Private sector involvement in financing and operating transport infrastructure

The key role of transport infrastructure in the emerging European network has provoked many questions as to the financing and operating of existing and new transport infrastructure. In the course of the twentieth century governments in all countries have assumed responsibility for financing and operating transport infrastructure. In the past decade, however, serious doubts have been expressed on the efficiency of a strong public financial involvement in infrastructure. The paper addresses the question whether infrastructure financing and operation is a necessary competence of governments. In principle, infrastructure may be provided by the private sector, through which efficiency gains may be achieved. Therefore, the necessity for government financing is at stake in the current debate. In the paper several arguments for and against private financing are systemically evaluated and illustrated by diverse uses related to various modes of transport. The conclusion is that there is much scope for the private sector in financing and operating new and existing transport infrastructures in Europe.     

Regional Issues Affecting the Financing of Urban Infrastructure in NSW

Demand for urban and regional infrastructure at particular locations is the product of market economic forces acting in concert with the inertia of established demographic and economic patterns. Forecasts of how such patterns may evolve are the starting point for infrastructure planning. Factors affecting demand for infrastructure in the Sydney region, and for New South Wales as a whole, are outlined in the first part of this paper. To some extent, especially in large urbanised regions, the location of demand for infrastructure can be steered by public policy. Careful attention to the resource cost implications of different possible patterns of regional development can result in major savings. The second part of the paper reviews ways in which regional planning can complement more direct and faster-acting means of minimising private and public costs of financing infrastructure.     

PPP模式下对私营部门的财务监管

PPP模式是政府公共部门与私营部门合作共同为社会提供公共产品或服务的一种项目运作模式,其优势在于拓宽融资渠道,但是私营部门资金运作是否正规稳定是项目能否成功的关键。所以,政府公共部门应加强对私营部门的财务监管,确保资金按计划到位使用。本文针对PPP模式的基础设施建设项目,论述了财务监管的意义和具体的手段。     

(Un)bundling infrastructure procurement: Evidence from water supply and sewage projects

Public infrastructure has long been faced with difficulty in financing. Available public resources are often limited in many countries. Competitive bidding in public procurement systems is an important instrument to contain the public investment costs. But competition is often limited in the infrastructure sector. In such circumstances, better public procurement design can save a lot of public resources. There is a general tradeoff between the competition effect and economies of scale and scope; large contracts can benefit from the scale and scope effects but have to compromise competition. The unbundling approach can foster competition but may suffer from diseconomies of scale and scope. Using procurement data from water supply and sewage projects in developing countries, the paper analyzes the effects of the (un)bundling strategy on bidders’ entry and bidding behavior. It shows that the bidder cost structure exhibits significant diseconomies of scope between two main public works in this sector, i.e., treatment plant construction and distribution network installation. There is no clear evidence of the competition effect. Therefore, there is no rationale of bundling these two works into a single contract. Unbundling can help governments to contain public infrastructure costs.     

试论PPP项目的风险分配原则和框架

PPP项目融资模式在世界范围内已经得到广泛的应用,但在实际的应用中公共部门和私人部门往往就PPP项目中风险的分配难以达成一致,大大延长了双方谈判的时间和增加了交易成本.本文分析了影响PPP项目风险分配的因素,提出了更为合理的风险分配原则,并设计了相应的风险分配框架,对指导公共部门和私人部门谈判PPP项目具有实际指导作用.     

