What is it?The efficient provision of public infrastructural services (water and waste water, solid waste, power, transport, etc) is a pre-requisite to a fully-functional economy. Historically, governments in both emerging nations and developed countries have established State or municipally-owned enterprises to develop and operate these infrastructural networks. While some of these public sector utilities continue to operate effectively, many have been faced by the twin problems of a lack of best practice skills and entrepreneurial drive within management together with inadequate financial resources, insufficient to meet the increasingly critical demand for network modernisation and expansion. The encouragement of private sector participation in the operation, management, development and financing of public sector infrastructure has been seen as a potential solution to both problems in recent years. Such PSP schemes can introduce best practice management and entrepreneurial skills into poorly-performing utilities and can also mobilise the funding required for capital investment in infrastructure modernisation and expansion. PSP schemes have now been implemented (with various degrees of success) throughout the world. One of the keys to successful PSP is seen as the parallel development of a strong regulatory regime with a remit to protect the consumer in what is often a monopoly supply situation. In particular, regulators monitor service levels and enforce remedial action where standards fall below a pre-defined minimum. Regulators also regulate tariffs to limit “gouging” by the private sector operator. What we do PKF is a leading provider of consultancy services in this challenging arena. Gaining our initial experience as advisers to UK public sector bodies on a range of PPP/PFI assignments, we have subsequently applied these skills to advising relevant government authorities in developing nations and emerging markets on the orderly and transparent introduction of PSP into many public utilities and services. Similarly we have gained significant UK experience in the restructuring of public enterprises (advising utility regulators, benchmarking exercises, etc.) and our International Projects Group has introduced these principles and practices to public enterprises (particularly utilities) in emerging market environments around the world. Our services include: - institutional development
- PPP/PFI deal structuring
- feasibility studies
- financial and economic analysis
- VFM and bankability studies
- financial modelling.
Our clients Click here here to see a selection of our recent international experience in private sector participation in public infrastructure. Our team Our in-house expertise includes:
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