Urban Transport Development Investment Program (RRP MON 39256) SECTOR ROAD MAP

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1 Urban Transport Development Investment Program (RRP MON 39256) SECTOR ROAD MAP 1. The government s vision for urban transport in Ulaanbaatar provides the basis for the sector roadmap to be implemented with, and supported by the proposed Urban Transport Development Investment Program for Mongolia. The sector roadmap includes both infrastructure and policy pillars to support the National Development Strategy (NDS) approved in The NDS includes strategic objectives to (i) improve the road network in Ulaanbaatar and upgrade the quality of public transport services; and (ii) considerably reduce the negative impact caused by motor vehicles on the environment, population, and street traffic. 2. In September 2011, the Ulaanbaatar Public Transport Department approved the Ulaanbaatar Urban Public Transport Sector Roadmap ( ) which is presented in Table 1. The main focus of the roadmap is the (i) development of a public transport system including a city-wide bus rapid transit (BRT) network; (ii) improvement of the public transport industry efficiency and reduction of bus operation costs by piloting performance-based contracts, consolidating bus industries, and installation of intelligent transport system (ITS); (iii) improvement of the quality of service by increasing bus speeds, providing dedicated bus lanes, clean buses, bus stops, capacity building, and ; (iv) capacity building of the public transport industry through, equipment, and information technology knowledge transfer; and (v) enhancing legal and management framework for efficient public transport system, management, and operations. 3. Expand urban transport capacity. In line with the NDS, improving public transport systems and services, and providing additional road capacity in Ulaanbaatar represent the key infrastructure pillars of the sector development roadmap. With kilometers of roads, the city has a low road area ratio by developing country standards. The road network has not been expanded to accommodate the increased population and vehicle numbers resulting to exceptionally slow operating speeds for both public transport and private vehicles. 4. Improve public transport systems and performance. Buses carried 600,000 passengers per day in Ulaanbaatar in Today, Ulaanbaatar s bus system is facing many problems including declining profitability, aging bus fleets, deteriorating trolleybus infrastructure, and increasing costs due to worsening congestion. New vehicles, upgraded trolleybus infrastructure, upgraded maintenance facilities, and bus transfer stations are needed to ensure adequate condition and operability of the system. The business environment for public transport will be reformed to improve efficiency and financial performance. 5. Approval of the Midterm Development Program by the Mongolian Parliament (Decree 36) on 25 June 2010, marked the formal introduction of a BRT into Ulaanbaatar s sustainable public transport development strategy. Under Decree 36, a BRT system will be implemented as an integral part of the public transport development strategy from 2013 to 2016 (medium-term). The BRT length will reach about 64.5 kilometers by The BRT system will incorporate an electronic ticketing (e-ticketing) system, bus management system (BMS), bus information system (BIS), pedestrian improvements, and selected road network investments and traffic engineering and management improvements along the BRT corridors to enable to implementation of an integrated urban transport system for Ulaanbaatar over the next 8 years. 6. Promote traffic management and safety. Ulaanbaatar is suffering from typical traffic management problems such as recurrent traffic congestion, traffic accidents, rampant illegal parking, inadequate pedestrian facilities, frequent traffic violations, and lack of parking

