Chapter 1: Introduction to Project Finance
1.1 General
1.2 Characteristics of project Financing
1.3 Public-Private Partnership Framework
1.3.1 PPP Policy
* PPP Rationale
* PPP Scope
* PPP Implementation Principles
* PPP Governance Arrangements
Chapter 2: Project Financing and Direct Conventional Financing
2.1 General
2.2 Corporate Finance
2.3 Traditional Procurement
2.4 Project Finance
2.5 Advantages and disadvantages of project finance
2.5.1 Advantages
2.5.2 Disadvantages
2.6 Evolution of project finance
2.6.1 The Extractive and oil Industry
2.6.2 The Natural Resource Industry
2.6.3 The Power Industry & Beyond
Chapter 3: Sources of project funds
3.1 General
3.2 Sources of Funds
* Syndicated Commercial loans
* Bridge finance
- Bonds and other debt instruments
- Stapled Financing
Equity finance 3.3 Project Financing Participants
- Project sponsors or owners
Supplier The trustee 3.3 Public-Private Partnerships
3.4 Structuring Project finance
Chapter 4: Bankability
4.1 General
4.2 Bankability Assessment
4.2.1 Certainty of Revenue Stream
4.2.2 Risk Factors
4.2.2.1 Political Environment
4.2.2.2 Economic Environment
4.2.2.3 Legal System
4.2.2.4 Regulatory Framework
4.2.2.5 Environmental Risk
4.2.2.6 Project Specificity
4.2.2.7 Project Financial Structure
4.2.2.8 Third Party Risk Allocation
4.2.2.9 Contract Agreement
4.3 Bankability Tradeoff
Chapter 5: Public Procurement: Laws and Regulations
5.1 General
5.2 Public Procurement Legal Framework
National Procurement Laws 5.3 Principles of Public Procurement
5.3.1 Transparency
5.3.2 Integrity
5.3.3 Efficiency
5.3.4 Fairness
5.3.5 Openness
5.3.6 Competition
5.3.7 Accountability
5.4 Public Procurement Cycle
5.4.1 Competitive Tendering
5.4.2 Pre-Qualification of Bidders
5.4.3 Processing and evaluating bids
5.4.4 Making award recommendations
5.4.5 Negotiating contracts
5.4.6 Contract award letter and signing the contract.
5.5 Public Procurement laws in the US, EU, and China
5.5.1 Public Procurement laws in the United States
5.5.2 Public Procurement laws in the European Union
5.5.3 Public Procurement laws in China
Chapter 6: Assessment of project's viability and analytical tools
6.1 General
6.2 The Procurement Process
6.3 The Six Assessment Areas
6.3.1 Project Identification and PPP Screening
6.3.2 Appraisal and Preparation Phase
6.3.3 Structuring and Drafting Phase
6.3.4 Tender Phase
6.3.5 Contract Operational Management
6.3.6 Contract Finalization Management
6.4 The Analytical Tools: Infrastructure Prioritization Framework
6.4.1 Infrastructure Prioritization Framework
* Social Cost Benefit Analysis
* Multi-Criteria Decision Analysis (MCDA)
Chapter 7: The Identification and Management of Risks
7.1 General
7.2 Identification of Projects: Project cycle
- Identification
- Preparation
- Appraisal
- Negotiation/Approval
- Implementation/Support
- Completion/Evaluation
7.3 Risk Assessment
7.3.1 Risk Identification
- Country risk
- Political risk
- Industry risk
- Project risk
- Customer risk
- Supplier risk
- Sponsor risk
- Contractor risk
- Operating risk
- Product risk
- Environmental risk
- Competitor risk
- Funding risk
- Currency risk
- Interest rate risk
7.4 Risk Allocations
7.4.1 The Project sponsor
7.4.2 The Lenders
7.4.3 The Contractor
7.4.4 The Suppliers
7.4.5 The Customers
7.5.6 The Project Company
7.5.7 The Governments
Chapter 8: The Project Finance contractual arrangement
8.1 General
8.2 PPP Types
8.2.1 Build - Operate - Transfer (BOT)
8.2.2 Build - Own - Operate - Transfer (BOOT)
8.2.3 Buy-Build Operate (BBO)
8.2.4 Build - Own - Operate (BOO)
8.2.5 Build - Own - Operate - Transfer (BOOT)
8.2.6 Design - Build
8.2.7 Design - Build - Finance
8.2.8 Design - Construct - Maintain - Finance (DCMF)
