Global Agenda Global Overview of International Knowledge Support across the Infrastructure Project Cycle

January 2016 World Economic Forum 91-93 route de la Capite CH-1223 Cologny/Geneva Switzerland Tel.: +41 (0)22 869 1212 Fax: +41 (0)22 786 2744 Email: [email protected] www.weforum.org

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REF 120116 Contents

1. The Consensus for Increased 2.6 Learning and Training-Oriented Infrastructure Investment Support Knowledge Products 2. A broad Typology of Knowledge Products 2.7 Private Sector Education Programmes for Infrastructure 2.8 Collaborative Role of International 2.1 Mapping the Knowledge Products Financial Institutions (IFIs) 2.2 Cross-Cutting Knowledge Products 3. Next Steps: The Proposed Conceptual 2.3 Data and Content-Based Knowledge Framework Products 4. Bibliography 2.4 Peer-to-Peer Learning Knowledge 5. Annex: Overview of IFI-led Project Products Preparation Facilities 2.5 Process Oriented Knowledge Products

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 3 Lead Authors

Julia Prescot, Chief Strategy Officer, Meridiam Infrastructure, France Matthew Jordan-Tank, Head of Infrastructure Policy, EBRD

Editors

Thomas Maier, Chair, Global Agenda Council on Infrastructure Managing Director, Infrastructure, European Bank for Reconstruction and Development United Kingdom

Vangelis Papakonstantinou, Project Lead, Infrastructure Initiatives, Global Agenda Council Manager, World Economic Forum

Members of the Global Agenda Council on Infrastructure

Norman Anderson, President and Chief Executive Officer, CG/LA Infrastructure, USA Solomon Asamoah, Vice-President, Infrastructure, Private Sector and Regional Integration, African Development Bank (AfDB), Cote d’Ivoire Amer Baig, Adviser to the Managing Director and World Bank Group Chief Financial Officer, World Bank, USA Gordon Brown, Chair and Adviser, Global Strategic Infrastructure Initiative, Member of UK Parliament Peter Chamley, Director: Chair, Global Infrastructure Practice, Arup Group, United Kingdom Edwin Charnaud, Managing Director and Chairman, Global Infrastructure Practice and Managing Director, Private Equity and M&A Practice, EMEA, Marsh & McLennan Companies, United Kingdom Matthew Farnum-Schneider, Chairman, Global Infrastructure Investor Association, United Kingdom Guido Fürer, Group Chief Investment Officer and Member of the Executive Committee, Swiss Re, Switzerland Reuben Jeffery, Chief Executive Officer, Rockefeller & Co., USA Rashad R. Kaldany (Vice-Chair), Executive Vice-President, Growth Markets, Caisse de dépôt et placement du Québec, Canada Samer S. Khoury, President, Engineering and Construction, Consolidated Contractors Company (CCC), Greece Spencer Lake, Group General Manager; Global Head, Capital Financing, HSBC Bank, United Kingdom Thomas Maier (Chair), Managing Director, Infrastructure, European Bank for Reconstruction and Development United Kingdom Paul Moy, Global Head, Infrastructure and Private Equity, UBS Global Asset Management, United Kingdom Julia Prescot, Chief Strategy Officer, Meridiam Infrastructure, France Robert Prieto, Senior Vice-President, Fluor Corporation, USA James Stewart, Chairman, Global Infrastructure, KPMG, United Kingdom Ramesh Subramaniam, Director-General, Operations Service and Financial Management Department (OSFMD) Asian Development Bank, Philippines Hélcio Tokeshi, Managing Director, Infrastructure Investments, GP Investments, Brazil Sandra Wu Wen-Hsiu, Chairperson and Chief Executive Officer, Kokusai Kogyo, Japan Deborah Zurkow, Chief Investment Officer and Head, Infrastructure Debt, Allianz Global Investors, United Kingdom

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 4 Foreword

In Brisbane in 2014 the G20 outlined the importance of infrastructure creation as a primary lever for fuelling global growth and improving living standards. This was the first time that a vision of infrastructure as a driver of global productivity and growth was given a significant voice.

This view of infrastructure as a global, not national, challenge is important as it allows countries to look at the broader benefits created by unlocking growth in other countries, rather than focusing on any potential detriment to their own. In infrastructure it is accepted that the need for global growth is a higher priority than the existing competition between countries for capital.

And capital is looking for new opportunities. The lack of growth, historically low interest rates and fully valued equity markets are driving investors to look for alternate long term investments with manageable risk characteristics. As there is a growing willingness for investors to look further afield to put their money to work, investments into infrastructure in emerging markets is beginning to attract substantial attention. However, for capital to flow to less developed markets, infrastructure projects need to be attractively structured and public sector support is needed to “crowd in” private funding. Hence the importance of this paper which recognises the complicated nature of the infrastructure markets as well as the wide and varied nature of the different bodies involved in it. The World Economic Forum has a long and distinguished history of recognising the important issues of the day and promoting dialogue between the Public and Private Sectors. They have had strong focus and involvement in the infrastructure markets and their membership includes many world leading infrastructure companies.

