Publications

ASIST Bulletin no. 11, July 2000

ASIST and rural roads

By Gamelihle Sibanda, Angela Kabiru-Kang'ethe and Ida Chimedza, ASIST

Mr. Letsie, a contractor from Lesotho, underwent the Road maintenance and regravelling (ROMAR) training in 1994. This training was carried out by the Labour Construction Unit (LCU) of the Ministry of Works (MoW) with assistance from the ILO. Mr. Letsie is one of the 60 contractors who have undergone this training in Lesotho. Although the training was adequate and beneficial, one area where additional training would be useful was on tendering and costing. Many contractors find it difficult to determine unit rates when preparing tenders. This is particularly evident when you find huge differences, as high as 100,000 Malotis (US$14,085), in tenders for the same job.

Challenges faced by contractors

On qualifying, the contractors are awarded, through a ballot system, routine maintenance contracts ranging between 20 _ 30km that last for eight months of the year. A few periodic maintenance and rehabilitation contracts are also available from the Ministry of Works, which the contractors have to compete for. As the number of contracts is so limited the competition is extremely stiff and the contractors often bid at unreasonably low costs just to win the bids. This usually results in the contractors carrying out the work at a very low profit margin or none at all. Contracts are not carried out at market value. Operating under these conditions the contractors are challenged to produce quality work within the agreed time. In addition,

Why roads?

Many people often ask why ASIST is involved in road planning, design, construction, maintenance, etc., whereas the ILO is well known for its role in fair labour practices. The answer emerges when one understands the goal of ASIST. In a nutshell, ASIST's ultimate goal is poverty reduction and sustainable livelihoods. In simplistic terms ASIST's strategy utilises the dual output of infrastructure provision whilst creating employment. Labour-based methods have a relatively higher potential for employment creation (typically up to 4 times more that equipment-based methods). Road infrastructure provision offers one of the highest employment potentials compared to other sectors. There you have it; roads are a means to an end. However, roads should not just be viewed as a means to an end since the programmes supported by ASIST aim at productive assets, and there is NO compromise on infrastructure specifications such as fitness for use and quality.

Interventions

It should be noted that ASIST is `involved' in roads, but does not `build' roads. ASIST acts as a catalyst through advisory support, information services and training. This means that ASIST works in a symbiotic relationship with other organisations with shared values. ASIST draws on its experience developed through collaborative research and through working with partners in various countries. The benefit of this to our partners is that they can learn from other people's mistakes and they can also build on `best practices' from elsewhere.

Impact of ASIST

The impact of ASIST should be viewed within the scope, capacity and limitations of an international and regional ILO programme that is funded by international donors. The impact describes what ASIST has been able to achieve working with Governments, contractor associa

tions, local authorities, expert networks, international agencies, and organisations that represent the interests of local communities.

In terms of rural roads ASIST identified indicators against which the impacts and effects of promoting a wider use and application of labour-based technology can be monitored. These are described in the sections that follow.

Policy and the legislative environment

ASIST has played a significant role in developing and formulating a national policy on LBT (labour-based technology) in several countries. For example, Namibia's parliament has adopted a progressive multi-sectoral policy that was formulated through Green and White Papers to which ASIST contributed. In South Africa, ASIST's policy work has been towards supporting the Department of Public Works in developing policy on community-based public works. In Zimbabwe ASIST's collaboration with the Ministry of National Affairs, Employment Creation and Co-operatives has led to a better understanding of LBT as an instrument for employment creation, and to specific inputs towards the preparation of an Employment Creation Act and in the Road Sector Green Paper. ASIST and the Feeder Roads Programme has had a similar influence on the new Road Policy in Mozambique, which among other things reaffirms `the relevance of the use of labour-based methods, thereby providing jobs for the rural population whilst taking into account the gender factor'.

Influencing policy is difficult and the results are often slow in coming. For example, Botswana, despite its long experience with donor funded LBT programmes, is only now making moves to foster a sound policy on the use of LBT.