8.2.9 O & M (Operation & Maintenance)
8.2.10 Lease-Purchase
8.2.11 Turnkey contract
8.3 Bidding and Award Procedure
- Purposes
- Procedures
- Evaluation
8.4 PPP Contract clauses
8.4.1 PPP Contracts under various Legal Systems
- Common Law System
- Civil Law System
- Islamic law
8.4.2 PPP Key Contractual terms
8.4.2.1 Force Majeure
- The Concept of Force majeure
- Force Majeure and hardship clause
- Consequences of Force Majeure
8.4.2.2 Material Adverse Government Action
8.4.2.3 Change of Law
- Concept of Change in Law
- Relief and Compensation
8.4.2.4 Termination of Contract
- The concept of contractual termination
- Early Termination by the Public Authority
8.4.2.5 Governing Law and Dispute Resolution
- The PPP Governing Law
- The PPP Dispute Resolution
Chapter 9: Alternative Dispute Resolution
9.1 General
9.2 Advantages and disadvantages of ADR
9.2.1 Benefits of ADR
9.2.2 Disadvantages of ADR
9.3 Forms and Types of ADR
9.3.1 Adjudicative ADR
* Arbitration
* Neutral Fact-Finding
9.3.2 Evaluative ADR
* Peer Evaluation
* Specialist or Expert Evaluation
9.3.3 Facilitative ADR
* Mediation
* Conciliation
* Consensus Building
9.4 International Platforms
9.4.1 The ICSID
9.4.2 The International Chamber of Commerce
9.4.3 The Arbitration Institute of the Stockholm Chamber of Commerce (SCC)
9.4.4 The Hong Kong International Arbitration Centre (HKIAC)
9.4.5 The Singapore International Arbitration Centre
9.4.6 The Cairo Regional Centre for International Commercial Arbitration
Chapter 10: Project Finance Governance
10.1 General
10.2 OECD Principles for public governance of PPP
10.3 Quality Infrastructure investment principles
10.4 PPP Governance Paradigm
10.4.1 Traditional Public Administration
10.4.2 New Public Management
10.4.3 Collaborative Governance
10.4.4 Private Governance Approach
Chapter11: International Project Finance and Corruption
11.1 General
11.2 Forms of Corruption
* Bribery
* Lubrication
* Subornation
* Lobbying
* Extortion
* Cronyism
* Patronage
* Influence peddling
* Graft
11.3 Fighting corruption within World Bank Group-financed projects
11.3.1 Effects of Corruption on Projects Finance
11.3.2 Corruption in the extractive industries
11.3.3 Example: Extractive Industries Transparency Initiative
Chapter 12: Infrastructure Projects Finance
12.1 General
12.2 Substantial Project Financing
12.2.1 Water and Sanitation Project
12.2.1.1 Human Right to Water and Sanitation
12.2.1.2 Water and Sanitation PPP
* Concessions
* BOT Project
* DBO Project
12.2.2 Transportation and Telecommunications Projects
12.2.2.1 Transportation
* Airports
* Ports
* Roads
* Railways
* Urban Passenger Transport
12.2.2.2 Telecommunications
12.2.3 Climate and Energy
12.2.3.1 Climate Change
12.2.3.2 Energy Power
Chapter 13: Public Fiscal Risk Assessment Model
13.1 General
13.2Understanding the Fiscal Metrics
13.3 PPP Accounting and Reporting
13.3.1 Budgeting
13.3.2 Accounting
13.3.3 Reporting PPPs in Public Deficit and Debt
13.4 Assessment of Fiscal Risk
(i) Identification and Assessment of Risks
(ii) Mitigating factors
13.5. Performing the Sensitivity analysis
- GDP shock.
- Exchange rate shock
* Inflation shock.
Chapter 14: Cases study
14.1 General
14.2 Successful stories
14.2.1 Breaking New Ground: Lesotho Hospital Public-Private Partnership-A Model for Integrated Health Services Delivery
14.2.2 Ukraine: Providing Safe Harbors for Ukraine's Economic Growth
14.2.3 Senegal- A Road leads to Economic Opportunities
14.2.4 China (1997): The Greenfield project to install modern medium-density fiberboard plants
14.3 Unsuccessful PPP
14.3.1 Liberia Education Advancement Programme (LEAP)
14.3.2 The New Paris Courthouse
14.3.3 International Airport of Chinchero - Cuzco