The paper provides the most comprehensive list to date of entities available in the market and usefully seeks to categorise them into four (4) broad areas. It also looks in greater detail at some of the new organisations which have been recently formed, and raises interesting questions about the potential for disruptive digital technologies to improve communication and networking, leading to more efficient procurement processes.

The paper envisages the GIH forming a portal allowing easy access to this information and we are well advanced in creating such a portal. This paper complements our work in this area and will provide easier access to people, knowledge and products. I commend this paper as an excellent entry point to gain a better insight into the infrastructure market.

Chris Heathcote Chief Executive Officer G20 Global Infrastructure Hub

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 5 Foreword by the World Economic Forum’s Global Agenda Council on Infrastructure

Today, there is a global consensus of the importance of increased infrastructure investment – to drive economic growth, improve connectivity, and, in so doing, improve basic living standards. By World Bank projections, some 80 per cent of this fresh investment will need to happen in emerging market economies in order for global growth targets to be met. However, as a broad spectrum of international bodies acknowledge, such as the World Economic Forum, the G20’s new Global Infrastructure Hub, the OECD and the International Financial Institutions (IFIs) community, it is equally clear that an acceleration of investment will be difficult indeed without a significant improvement in the knowledge base of individuals in emerging markets to plan, prioritise, procure and deliver investment programmes. Simply put, a step-change is needed in this area for accelerated investment to be realised at scale.

As this paper shows, there is a wide range of infrastructure ‘knowledge products’, from data and content approaches, to peer to peer learning, process-related support mechanisms, on to training and educational offerings. While by no means exhaustive, this paper provides an overview of the various products in the hope that emerging market decision makers, working on their individual projects often in very complex institutional settings, will be able to tap into a wider network of likeminded and similarly engaged people across the globe. We also think that all these products can now be better and more widely utilised by making them interactive using the IT tools that social networking affords us.

The international infrastructure sector is diverse, and the breadth of the programmes and activities presented in this paper illustrate this. It is, however, also a sector that is bound by a collaborative spirit – no infrastructure project has ever been built by a single individual and very few indeed by single organisations – and so the time is now right for joined-up thinking and products to foster the next phase of global infrastructure investment. We hope that this paper contributes in its way to that important goal.

Thomas Maier Chair, Global Agenda Council on Infrastructure, World Economic Forum Managing Director, Infrastructure, European Bank for Reconstruction & Development (EBRD)

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 6 1. The Consensus for Increased Infrastructure Investment Support

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 7 Over the past few years, an international The aim of this paper is to: consensus has emerged that infrastructure - define the breadth and depth of investment is needed to boost global growth. knowledge products for infrastructure However, there is also widespread recognition support; that this enhanced investment can happen - map the principal efforts across the only if a concerted and multipronged effort is various entities, using the project cycle as a made to boost various forms of support guide to articulate who does what, with a mechanisms, which must seek to increase more detailed description of a set of institutional and human resource capacity for knowledge products; delivery at the local emerging market level. It is - propose a conceptual framework for equally clear that this broad agenda will focusing the task of knowledge-sharing and necessarily involve entities at the multilateral, dissemination of best/good practice; and bilateral, national and local levels. Across the - given their unique status and relationships, range of entities, the effort involves public we suggest a specific role for the G20 sector organizations – such as multilateral Global Infrastructure Hub (GIH) for development banks (MDBs), other knowledge-sharing with the creation of a supranationals, development finance single website portal through which institutions (DFIs) and governments – and also knowledge products and preparation private sector companies, academic facilities can be accessed. institutions and think tanks. Each has a role to play, but the sheer number, varying scope and A wide selection of knowledge products has method of delivery of “knowledge products” on emerged over the past few years in response offer makes it difficult for the “customer” – to the concerted calls to do more to address typically, a public official responsible for the infrastructure gap by the G20, the World delivering infrastructure in an emerging market Economic Forum, the wider shareholders of country – to understand where to go, what is the IFIs (including those from the emerging offered and how to best use the products. markets), and other influential bodies such as Over the long term, infrastructure may indeed the OECD. The private sector, through such emerge as an asset class through these types bodies as the B20, has also stepped up a of persistent efforts. push for governments worldwide to do more. In this context it is important to note that infrastructure players are increasingly aware and supportive of the advantages of open standard platforms for better knowledge and expertise exchange.