Structures to represent user interests

Recognising that communities, their representatives and other stakeholders, should be more actively nvolved in the planning and implementation of public investments, ASIST has worked on various ways and means to promote dialogue, provide adequate information, and strengthen the capacity of local people. This has taken various forms in a number of countries. One example is Zambia where ASIST, working with the Eastern Province Feeder Roads Project and its sister District Development Project, has helped to set up a National Consultative Forum to promote LBT among various levels

and sectors. ASIST has also supported the creation of a similar forum in Botswana. In Lesotho, Tanzania, and Zambia ASIST has supported contractors in setting up labour-based contractors associations, which advise and assist contractors on bidding for contracts (refer to the interview with a contractor from Lesotho, above).

The promotion of fair working conditions has included studies and strategy development work, which contributed to the publication of the Guide on Labour Policies and Practices for Employment-Intensive Infrastructure works. A series of awareness creation workshops are planned, and two have already taken place in Zambia and Namibia. The involvement of workers, employers and government, as well as NGOs and other agencies, in a partnership and tripartite dialogue is expected to ensure fair working conditions and lasting benefits to the economy over the coming years.

Interview with Mr. Letsie, Elem Construction, Maseru West, Lesotho

Mr. Letsie, a contractor from Lesotho, underwent the Road maintenance and regravelling (ROMAR) training in 1994. This training was carried out by the Labour Construction Unit (LCU) of the Ministry of Works (MoW) with assistance from the ILO. Mr. Letsie is one of the 60 contractors who have undergone this training in Lesotho. Although the training was adequate and beneficial, one area where additional training would be useful was on tendering and costing. Many contractors find it difficult to determine unit rates when preparing tenders. This is particularly evident when you find huge differences, as high as 100,000 Malotis (US$14,085), in tenders for the same job.

Challenges faced by contractors

On qualifying, the contractors are awarded, through a ballot system, routine maintenance contracts ranging between 20 _ 30km that last for eight months of the year. A few periodic maintenance and rehabilitation contracts are also available from the Ministry of Works, which the contractors have to compete for. As the number of contracts is so limited the competition is extremely stiff and the contractors often bid at unreasonably low costs just to win the bids. This usually results in the contractors carrying out the work at a very low profit margin or none at all. Contracts are not carried out at market value. Operating under these conditions the contractors are challenged to produce quality work within the agreed time. In addition, the contractors find it difficult to purchase or hire equipment or expand their businesses.

With the limited number of contracts available many of the contractors remain idle for the better part of the year and some have not had the benefit of applying their acquired skills in the field. Many have turned to other other kinds of work such as building construction and agricultural work such as ploughing. This has meant that most contractors' businesses have not grown or developed.

In order to overcome these challenges, the government should award more contracts; a minimum of 18 contracts a year would help alleviate the current problem to a certain extent. The government should also speed up the contract awarding process, possibily by increasing the staff dealing with this.

Role of the Contractor Association

The contractor association in Lesotho assists contractors in obtaining bids security and performance guarantees from the bank. The association has approached the government to provide more work, and has also approached the central bank and other financial institutions for financial assistance, but their efforts have not been fruitful. This has discouraged some contractors from joining the association and others from renewing their annual subscriptions. One of the ways in which the association could benefit the contrac

tors would be if there were a revolving fund made available, through for example the ILO, and administered from a local financial institution to contractors who were members of the association. This would encourage membership.

Role of ASIST in supporting contractors

The primary benefit that contractors have had from ASIST is the training, which has greatly enhanced their capacity to perform. ASIST should provide additional training and refresher courses, which would be useful in providing contractors with additional skills to enable them to broaden the range of work they can perform. The refresher courses would be particularly beneficial to those contractors who have remained without work for extended periods of time, to keep them in the market.

Asked about his own experience Mr. Letsie stated that he has been fortunate and has obtained a number of periodic maintenance and rehabilitation contracts, enabling him to provide some employment to the community and to expand his business. On the future of labour-based roadworks contracting, there is still a great potential for work but the government resources are constrained in the current economic environment. Although the government has promised sub-contracts for drainage works and other road rehabilitation work, nothing is forthcoming yet. But Mr. Letsie is optimistic that the situation will improve in the near future and intends to remain in the business.

