PMR cover.psd - ppiaf

Program Manager’s Report — Table of Contents
1. Letter from the Program Manager to PPIAF’s Donors, May 11, 2012
2. FY2012 Portfolio Report: July 1, 2011 – March 31, 2012
PPIAF and SNTA Total Funding in Q1-Q3 FY2012 vs. Q1-Q3 FY2011—Regional and
Sectoral Split
Status of PPIAF Approved Activities Inception to Date—July 1999 to March 2012
3. PPIAF Work Program 2011–2013
Activities Approved in Q1-Q3 of FY2012, Classified in Accordance with PPIAF Work
Program 2011–2013
4. Regional Updates of PPIAF’s Activities Around the World
Sub-Saharan Africa
East Asia and the Pacific
Eastern Europe and Central Asia
Latin America and the Caribbean
Middle East and North Africa
South Asia
5. Impact Stories
PPIAF Supports Small-Scale Water Providers in Uganda
PPIAF Helps Peruvian Sub-Nationals Tap Financial Markets: the Case of the
Municipality of Lima
SNTA Supports a Water Utility in Brazil’s Frontier Region
PPIAF Supports Private Sector Participation in the Solid Waste Sector in Ethiopia
PPIAF Support to the Enabling Environment for Public-Private Partnerships in
Malawi
6. Non-Core Trust Fund Status Reports
PPIAF Non-Core Trust Fund for Middle-Income Countries
PPIAF Non-Core Trust Fund as a Response to the Global Financial Crisis
PPIAF Non-Core Trust Fund on Integrating Climate Change Agenda with Public-
Private Partnerships
Report for IFC on Fragile States

Dear friends,
1
May 11, 2012
I am pleased to present to you the FY2012 Program Manager’s Report. As you will notice from this report,
this has been another active year for PPIAF, in which we continued delivering important technical
assistance to governments. We are constantly innovating to deliver better, faster, and efficient technical
assistance, adapted to the stage of development and needs of each country. Herein please find a
summary of the various areas in which we have been working this year:
Technical assistance to client governments
During the first three quarters of FY2012, PPIAF has provided funding of close to $9.5 million for 71
activities under the PPIAF and Sub-National Technical Assistance (SNTA) programs across all regions.
This is a significant increase on the same period in FY2011 when approved activities totaled $4.2 million.
In Sub-Saharan Africa, the second quarter was a highlight and saw strong demand with 17 PPIAF
activities approved for a value of over $2.4 million, the largest quarterly commitment to Sub-Saharan
Africa since the second quarter of fiscal 2010.
In the Middle East and North Africa, PPIAF is supporting the first public-private partnership (PPP)
transaction in the West Bank and Gaza by providing funding for legal advisory transaction support for the
Southern West Bank Solid Waste Management Project, to be structured by the IFC. In the same region
the first SNTA activity was approved, with the Ministry of Interior and Municipalities in Lebanon embarking
on an ambitious decentralization policy. The activity will provide creditworthiness support to the Al Fayhaa
Union of Municipalities and the Municipalities of Tripoli, Mina, and Beddawi.
PPIAF has also been active in other regions such as Eastern Europe and Central Asia where it is
helping the government of Albania prepare a privatization strategy for several hydropower plants.
In South Asia, PPIAF is supporting PPP pipeline preparation and initial implementation with funds to the
government of Nepal to support the screening and initial feasibility assessment of a pipeline of potential
PPP projects, and also in the Maldives providing post-award contract management support for a
pioneering PPP transaction in the solid waste management sector.
In Latin America and the Caribbean, PPIAF is supporting the preparation of a performance-based
efficiency improvement contract for the National Water and Sewerage Agency (IDAAN)’s Colon Business
Unit.
Lastly, in East Asia and the Pacific, PPIAF is supporting an activity in Lao PDR that will assess the
suitability of transport projects to be structured as PPPs. In this period the SNTA program in East Asia
and the Pacific also concluded its first activity in Indonesia for the assessment of the creditworthiness of
four major regional cities.