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 8

A Broad Typology of Knowledge Products for Infrastructure

There is a wide and expanding range of Programme Management. It is important to knowledge products offered to emerging note that many of these learning products are markets officials. While it is recognised that now offered online, using Massive Open there is some overlap between the definitions Online Courses (MOOCs). presented below, these can be broadly categorized as follows: - Process-oriented products: These products include legal framework - Data and content-based products: These elaboration/adaptation, pipeline building, platforms gather, analyse, synthesise and project prioritization and project preparation, disseminate information on infrastructure as well as tendering and implementation policies and projects for their users. These are support. The host of new project preparation offered by multilateral and supranational facilities (PPFs) created recently by the MDBs organizations – e.g., MDB’s Public Private and emerging market governments are good Partnerships (PPPs) Knowledge Lab and examples of this, as is the work done by G20’s Global Infrastructure Hub (GIH), see UNECE, OECD and some MDBs on legal and below for descriptions – to national/bilateral institutional frameworks. agencies – e.g., GIZ, DFID, USAID, SIDA, IE Singapore – to the private sector – e.g., IJ - Networking-based products: These activities Journal (Euromoney), Infra-News (FT), encompass the whole range of small-scale Inspiratia, Partnerships Bulletin; etc. Payment seminars and workshops involving just one is required for these private sector information country to major international conferences on sources. The users access such data content infrastructure and PPPs (e.g., PPP Days) and housed on these platforms typically in the online peer-to-peer services based on social mode of recipient. networking. The range of actors involved includes not only international organizations, - Learning and training-based activities: The donor governments and national governments user here is an active participant in a more on their own accord but also industry-based structured manner over a period of focused private sector companies as service providers learning. The emphasis is placed on the either for sector-based content or concept of knowledge transfer to either conference/seminar organization – e.g., emerging markets participants in the public Euromoney, Capital City training and sector seeking to prepare and deliver International Project Finance Association infrastructure projects, or in the mode of (IPFA). Indeed, there is a cottage industry trainees or students for more intensive firmly established worldwide that specializes in courses. The MDBs’ new PPP Certification such infrastructure events. Finally, some Programme (see below) and the many private companies (such as CG/LA with its GlobalViP sector training products are examples of such product, see below) now offer active peer-to- a training product, but there are many peer matching through an online social established and academic degree courses networking-based approach. Interactivity which offer more structured approaches. between knowledge creators and knowledge These include Harvard’s Infrastructure in a users is a key element of these types of Market Economy executive course, UCL’s products and is quickly becoming the way to Masters Programme in Infrastructure Finance, augment the users’ experience following on Oxford’s Said Business School Masters in from participation in traditional conferences Major Programme Management, courses at and website searches for repository-based the École Pont et Chaussées in Paris, EDHEC data or documentation. in Singapore and at Stanford University in

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 9 Mapping the Knowledge Products

The following mapping has been prepared in also highlighting knowledge gaps that are the form of a matrix to give some sense of the required to be filled. It is not meant to be an scope and range of products on offer by late exhaustive, comprehensive listing of all such 2015. It attempts to identify the entities and activities (and the exclusion of important beneficiaries involved in knowledge products efforts is inevitable in such exercises). at the different stages of an infrastructure However, it does purport to organize the project. The mapping has been structured on a various types of knowledge products with hierarchical basis, considering the support examples along the project cycle, as this is information available when projects are at a how a typical emerging market-based project conceptual stage, as national infrastructure manager would think when confronted with the plans are formulated, through to development task of planning, preparing, tendering, at ministerial, regional or municipal implementing and monitoring a complex departmental level and then on to execution infrastructure. An entity such as the GIH, with on-site and in the field. The mapping analyses its remit to aggregate data and information on sources of knowledge to assist policy-makers, infrastructure, might take up the task of filling civil servants and others working to develop out the below to provide a fuller picture of the projects. It has been prepared with the full range of products on offer now. intention of identifying sources of input and

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 10

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 11 Global Overview of International Knowledge Support across the Infrastructure Project Cycle 12 might use the product. The presented The following set of knowledge product examples are only, of course, a small sub-set descriptions is included here by way of of the universe of products and activities example and to provide more detail of what currently under way in the infrastructure each product type offers and how the sector. “customer” in an emerging market country Cross-Cutting Knowledge Products

GIH: The Global Infrastructure Hub was multilateral level. The guide will be organized established in November 2014, following an in line with the GIH capability framework. It will agreement by G20 leaders to increase the be searchable by key parameters with scope volume and quality of public and private for comment by users and resource authors. It infrastructure investment during the presidency will ultimately be a publicly accessible of Australia. GIH is headquartered in Sydney resource on the GIH website, with a planned and will have a staff of up to 20 professionals, launch at the April 2016 meeting of finance headed by its CEO. GIH will report to the G20 ministers and central bank governors. and its Infrastructure and Investment Working Progress so far includes: populating the guide Group (IIWG) and work collaboratively with all with key content; circulating a copy to the IIWG governments globally, international for feedback on functionality and content; organizations, development banks and the conceptualizing features and search private sector. GIH has a four-year mandate functionality; and procuring web design and IT (2015-2018) from G20 leaders focused on the services to support the guide. The guide will following main areas: be interactive with further features, updates and content added over time. 1. Developing a knowledge-sharing network to http://globalinfrastructurehub.org/ aggregate and share information on infrastructure projects and financing between GIF: The Global Infrastructure Facility was governments, international organizations, established in March 2015 as a partnership development banks, national infrastructure programme housed at the World Bank Group institutions and the private sector (WBG), with support from a number of donors, 2. Addressing key data gaps including China, Singapore, Canada, Australia, 3. Developing approaches to implement the Japan and the World Bank. It has an initial voluntary G20 Lending Practices on Promoting capitalization of $100 million. GIF has and Prioritizing Quality Investment, including envisaged two window facilities: an initial model documentation covering project upstream project preparation facility focusing identification, preparation and procurement on project structuring and preparation, 4. Building the capacity of government officials followed by a downstream project financing by sharing best-practice approaches support window that focuses on risk-sharing 5. Developing a consolidated database of and credit enhancement to mobilize long-term infrastructure projects to help match potential private capital. In its three-year pilot phase, investors with projects. GIF will focus on providing technical assistance to EMDE governments for project The Australian government has contributed preparation and structuring of selected the base funding for the establishment and infrastructure projects and programmes to operation of GIH until 2018, with additional increase the deal flow of bankable projects in financial and in-kind resources from China, these markets. While these projects are being Mexico, New Zealand, the Republic of Korea, prepared and structured, GIF is also preparing Saudi Arabia, Singapore and the United to capitalize the downstream financing support Kingdom. Given its broad remit, GIH provides window to fill the gaps of existing instruments knowledge products across all five types of that can be used to finance infrastructure products presented above. projects through capital market issuances or long-term commercial bank lending in EMDE. In a first manifestation of its work, GIH intends GIF is now operational with its first project to map out an online Guide to Infrastructure level activities launched by year-end 2015. Resources to infrastructure initiatives, During its initial pilot phase of three years, GIF organizations and documentation to help expects that approximately 10-15 PPPs will be better connect existing resources and improve fully supported globally. GIF’s business model coordination at national, regional and relies on its technical partners, which include