Mechanisms for protecting returns on private investments in public infrastructure projects

Despite the widespread attention for the private financing of infrastructure projects, actual empirical work on financing public-private partnerships remains limited. Especially the topics of return on equity and lenders’ cash flow control in relation to uncertainty are under-researched. The aim of this paper is to investigate and discuss the mechanisms applied by private financiers of infrastructure projects to protect their returns on investment. Using semi-structured interviews, the qualitative viewpoints of infrastructure financiers and their consultants on infrastructure investment are examined. The findings identify nine control mechanisms that financiers apply, including a range of asset and risk diversification portfolio strategies for their infrastructure investments, and reveal that they depend on governance mechanisms relating to the project environment, relations, knowledge and expertise. Hence, this study provides a better understanding of the actions and mechanisms applied to protect a return on infrastructure investments that leverage partnering strategies between public authorities and private investors in public infrastructure projects. This contributes to the debate on project financing under uncertainty and its implications for project governance in public private partnerships.     

Public asset corporation: A new vehicle for urban regeneration and infrastructure finance

This article presents a hybrid model of managing and financing urban redevelopment and public infrastructure: the Public Asset Corporation (PAC). The model has evolved through the example of Copenhagen City & Port Development Corporation (By og Havn, n.d.), a publicly owned privately managed institution that leverages public assets through land value capture and Public-Private Partnerships. In addition, City & Port leases and sells land to private investors at market prices. The yield serves public benefit by funding a city-wide metro system. Through a mandate by national law to always maximize the yield, City & Port is sheltered from political interference. Thus, it is the blend between public and private ownership, management, and financing that distinguishes the PAC model as it evolved from the case study of City & Port. In contrast, much literature on public ownership and management focuses upon the operational inefficiencies, bureaucracy, and lack of accountability of public organizations, while literature on private organizations is concerned with the amassment of profits accrued by private investors, despite originating from profit generating public sector-driven initiatives, including value appreciation arising from re-zoning, infrastructure, and other public investments.     

PPP 模式在成都市保障性住房中的应用

为了从根本上解决成都市中低收入居民的居住问题,成都市政府近年来采取了多种措施试图对商品房地产市场进行有效调控,缓解政府部门公益性建设项目的融资压力,实现居者有其屋的目的。PPP（Public-Private-Partnership）模式是近年来广泛应用于基础设施建设融资领域的一种新型融资模式,本文对政府部门和私营企业双方在成都市保障性住房建设中应用PPP 模式的可行性及政府部门与私营企业合作融资建设的可行方式进行了分析,提出了应用中可能存在的问题并给出了相应建议,结果认为将PPP 模式应用于保障性住房融资可以达到公与私“双赢”,且有助于完善保障性住房制度。     

民间资本参与基础设施投资的制约因素分析

为化解民间资本进入基础设施投资领域的障碍,促进民间资本更多地参与到基础设施的建设与运营中,通过文献阅读梳理出了6类共25个潜在制约因素,采用基于李克特量表的问卷调研对因素的重要性进行排序,识别出民间资本“融资难、融资贵”、企业合法权益不能得到充分保障和投资者对宏观经济缺乏信心是当前最主要的制约因素。考虑受访者的立场与视角,政府更加重视项目自身素质和企业治理水平层面的限制,而企业和第三方机构则认为制约因素更多体现在权益保障和公平竞争层面。不同地区的主要制约因素也存在差异,东部地区受访者更强调权益保障和公平竞争,中西部地区受访者更关注融资问题。     

The private sector and public space in Dutch city centres

Private sector involvement in the design and financing of urban redevelopment projects has been relatively rare in the Netherlands. The public sector has traditionally played a central role in spatial planning and development. Since the 1980s, however, local authorities have been sharing the responsibility for urban development with the private sector. This article explores the viability of claims drawn from the literature about the effects of private sector involvement in redeveloped public space. Confronting those claims with our empirical material, we expected to find that the participation of the private sector would increase the redevelopment budget but would also lead to restrictions on public access. These two expectations are evaluated in light of the experience in four redeveloped squares in four Dutch cities: Rotterdam, Dordrecht, Enschede and ’s-Hertogenbosch. We found that actors on the public and private sides have different interpretations of what constitutes a direct financial contribution. Those from the private sector believe they have made significant contributions, while those from the public sector see themselves as the sole funders. But they agree on the issue of free access: both public and private actors deny any negative effects of private sector involvement in this respect.     