The technical assistance granted in FY2012 fits within the approved work program. We include herein the
FY2012 portfolio reports (core and non-core trust funds) and a list of activities approved in FY2012
organized as per PPIAF’s work program.
In Q1-Q3 FY2012, we approved the following total grant amounts per DAC status:

LICs
MICs
PPIAF SNTA
DAC 1 $3,398,631 50%
$297,995 24%
59%
DAC 2 $622,900 9% $46,750 4%
DAC 3 $1,576,513 23%
$561,300 45%
41%
DAC 4 $1,172,665 18% $329,780 27%
Total $6,770,709 100% $1,235,825 100%
These numbers do not include global activities or those approved from the PPIAF Non-Core Trust Fund
for Middle-Income Countries.
In FY2012 we have been proactively and systematically developing activities for PPIAF and SNTA
support. We are doing this in many ways, including the following:
a) Attending one-on-one meetings with government officials in many developing countries around
the world. A small group of 8 members has had meetings with government officials in 16
countries in the regions listed below, engaging in a systematic effort country by country to
develop a solid pipeline of technical assistance based on current expressed needs of the
governments. This meets the PMU’s and Donors objectives of developing capacity and
providing support in DAC I and DAC II countries:
a. Sub-Saharan Africa: Burkina Faso (DAC 1), Chad (DAC 1), The Gambia (DAC 1),
Guinea-Bissau (DAC 1), Kenya (DAC 2), Lesotho (DAC 1), Mozambique (DAC 1), Niger
(DAC 1), Senegal (DAC 1), South Africa (DAC 4), Tanzania (DAC 1), and Uganda (DAC
1)
b. Middle East and North Africa: Egypt, Jordan
c. East Asia and the Pacific: Indonesia, and the Philippines
b) Engaging daily with our colleagues from the World Bank (WB), IFC, and several of your
representatives in various countries (including MCC in Washington, DC and Lesotho; DFID in
Mozambique and South Africa; SECO in South Africa; USAID in Washington, DC; AusAID in
Australia; etc.) to develop activities to provide technical assistance and to disseminate the type of
support we can provide. One example is assistance (approved) to the government of Lesotho to
develop a PPP to provide ICT interconnectivity for more than 150 health clinics, which are being
refurbished and built by MCC; this activity is being developed in collaboration with IFC.
c) Expanding the Help Desk for the benefit of the Ghana PPP Unit (agreement signed in December
1, 2011).
d) Developing dedicated calls for proposals, based on our assessment of the needs in various
countries and the importance to provide a rapid response. The table below summarizes the
various calls for proposals launched to date and the number of proposals received as of March
31, 2012. We continue to receive and evaluate proposals on an ongoing basis.
Title/objective Launch Date(s)
Project Pipeline Screening and Initial
Feasibility Assessment of Potential
Infrastructure PPPs
Support to Infrastructure PPPs in
Fragile and Conflict-Affected States
October 14, 2011 11
February 8, 2012 4
2
28%
72%
Number of
proposals received

Title/objective Launch Date(s)
Project Pipeline Screening and Initial
Feasibility Assessment of Potential
Infrastructure PPPs in Small Island
Developing States
Water and Sanitation in Sub-Saharan
Africa
Climate Change Adaptation and
Mitigation Project Initiative
Fast Track SNTA Proposals for Low-
Income Countries
Joint PPIAF-GPOBA-ESMAP Call for
Proposals for Rural Electrification in
Sub-Saharan Africa
February 10, 2012 1
October 6, 2011 24
February 8, 2012 7
May 24, 2011 and February 8, 2012 30
April 4, 2011 and September 13, 2011 4
3
Number of
proposals received
e) Providing Rapid Response expert consultancy services to governments in Sub-Saharan Africa
who have various projects and wish to receive feedback on their plans to develop and implement
various PPP projects, identifying the feasibility of their projects, their readiness, and the steps
required to structure those projects. This Rapid Response is being delivered by the consulting
firm Castalia Advisors and consists of short in-country missions by PPP experts, to come up with
a priority list and the steps needed to develop those projects further.