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 13 not only the WBG’s IFC but also the main meetings, as well as supervising the use of regional multilateral development banks (e.g., GIF’s resources. EBRD, ADB, IADB, EIB) to work with GIF to http://www.worldbank.org/en/programs/global- bring appropriate projects for funding. On Infrastructure-facility approval by GIF’s Governing Council comprised of donors and regional MDBs, GIF IFC InfraVentures: The IFC Global transfers the funds to the technical partners to Infrastructure Project Development Fund helps implement those projects. In addition to the develop public-private partnerships and private project preparation funding focus, GIF has projects for infrastructure in developing been designed as a collaborative platform countries. It provides early-stage risk capital through its Advisory Council to enable its and actively participates in the project advisory partners, which include major development phase to create private institutional investors, commercial banks and infrastructure projects that are commercially DFIs, to bring to bear their collective expertise viable and able to more rapidly achieve for the benefit of emerging market clients. financial close. Through IFC InfraVentures, the GIF’s Advisory Council meetings feature World Bank Group has set aside a $150 sessions where GIF emerging market million fund, from which IFC can draw to beneficiaries present their GIF-funded projects initiate infrastructure project development. IFC and interact with the broad grouping of private serves as a co-developer and provides sector actors to create knowledge-sharing on expertise in critical areas, while partially projects. GIF’s management unit will be funding project development. responsible for preparing written briefs and http://www.ifc.org/wps/wcm/connect/Industry_ other materials in the context of these regular EXT_Content/IFC_External_Corporate_Site/In dustries/Infrastructure/IFC_InfraVentures

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 14 Data and Content-Based Knowledge Products PPP Knowledge Lab: The PPP Knowledge Public-Private Infrastructure Advisory Facility Lab is a curated, comprehensive and easy-to- (PPIAF) and the World Bank Group. The use online resource on public-private platform was also developed with the partnerships provided collectively by a large collaboration of the European Bank for group of MDBs. Although the use of public- Reconstruction and Development (EBRD) and private partnerships to design, build and the Islamic Development Bank (IDB). The Lab deliver infrastructure worldwide has grown was created in recognition of the need to enormously in the past decade, the availability consolidate in one online platform the large of information to support governments and number of documents, policies, case studies, their advisers has not kept pace. The PPP reference materials and databases on Knowledge Lab fills that gap. The Lab is built infrastructure housed heretofore among the on the PPP Reference Guide and is supported various MDBs on their own websites. The Lab by the Asian Development Bank (ADB), the is a good example of an improved product for Inter-American Development Bank’s (IDB) data and content offered by the MDBs. Multilateral Investment Fund (FOMIN), the https://pppknowledgelab.org/

Public-Private Infrastructure Advisory Facility subnational entities; and developing and (PPIAF): A multi-donor trust fund housed prioritizing project pipelines. PPIAF also under the World Bank PPP CCSA, providing produces and disseminates knowledge and up to $20 million a year in grants for upstream best practices on private participation in regulation, policy, institutional development infrastructure. and project selection for infrastructure PPPs, http://www.ppiaf.org with a particular focus on LICs. Grants range from about $50,000 to $1 million or more. Infrascope: This is an ongoing effort by the PPIAF provides grants to help governments Economist Intelligence Unit (EIU) to analyse create a sound enabling environment for and create a benchmarking index and learning private participation in infrastructure through tool that assesses the capacity of countries in different types of technical assistance, such emerging markets across the Asia-Pacific as: framing infrastructure development region, Latin America, Africa and Eastern strategies; helping governments draft legal and Europe and the CIS to deliver sustainable regulatory frameworks; supporting the design public-private partnerships. The work has been and implementation of policy and institutional commissioned by the ADB, IADB, EBRD, and reforms; organizing stakeholder consultation the World Bank Group. The methodology was workshops; building government institutional developed by the EIU and has been capacity; enabling access to market developed infrastructure finance both for national and