2 2 management policies and lax enforcement of traffic rules and regulations. Efforts have been made in recent years to improve traffic management through installation of the ITS components (traffic signals, vehicle detectors, and variable message signs, traffic control center) financed by the Korea International Cooperation Agency (KOICA) fund. Further investments and capacity development activities will target improvements to the city s ITS operability and effectiveness. 7. Road safety remains a critical issue. For the whole of Mongolia, there were 320 deaths and 933 injuries in 2010 (55% in Ulaanbaatar), a 23% increase since In addition to drivers behavior, lack of pedestrian safety facilities, damaged roads, and dangerous intersections are the main causes. Widespread uncontrolled on-street and illegal parking is a major problem. A detailed road safety assessment and action plan will be prepared and implemented through parallel capacity development technical assistance. 8. Reform institutions. The decision making process at the institutional level is often paralyzed due to overlapping responsibilities with multiple agencies responsible for urban transport in Ulaanbaatar including Roads Department, Public Transport Department, IT Department, Construction and Urban Planning Department, and the Traffic Police. Urban transport agencies need to (i) increase the capability and number of skilled staff; (ii) improve coordination between jurisdictions, functions and operations; and (iii) implement effective traffic management. There is an urgent need to establish an efficient institutional system to improve coordination and manage transport planning, implementation, management and operation in order to deliver sustainable transport programs and projects. 9. In conjunction with Decree 36, the Municipality of Ulaanbaatar (MUB) is updating the Ulaanbaatar City Master Plan prepared in The parliament also approved the new midterm development program including a road network upgrade effort ( ). The total investment on urban road projects over the period is budgeted at MNT 1.1 trillion (equivalent to $800 million). 10. A Public Transport Committee (PTC) will be formed to facilitate and manage roadmap implementation under Decree 36. The PTC will be chaired by the Mayor of Ulaanbaatar, and will comprise representatives of the Ministry of Finance; Ministry of Roads, Transportation, Construction and Urban Development (MRTCUD); the Ministry of Mineral Resources and Energy; Traffic Police; MUB s City Development Policy Division, Finance Department, State Fund Division, Public Transport Department, Road Department, Information Technology Department, Urban Development Department, and City Traffic Control Center.

3 3 TABLE 1: ULAANBAATAR URBAN PUBLIC TRANSPORT SECTOR ROAD MAP ( ) Strategic Objectives/Targets Actions/Investments Strategic Objective 1. Strengthen Legal Framework, Institutions and Management Capacity in the Urban Transport Sector 1. Strengthen government institutions in planning, coordinating, implementing, and operating sustainable urban transport systems. 2. Introduce bus rapid transport (BRT) Outline desired goals to guide BRT planning and decision-making Develop and implement policy instruments to achieve desired BRT outcomes - Establish Public Transport Committee (PTC) by 1 March Appoint Support and Advisory Team (SAT) in the Secretariat office to support the Public Transport Committee by 31 March Train MUB DR, PTD, ITD, and PIU staff on procurement, project management and supervision - Train CDPD, MUB DR, PTD, and CUD in integrated transport and land-use planning principles - Support development of urban transport planning model and data collection/surveys - Identify the policy and fiscal means to achieve BRT and feeder line operation - Clarify the roles and responsibilities of government agencies - Prepare public resource allocation - Update traffic regulations for BRT operation by Urban Transport CDTA institutional and policy reform public transport planning and management support, urban transport planning method 3. Prepare bus industry restructuring plan - Consolidate bus companies to form larger companies - Conduct stakeholder consultation - Carry out tendering process - Negotiation contract - Monitoring and supervision - PPIAF TA: BRT contract support identify contractor selection criteria prepare tendering documents support contract design (i.e., scope, size, fares, incentives and penalties, quality of services)