In FY2012 Castalia performed the following rapid-response missions:
Country Objective Date Results
Ghana
Zimbabwe
Assess current situation and work
with government counterparts and
Bank team to identify options for
the optimum arrangements for the
provision of urban water services
Provide guidance to the
government on the development
and implementation of its PPP
program, covering the transport,
electricity, telecommunications
and water sectors
Monitoring and evaluation
October
2011
January
2012
� Final report: Institutional Options for
Improving Water Supply in Ghana
� Broad options presented to Minister
of Water Resources, Works, and
Housing on October 21, 2011
� Final report delivered to government,
and task team in discussion with
government on next steps
� PPIAF to support one of the identified
PPP projects once there is an
agreement to move forward
In FY2012 we have continued the work begun in FY2011 to capture the results of PPIAF’s work in our
internal database, based on PPIAF’s new refined system of methodically measuring results. In particular,
we continue to prepare country write-ups summarizing PPIAF assistance in each country where PPIAF
has provided support. From a total of 24 countries researched as of the June 2011 Casablanca Program
Council Meeting (PCM), we have now completed 61 countries researched as of May 4, 2012. These
country write-ups are all available on the PPIAF website. The 2012 Monitoring and Evaluation Report

contains a comprehensive list of outputs, outcomes, and impacts captured in our database as of this date.
This consists of very detailed research to extract the results of PPIAF-funded work over the past 13 years.
When possible, we have been validating these results during our meetings with government officials of
the various countries visited this year, as well as with the corresponding WB and IFC Task Team Leaders
(TTLs).
As requested during the June 2011 Casablanca PCM, we have prepared a logframe for PPIAF and
SNTA. On November 22, 2011 we sent it to all donors for comments. Again, we revised it in May 2012
and are including it as part of the documentation for the Kampala PCM. As of this date we have not
received any comments. The proposed logframe is being submitted for PCM approval.
We also commissioned an external independent review of PPIAF’s monitoring and evaluation indicators
and system by Castalia Advisors. The results of the review will be presented in Kampala.
Communication and dissemination
PPIAF is now 13 years old. Although it works upstream, many activities supported by the program since
1999 have produced visible results on the ground. To highlight the visible, lasting impacts PPIAF has
achieved, we continue to prepare and disseminate our series of Impact Stories that give examples of
results of PPIAF’s interventions in a particular country, country write-ups that summarize the technical
assistance PPIAF has given and the corresponding results by country, and Regional Updates that
provide a wider view of the work PPIAF and its SNTA program have been supporting in a particular
region. This report contains a few Impact Stories and the FY2012 Regional Updates.
In FY2012, we have been more strategic regarding communicating about the PPIAF program and its
results, as well as disseminating best practices. Our main targets to receive relevant information have
been: 1) our client governments, main beneficiaries of PPIAF assistance; 2) your institutions, so that they
know what the program is doing; 3) internal WB and IFC staff, to know how best to access our funds and
work with PPIAF; and 4) the general public. We have a contact list of over 1,000 people who receive
valuable information and updates from PPIAF once or twice a month. To accomplish this, we have
restructured the PPIAF website and focused on increased communication with our donors and partners.
PPIAF website. In October 2011 PPIAF launched a better organized and more substantive website. We
spent several months re-designing it and preparing new content to make it more relevant. It now contains
more detailed information on PPIAF’s work in a particular infrastructure sector or theme (e.g., fragile
states), and aims to become a one-stop resource on PPP- or infrastructure-related information. Our main
objectives are to convey more clearly what PPIAF is and what it has been doing since its founding in
1999, as well as to disseminate in an organized manner the knowledge that has been supported by your
institutions for many years to make it accessible to client governments and the wider public.
In particular, the new website now includes:
� A section on PPIAF’s work in its strategic themes (universal access, climate change,
urbanization, SNTA, fragile states, regional integration, and capacity building), which includes
related links, PPIAF publications, lessons learned, pages on specific topics when relevant, and
final PPIAF-funded reports when available. Specific topic pages include information on PPIAF
support to: gender, climate change mitigation, climate change adaptation, sub-national credit
ratings, sub-national performance improvement, and PPP units.