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 15 over time using a series of separate analyses covers 10 countries which will be expanded to (i.e., the 2011 Infrascope for the Asia-Pacific about 80 in 2016. This review can provide and similar studies of Eastern Europe and the enhanced data to overall assessments such as CIS in 2012 and Latin America and the Infrascope. A session at PPP Days discussed Caribbean in 2009, 2010 and 2014, standard contractual provisions for PPP, which respectively). The index was built by, and its centred on a set of recommended contractual assessments made by, the EIU. clauses for selected provisions typically found http://www.eiu.com/public/thankyou_download. in PPP agreements, including provisions aspx?activity=download&campaignid=AsiaInfr dealing with force majeure, termination rights, ascope2014 dispute resolution, etc. While not meant to be Standards for PPP Procurement: In addition to mandatory clauses for use in all PPP extensive work on PPP legal frameworks and transactions, the discussion aimed to set out sustainable development, the World Bank the benefits of contractual language that has Group has prepared a pilot report on been found to be appropriate in many PPP Benchmarking PPP Procurement, building in transactions. The EBRD’s Legal Transition an approach developed for public procurement Team has a dedicated programme to working for the G20 IIWG. The pilot was also with countries to create appropriate legal presented at PPP Days 2015 and is providing frameworks for PPPs and other forms of a systematic way of assessing how private sector participation in infrastructure. A procurement of PPPs is undertaken sample of these can be accessed through the throughout the life cycle of projects. The pilot below links:

GENERAL INFORMATION

Legal Reform – Public-Private Partnerships / Concessions: http://www.ebrd.com/what-we- do/sectors/legal-reform/ppp-concessions.html

INTERNATIONAL STANDARDS

PPP / Concessions International Standards: http://www.ebrd.com/what-we-do/sectors/legal-reform/ppp- concessions/international-standards.html

EBRD Core principles for a modern concession law: http://www.ebrd.com/cs/Satellite?c=Content&cid=1395239038112&d=&pagename=EBRD%2FContent%2FDow nloadDocument EBRD Core Principles for a Modern Concessions Law – selection and justification of principles: http://www.ebrd.com/downloads/legal/concessions/coreprin.pdf

ASSESSMENTS PPP / Concessions Assessments: http://www.ebrd.com/what-we-do/sectors/legal-reform/ppp- concessions/sector-assessment.html Concession / PPP Laws Assessment 2011 – Cover Analysis Report 2011: http://www.ebrd.com/downloads/legal/concessions/pppreport.pdf

ANALYTICAL MATERIALS

PPP – Practice, Problems and Perspectives: http://www.ebrd.com/downloads/legal/concessions/book2011.pdf (in Russian) Improving Legal Underpinnings for PPP: http://www.ebrd.com/cs/Satellite?c=Content&cid=1395240793968&d=&pagename=EBRD%2FContent%2FDow nloadDocument (in Russian)

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 16 Peer-to-Peer Learning Knowledge Products

Interactive Platform: The data and content- GlobalViP: Operational under an expanded oriented knowledge products are primarily product in May 2015, GlobalViP (GViP) is repositories of valuable information on designed as a public utility tool for infrastructure. With initial support from the infrastructure project decision-makers, giving EBRD, the Interactive Platform is public and private sector users just-in-time complementary to such existing knowledge access to expertise worldwide. GViP is products by filling a gap in the international designed to address project development and architecture to facilitate knowledge exchange project preparation by allowing project and expertise-sharing. Designed to be a social developers (public and private) rapid, accurate networking tool, it will use virtual working and constant access to global expertise. The groups, with the ability to create public and platform allows infrastructure project owners private conversations online to discuss (at country, state and local levels) to access infrastructure. It has been designed to link expertise on a just-in-time basis. GViP also specifically to the PPP Knowledge Lab and the allows project developers to feature their G20’s GIH and could be used potentially by projects to a global audience, early, regularly other platforms such as IISS (see below). and targeted, taking advantage of crowdsourcing technology. Through rich algorithms, class experts are identified; similar projects can be accessed, anywhere in the world, and the range of third-party resources that project decision-makers need to make good decisions is brought to the attention of developers. GViP offers users the ability to access information from global experts in a way that saves money, increases project quality and accelerates project development. Currently, there are over 1,500 projects represented on GViP, from early stage to construction phase, across a number of sectors (energy, transport, water), across over 140 countries. The platform hosts about 1,600 experts, 70% of whom are from the private sector at a senior level. An example of the interface is presented below: http://www.cg- la.com/advisory/globalvip

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 17 Process-Oriented Knowledge Products

