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Infrastructure Development

Infrastructure Development. Goals of Infrastructure Development. Ensuring sustainable urban/rural development Increasing social and regional integration Promoting countries’ international competitiveness through transit facilitation

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Infrastructure Development

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  1. Infrastructure Development

  2. Goals of Infrastructure Development • Ensuring sustainable urban/rural development • Increasing social and regional integration • Promoting countries’ international competitiveness through transit facilitation • Reducing poverty and increasing socio-economic opportunities for regions and individuals; • Promoting private sector development, increased investments and tourism; • Ensuring sustainability of investments in regions;

  3. Policy Directions • Adopt legal-regulatory framework for sustainable urban development; • Implement institutional reforms to ensure: • Effective management and administration; • Transparency; • Internal and external accountability, • Responsiveness to community needs; • Cost-effectiveness. • Adopt new policies (urban and regional development, housing, road administration, transit facilitation, water-sever services, etc)

  4. Policy Directions • Promote public sector role and participation schemes; • Provide emphasis on regional development; • Support decentralization and local self-government development and determine roles and responsibilities for state and local governments.

  5. Main policy and Institutional Reform • Eliminate procedural obstacles to transit: • reduce costs of actual transportation though improved infrastructure and transparent /fairly enforced regulations. • Restructure water/sewage enterprises: • develop a new institutional framework for regulations and financing arrangements at local government level, • attract private interest. • Strengthen roads administration and financing through: • introduction of greater transparency in tender procedures and decision-making by introducing public-private board; • Improved accounting and financial reporting system; • Improved revenue collection.

  6. Main policy and Institutional Reform (continued) • Restructure railways and ports to achieve greater efficiency; • Create conditions for public/private partnerships for housing development and mortgage financing schemes; • Universal communications package (telephone, post, internet access) • Develop an urban development strategy, introduce a new building code, modernize system of building permits, reform public oversight in building and construction, and adopt administrative procedures and penalties.

  7. How Are Key Priorities Selected? • Investing in infrastructure where it will play a key role and have immediate impact on: • promoting investments and economic activity, • facilitating social and regional (re)integration; • Increasing international competitiveness.

  8. Urgent priorities to support strategic objectives • Local and secondary roads • Mskheta-Kazbegi-Larsi • Tbilisi-Tsalka-Ninotsminda-Akhaltikhe-Kartsakhi

  9. Why Do We Look for Donor Support? ROADS: • Georgia has about 20,500 international, secondary and local roads and over 3500 bridges. • According to WB estimate 500-600 million USD is needed for road rehabilitation in Georgia and 90-100 million USD for maintenance annually • For 2004 Georgia has secured JUST 7% of the overall need……

  10. Urgent Priorities to Support Strategic Objectives Improve provision and economic efficiency of water and sever services for households and enterprises in key urban areas • Tbilisi urban area • Kutaisi • Rustavi • Poti

  11. Why Do We Look for Donor Support? Water/Sever infrastructure • No major rehabilitation works were carried out since 1987 in water and wastewater system; • 69% of pipes operate without decontamination installations; • Water treatment 23% without raw water treatment facilities; • Quality control labs are not operational; • Breakdowns lead to 25-30% of drinking water supply; • Need for improved payment collection; • Institutional reform and legal framework to engage private operators.

  12. Ajara Reintegration Through Infrastructure • Sarpi-Batumi-Poti (main road) to support transit, investments, and tourism; • Rehabilitate water/sewer systems of Batumi and Kobuleti in order to improve • life of population (poverty and health aspects); • tourism capacity; and • sustainable development of costal area.

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