� A section on PPIAF’s work in its priority sectors (power, water and sanitation, transportation,
telecommunications, and irrigation), which includes pages with detailed information of PPIAF
support in its sub-sectors and final PPIAF-funded reports when available. Specific topic pages
include information on PPIAF support to: electricity generation, transmission, and distribution;
rural electrification; renewable energy and energy efficiency; non-revenue water; solid waste
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management; small-scale water providers; wastewater and sewerage; airports; ports; railways;
bus rapid transit; light rail; and highways.
� PPIAF’s Knowledge Center, a valuable source of up-to-date information on infrastructure and
PPPs, with materials and resources that explore current trends and encourage discussion, written
by experts in the field. In particular, PPIAF's Library includes PPIAF publications, PPIAF-funded
reports, books, short notes, case studies, and other resources.
� A section on the results PPIAF has achieved over the past 13 years, which includes all of the
country write-ups drafted to date, as well as PPIAF’s Impact Stories series that highlights
examples of successful PPIAF and SNTA activities.
In the first three quarters of FY2011, PPIAF’s website received 6,937 visits and 22,403 total page views.
In Q1-Q3 FY2012, www.ppiaf.org received 10,205 visits and 28,889 total page views. This is an increase
of 47%.
PPIAF is also regularly communicating its results and online resources to donors and their teams in the
field, as well as to people from developing countries met in the last two years by PPIAF team members.
From August 2011 to March 31, 2012, PPIAF sent 11 emails in this respect.
Date Email Subject
September 9, 2011
PPIAF Publications and Resources on Non-Revenue Water and the Water and
Sanitation Sector
October 20, 2011 Launching of PPIAF's New and Improved Website
November 1, 2011 PPIAF Reports and Resources on Solid Waste Management
November 9, 2011
PPIAF, 11 Years of Upstream Work Producing Visible Results on the Ground—
Feature Story
December 1, 2011 PPIAF Reports and Resources on Irrigation
December 10, 2011 PPIAF Support in the Transport Sector
January 31, 2012 PPIAF Support in the Telecommunications Sector
March 1, 2012 PPIAF Support to PPP Units, Small-Scale Water Providers, and IFC's Handshake
March 9, 2012 Recent PPIAF-funded and Sponsored Publications
March 16, 2102
PPIAF Support to Renewable Energy and Energy Efficiency; Climate Change
Mitigation and Adaptation; Infrastructure Regulation; Lessons Learned on Pricing
and Affordability; and Updates from the PPPIRC Website
March 30, 2012 Recent PPIAF Publications and Updates from PPIAF-funded Activities
We have received many positive comments:
Date Sender Comments
September
9, 2011
October 20,
2011
November
1, 2011
Momodou Lamin Sompo
Ceesay, Senior Electricity
Engineer, Public Utilities
Regulatory Authority, The
Gambia
Gulla Jan, Graduate Student,
KDI School, South Korea
Andrew N. Bvumbe, Head Debt
Management Office, Ministry of
Finance, Zimbabwe
Many thanks for the links to the documents and it’s nice to hear
from you. I've already downloaded a few and would continue to
read others. The PPP Reference looks good and should become
very handy.
Thank you so much for sharing such kind of information with me. It
is really useful and hope it will work to apply in Afghanistan.
Thank you very much for the information. This is going to be useful
for the MOF as we are in the process of setting up a PPP Unit.
5

Date Sender Comments
November
9, 2011
December
1, 2011
December
19, 2011
January 31,
2012
March 1,
2012
Lourenço Veniça, Economist,
Road Fund, Mozambique
Demba Jallow, Corporate
Planning Manager, National
Water and Electricity Company
LTD, The Gambia
Ms Tchimsi Atchabao, Advisor,
Research & Development, Togo
Free Zone Authority (SAZOF),
Togo
Zewdineh B. Haile, Consultant
and Attorney at Law, Zee Law
Office, Ethiopia
Marc Frilet, Chief Editor, Head
of PPP Working Group, French
Institute of International Legal
Experts and Paris Bar
Thank you for networking us in this subject. We will keep following
up all the international discussions and practices regarding this
specific subject.
