8s4a1ebosa
Sul-total
TolIal
The abo'v
table
15,3113
133,435
2,133
4,379
961
221
4,5b
4,934
2,133
7,733
961
7t62
b,545
9,6441
2.133
961
1.616
101,500
16,500
142,914
171,941
27,750
241.59-1
376,971
43,030
noaluA.
71.7%
Item for *Old Contreeta" Iaid from first loa.
It
SUINY 0i LESOiiATION OF .LOANS FUNDS i£
riuet Loan 43-00
SecondLea 8La
tO
P"poaed toird Loan
Total
Oriinatl
01img
Conatrwotioa
Usia]%rwamqulla
p- U"
Imm
A
I
(dollars in thousand=s
16,500
11,250
3,100
_
15,300
1L,200
43,050
3,100
1,200
Ilote
LO:AL CUiR3NCY APPROPRIATION£S
Or,ginal
CenstrnutioaB
aImProJeet _ 111!11g
mu
(pesos
16,500
in
14,350
16,500
101,50W
70,4411
205,030"
25,500
47,3505**
376,971
25,500
-
*'Or/iinL *testut.
Of this amolnt, J3A5 pesos asL* already appropriated dLuring tho ezecution of tbe eeeond loaa.
"
Peso eqatvalent, 118,Sh8 peso.
Of this aniount, 1,514
pesos was alrendy aupropriated
71.3%
does not inelud. lILk Maintenance lwogra
-'
'
-
94,988
01dL Oontraets
Contingency
fl,ri
%of l*os
jg422
ft
during the execution of the second loan.
O160ap1larras"LuIlla
thouandei
UJ
-
101,500
-
14,500 ***
95,941
219,530
1b,500
416,971
or the coat ot th
781.7%
185,025
t eaagi-Ba"Mqu ll&
A1-m.r.
PROPOSED TdEIRD L4PA
StI1IA.RY OF DOLIJP LiD PESC (,STS
0 .S. i]OTLLT COSTS
(in, thousands)
PESO COSTS
(in thousaids)
ES7IYAILD iJSCRSi'-Y PESO ALQCAi'LlJ
(in thoulsands)
Zi RATI(Ni.L BU
1
2
Tots]L
Zetiolated
Cost
To tal
Committed
to Acugj 5
I
9,079
5,477
3,602
8'L,321
30,150
52,131
11,918
14,738
24,475
Morrison-Knudsen II
5.141
4,412
7:29
4:1,612
28,6.19
12,913
6.720
6,172
21
IJtah
7,3131
4,951
2,3130
58,920
34,973
23.947
8,150
11,975
3.822
Raymond
9,185
6,285
2,900
72,530
39,000
33,530
9,950
12,435
11,147
llWinston
7,385
5,464
1,9:21
55,511
41,2o4
14,307
7,369
6.938
M(edelliLn-Taraza
1,622
-
1,6;'2
34,642
5,074
29,766
6,226
11,514
J.2,028
Morrison-Knudsen III (Lobogearrero KM 1EI)
250
_
2:50
5,572
1,200
IJ,372
1,800
2,.500
72
Lobo-Buenaventura
450
250
15,230
6,59;8
8,632
3,700
4,932
-
9 ,300
1,685
7,615
2,000
4,615
_
2,133
2,133
376,971
-
Niorriseo-KnuLdsen
Tunja-Barbosa
200
-
Old Conitractsi
TOTEI.
Contingenc.y
5961
961
41,404
27,750
1,64
3
Estimated
Cost to
CompLete
(Col. L
2)
-
1,646
TO-TLL (inclu;ing contingency)
43,05u)
4,750
15,3(10
3,100
3,100
-
Cieaiega-Barranquilla (Prooosed
addition to tlird loan)
1,200
WTALL
47,350
jIOTi:
30,850
Total
Estimated
_
t
13,6'54
Maintenance Program (a1 Loaa)
-
4
1,2o0
16,500
=
5
To tal
Fbtpendiltures
,ost
to Aug.4l/55
6
Esti-mated
Coet to
Comiplete
(Col, 4 &
a
7
Expenditures
Aug.1-Dec.31
195_ _
-
-
1,000
Estimated
Expenditures
1956
9
32stimabed
Ezipenditures
1957-1
-
-
-
-
190,756
186,215
45,764
72,403
68,.0o8
-
-
-
-
376,971
190,756
186,215
45,764
72,403
2'5,500
9,196
16,304
8,354
7,950
14,500
],574
12,926
3,226
',OGO
3,700
215,445
:57,344
86,353
71,748
416,971
The anmounts in cilumns 5 to 9 inclusive represent the exnend:Ltures (payments) niade .
necessity tl;e sama as tle actual exnenditures of the contrectors ,!E of the sam.e date.
201,52'
to be nade b; the Zovernment.
-
These erpenditures are rot of
)XhIX
G
68,048
-
_9_
T