Preferred risk allocation in China’s public–private partnership (PPP) projects

As part of a comprehensive research into PPP implementation, a two-round Delphi survey was conducted with experienced practitioners to identify the preference of risk allocation in China’s PPP projects. The results show that the public sector would take sole responsibility for the risk “Expropriation and nationalization”, and take the majority of responsibility for 12 other risks related to government or government officials and their actions. Fourteen risks which neither the public nor private sector may be able to deal with them alone are preferred to be shared equally. The private sector would take the majority of responsibility for 10 risks that are at the project level. Interestingly, no risk fell into the category that should be solely allocated to the private sector. Further analysis of the reasons behind these allocation preferences was then conducted. Recommendations on commercial principles and contract terms between the public authorities and private consortia are also made.     

基于风险分摊的PPP项目投资决策与收益分配研究

以公私合作模式(PPP)进行基础设施建设有利于解决政府建设资金紧张以及政府在公共投资管理上的低效问题.文章首先讨论了公私合作投资双方的投资规模上限,通过模型分析得出合作投资有利于项目总风险的降低.其次,建立了公私合作投资双方的最佳投资比例模型,讨论了PPP合作项目风险的识别以及风险科学分配方法,以建立公平的合作关系,充分调动合作双方的积极性.再次,综合考虑投资和风险因素,使用综合评价方法,给出公私双方的风险分摊系数和收益分配比例,并进行了实例分析以验证该方法的有效性.     

The practical application of delivery methods to project portfolios

The rebirth of design-build, design-build-operate, and build-operate-transfer as viable alternatives for the delivery of major capital projects is symptomatic of dynamic changes in the relationship between producers and clients throughout the construction industry. In the private sector, these delivery methods offer clients the chance to shift emphasis towards core functions and away from real estate development and operations. In the public sector, where capital budgets are constrained, delivery alternatives offer clients the chance to combine construction skills and technology to meet infrastructure needs in innovative ways. However, for those clients with numerous facilities and a steady flow of projects over long periods of time, a critical problem is emerging: how to effectively match each project in the portfolio to a preferred delivery method. This paper presents a tool called CHOICES©?, which permits convenient comparisons of alternative delivery scenarios for a portfolio of capital projects and services. CHOICES©? is designed to help formulate a portfolio infrastructure strategy, test that strategy, and adjust it to meet strategic goals within capital constraints.     

流域综合治理PPP项目政府选择社会资本方式及要求

首先分析流域综合治理PPP模式的难点,然后在收集已招标完成或处在前期采购阶段的29个案例基础上,从采购方式、PPP项目公司股权结构、对社会资本的要求以及是否接受联合体投标等四个方面进行分析。最后提出流域综合治理PPP模式宜采用竞争性磋商采购方式,政府应少量股权投入项目公司,对社会资本的要求应包括融资和专业能力等建议。     

对中国城市公共交通私营化有关问题的思考

在中国社会主义市场经济条件下 ,私营化城市公共交通将变得越来越重要 ,弥补了传统的公营化城市公共交通的不足。必须要充分运用市场经济规律来管理中国的城市公共交通。首先 ,要开放市场和鼓励竞争 ,通过竞争提高公共交通的运行效率 ,降低成本 ,改善经营状况。传统的低票价制度将被受市场供需关系调节的灵活票价制度所代替。其次 ,要兼顾经济效益和社会公平 ,对低收入者实行适当的财政补贴 ,方便他们使用公共交通。政府要加强对私营公共交通公司的监督和管理使其在追求利润的同时更好地为乘客服务。第三 ,要加强公共交通私营化的立法 ,使得公共交通私营化多样化、规范化和法制化 ,形成政府、私人机构、乘客三赢的局面。第四 ,公共交通规划、设计和施工单位的私营化是一个重要的发展趋势 ,政府机构的功能将逐步转变成财政资助 ,项目管理 ,监督执行 ,质量控制和协调发展     

