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implementation of a ppp transaction in the rural water sector in uganda

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Ma<strong>in</strong> Results <strong>of</strong> <strong>the</strong> Legal Due Diligence <strong>in</strong> Busembatia<br />

“IFC’s Proposed” Management Contracts (Cont’d)<br />

• Importance <strong>of</strong> bus<strong>in</strong>ess plan as benchmark <strong>in</strong> tariff sett<strong>in</strong>g and contract<br />

management fee level<br />

o To mitigate potential adverse risks associated with unilateral changes<br />

to <strong>the</strong> tariff and management fee, <strong>the</strong> BP will assume greater<br />

importance <strong>in</strong> new contracts<br />

o The BP will require more comprehensive f<strong>in</strong>ancial <strong>in</strong>formation to be<br />

<strong>in</strong>corporated <strong>in</strong> it<br />

o It will also <strong>in</strong>clude proposed tariff and management fee <strong>in</strong> <strong>the</strong> PO’s bid<br />

• New key performance <strong>in</strong>dicators<br />

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