Problem	Nature	Predictability in the design phase	Proposed corrective measure
Flood overtopping During February 2011, the road was overtopped by flood waters at five locations causing significant damages to the works.	Technical	NO. The design consultants have been approached and have inspected the locations coming to the conclusion that the capacities of the designed drainage structures were adequate. Considered that the area where the project takes place is a semi-arid land, the likelihood of occurrence of such an event is about one each ten years. A different project design, explicitly envisaging this event, would have not been consistent with standard specifications.	It was agreed that the supervision consultant mobilizes a hydrologist to immediately review the capacities of the structures at the said locations and recommend corrective measures and cost implications. The report of the hydrologist should be shared with the Bank. The Contractor should be instructed without any further delay for the additional crossings where there is capacity inadequacy.
Paving surface defects On October 2010, asphalt surface defects, in terms of regularity of the thickness, have been noted between km32+000-41+000; km50+000-54+000; and km89+000-94+000.	Technical	NO. The design of the paving surface has been assessed as adequate. The defects are due to a Contractor’s error.	It is agreed that the Contractor rectifies the defects at its own cost.
Bridge width The kerb to kerb width of the bridge at km72+000 is 29.4 m far below 36.6 m, the width required to cover the carriageway and the usable shoulders.	Technical	YES. The bridge was already existing and provisions on how to widen it should have been included in the project design.	The Executing Agency, in agreement with the advised of the AfDB task manager, accepts to widening the bridge to provide walkways on either side for pedestrians. The Contractor and the Consultant agree on the equipment to purchase.
Delays on GOT counterpart financing GOT has only partially met its obligations. GOT portions of the invoices n. 7 - 13 are still not paid, for a total amount of TZS. 239.3 million and USD 1.05 million. As a result the Contractor gave a notice to reduce the rate of work in accordance with the contract conditions.	Institutional	YES. In the initial financing agreement GOT financing was limited to only part of the supervision consultancy contract, and not the civil works, for a total counterpart funding equal to UA 0.054 million (about 0.13% of the combined cost of civil works and consultancy services). However, since ADF and JICA loans have been issued before the execution of more accurate cost estimates and the contract price was higher than the amounts agreed, GOT had to cover the cost over and above the available financing from JICA and ADF, as well as taxes. GOT counterpart, including taxes, accounts today to UA 5.8 million. Given the difficulties the national treasury is encountering to face its various commitments to roads development and maintenance, more accurate cost estimates at appraisal stage would have prevented the necessity to mobilize national funds.	The Contractor forwarded repeated notice on the delay of the IPCs seeking for immediate payment. He also notified that his progress was affected due to this cash flow shortage. The Employer has been asked to take the necessary action before the Contractor takes serious measures. Apart from that, no particular action has been undertaken at political or institutional level, e.g. by the EAC, to induce GOT to fulfill its requirements.
Absence of experienced skilled manpower The Contractor is facing difficulties to recruit foremen, masons and excavators to engage on landscaping works.	Technical	YES. Given the in-depth knowledge of TANROADS about the socio-economic context of Arusha region, including the local labour market, a more accurate plan for recruitment of local labour force could have been elaborated and included in the contract so as to bind the Contractor to some specifics guidelines.	The Consultant is pushing the Contractor to mobilize additional excavators, employ sufficient and experienced manpower (foremen and masons) and/or sublet to the specialized sub-contractors to expedite the lined drain work.