Thanks you for this valuable information. We will review and try to
find a way reaching out for support.
I just run through the precious files you willingly shared with us. I
would like to extend special Thanks to you and the Team for your
care.
This is just to say thanks a million. Your successive emails have
truly bridged-up the communication gap. We met last in Addis over
lunch with your colleague a couple of months ago. The Kigali
workshop was a great success and your presentation was the best.
The documents you have shared with us are another testimonial
for the quality service your institution has been providing to the
public at large.
As you may know, the international industry and in particular the
Confederation of International Contractor Association (CICA) and
its PPP working group representing the industry together with the
French Institute of International Experts (IFEJI) and the Paris Bar
have been working closely with the World Bank, various PPP Units,
and other international financial associations in order to contribute
to the success of PPPs around the world.
In this respect, we have not only advertised your publications but
also use them a lot as a basis for contributing to develop the
conditions of success of PPP mostly in developing countries where
such conditions remain often to be designed in several areas.
Continuing proactive exchanges on the conditions of success of
PPPs with a good equilibrium between the expectations of the
public sector, the consumers and the industry, is more important
than ever. Indeed with the financial crisis it is essential to
understand how to attract investors for long term and resilient PPP.
We are convinced that with our joint efforts the preparation and
planning of a pipeline of good PPPs which is so far difficult to
achieve in many countries may become a realistic goal.
Disseminating PPP best practices. We continue to disseminate the various global knowledge products
developed by PPIAF with PPP units in developing countries, universities, Academia, and other interested
people. The team has attended several conferences, seminars, and other events in Africa and Asia to
further disseminate our knowledge products and share our experience on PPPs. We have also
participated as speakers at conferences sponsored by PPIAF and at others organized by third parties or
other partners. We are also expanding our communication efforts to a wider audience within the World
Bank Group.
In FY2012, the PPP in Infrastructure Resource Center (PPPIRC) team was asked to review PPIAF’s
recently developed online database of PPIAF-funded activities. The review’s primary objective was to
determine whether any legal precedents or materials relating to the establishment of PPPs funded by
PPIAF could be further disseminated through the PPPIRC. The PPPIRC team did a full review of PPIAF’s
database to find high-quality material. Legally relevant documents (including sample agreements and
draft legislation) from 25 activities were selected for dissemination, as they were considered to be good
precedents, which would complement existing documents published on the PPPIRC website.
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Communicating with donors. We have prepared short donor-partnership documents summarizing the
history of each partnership, common areas for priority support, and some results to date, so that you can
disseminate to other staff within your institution, in your home country, or abroad, so that other colleagues
know more about the program that you have been funding and we can collaborate better. We have
shared all of these documents with you, and final versions can be found on the PPIAF website in the
About Us section.
At least monthly, we have been sharing with you and with your teams in country offices for whom you
sent us email addresses, the new material we are writing and publishing. In a visit to one of your offices in
South Africa, we were very pleased to see that the material we have distributed on sub-national finance in
Africa was on the meeting table!
Annual report. On September 30, 2011 we released to you and to the public PPIAF’s FY2011 annual
report; the report was finalized within the time period required in the Program Charter. It provides a good
picture of our program in FY2011. We look forward to your comments.
Preparation of selected articles for publication. We continue drafting Feature Stories that highlight
and comment on current happenings relevant to PPIAF, including selected events, activities, and articles
that are published on PPIAF’s website. We are also regular contributors to IFC’s quarterly Handshake
Magazine, with published articles on Cities and PPPs, Meeting the Challenges of Water Scarcity and
Distribution through PPPs, Climate Change and PPPs, and Healthcare and PPPs.
Knowledge and learning for client governments
Capacity building seminars. At the request of various governments in Africa and in other countries, we
have prepared and participated as speakers at various PPP seminars with the objective of developing
capacity in government officials, explaining what PPPs are and how they can be structured, emphasizing
the importance of developing a clear enabling environment to provide confidence to investors, and
providing examples of how PPIAF assistance has led to specific PPP projects.
