1 / 34

Overview on the Development of the Egyptian PPP Program

Overview on the Development of the Egyptian PPP Program. Atter Hannoura Tendering & Monitoring Manager PPP Central Unit Ministry of Finance “ Public Service Delivery, PPP & Regulatory Reform” OECD Rabat, Morocco May 20-21, 2008. Agenda. PPP Program in Egypt

dard
Download Presentation

Overview on the Development of the Egyptian PPP Program

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Overview on the Development of the Egyptian PPP Program Atter Hannoura Tendering & Monitoring Manager PPP Central Unit Ministry of Finance “Public Service Delivery, PPP & Regulatory Reform” OECD Rabat, Morocco May 20-21, 2008

  2. Agenda PPP Program in Egypt PPP Policy Framework – Implementation Main Legal & Commercial Aspects of PPP Transactions Role of the PPP Central Unit Key Problems and Issues Goals and Expectations PPP Pilot Projects

  3. PPP Program in Egypt • PPPs are key to the Government’s economic reform agenda and strategy to increase private sector involvement in public services through leveraging private spending against public spending • Provide a new source of investment capital for required infrastructure projects • Reduce Government sovereign borrowings and associated risks • Drive the creation of local long term funding market • Utilize efficiencies of private sector in running public services • Expand economy and stimulate job creation • Increase quality of public services to the Egyptian citizen

  4. PPP Program in Egypt (cont’) Fundamental Aspects of Egypt’s PPP Policy Framework • Performance-based contract under which the Private Sector supplies public services over time and is paid by the Public Sector, end user or a hybrid of both. Output is specified by Line Ministries while input is the responsibility of the private sector • Under the PPP contract: • The Government retains total strategic control on the service • The Government secures new infrastructure which becomes Government assets at the end of contract life • Project and performance risks are allocated to the party best able to manage or mitigate

  5. PPP Policy Framework Egypt is providing the right environment for implementation • Adoption and localisation of international successful PPP models (UK)‏ • Provision of Supportive Legislative Environment • New Legal Framework for PPP Projects (Draft under finalization for Submission to Cabinet and Parliament)‏ • Standard PPP Contracts • Standardization of procurement documentation and procedures • Creation of regulatory bodies for post contract implementation

  6. PPP Policy Framework(cont’) Implementation Strategy • Placing clearly PPP initiative within reform macro fiscal agenda • Establishing a PPP Central Unit at Ministry of Finance as well as Satellite Units in Line Ministries • Ongoing International Advisory Mentoring • Identifying PPP’able projects as part of Line Ministries’ 5 years Strategic Plan • Providing legislative framework – PPP Law • Developing Tool Kit for implementation of projects

  7. PPP Policy Framework(cont’) Implementation Strategy (cont’) • Finalizing budgetary and accounting practices to capture PPP transactions • Setting “Best Practice” precedence through pilot projects • Arranging for Credit Enhancement mechanisms • Stimulating domestic banking sector to offer longer tenors and competitive pricing

  8. Main Commercial & LegalAspects of PPP Transactions • Risk mitigation • Availability payments upon acceptance certificate • Inflation and interest rate indexation • Ministry of Finance support to contractual payments • Conflict Resolution techniques • Direct Agreement and step-in rights for Funders • Compensation for termination/ extra-ordinary events/ direct impact on change of Laws • All transactions are in local currency

  9. Role of PPP Central Unit • Act as a Public face of PPP initiative in Egypt since June 2006 • Establish a national PPP policy framework for implementation • Set PPP guidelines and methodologies appropriate to Egypt • Draft and issue standard project documents, contracts and PPP laws • Coordinate the PPP program and process across Line Ministries, private sector and funding market • Report to Ministerial Committee for projects approval and recognize issues that may impede the PPP program • Identify PPP able projects as part of Line Ministries’ 5 years strategic plan

  10. Role of PPP Central Unit(cont’) • Manage PPP transactions and provide technical and advisory support as well as ensure compliance with legislative framework • Supervise Tendering and Performance Monitoring Committees • Act as: • Center of PPP Expertise, Support and Intelligence Gatherer • Center for Capacity Building • Central Complaints Resolution Office for PPP Investors

  11. Key Problems and Issues • Public perception of PPP's as privatization • Resistance to change / Project ownership issues • Project screening • Bankability of projects • Project execution and performance monitoring • Local funding accommodating PPP transactions

