By PPIAF, Infrastructure Consortium for Africa
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Extra info for Attracting Investors to African Public-Private Partnerships: A Project Preparation Guide
This calls for highquality, credible staff led by someone who commands respect across government and enjoys strong political support at senior levels. In cases where the program is sufficiently large, a sector-focused unit may also be found within the line ministry itself. The importance of having a competent PPP unit that is staffed with highly qualified individuals able to work across government cannot be overemphasized, if a successful PPP program is to be delivered. Yet resourcing a PPP unit is often one of the most difficult challenges for governments at the early stages of program development.
Risk monitoring and review. 2). Existing risks need to be monitored and new risks identified as the project develops and the environment changes. The contract management team will normally update the risk management plan, which is linked to the risk register, regularly throughout the life of the project. Bankability The majority of third-party funding for PPP projects normally consists of long-term debt finance, which typically varies from 70 percent to as much as 90 percent of the total funding requirement (for example, in a PFI-model PPP), depending on the perceived risks of the project.
Implications of these differences for the level of resources, the unique skills, and the new processes and institutions required. Indeed, implementing a PPP program may often lead to fundamental changes in the way a public authority perceives its role and the way it goes about its business. Subsequent chapters discuss the frameworks for decision making or “governance” of individual projects and how the rules relating to the development, construction, financing, and operation of PPPs are made. To ensure better quality and consistency in the way the public sector goes about this, the private sector often expects to see a centralized source of PPP expertise giving support to individual public sector project teams.