IISS: The International Infrastructure Support undertaking project development and System (IISS) was originally developed in preparation – and by extension any project 2011 by the Asian Development Bank (ADB) preparation facility (PPF) providing support to under a technical assistance programme the given project – is required to answer. funded by the Republic of Korea. It was known Answering the templates enables a project in its initial conceptualization as the National structure to be created that can be Infrastructure Information Systems (NIIS). The subsequently completed over time. The NIIS objective was to offer governments purpose of completing the project template is (public sector) a secure and standardized to create a project that may be taken forward basis for preparing infrastructure projects and for financing. This platform is not a PPF as sharing project information. NIIS was noted in such; rather it is a platform for disseminating the Multilateral Development Bank (MDB) accurate and consistently presented Action Plan (2011) as one of the key solutions information regarding individual projects using to project preparation issues raised by the a standardized template. In addition, the G20. In 2013, a group of MDBs and other completion of templates enhances capacity public and private stakeholders decided to through public sector organizations by establish the Sustainable Infrastructure providing online guidance on how Foundation (SIF1) to make NIIS become infrastructure projects may be put together and available on a long-term, global and developed. IISS is an online workspace sustainable basis. This tool requires public, environment and a knowledge environment. private and multilateral participation. IISS is a IISS, which is in its pilot phase at present, will tool to be used initially by the public sector for include several other features: free and to be subsequently accessed by the - A dynamic user template review private sector with the aim of improving the function quality, consistency and transparency of - Links to existing PPP knowledge project preparation, eventually for a resources subscription fee. One of the main areas of - Private sector exchange feature focus is standardization and online templates (market comments, reporting and are available on the IISS platform that project search) encompasses 150 detailed questions covering - A full project management capability the following six thematic issues: (task & team management, scheduling - Governance & security) - Technical - Legal SIF has garnered widespread support from - Financial MDBs, the World Economic Forum and other - Environmental & Social international organizations, and a host of - Economic leading private sector companies, including the provision of start-up capital as well as in- These thematic issues cover 42 separate kind expert support for the creation of the subsectors2 across several regions and various templates. These include the following subnational areas. These are objective partners working in association with SIF: questions that the public sector entity

1 The establishment of the SIF provided a number of development banks a counterparty that could act as a global coordinator for the enhancement of NIIS and its transformation into the International Infrastructure Support System to act effectively as a conduit for grants and financial support from various parties during the start-up phase (2014-2018). SIF is a not-for-profit foundation headquartered in Geneva, Switzerland. 2Transport (airports, bicycle lanes, bridges (toll/non-toll), bus rapid transit (BRT), city roads, ferry transport systems, high speed rail, highways (toll/non-toll) intercity rail, mass rapid transit systems (MRT); energy (biomass, solar array, wind farm, run of river); urban services (street lighting, warehouses bio-digesters, hazardous waste disposal; landfills with methane capture, landfills, solid waste incinerators, sorting stations, waste collection systems); social infrastructure (housing); and water (mixed, residential, water supply network).

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 18 Learning and Training-Oriented Knowledge Products The Global Certification Programme for PPP designed to be analogous to the CFA or PMI Professionals: The World Bank Group selected qualifications. A consultative committee has APMG to be the delivery partner for the been set up to steer the programme. It development and management of the Global includes the World Bank Group, the Asian Public-Private Partnership (PPP) Certification Development Bank, European Bank for programme. APMG has extensive experience Reconstruction and Development, Inter- in the creation and delivery of certificates in American Development Bank (through its related fields, including project management. Multilateral Investment Fund), Islamic The certificate will be linked to specific stages Development Bank and PPIAF. This will allow in a PPP project. Candidates will earn the public sector officials to learn about PPPs certificate on demonstration of a mastery of a through a dedicated training programme body of knowledge and an ability to apply this spread over a number of learning modules. knowledge in practical circumstances. It is http://ppp.apmg-international.com/home.aspx

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 19 Private sector education programmes University College London Masters in Infrastructure Finance: The MSc in École Pont et Chaussées, Paris: The primary Infrastructure Investment and Finance (IIF) is focus of this Masters in Financing of Projects, designed to enable infrastructure specialists to based within a French institution with a long- develop the multidisciplinary skills essential to established history in engineering, is to train the effective financing and delivery of complex professionals in project finance. The second infrastructure projects. The UCL MSc IIF is the priority is the study of sectors associated with only course in the United Kingdom, and one of project finance, such as the fast-growing real few globally, to focus on the finance, funding estate and venture capital sectors, as well as and commercial issues associated with global other infrastructure. infrastructure needs. With a strong commercial focus, this course provides masters students with a well-balanced mix of economic and financial theory as well as industry practice, including modules exploring: - The history and future of infrastructure investment at global, national and sector levels and the key determinants of total and sector investment levels - The impact of government policy, funding and private capital markets on investment in infrastructure - The role of regulation in incentivizing private investment - The cost of capital for infrastructure investment and the allocation of risk in contracted delivery MDB’s PPP Days: The MDBs have jointly - The commercial perspective of prepared and hosted six versions of PPP Days infrastructure project sponsors, lenders, since 2002. PPP Days 2015 was hosted by investors and contractors throughout the EBRD in London on 16-17 June and was co- procurement, design, construction and sponsored by G-20, the African Development operation of infrastructure assets Bank (AfDB), Asian Development Bank (ADB), The aim of the course is to equip graduates European Investment Bank (EIB), Inter- with the relevant skills for a career in American Development Bank Group (IADB), infrastructure procurement and development, Islamic Development Bank (IsDB), United whether as public sector officials, private Nations Economic Commission for Europe sector financing specialists or consultants (UNECE) and the World Bank Group (WBG). within advisory firms. The main theme of the conference was, “Doing More, Doing Better: What would it take to Said School, Oxford University – Masters in double the right private infrastructure Project Management: The MSc is the only investment in emerging markets?” The master’s degree to focus entirely on the successful conference brought together about management of major programmes, which go 300 participants from 30 countries, comprising far beyond merely scaled-up projects and thus PPP experts from both the public and private need to be managed effectively as temporary sectors. The wide-ranging agenda included organizations in their own right. Distinct from multiple panels comprised of public and private the traditional practices of project sector panellists, 16 country presentations of management, the MSc in Major Programme mature PPP projects, and a presentation of the Management provides a broad range of MDBs’ joint infrastructure support agenda. competencies central to the successful PPP Days manifests, from the perspective of delivery of integrated solutions, which can be the MDBs, how cooperation has advanced found among the best executive officers and significantly. The MDBs have an agreement on general managers in organizations around the specific steps forward, such as support for the world. This master’s programme strives to go GIH and the PPP Knowledge Platform well beyond pure project management course launched at PPP Days 2015, the use of content by providing participants access to Infrascope, the collective efforts of the new senior project managers from many sectors MDB-led PPFs, support for IISS, and capacity- worldwide. building for PPPs. The MDBs use PPP Days to

