Presentation By: Mrika Tahiri & Donat Alaj Regional Cooperation - - PowerPoint PPT Presentation

Presentation By: Mrika Tahiri & Donat Alaj Regional Cooperation Council Public Private Partnerships in Strategic infrastructure networks: Developing the PPP Enabling Environment in Southeast Europe 25 September 2009

Vast Infrastructure Development Opportunities and Needs

Legislative PPP Framework

The Government of Kosovo is committed to create an

attractive –investment friendly environment:

Government declared PPP as a national priority via policy

directive on July 2008

Law was written in accordance with international best

practices, compliant with UNCITRAL, EBRD, EC Guidelines etc.

Concession and other rights to utilize and/or exploit

publicly owned infrastructure and/or provide public services in many sectors

Institutional PPP Framework

The law establishes two institutional bodies:

PPP Inter-ministerial Steering Committee (PPP-ISC); and The Centralized PPP Unit – Partnerships Kosovo

PPP & PRIVATIZATION PROJECT PIPELINE

Sector Project Description Road Infrastructure Route 7 (117km) : € 1.15 billion PPP Air Transport Prishtina International Airport Energy Sector

• Distribution and Sales of Kosova Energy Corporation
• Zhur Hydro Power Plant (300 MW)
• New Kosova (up to 2100MWh), mining, etc.
• Combined Heat and Power / District Heating in

Prishtina (€40 million) Municipal / Urban Regeneration/

• Public Parking / Transport
• Public Buildings
• Recycling / Waste
• Sports & Leisure
• Others

Railway Transport Kosova Railways Education Multiple School PFI

Project Title: Pristina International Airport Contracting Authority: PSC named by the Government Project Data:

• The only Airport in Kosova
• Over 1 mill pax annually
• Positive Pax growth every year
• Rated best Airport in Europe with under 1M PAX Annually
• Large potential of Expending Costumer base ,non-aeronautical

commercial activities Expected Timeline:

• August, 2009 Request for Qualifications Issued
• October, 2009 Submission of Qualifications
• November, 2009 Draft Transaction Documents to qualified bidders
• November, 2009 Pre‐Bid Conference
• December, 2009 Deadline for Proposals / Contract Award

Contracting Options: PSC has decided on DBFOT transaction structure Total Investment Expected Requirements: Approx 80-100 MIL EURO

Sector: Air Transport

Sector: Water Supply

Project Title: Prishtina Regional Water Company Contracting Authority: Prishtina Regional Water Company Project Data:

• Investment Project to Increase and Modernize the Water Supply

in Prishtina (Capital City ) and surrounding municipalities

• Includes finding New Sources of Water and Increasing the

Potential of the Supply System

• Costumer Base of approximately 800.000 inhabitants
• Currently faced with significant Water Shortages
• Donors interest for financial support

Expected Timeline: Feasibility Study & Master Plan

• October 2009

Transaction Design

• November 2009

Release of Request for Proposal

• March 2010

Contracting Options: DBFOT Total Investment Expected Requirements: Approx 60-70 MIL EURO

Sector: Energy

Project Title: Kosova Energy Distribution and Sales Contracting Authority: Ministry of Economy and Finance Project Data:

• Distribution and Sales of Kosova Energy Corporation
• Natural Monopoly - Distribution
• Legal Monopoly - Sales
• 350.000 costumers (households )
• Effective and Independent Energy Regulator

Expected Timeline: Transaction Advisor

• May 2009 (Contracted)

Tender Announcement

• November 2009

Select the Winning Bidder

• February 2010

Contracting Options: Sale of Shares (up to 100%) Total Investment Expected Requirements: 400 MIL EURO

Sector: Energy

Project Title: Zhur Hydro Power Plant Contracting Authority: Ministry of Energy and Mining and Energy Regulatory Agency Project Data:

• Hydro based power generation
• Two Units: HC 1, HC2
• Total Capacity 292.2 MWh
• Expected duration of construction 5 yrs (Large Civil

Construction Project) Expected Timeline: Feasibility Study

• May 2009 (Completed)

Transaction Advisor

• September – October 2009

Transaction Implementation/Tender Announcement

• December 2009

Select the Concessioner

• February2010

Contracting Options: Project will be implemented under a DBFOT Total Investment Expected Requirements: 300 MIL EURO

Sector: Railways

Project Title:

Kosova Railways

Contracting Authority: Kosova Railways Company Project Data:

• Operates and maintains the Kosova railways lines, including Freight

Transport , Passengers services , and optical network on the main railway lines

• Track Access Charges – Private Participation in freight railways

transportation : commercialize it

• Next Step: Create two Entities:

Separate Infrastructure/Maintenance and Operation Expected Timeline: Transaction Design

• October 2009

Release RFP Package

• March 2010

Contract Award

• September 2010

Conclusion

Policy Posture is decidedly pro-private sector Major pipeline of PPP in most sectors Kosova is committed to long-term sustainable growth

by working together with the private sector