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PPP – A Way Out of Crisis?. Vladimír Sloup – Executive Director PPP Association www.asociaceppp.cz. Prague, 5.3.2010. Main Question:. Is it necessary to wait for pilot projects to be done before starting a local project?. Members of PPP Association. Municipal PPP Projects.

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ppp a way out of crisis
PPP – A Way Out of Crisis?

Vladimír Sloup – Executive Director

PPP Association

www.asociaceppp.cz

Prague, 5.3.2010

main question
Main Question:
  • Is it necessary to wait for pilot projects to be done before starting a local project?
municipal ppp projects
Municipal PPP Projects

Public Lighting

Transportation Sector

Energy

Schools, Social Houses

Water & Waste

Free Time

Brownfields

Greenfields

municipal ppp projects1
Municipal PPP Projects

Víceúčelový sportovní areál v Tachově

Nová městská čtvrť Velká Hleďsebe (Mariánské Lázně)

  • zrealizováno zásobování části obce teplem a teplou vodou

Domov seniorů v Litoměřicích

Administrativní komplex kraje Vysočina v Jihlavě

Zastávky MHD v Ústí nad Labem

Revitalizace autobusového terminálu v Třebíči

Vodárenské projekty

Školní stravování

Parkovací domy

Veřejné osvětlení v Praze

Letiště v Tuřanech

EPC projekty (úspora z energetické náročnosti)

ppp during financial crisis
PPP during Financial Crisis
  • it is better to build infrastructure (to support employment) than
  • to amortize a debt
  • supporting smaller projects ends up in positive impact on the regionaleconomy
  • to support PPP means to support meaningful and viable projects
  • payment mechanism enables realization of important projects without
  • increasing the index of indebtedness
  • trust of financial institutions in PPP - financial sector is involved in
  • preparatory stage of project (financial advisor)
  • accelerator of economy
  • the most important is clear political support on all levels (state and
  • municipal)
ppp and public debt
PPP and Public Debt
  • according to EUROSTAT assets involved in PPP are off balance sheet for government if the private partner bears the construction risk and at least one of either availability or demand risk
  • PPP is repeating obligation and therefore it is not taken as one huge debt but as a repeating debt - only the instalments are repeatedly part of the debt (e.g. maintenance, energy etc. is by its nature mandatory but costs for next 30 years are not part of the debt)
  • in reality the private partner does not provide infrastructure but a public service. It is done repeatedly and if they will stop to provide it rightly the public sector stops to pay instalments
  • contracting authority is not indebted and we even can not

speak about a hidden debt – on the contrary, all the expenses

are clear and given for a long time ahead

study of mendel s university
Study of Mendel‘s University

Impact of Realization of PPP on Economy of CZ

  • positive impact on structure of GDP
  • long-term multiplier effects that are not restricted (in comparison with classical procurement) by the grow of discount rate as the consequence of grow of public debt
  • presently the main advantage is that we are ever able to realize investments
  • rating of the Czech Republic will not decrease
  • etc.
support of ppp in the cz grant scheme of ppp association
Support of PPP in the CZ = Grant Scheme of PPP Association

Aim: To support repeatable examples of PPP projects on municipaland

central level

  • An assistance during the preparation of awarding project on the finding of economically and legally optimal variant work out in a study / analysis that include description of basic technical, legal and economical possibilities of municipality for the preparation and consequently possible realization of the project. As well we offer to carry out market research on private sector interest in such projects.

Participants:

  • Working Group for Municipal Projects, Office of PPP Association, Contracting Authorities, Members of PPP Association

Proposals by:

  • Contracting Authorities, Members of PPP Association
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