The role of the Government Mr. Jan van Schoonhoven, Director PPP Unit
Moscow, 21st. of October 2008
Outline Presentation How PP Helps Dutch PPP Projects Role Government and PPP Unit
HOW PPP HELPS
How PPP Helps Large new projects and reconstruction: Projects within time and budget Focuses on availability Focus Government on core business for future projects
Innovation with Construction and Maintenance combined If you have to maintain it, you will think twice
Large, integrated projects only possible in PPP constructions If you thing you can control it all, keep on dreaming
Additional financial funding possible in PPP It is not making money, but using it sensible Do not create you own budget crises, you have to pay it Concessions is possible, but be realistic
New business constructions possible Concessions, Alliances and Joint Ventures
New Projects on their way Road Pricing (Anders betalen voor Mobiliteit)
DUTCH PPP PROJECTS
Road PPP Examples N31 and A59 N31 121 M€ (only B) shorter building time 12 km and 25 km M Value for money 27%
A59 218 M€ 10 km B and M F 50% unconditional irrevocable payment Value for money 14%
Rijkswaterstaat PPP Unit
PPP Unit PPP Advisory Unit: Specialized PPP-unit of the Ministry of Transport, Public Works & Water Management
Head and body of the ministry All civil servant In cooperation with market partners
IF YOU NOT KNOW WHAT YOU DOING STOP DOING IT AND START THINKING
Rijkswaterstaat PPP Unit
PPP Unit PPP Advisory Unit: Specialized PPP-unit of the Ministry of Transport, Public Works & Water Management
Aims of the Unit: Advise the ministry on PPP issues Discussion with partners in government and market Advise and bring knowledge into PPP projects Develop knowledge on core business Share knowledge internally and exchange externally
Role of the Government PPP Unit: Make standard contract (developed by public and private sector) And use them, all parties Improve when possible AND necessary Less legal fuss, less money lost Instruments (Market scan, PPC and PSC) Know what you do and be able to compare Transparent decisions are real decisions In God we trust, all others we monitor Learning on the job at the Ministry Do projects is the key to success Learn from successes and failures, the government too!! Be a professional partner, reliable and integer
DUTCH PPP PROJECTS
Identifying potential projects >> Through Value for Money testing € 60-112,5 million
Public Sector Comparator (“PSC”) – value for money Obligatory for all ppp contracts in order to identify the Value for Money