Appropriate standards and procedures

ASIST has contributed to the development of appropriate designs, standards, and management techniques for the maintenance and improvement of labour-based operated infrastructure in many countries, such as Kenya, Tanzania, Zimbabwe, and Mozambique. Differences in impact are the scale on which LBT procedures are applied. Countries that have developed a more favourable environment for LBT favour increased implementation through (small-scale) contracting. ASIST has helped Namibia develop technical procedures for LBT implementation, and supported initial pilots in LBT contracting.

In some countries, procedures have been put in place for specific sector works only, or for individual programmes. In Zambia procedures and standards have been successfully developed at project level. The Roads Training School, with support from ASIST, has developed training and technical manuals which are being used for capacity building in both public and private sectors.

Technical knowledge and skills transfer

ASIST has contributed to strengthening institutions responsible for skills development of national actors, both public and private, engaged in planning and implementation of infrastructure works. It has also introduced new methodologies for transferring the required knowledge on LBT. The programme has focused on building capacity for quality training, rather than providing training to end-users. Some of the training institutions, with additional help of trainer-consultants, have developed the capacity to deliver quality training independently to end-users. Some examples are ASIST inputs to training institutes in Ethiopia, Kenya, Lesotho, Mozambique, Tanzania, Zimbabwe and Uganda.

The impact of these capacity building interventions is that there is a significant increase in the number of engineers, technician, contractors, consultants, trainers, planners and policy makers that have been trained or otherwise exposed to LBT policy and practice across several countries

within the Sub-Saharan Africa region. (Refer to the interview with a local Zimbabwean LBT consultant below).The article on LBT capacity building in this Bulletin further illustrates ASIST's support.

The flow of financial resources

The ultimate impact of the ASIST programme would be large-scale job creation through efficient use of public investment budgets, which is achieved through various sustainable ways, means and incentives. This should include an efficient use of line ministry budgets, and Government funds reaching lower administrative levels and local communities more effectively, where the employment is to be created. Obviously, allocating or saving on public money is a government's responsibility. Technology choice and planning procedures are not the only criteria in decisions

bout budget allocation. However, it has been ASIST's role in its various target countries to promote how, under the same budget conditions, more productive benefits can be generated with limited adjustments.

Partnerships

The successful implementation of LBT rural roadworks and their positive impacts in the countries where ASIST has worked, would not have been possible without the very fruitful partnerships and collaborations ASIST has developed with the governments, NGOs, community organisations, consultants, contractors, universities, training institutions within these countries, and the donor community. As ASIST expands into new and existing sectors it is hoped that these partnerships will continue to flourish and new ones be developed.

Interview with Jairos Mavhiza, Consultant, Zimbabwe

Mr Jairos Mavhiza has been working in both the public and the private sectors of the labour-based (LB) industry for the past 14 years, based mainly in Zimbabwe, and a few years in Mozambique. Currently, he is a Planning Engineer under the Labour-based Advisory Unit in Zimbabwe. In 1991 he received on-the-job training during the pilot project for LB road construction which included hands-on training. He attended the Kisii International Engineers course in 1992 and has participated in several workshops, seminars and conferences on labour-based technology (LBT).

Development of Local Consultants

Zimbabwean consultants comprise a team of former small-scale consultants and former government employees who were selected by a board. They were trained to take up the role of supervision and quality control on LB sites, but due to limited resources such as financial, transport and access to laboratories, their involvement in major LB works is currently minimal. When the programme for the establish

ment of these consultants was set up, it focused on the technical aspects of preparing the would-be consultants for their job and little attention was paid to other issues such as the provision of resources. The Government has got plans to address this situation.

Role of ASIST

ASIST has been active in the promotion of LBT and is a good source of information on the subject. As a neutral body, ASIST has been in a good position to advise governments, compared to other institutions or individuals.

ILO should be more involved in the orientation/induction of site managers in order to give a more thorough explanation or briefing of concepts. This is important to avoid diversion from proper LB operation procedures by the implementors. ASIST should also act as a vetting body for LB operations for standards control. There is a big potential for LBT in Africa. LBT should be introduced in secondary schools and expanded in tertiary institutions so that the people are aware of the technology early in life. More effort needs to be put towards sensitizing policy makers so that they accept and implement LBT. In Zimbabwe, LB methods are becoming more appropriate due to the devaluation of the currency and the shortage of foreign exchange.