Country Date
Partners/
organizers
7
Topic
Guinea-Bissau November 8–10, 2011 IFC, WBI, WB PPP training in Bissau 35
Mozambique November 1–10, 2011 WB, DFID
Kenya December 1–2, 2011
Jordan April 2–4, 2012
Switzerland February 21–23, 2012
Senegal
June 5–8, 2012 (to
come)
AfDB, AME
Trade
WB, Carbon
Finance-Assist
Program,
Government of
Jordan
WBI, ADB,
UNECE, IFC,
Swiss
Government
SECO, Global
Energy Basel
Foundation
IFC, WSP,
AfDB
PPP training for mega
projects
Number of
participants
30
Africa PPP conference 200
Regional Workshop on
Selecting and Implementing
Nationally Appropriate
Mitigation Measures
(NAMAs)
PPPs and OBA: improving
accountability in service
provision
Energy Basel Summit 2012 60
50 from
Middle East
and North
Africa region
500 from 90
countries
PPPs in Water 100 (target)

We have also sponsored several other capacity building events, as follows:
Country Date Partners Topic
Nigeria
November 14–16,
2011
South Africa March 26, 2012 AFD
Singapore January 15–21, 2012
IFC, WBI, WB
ESMAP, ADB,
WBI, AFD,
SSATP
8
PPP Workshop on Best
Practices and Lessons
Learned from Recent
African Case Studies
Municipal Revenue
Management Master Class
Capacity Building Training
Leaders in Urban Transport
Planning
Number of
participants
300
40 from 13
countries in
Africa
66
participants
from 33
countries
In these events, we disseminated close to 4,000 copies of PPIAF materials, including PPIAF publications
and Impact Stories, to around 1,400 people.
Preparing lessons learned and other knowledge materials. We continue preparing materials to share
lessons learned on PPPs, disseminating case studies funded by PPIAF and publishing them on the
website, and preparing short notes on various topics, including a series of notes on PPPs in fragile states,
sub-national financing, and pricing and affordability in essential infrastructure services.
Partnerships. We are constantly looking for new partners to deliver much-needed training on PPPs to
government officials, mainly from Africa. We have spoken with the Development Bank of South Africa and
the PPP Unit of South Africa, within the National Treasury, to partner for the delivery of training to
governments who so desire this, as they have an established training program. We also partnered with
the Agence Française de Développement to deliver training on sub-national financing in Durban in March
2012.
Strengthening collaboration
We continue developing new partnerships and strengthening existing ones with key players such as the
Global Partnership for Output-Based Aid (GPOBA), the Water and Sanitation Program (WSP), the Energy
Sector Management Assistance Program (ESMAP), IFC InfraVentures, IFC’s Conflict-Affected States in
Africa (CASA) initiative, and other teams from the World Bank and IFC, to innovate on new and more
effective ways of providing technical assistance. These relationships will help us to be more strategic and
focused, as well as ensure that our interventions are sequenced and achieve results. Some of the
partnerships we continue developing include:
Cities Alliance: Joint donor meeting in Kampala in June 2012; co-sponsoring the Policy Advisory Forum
under the topic ―Financing of African Cities,‖ held in Maputo on November 7, 2011; and participating in
Cities Alliance Program Council Meeting held on November 8–9, 2011.
A partnership with Cities Alliance has as objective to maximize the synergies between the two programs
and will enable us to leverage more resources to support the urban development of African Cities. Cities
Alliance is supporting Urban Planning to meet future needs of populations; PPIAF can support the
development and implementation of specific infrastructure projects, which are identified in this planning
process, as follows: structuring PPPs and supporting improvements in the financial capacity of public
utilities, whether providing water, electricity, urban transport, waste collection, etc. With our various

instruments and concerted efforts, both Cities Alliance and PPIAF can contribute to improve the access of
populations from African Cities to basic infrastructure services.
