Public Private Partnership Project Management

Overview:

Introduction:

PPP projects are very `involved with large financial outputs and results. The projects cover infrastructure, power generation, utilities all of which should be performed efficiently and in a sustainable manner. Hence these projects involve major challenges that need to be overcome to deliver a successful project. The achievement or failure of a project will depend on many determinants and the study of case studies included in this training will help guide participants on the dos and don’ts of successful PPP project performance and implementation.

Good project development is fundamental to a successful PPP project. The concept of PPP obligates a more collaborative connection between both sectors, fostered by openness and trust. This presents a major shift from the traditional arms-length approach to procuring services and executing projects. Well designed, feasible projects attract greater interest amongst potential investors and demonstrate the potential benefits of taking the project forward to the procurement phase. Therefore, PPP projects critically require specially trained personnel who possess a deep understanding of the many different constraints involved and who display extensive knowledge of how to prepare and commence a PPP project.

Course Objectives:

At the end of this course the participants will be able to:

• Determine project identification, screening, and selection
• Know the roles and responsibilities of the stakeholders in PPP projects
• Address the range of issues in identifying, financing, and procurement
• Analyze best practices in conducting financial, economic, and technical feasibility studies
• Evaluate risk identification, mitigation, and allocation among parties involved in a PPP project
• Gain from the knowledge transfer and equipping public sector to meet projects expectations
• Know how the Selection of a PPP contract type for a given project context
• Adopt international recognized good practice
• Know how to make projects more attractive to private investors
• Know how to perform a basic project appraisal
• Know how to create an appropriate structure for a given PPP project

Targeted Audience:

• Policymakers
• Senior government personnel
• Legal Advisors
• Financial Advisors
• Director and senior management from private infrastructure/ public utility sectors - Sectors include energy & electricity, water & waste water, transportation (roads, airports, ports, and rail), telecommunications, education, health, and municipal services
• Professionals who have some experience with infrastructure projects and wish to improve their knowledge and decision-making capacity to enact policies related to PPPs
• Technical and financial consultants
• Senior Non-Government Organisation (NGO) officers

Course Outlines:

Unit 1: Project Pre-Feasibility Analysis:

• Perform a comprehensive Needs Analysis
• Understand the different types of feasibility studies required for any PPP project
• Distinguish between the needs and wants in the project scope
• Interpret and identify social and environmental safeguards
• Needs and options analysis
• Legal feasibility
• Technical feasibility
• Scoping social/environment safeguards analysis
• Preliminary financial viability including expectations of required Government financial support

Unit 2: Defining Public-Private Partnerships and Setting the Framework & Structure:

• Appreciate the fundamental concepts of the PPP scheme
• Understand the different types of PPP contracts
• Know and understand the critical phases and levels of a PPP project
• Appreciate the rationale behind market needs
• Rationale, aim, and motivation for engaging PPP
• Key phases of the PPP project process
• The structure of the PPPs
• Different types of PPPs
• The four levels of preparation and implementation
• Analyze the important factors for the project preparation process

Unit 3: Key Decision Criteria to Identification of PPP Projects, PPP Screening & Cost-Benefit Analysis:

• Appreciate Understanding and knowledge of investment models
• Know how to select suitable PPP projects
• Knowledge and insights of the different PPP models
• Analysis of cost benefits
• Decision-making abilities giving value for money
• Perform a basic project appraisal
• Public investment delivery model
• Economies of scale and project grouping
• Analysis of cost benefits of a PPP project
• How to get value for money in PPP projects
• Commercialization potential analysis
• Market potential
• The capacity of assuming long term commitments

Unit 4: Basics of Project Preparation: An Overview of its Key Components:

• Develop a practical ability to identify and manage project risks
• Understand the importance of financial and economic analyses
• Interpret costings estimates and impacts
• Decipher payment mechanisms in PPP projects
• Develop and implement practical project plans
• Project identification, risks, sustainability
• Project design: Tender strategy, technical aspects, components, cost estimation, and financing
• Structuring a PPP contracts
• How to avoid common pitfalls
• Importance of project financial and economic analysis
• Understanding and applying payment mechanisms
• Preparing the Project Implementation Plan
• Project Management Arrangements – Various types of agreements and monitoring indicators

Unit 5: Planning for PPP Project Management, Project Operations and Hand Back:

• Appreciate the importance of proactive project management strategy
• Know the fundamental concepts of project management
• Identify the challenges parties face in PPP projects and how to overcome them
• Choose the right people and skills for the various roles
• Formulate clear and concise management plans
• Appreciate the strategic objectives of stakeholder management
• Appointing a PPP project manager and project team (Project Implementation Unit)
• Key roles within the project, including decision-making authorities, and sources and funding for assistance
• Preparing the project plan
• Dealing with the main challenges of a PPP project
• The absolute importance of stakeholder consultation and managing the interface
• Risk assessment and analysis
• Going beyond the construction phase to ensure success in Operations
• Hand back of asset upon contract expiry