Transcript Diapositiva 1
InfraCo
Developing infrastructure projects to promote sustainable economic growth
InfraCo
• Privately managed infrastructure development company • Funded through the (
PIDG
) comprising of: •
DGIS
(
Private Infrastructure Development Group Netherlands
) • • • • • •
SIDA SECO DFID ADA
( ( (
Sweden
(
IrishAid
Switzerland United Kingdom Austria
(
Ireland
World Bank
) ) ) ) ) • Develops Infrastructure projects in:
Water Sectors
among others
Energy
,
Transportation
and • Geographic focus
Sub-Saharan Africa
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InfraCo in Your Country
InfraCo contributes to sustainable
Economic Growth:
• Actively indentifies
viable projects
• Provides substantial infrastructure own
risk capital expertise,
as well as its • Focuses on attainable benefits (
jobs
,
projects improved
, that will produce social
services
and a
healthier environment
) • Attracts
long term capital
•
Balances the interests
investors and financiers of host governments, private sector 3
InfraCo
•
Acts as a principal project developer
: capital – InfraCo is not a consultant Provides risk •
Actively participates in project development
: InfraCo is not a passive funding source for development expenses •
Assumes development risk
: InfraCo loses money Unsuccessful projects – •
Seeks returns on time and invested capital
: financial closing and through carried interest At 4
Major Activities
• •
InfraCo uses its
expertise
and
capital
to:
• Develop a
viable business plan
model and build a financial • Negotiate long-term
anchor tariffs agreements
or
user
to secure sustainable revenues Develop
technical feasibility
studies Provide in-depth
cost analysis
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Major Activities (Cont’d)
• • • • Negotiate a fixed-price turnkey,
EPC
Procurement & Construction) contract (Engineering, Negotiate the terms and conditions of a financially viable
operation
and
maintenance
agreement Arrange long term
equity
and
debt
financing – repayment is solely dependent on the economic success of the Project Secure all necessary
permits
and operation of the Project for the construction 6
Deal Structure
Long Term Funding: • Equity • Debt Concession Rights EPC Contractor EPC Contractor: • Engineering • Procurement • Erection • Civil Construction • Equipment and Services Owners: •InfraCo; Other Partners Long Term Funding SPC (Project Company) O&M Contractor O&M: • Operator • Maintenance Permits Land Revenues / Offtakers Long Term: • Anchor Tenants • PPAs ; etc.
Market: • Short term • Merchant, etc.
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Ghana
InfraCo Projects In
Zambia Madagascar Cape Verde Uganda
8
•
Uganda
Project Description
–
General Infrastructure
: Power generation and distribution; water supply; transportation (ferry & roads) for an island in Lake Victoria • •
Project Benefits
–
Power
: Current dependency on firewood, paraffin and small diesel generation – –
Water
: Droughts; insufficient potable water
Transportation
: Dirt roads not motorable in all weather conditions; ferry traffic exceeds capacity • Total Project Cost:
USD 40 Million Finance Plan
– Output Based Aid (
OBA
– Commercial Debt:
USD 20 Million
– Credit Enhancement from
USAID
and – Private Sector Equity: ) from
PIDG
:
USD 3.5 Million
GuarantCo
USD 16.5 Million
:
USD 12 Million
•
Project Description
Cape Verde
–
Wind Power
: 30MW in identified wind farm sites on four different Islands •
Project Benefits
– Make use of the abundant wind resources of the country that are virtually unused – Adding lower cost wind power to the current all-diesel generation portfolio – Reduce harmful emissions from the oil fired plants • • Total Project Cost :
EUR 55 Million Finance Plan
–
IDA
,
EIAF
(Loan) –
SIDA
/
GuarantCo
–
WB GEF
(Grant) (Guarantee to commercial loans) 10
•
Madagascar
Project Description
–
Bulk and Distributed Water Supply
: A supply system to 17 communes surrounding the capital, Antananarivo • •
Project Benefits
– Provides affordable, clean drinking water to populations that do not have access to clean water • Eliminates water-borne diseases • Improvement of general health levels – Provides a new supply of bulk water to Antananarivo used by industrial and domestic consumers – Private management of a PPP • Total Project Cost:
USD 50 Million Finance Plan
– Grant funding from OBA – Multilateral and bilateral debt and equity – Local equity 11
•
Zambia
Project Description
–
Irrigated Farm Development
: Full business plan development and implementation of holding and operating company, irrigation Infrastructure, and marketing plan for commercial and small scale wheat and soy farming near the Kafue River in central Zambia •
Project Benefits
–
Economic
: Commercial farming operation – wheat and soy production will meet local demand shortages; potential to develop a wheat processing mill –
Social
: Impacts approx. 50,000 residents levels and overall economic welfare – increasing local employment • Total Project Cost:
USD 25 Million
•
Finance Plan
–
Development costs
: –
Land/water rights
:
InfraCo Equity contribution by farmers
– –
Project Equity
:
Project Debt
:
Zambian Development Bank
,
Commercial Banks OBA
,
USAID
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•
Ghana
Project Description
–
Gas Fired Power Plant
: 300 – 400 MW power plant in Tema •
Project Benefits
– Provide low cost electricity in response to the lack of capacity in the region currently the capacity shortages are met by inefficient diesel generators – Utilise capacity from the West African gas pipeline and newly discovered natural gas offshore Ghana (Tullow and Anadarko) • • Total Project Cost:
USD 300 Million Finance Plan
– Multilateral or – Support from
ECA EAIF
; and
commercial banks ERG
;
Chinese Exim
;
Credit Swiss
among others 13
•
InfraCo Board
Keith Palmer
: Chairman, former Vice Chairman of NM Rothschild & Sons, founder and Chairman of Cambridge Economic Policy Associate, Chairman of the Emerging Africa Infrastructure Fund •
Peter Bird
: Managing Director of NM Rothschild & Sons •
Valentine Chitalu
: Former Head of the Zambian Privatization Agency, entrepreneur in Zambia and Southern Africa specializing in private equity •
Roger Witcomb
: Senior Adviser at Actis (formerly CDC), a private equity fund specializing in emerging markets 14