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Successful implementation of road
construction projects in major parts of the
city will result in the ease of access to
the existing residential, business,
industrial or, if there are any,
agricultural corners of the metropolis. Such
projects will also improve access to the
highways that lead to other parts of the
country. The projects can further have a
major positive impact on the road network,
providing safe routes for both pedestrians
and local traffic. Most importantly, this
would mean much improved linkages to
existing commercial units, residences and
other buildings, therefore benefiting
economic development with the improvement of
the transport network.
But these results will come about only when
there is effective allocation of resources
based on priorities that will lead to a
maximum level of success. This implies
careful selection as to which projects are
the most important. This, however, does not
seem to be the case with the road
constructions taking place all over Addis,
which are so abundant and huge as to make
the city appear as though it is under
complete reconstruction.
Neither has road construction funding in
Addis Abeba kept pace with the necessary
improvements, repairs or construction of new
ones. The Addis Abeba City Roads Authority (AACRA)
needs, therefore, to know how to maximise
use of the scarcely available resources.
What is important is that the AACRA has to
put a process in place for the
prioritization of projects to ensure that
taxpayers get the most value for the money
spent. There are necessary steps towards
project prioritization namely, setting a
direction for what the implementer wants to
accomplish, evaluating projects for how well
they fit those goals, and at what cost.
The Roads Authority can make comparisons in
order to identify those projects that best
meet these goals. A simplified explanation
of this process includes: identifying a
problem or deficiency; exploring possible
solutions; developing a scope for the
project that takes into consideration
possible environmental impacts; roadway
design issues; and stakeholder concerns.
Based on the project scope, AACRA should
develop a cost estimate or estimated range,
determine the benefit the project will
provide, and compare the costs and benefits
of the project with other projects of its
type in order to determine its order of rank
and priority. What has been evident in the
road constructions in Addis Abeba, however,
is a lack of such procedures before making
the final decision as to which road to
construct.
A perfect example of this is the Gofa
Mazoria-Cherkos Market road constructed
years back. A few hundreds metres to the
left and right of that road are two major
roads, one of which has always been a point
of the biggest traffic jam in the city.
Commonly known as the Debrezeit Road, the
road has traffic jams almost all day long,
especially towards the section that makes
the Confusion Square, the current site for
the near completion of Gotera Interchange.
Appallingly though, the Cherkos Road, which
AACRA prioritized above from other roads in
the city, including the Meskel Square-Saris
project that contains the Gotera
Interchange, has never served proper traffic
except for those that drive across to get to
their residence or the market place, or
especially as is the case most recently, it
is used as a detour and shortcut to get to
other main roads. Blocked by the Ethio-Djibouti
Railway Station, which perhaps should
entitle the road to the “Dead End” mark,
that site has turned into an asphalted
soccer field for the children and youngsters
in the nearby villages to play on all
through the week.
That can never be anything less than an
outrageous failure by AACRA to properly
identify which road should be constructed
first, based on its importance to the
overall traffic flow of the city.
Evidently, AACRA has been undertaking more
than a dozen huge projects over the past
more than three years whose finalization
would certainly result in great change in
the city’s road network. Yet again, the
prioritization issue still concerns many,
but the government does not seem to have the
ear to listen to such concerns. Instead, its
focus seems to be on the continuation of the
appreciation it has won from various corners
for its success story in expanding the road
network at the Federal Level.
Some in the public, however, consider the
massive constructions in every part of the
city as a major image building exercise the
ruling party has planned to impress the city
dwellers. The party was not a favourite in
the May 2005 elections.
Whatever the justifications might be, the
lack of proper calculations has some serious
socio-economic collateral damages. The
public is suffering from the almost
insignificant alternative roads. The delays
in some of the constructions continue to
impact some businesses. Most importantly,
the huge spending for the constructions has
been fuelling the double digit inflation.
International financial institutions have
been advising the Ethiopian government to
cut its spending to fight the headline
inflation. But government has been stiffly
resistant to the recommendations and
continued with its showdown.
Economists argue that economic growth is
created over the long run by a labour force
which possesses the incentive to work and
produce, and by entrepreneurs who are
enticed into investing in capital stock.
Through excessive spending, the government
negatively affects the long-run economic
growth rate of a free economy. This spending
reduces labour force participation,
increases unemployment, and reduces
productivity.
The economists have, in fact, identified a
list of impacts due to excessive government
spending - it reduces labour-force
participation by creating disincentives to
work; makes labour markets more rigid by
hampering the efficient flow of workers from
declining industries to expanding
industries; diminishes productivity growth
rates by inhibiting innovation and capital
accumulation; shrinks productivity as
resources are withdrawn from the private
sector and placed in the unproductive public
sector; increases interest rates which
decrease private investment; creates
uncertainty that reduces the return of
long-term investments; and crafts
opportunities for rent-seekers to waste
resources to curry political favour, despite
the fact that rent-seeking distorts economic
markets, reduces economic growth, and
destroys the free market ethic.
Now the issue is not whether the government
should consider these economic impacts.
Government has argued that it would manage
to fight the inflation without reducing its
investments.
The issue, thus, is whether the City
Government realizes that the road
construction projects that have gathered
momentum over more than three years now -
though the constructions have been there for
nearly a decade - are not all perfectly
planned and prioritized so as to be
considered projects worth the hassle, while
thinking of their expected results.
It is always good to pause and look around.
The city is almost coming close to a
standstill - roads are chopped everywhere,
detours have not been properly thought
about, and elongated interruptions in
telecom and drinking water service have
become major problems.
People are asking whether AACRA should do
all these at once. People are questioning
whether some of the ongoing projects should
pioneer the improvement of some seriously
damaged and sub-standard but highly
significant roads they know. Perhaps it
would be wise for the authorities at the
City Roads Authority to put on the same
eyeglasses the public have on for a while
and see if they can work better on their
prioritization and plans.
This may help the government execute
projects wisely and reduce its spending,
albeit, unwittingly. |