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 20 bring this diverse set of emerging market in terms of quality, project preparation, policy practitioners located within PPP units and inputs and, ultimately, the level of investment other public sector entities to marshal their in the sector. combined influence and wherewithal alongside http://www.ebrd.com/news/events/publicprivat the political impetus given by the G20 to e-partnerships-ppp-days.html achieve more coordinated multilateral support

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 21 Collaborative Role of International Financial Institutions (IFIs) Due to their unique position and relationship its London headquarters to good effect, as this with emerging market countries, IFIs must play helps to communicate to the wider investor an important role in the realization of the community and potential bidders that an IFI above described agenda. Specifically, the IFIs stands behind the proposed projects and can play a critical role in project development, structures. IFIs could mainstream this promotion and training of public officials approach by hosting all roadshows as a matter regarding PPPs. Firstly, the IFIs have come of course for all well-prepared PPP taking together to create a new one-stop shop for place in their respective regions. Fourthly, all knowledge on PPPs, launched in June 2015 IFI PPFs could commit to uploading all as the PPP Knowledge Lab. Secondly, the Lab projects prepared under their facilities into the will be open to others and would be a natural new IISS to create a critical mass of projects point of collaboration with the GIH, for prepared on a more standardized template example. Regarding project development, basis. Finally, IFIs are actively developing a many IFIs (e.g., ADB, WBG and EBRD) have PPP certification training module that is being created specific project preparation facilities vetted by WBG, ADB, IADB, and EBRD. The (PPFs) during the past 12 months. These 40-day module-based training will be ready for PPFs should allow the IFIs to accelerate the a beta-launch by first quarter 2016. The preparation of PPPs in particular, with more standardization of tried and tested approaches efficacy, improved quality and greater to PPPs should be effective at improving the replicability of approaches. Thirdly, IFIs play likelihood of projects being successfully an important role in promoting PPPs. EBRD, tendered through to contract award and for example, has hosted several roadshows at financial close and implementation. .

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 22 Next Steps: The Proposed Conceptual Framework The breadth of the international infrastructure would each have a lead coordinator, support agenda laid out above is plainly very responsible for taking on the task of convening significant. The ability to coordinate the entire members virtually to create and maintain a scope of the various activities is beyond the level of coordination under GIH auspices. The abilities of any single organization. However, newly created Interactive Platform could be a gathering this information together will good way to perform this desired coordination significantly assist those involved in project using the social networking-based functionality delivery by helping them with advice, that is embedded within the platform. For experience and examples to expedite the example, the Interactive Platform allows development of new infrastructure. In an effort private discussion groups to be formed, which to achieve a tangible effect, one approach would be ideal for the working group would be to task GIH as a G20 entity to break coordinator to create and convene. Two down the knowledge product types into four snapshots of the platform are provided below: separate groupings, or bring together existing In this way, the task of coordinating in a virtual similar groupings under a single entity that can manner could be realized using an online be tracked and coordinated in working groups. platform designed specifically for the These working groups, comprised of leading infrastructure sector. entities active in the infrastructure sector,

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 23 Bibliography

École Pont et Chaussées. http://www.enpc.fr/en/training Economist Intelligence Unit (EIU). Infrascope. http://www.eiu.com/public/thankyou_download.aspx?activity=download&campaignid=AsiaInfrascope2 014 European Bank for Reconstruction and Development (EBRD). Public-Private Partnerships “PPP Days 2015”. http://www.ebrd.com/news/events/publicprivate-partnerships-ppp-days.html Global Infrastructure Hub (GIH). http://globalinfrastructurehub.org/ GlobalViP. http://www.cg-la.com/advisory/globalvip International Finance Corporation (IFC). Industries. Global Infrastructure Project Development Fund (“InfraVentures”). http://www.ifc.org/wps/wcm/connect/Industry_EXT_Content/IFC_External_Corporate_Site/Industries/I nfrastructure/IFC_InfraVentures PPP Knowledge Lab. https://pppknowledgelab.org/ Public-Private Infrastructure Advisory Facility (PPIAF). http://www.ppiaf.org The Public-Private Partnerships Certification Programme. https://ppp.apmg-international.com/home.aspx University College London (UCL). Infrastructure Investment and Finance MSc. http://www.ucl.ac.uk/prospective-students/graduate/taught/degrees/infrastructure-investment-finance- msc World Bank. Global Infrastructure Facility (GIF). http://www.worldbank.org/en/programs/global-Infrastructure-facility University of Oxford. Said Business School. MSc in Major Programme Management. http://www.sbs.ox.ac.uk/programmes/degrees/mpm