IFC: PPIAF team members were invited to participate in three IFC in-country trainings (Kenya, Egypt, and
Turkey) to strengthen the relationship between our teams; one of our staff members is working out of
IFC’s office in Dubai, thus collaborating very closely; developing and delivering joint in-country trainings;
doing joint IFC-PPIAF missions to various countries, including Niger, Chad, Burkina Faso, and Lesotho;
developing a sub-national program for Turkey in support of commercial borrowing by second-tier
municipalities.
Financial solutions group of WB: As the financial solutions group works to structure political risk
guarantees in support of various complex PPPs, PPIAF has been providing some specific transaction
support. This includes, among others, support to develop the Lake Turkana Wind Energy project, the
Geothermal Development Corporation of Kenya set up to develop geothermal energy, and support for
private development in the Nigerian power sector.
IFC InfraVentures: PPIAF is providing support to some of their project-related work. For example, PPIAF
is currently assisting the government of Mali in reviewing and negotiating the legal documentation for the
Scatec solar PPP project.
Most of the activities PPIAF supports are in conjunction with its numerous partners. In particular, some
examples of activities PPIAF has provided funding for in FY2012 that were co-financed by other
complementary organizations are:
� Mozambique: preparation of a gas sector master plan, with Norad
� South Africa: regional capacity building workshop on sub-national financing, with the Agence
Française de Développement
� Senegal: regional conference on PPPs in water and sanitation in Sub-Saharan Africa, with
Infrastructure Consortium for Africa
Funding
In FY2012 we have prepared, negotiated, and finalized many Trust Fund Agreements through which your
institutions and governments have pledged new funding for the PPIAF and SNTA programs. This work
implied the detailed preparation of proposals, their discussion either by telephone, VC, or in meetings,
and obtaining the corresponding approvals. We thank you for your continuous support.
Reporting on FY2010 Strategy for Resource Allocation
During the June 2010 Nairobi PCM, we presented the PPIAF and SNTA 2010 Strategy for Resource
Allocation, which responded to the request made at the March 2009 Rome PCM—following the
recommendations of CEPA—to articulate more clearly the guiding principles behind PPIAF’s operations.
The Strategy for Resource Allocation proposed to continue using the filters that have guided activity
selection in the past, which are consistent with the Program Council’s stated priorities, but added some
elements to improve the focus of our operations.
After two years of implementation, we are pleased to continue seeing the results of this Strategy for
Resource Allocation. Requests for PPIAF funding are still much more focused; the Project Cycle Planning
Worksheet that we incorporated into our applications is helping us ensure that at the time of activity
inception, we understand what the expected results are, and how the activity will contribute directly or
indirectly to increased private sector investment in infrastructure.
Since November 2010 we have been reviewing all concepts and application requests for PPIAF funding
in weekly Team Review Meetings. This has proven to be an effective mechanism to collectively screen,
9

early on, preliminary requests for funds, and to discuss in detail complete applications, complementing
them when needed with the team’s experience and valuable inputs. Included in this report you will find the
FY2012 Portfolio Report containing a table with brief descriptions of the activities approved and
committed in FY2012, as well as a summary of the PPIAF portfolio since inception (FY1999–2012). Our
review process is also enabling us to monitor more closely our pipeline of proposals and activities to
ensure they make progress and proceed without problems, and to ensure the availability of funds.
We are also sequencing activities to ensure the beneficiary government accepts the results of the
technical assistance provided before proceeding to the next phase: upon the completion of an activity, if
the beneficiary government decides to move further, we analyze requests for follow-up technical
assistance until a private sector project materializes. This has proven to be an effective process to ensure
ownership of the results from the beneficiaries.
We look forward to your continued support to our program.
Best regards,
Adriana de Aguinaga
Program Manager
Public-Private Infrastructure Advisory Facility (PPIAF)
10

FY2012 Portfolio Report: July 1, 2011 – March 31, 2012
April 1, 2012
Dear Program Council Members:
During the first three quarters of fiscal 2012, PPIAF provided funding of over $9.5 million for 71 activities
under the PPIAF and Sub-National Technical Assistance (SNTA) programs. Some activity highlights are
described below.