  12. Goals and Expectations • Develop action plan to overcome obstacles and key impediments • Share Egyptian experience internationally • Acquire academic aspects of PPP project structuring • Enhance strategies‘ & setting capabilities of team members • Act as a Center of Expertise on a national & regional basis • Provide ownership for PPP projects amongst both Public & Private Sectors

  13. PPP Pipeline Projects Approx Value USD in Billion Social Infrastructure 6.12 • Education Sector 5.00 • Health Sector 1.12 • Educational Medical Facilities 0.23 • General Medical Facilities 0.80 • Utilities Sector 2.20 • Wastewater Treatment Plants 2.20 • Transportation Sector 7.00 Total Current PPP Projects 15.32

  14. Education Sector 1800 Public Schools Overview • Location: 27 Governorates • Project Duration : 15 Years 6 Batches of Approx 350 to be tendered over 5 years Project Structure SP to finance, design, build, furbish & maintain schools, provide non educational services & transfer ownership to government at contract end. Timeline • 1st Batch Launch date: November 2007 • Project Awarding date : September 2008 • Schools availability date: 2009 / 2010

  15. Health Sector Educational Medical Facility - 1 Overview • Location: University of Alexandria • Capacity : 230 Beds • Project Duration : 20 Years Construction of a new Specialized University Hospital (Al Mowassat) in Alexandria Governorate as: i) Neuro - Center ii) Urology / Nephrology Center ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : May 2008 • Project Awarding date : March 2009 • Operation date: December 2011

  16. Health Sector Educational Medical Facility - 2 Overview • Location: University of Alexandria • Capacity : 200 Beds • Project Duration : 20 Years Construction of a Gynecology / Obstetrics University Hospital as part of Smouha Medical Complex, as well as a Blood Bank with a capacity of 200,000 bags / year, in Alexandria Governorate ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : May 2008 • Project Awarding date : March 2009 • Operation date: December 2011

  17. Health Sector General Medical Facilities - 1 Overview • Location: Cairo Governorate • Capacity : 300 Beds - General Hospital • 100 Beds - Oncology Center • Project duration : 20 Years Demolition and Re-construction of Al Abassia Chest Hospital and change scope to a General Hospital, plus a separate building for Oncology Center ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : December 2008 • Project Awarding date : December 2009 • Operation date: December 2011

  18. Health Sector General Medical Facilities - 2 Overview • Location: Cairo Governorate • Capacity : 230 Beds • Project duration : 20 Years Demolition and Re-construction of Boulak General Hospital ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : December 2008 • Project Awarding date : December 2009 • Operation date: December 2011

  19. Health Sector General Medical Facilities - 3 Overview • Location: Beheira Governorate • Capacity : 100 Beds / hospital • Project duration : 20 Years Construction of 3 Central Hospitals ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : 2009 • Project Awarding date : 2010 • Operation date: December 2012

  20. Health Sector General Medical Facilities - 4 Overview • Location: Cairo Governorate • Capacity : 100 Beds • Project duration : 20 Years Construction of a Re-habilitation Center ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : 2009 • Project Awarding date : 2010 • Operation date: December 2012

  21. Health Sector General Medical Facilities - 5 Overview • Location: Alexandria Governorate • Capacity : 100 Beds • Project duration : 20 Years Construction of Oncology Center ProjectStructure SP to finance, design, build, equip, furnish, maintain, provide non clinical services & transfer ownership to Government at contract end. Timeline • Launch Date : 2009 • Project Awarding date : 2010 • Operation date: December 2012

  22. Utilities Sector Wastewater Treatment Plant - 1 Overview • Location: New Cairo • Capacity : 250,000 m3/day • Project duration : 25 Years Project Structure SP to finance, design, build, operate, maintain plant & transfer ownership to Government at contract end. Timeline • Launch Date : October 2008 • Project Awarding date : September 2009 • Operation date : December 2011

  23. Utilities Sector Wastewater Treatment Plant - 2 Overview • Location: Abo Rawash - Giza • Capacity : 800,000 m3/day • Project duration : 25 Years Expansion of a waste water treatment plant in Giza Governorate to raise capacity up to 2,000,000 m3/day Project Structure SP to finance, design, build, operate, maintain plant & transfer ownership to Government at contract end. Timeline • Launch Date : December 2008 • Project Awarding date : September 2009 • Plant Operation date: December 2011