基于公私共生的公共工程采购模式

随着基础设施建设的发展,公共工程的采购模式也不断创新。将共生理论引入公私合作模式中,把政府与私营方视为系统两个独立的方面,对照共生模式中的基本类型,将政府与私营方之间的合作关系视为非对称互惠模式。文章通过博弈论分析了政府和私营方在共生模式下如何达到帕累托最优状态;运用价值网对政府与私营方的价值流进行分析,研究了政府与私营方共生的内在机理。文章通过能量损耗与共生能量的分配原则,提出了政府与私营方之间风险分担和利益分配的概念模型。     

公共项目私人融资新途径——PFI

ＰＦＩ是一种新的公共项目私人融资方式。它鼓励私人部门营建基础设施项目或政府公共项目,并以此为基础提供公共服务的一种区别于传统政府公共项目的出产方式。它能够广泛地适用于许多政府的公共项目领域,在英国该方式已成为政府获得高质量、高效率的政府项目的主要工具。ＰＦＩ的应用有二个基本必须遵循的原则,一是要能够实现安全可靠的经济价值;二是项目的风险能够在政府部门和私人部门之间合理分配。     

Productivity effects and determinants of public infrastructure investment

This study aims to investigate three important issues whether or not public infrastructure contributes to production in the private sector, whether or not political economy factors such as political situation affect the allocation of public infrastructure investment, and what the government’s investment behavior is. We estimate simultaneous equations by using a panel data set of 46 prefectures in Japan for five-time periods from 1975 to 1990. We conclude the following: (1) public capital contributes to productivity, (2) the investment behavior of both governments is efficiency-oriented for private productivity and for the capital stock level, (3) a substitute of public capital investment between the national and prefectural governments can be found, (4) there is a clear political factor in the national government’s public investment function, and (5) the availability of national government grants for the construction of infrastructure boosts investment among prefectural governments.     

Fifteen years with index-linked mortgages: Successes and failures

Index-linked mortgage loans were introduced in Denmark in 1982 in an inflationary environment. After 15 years, it is time to reevaluate the efficiency and relevance of that instrument in a low-inflation environment and an internationalized open capital market where, by 1996 for the first time, the outstanding value of indexed mortgage bonds dropped. By eliminating the inflation risk, inflation risk-averse investors should accept a lower yield on indexed bonds and the funding cost should be reduced. However, the opposite seems to be the result in the Danish case. There, the longest and the most risky mortgage bonds on the market were created as a precondition for receiving subsidies on social housing. The results has been an expensive budget deficit financing. In the private sector, debtors are free to choose between indexed and nominal loans to a rather limited extent. Indexed loans have been a failure. And the lack of a call option for prepayment has created problems in a very illiquid market.     

Alternative approach to credit scoring by DEA: Evaluating borrowers with respect to PFI projects

Private finance initiative (PFI), as a form of public/private partnership (PPP), helps to contract the private sector to governmental projects. In contrast to traditional public financed projects, PFI projects are procured by allowing a private sector entity to take the responsibility to design, build, finance, and operate (DBFO) an asset for a contract period of up to several decades. Moreover, banks are perceived to take the leading role in financing PFI projects. Since project financing involves credit assessment of loan applicants, banks have employed popular credit scoring models to assess their creditworthiness. Although the existing models are useful for credit scoring, new models have to emerge in response to ever-changing business practices. This paper therefore aims at introducing the application of data envelopment analysis (DEA) as an alternative credit-scoring model. Unlike traditional credit-scoring building on a formula where weights to a set of criteria are assigned subjectively, DEA will automatically generate the relative weights for analysis. However, incorporating DEA demands additional considerations, which are discussed in this paper. Finally, examples are demonstrated for illustrating this alterative approach to credit scoring by DEA.