Public-Private Partnerships
Infrastructure development and service delivery are top priorities for governments across the globe to achieve sustained economic growth. The traditional sources of finance for governments for infrastructure creation, viz. budgetary allocations are usually strained with increased demand for improved quality infrastructure creation and service delivery.
Therefore, governments across the globe are adopting the Public-Private Partnership (PPP) model to mobilize private capital and operational efficiencies for infrastructure creation and service delivery. Aligned with this agenda of governments across the globe, PPP advisory has been a key focus area for CRISIL Infrastructure Advisory.
We provide end-to-end PPP advisory to clients including advice on creating PPP enabling environment, PPP transaction advisory, post bid contract management, and PPP capacity building. In the last 20 years, CRISIL Infrastructure Advisory has successfully undertaken over 1000 projects including a number of successful PPP transactions in India and abroad. Work in PPPs cover three broad areas:
Enabling frameworks for PPPs and financing
As a part advisory services for creating the PPP enabling environment, we support our clients in structuring the PPP Policy, the Institutional Framework for PPPs, the Legal and Regulatory Framework governing PPPs, the Standard Operating Procedures to structure bankable and viable PPPs, and the Best Practices for PPP Contract Management. We also support clients in designing various types of financial support mechanisms to enable smooth implementation of PPPs including, Project Development Funds (PDF) to support PPP project preparation at par with international standards, Viability Gap Financing (VGF) and other Government Support Mechanisms (GSM) and Credit Enhancement Mechanisms (CEM) to enable PPPs avail long term financing.
Transaction advisory services
As a part of the PPP transaction advisory services, we support our clients from conceptualization to commercial closure of a PPP deal. Specific areas of support include, (i) identification, prioritization, and creation of a PPP project pipeline, (ii) project suitability for implementation through the PPP route, (iii) project preparation including feasibility assessment, project structuring and risk assessment, (iv) bid process management including structuring of bid documents, bidding process, contract negotiations and commercial closure.
Post award management and capacity building
As a part of the post bid contract management and capacity building services, we support our clients in fulfilling their PPP contract obligations during the Conditions Precedent (CP) period post commercial close. We also provide capacity building support to our clients through customized training programs on PPP Project Preparation and Structuring, Financial Feasibility and Risk Assessment, Bid Process Management, Infrastructure Financing, and Viability Gap Funding.
Questions?
For any infrastructure services related queries, please contact:
+91 22 3342 1918
infrastructureadvisory@crisil.com