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 24 Annex: Overview of IFI-led Project Preparation Facilities

Note: The following table of PPFs led by IFIs represents only a portion of the universe of PPFs that have been created over the past years, and are included here to provide an indication of the activity in project preparation. This table is expected to be expanded over the coming months to capture the wider scope of PPFs globally.

Overview of IFI-led Project Preparation Facilities Infrafund PSP BNDES GIF IPPF IFC C3P AP3F NEPAD-IPPF MED 5P Arab Financing Africa 50 Advisory Facility for Infrastructure (AFFI) Organization IABD Brazilian China, EBRD IFC Japan, Canada, Spain, Germany, EIB, EBRD, World Bank, IsDB, 20 African government; Canada, Australia, AsDB Norway, European Union, EIB, IFC countries (top IFC; IADB Australia, Denmark, European five Singapore, Canada, AfDB Commission, KfW, shareholders: World Bank Union Congo; for the Morocco; Egypt, Mediterranean, Cameroon) and AfDB AfDB Amount $83m $12m $100m €40m Annually about $75m $75m since €15m $500m disbursed $50m 2002; $200m to date; additional $50m in planned pipeline Approximate 140+ (on- 11 to date 15 (pilot 10 PPP & 25 Since 1989, 10 to 15 51 projects 10 50 number of going since phase to public sector advised on 360+ prepared as of projects 2006) 2018) (pilot phase to projects; mid-2015 since supported 2018) annually about 2004 25 new projects prepared Source of funds Ordinary Brazilian Donor funds; EBRD net IFC capital Donor funds; Donor funds; Grants World Bank, IsDB, 20 African capital government; World Bank reserves reserves and ADB reserves AfDB reserves contributions from EIB, IFC sovereigns and IFC; IADB Group donor funds participating AfDB capital organizations reserves Type of projects Public, PPPs PPPs PPPs and PPPs and PPPs PPPs and public PPPs PPPs PPPs covered Private, commercialized disposal of sector projects PPPs public sector publicly owned assets Reimbursability No Yes Yes Yes for PPPs; Yes Yes for PPPs; No No No Yes grants for public some non- sector support reimbursable grants

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 25 Geographic IADB Brazil Global EBRD countries Global Asia-Pacific Africa Egypt, Jordan, Middle East and Africa Scope countries of of operations region Lebanon, Morocco North Africa operations and Tunisia (MENA) region

Eligibility criteria Bankability Bankability of Bankability PPPs: Bankability of Bankability of Bankability of Bankability of Bankability of Bankability of of project, project, with of project, bankability, project project, with project project project project with focus focus on with focus business case; focus on climate on link to degree of on climate public sector resilience/sustai IADB national/ smart/trade projects: nability/ country subnational enabling/ commercialised regional strategies/li support/innova project structures integration nk to IADB tive practice or complexity loan/ sector sustainable transport Sectors covered Transport/ Health/ Transport/ Transport, Roads, rail, Transport/ Energy/water/IC Transport, water Energy, transport Infrastructure energy education/ Energy/Wat water, solid power, airports, energy/water/ T/ and waste water, and roads, water, transport er waste, district ports, water, social Transport solid waste, ICT, and social heating/cooling, waste, mining, infrastructure energy and infrastructure facilities education and renewable energy, management for health social and urban social infrastructure infrastructure The list below provides the website references for the respective PPFs above: InfraFund: http://www.iadb.org/en/topics/transportation/infrafund,1635.html PSP BNDES : http://www.slideshare.net/portugalribeiro/brazilian-psp-program-a-partnership-between-ifc-bndes-and-idb GIF: http://www.worldbank.org/en/programs/global-Infrastructure-facility IPPF: http://www.ebrd.com/news/2014/ebrd-launches-infrastructure-project-preparation-facility.html AP3F: http://asiapacificsd.iisd.org/news/adb-public-private-project-facility-kicks-off-with-us64-million/ NEPAD-IPPF: http://www.nepad-ippf.org/ MED5P: http://www.nepad-ippf.org/about-ippf/ippf-philosophy/ AFFI: http://www.ifc.org/wps/wcm/connect/d75c10804aee4412a0f3fa888d4159f8/AFFI+Brochure.pdf?MOD=AJPERES Africa50: http://www.africa50.com/ IFC C3P Advisory: http://www.ifc.org/wps/wcm/connect/as_ext_content/what+we+do/ifc+and+ppps

Global Overview of International Knowledge Support across the Infrastructure Project Cycle 26

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