4 4 Strategic Objectives/Targets Actions/Investments Strategic Objective 2. Expand and Improve Public Transport System (Renew Bus Fleet, Introduce Low Emission Vehicles, Upgrade PT Systems Facilities, Develop Bus Rapid Transport (BRT) Network) 4. Improve condition of bus fleet and related infrastructure. Improve trolleybus infrastructure and services Reduce outdated bus fleet (>8 years) from 35% of total bus fleet in 2010 to 28% in 2018 and 20% in Establish and manage Bus Fleet Renewal Fund - Improve bus depot facilities by Procure accessible, clean fuel buses - Upgrade trolleybus infrastructure o 14 km upgraded by 2016 o 25.1 km upgraded by 2018 o 42.3 km upgraded by GEF support: emission standard improvement and enforcement - MFF Tranches (T) for bus fleet: T2: Procure 60 BRT and trolleybuses (T-2) T3: Procure 80 BRT and trolleybuses (T-3) - MFF Tranches (T) for trolleybus: T1: 14 km trolleybus infrastructure T2: 11.1 km trolleybus infrastructure N-S extension to airport T3: 17.2 km trolleybus infrastructure E-W corridor 5. Improve public transport system integration and service quality Implement high-quality citywide BRT system in phases by 2020 Improve average speed of bus operations on BRT corridor from 8 km/hr in 2010 to 20 km/hr in 2020 Increase Public Transport modal share in Ulaanbaatar from 33% in 2010 to 45% in 2020 Introduce intelligent transportation systems to public transport operations - Establish Bus Management System (BMS) by Establish traffic management unit for planning and managing public transport - Prepare operational plan for BRT system by Improve bus stations/terminals in connection to the BRT development - Implement bus priorities and dedicated lane for initial BRT operation by km of BRT operating by km of BRT operating by km of BRT operating by Introduce efficient fare collection system for BRT by Implement bus system intelligent transport system (automatic vehicle location - AVL) by 2014 institutional and policy reform financial management procurement - MFF Tranches (T) for BRT T1: 14 km BRT T2: 27.9 km BRT T3: 22.6 km BRT - MFF Tranches (T) for ITS T1: AVL system T2: E-ticketing system phase 1 T3: E-ticketing system phase 2

5 5 Strategic Objectives/Targets Actions/Investments - Implement smart card based fare collection system (phase 1 implemented by 2016, full implementation by 2020) Strategic Objective 3. Expand and improve the road and public transport infrastructure 6. Expand capacity of the road infrastructure for BRT operation 7. Ensure good condition of the urban road network Road assets in poor condition reduced from 65% in 2011 to below 30% in Improve traffic and pedestrian safety Reduced the number of bus related traffic accidents and fatalities (baseline: 205 in 2010) - Update Ulaanbaatar city master plan ( ) by Construct and rehabilitate 350km of road in Ulaanbaatar (of which 212 km new roads) by Upgrade road capacity and safety at key bottleneck intersections and links by Upgrade pedestrian facilities around BRT stations - Improve road and station maintenance - Systematically conduct routine and periodic maintenance by Prepare traffic safety assessment and implement action plan by MFF Tranche 1: Peace Bridge expansion - MFF Tranche 1: 7.7 km road improvement - MFF Tranche 2: Improve 10 intersections - MFF Tranche 3: 7.0 km road improvement Urban transport planning support - Road Sector CDTA 1: Road Maintenance Strategy for Ulaanbaatar Traffic safety and enforcement Urban traffic management support Parking management policy Strategic Objective 4. Improve the Economic and Business Environment for Public Transport 9. Improve the financial sustainability of bus operators - Study cost recovery bus fare scheme - Establish additional revenue opportunities for public transport by advertisement on buses and stations. - Reform concessionary bus fare subsidy payment Financial management and procurement Public Transport Planning and Management 1 ADB Technical Assistance to Mongolia for Road Sector Capacity Development. Manila. The CDTA is under implementation through a $2,000,000 grant from the Japan Fund for Poverty Reduction and administered by ADB.

6 6 Strategic Objectives/Targets Actions/Investments scheme - Introduce all pay fare scheme 10. Establish framework for private sector participation (PSP) in the public transport market - Introduce guidelines for PSP in the public transport sector by Develop model performance-based BRT operations contract by PPIAF TA: PSP framework and strategy Strategic Objective 5. Develop Human Resources Capacity 11. Increase professionalism of bus operators - Establish Standards or Operational Manual for Bus Operators by Improve bus driver behavior through, publicity and enforcement by Strengthen technical and managerial capacity for BRT operation - Train public transport sector agencies (bus operators, PTD, traffic control center) - Train staff for operation and maintenance of BRT 13. Improve social security scheme for public transport workers - Introduce employee welfare scheme for public transport workers by 2014 Source: ADB and Transportation Agencies of Municipality of Ulaanbaatar

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