ECA SERVICES / PPP’s AND COMMERCIAL CONTRACTING
Our range of services covers all aspects of introducing private sector participation and competition into infrastructure, from the development of supporting institutional and regulatory frameworks through to the design of contractual arrangements. We advise on corporate restructuring, the development of competitive markets, power purchase agreements and network access and balancing rules.
The scope of our services allows us to appreciate the totality of the requirements for private sector participation, understanding the interactions between high-level policy design and project development and implementation outcomes.
SELECTED PROJECTS INCLUDE >>
SELECTED PROJECTS INCLUDE >>
ECA worked with the International Finance Corporation to determine the key drivers of and barriers in developing countries to the expansion of “Alternative Private Supply” of electricity which do not require coordination through centralised grids and to assess whether electricity had the potential to expand as quickly as mobile telephony.
ECA led a team advising the Ministry of Finance on the drafting and implementation of a new PPP law and regulation and the development of a PPP project pipeline. Maximising transparency and avoiding excessive reliance on unsolicited and directly negotiated proposals were assessed as being key to creating a credible and trusted framework. The project involved extensive capacity-building support in assessing PPP proposals for their feasibility and desirability.
An EBRD project advising on the allocation of risks under the new Tunisian Renewable Energy Law with respect to Feed-in Tariffs. ECA advised on the legal, technical and bankability implications of the Law, the FiT Regulation and the model Power Purchase Agreement as well as drawing up a model PPA for independent investors (IPPs) as well as other contracts the new generator must sign.
As part of a more comprehensive PPP toolkit development by Axelcium, ECA was asked to develop the Value for Money (VFM) and Socio-economic analysis guidelines and tools. The guidelines included practical step-by-step procedure on how to conduct a socio-economic analysis and a VFM analysis for PPP projects.
ECA reviewed the existing transmission investment plans, assessed options for financing new investments, and identified options for private sector participation (PSP) in the electricity transmission network.
Ethiopia is beginning the process of contracting with IPPs to provide electricity from geothermal and requires a model PPA as a basis for contract negotiation, as well as capacity building in negotiation and understanding the risk allocation issue. ECA assisted by developing the model PPA with workshop presentations and advice on negotiation positions.
The Independent Public Business Corporation (IPBC) requested training from ECA on the commercial aspects of Power Purchase Agreements (PPAs), in particular how to calculate the levelised cost of Independent Power Producers (IPPs) for various generation technologies and compare it to the reference price as set in the PNG Third Party Access Code.
ECA is leading in an international study to provide operating procedures and guidance to developing countries and World Bank task teams on how to support public institutions in effectively engaging the local private sector to deliver water and sanitation services, especially to the poor in rural growth centres and small towns. Case study focus countries are Philippines, Bangladesh, Uganda and Colombia.
This project involved developing web-based toolkits to assist PPP practitioners with all aspects of the PPP development, structuring, transactions negotiation and implementation. The toolkits covered five infrastructure sectors: water and sanitation, solid waste management, urban transport, ports and highways.