  24. Utilities Sector Wastewater Treatment Plant - 3 Overview • Location: Gabal Asfar - Cairo • Capacity : 500,000 m3/day • Project duration : 25 Years 3rd phase expansion of a wastewater treatment plant with capacity of 500,000 m3/day to raise capacity up to approx. 3,000,000 m3/day Project Structure SP to finance, design, build, operate, maintain plant & transfer ownership to Government at contract end. Timeline • Launch Date : January 2009 • Project Awarding date : September 2009 • Plant Operation date: September 2012

  25. Utilities Sector Wastewater Treatment Plant - 4 Overview • Location: Helwan • Capacity : 500,000 m3/day • Project duration : 25 Years Project Structure SP to finance, design, build, operate, maintain plant & transfer ownership to Government at contract end. Timeline • Launch Date : January 2009 • Project Awarding date : September 2009 • Plant Operation date: September 2012

  26. Utilities Sector Wastewater Treatment Plant - 5 Overview • Location: 6th October city - Giza • Capacity : 450,000 m3/day • Project duration : 25 Years Project Structure SP to finance, design, build, operate, maintain plant & transfer ownership to Government at contract end. Timeline • Launch Date : October 2008 • Project Awarding date : April 2009 • Plant Operation date: April 2012

  27. Utilities Sector Wastewater Treatment Plant - 6 Overview • Location: Nahia - Giza • Capacity : 200,000 m3/day • Project duration : 25 Years Project Structure SP to finance, design, build, operate, maintain plant & transfer ownership to Government at contract end. Timeline • Launch Date : October 2008 • Project Awarding date : April 2009 • Plant Operation date: April 2012

  28. Transport Sector Cairo / Alexandria free road Port Said / Matrouh free road Overview • Length : Cairo / Alex 162 kms • Link to Coastal Road 25 kms • Alex / Matrouh 280 kms • Port Said / Alex 285 kms • Description: Connection of all of Egypt’s Mediterranean Ports • Project duration : 20 Years Project is to build & upgrade existing roads and transfer to free roads Project Structure SP to finance, design, build, operate & maintain road & transfer ownership to Government at contract end. Timeline • Launch Date : October 2008 • Project Awarding date : October 2009

  29. Transport Sector Railway Project -1 Overview • Location: Cairo / 10th of Ramadan City • Length: 77 km • Description: Double track line • Project duration : 20 Years The Project is to Double the current line from Ain Shams to El- Roubaky (45 km) & Build a new line from El- Roubaky to 10th of Ramadan City (32 km) Project Structure SP to finance, Upgrade existing tracks & stations, Construct new tracks & stations, Operate, Maintain & transfer ownership to Government at contract end. Timeline • Launch Date : December 2008 • Project Awarding date : March 2010

  30. Transport Sector Railway Project - 2 Overview • Location: Alexandria / Borg El Arab • Length: 50 km • Description: Double track line • Project duration : 20 Years The Project is to Double the current line from Alexandria to Borg El-Arab (50 km) Project Structure SP to finance, Upgrade existing tracks & stations, Construct new tracks & stations, Operate, Maintain & transfer of ownership to Government at contract end. Timeline Under Due-Diligence

  31. Transport Sector Maritime Projects Overview • Description: Investment opportunities include: • New container terminals • Multi purpose terminals • Liquid bulk terminals • General cargo terminals • Vessels bunkering • Tugging and marine services • Stevedoring • Value added activities and services • Shipyard, Ship repair • Location • Sokhna, Damietta • Alexandria & Dekhela • Port Said – East Ports Timeline Under Due-Diligence

  32. Transport Sector River Transport Project - 1 CAI / Damitte 240 km. CAI / Alex. 220 km. Overview CAI / Aswan 960 km. • Description: • Developing river transportation fleet • 4 main routes: • Cairo / Alexandria 220 km • Cairo / Damietta 240 km • Cairo / Aswan 960 km • Aswan / Wadi Halfa 350 km Aswan / Wadi Halfa 350 km. These routes creates multiple development opportunities, commercial & services centers, added value services & also the fleet could serve commercial transportation to Sudan. Timeline Under Due-Diligence

  33. Transport Sector River Transport Project - 2 • Description: • Developing new river ports terminals • 7 main ports: • Upper Egypt • Sohag River Port • Assiut River Port • El Tebeen River Port • Kena River Port • Delta • El Nahda River Port • El Nahda Port Extension • Meat Ghamr River Port Timeline Under Due-Diligence

  34. Thank You Contact Details: PPP Central Unit Ministry of Finance Tel: +202 23421283 +202 23421284 Fax: +202 23421283 / 84 ext. 6152 e-mail:pppcentralunit@mof.gov.eg Web:pppcentralunit.mof.gov.eg

More Related