In Sub-Saharan Africa, PPIAF approved 32 activities, with a value of over $3.9 million, representing 41%
of region-specific PPIAF and SNTA funding. In Rwanda, PPIAF is providing support to the Energy, Water,
and Sanitation Authority (EWSA), the off-taker for a bulk water public-private partnership (PPP) project,
which is the first major PPP for urban water supply in Kigali. This activity will strengthen EWSA’s ability to
oversee and implement the PPP transaction currently being structured by the International Finance
Corporation (IFC). In Mali, PPIAF is providing transaction support to the government to review and
negotiate the Scatec solar and Kenie hydropower projects, which are being developed by IFC
InfraVentures.
In the Middle East and North Africa, PPIAF is supporting the first PPP transaction in the West Bank and
Gaza by providing funding for legal advisory support for the Southern West Bank Solid Waste
Management Project. The Al-Minya Landfill will provide improved solid waste management services to
approximately 780,000 inhabitants. It is expected to open in early 2013 and will process approximately
34% of the solid waste in the West Bank.
In Latin America and the Caribbean, PPIAF is supporting an innovative activity in Colombia that will
help the government structure and implement a financing window to harness private sector support in
developing approximately 7,000 hectares of land identified under the Macroproyectos housing program.
In Brazil PPIAF is also helping to develop a sustainable forestry concession model in the Amazon.
In Eastern Europe and Central Asia, PPIAF is helping the government of Albania prepare a privatization
strategy for several hydropower plants, including Bistrica 1 (25 MW) and Bistrica 2 (5 MW) on the River
Bistrica, and Ulza (25.2 MW) and Shkopeti (25 MW) on the River Mati, and is providing support to the
Armenia Water and Sewerage Company for the design of a new enhanced management contract for
2011–2013.
In South Asia, PPIAF has provided funds to the governments of Bhutan, Nepal, and Sri Lanka to
undertake the screening and initial feasibility assessment of a pipeline of potential PPP projects. In the
Maldives PPIAF is providing post-award contract management support for a pioneering PPP transaction
in the solid waste management sector.
In East Asia and the Pacific, SNTA is helping the City of Tanuan improve its capacity for fiscal and
financial management. Tanuan is currently considering a local currency loan for up to PHP 450 million
(approximately $10 million) with IFC support to finance its capital expenditure program in essential
infrastructure identified in the city’s Annual Investment Plan. The planned transaction would not involve
inter-governmental transfers as security, and if successful, would be the first example of a Philippine local
government accessing market-based financing.
Sincerely,
Adriana de Aguinaga
Program Manager
1

Seventy-One Activities worth $9.5 Million Approved in the First Three Quarters of
Fiscal 2012
PPIAF approved 71 PPIAF and SNTA activities in the first three quarters of fiscal 2012, worth a
total of $9.5 million, as presented in Table 1 below.
Table 1: Funding Source
Source No. of Activities Value (USD)
PPIAF Activities 59 8,267,380
SNTA Activities 12 1,235,825
Total 71 9,503,205
B. The geographic focus of the 59 approved PPIAF activities is summarized in Table 2. Activities
in Sub-Saharan Africa represented the largest share of the portfolio, accounting for 41% of the portfolio.
In the SNTA program, activities in Sub-Saharan Africa also represented the largest share of the portfolio
(42%), as summarized in Table 3.
Table 2: Geographic Focus of Total Approved PPIAF Activities
Region
Total Funding
(USD)
2
% by
Funding
No. of
Projects
% by No. of
Projects
Sub-Saharan Africa 3,409,435 41 27 46
Middle East & North Africa 1,367,050 17 7 12
Global 933,000 11 3 5
Latin America & the Caribbean 874,775 11 5 8
Eastern Europe & Central Asia 773,100 9 6 10
South Asia 489,400 6 7 12
East Asia & the Pacific 420,620 5 4 7
Total 8,267,380 100 59 100
Table 3: Geographic Focus of Total Approved SNTA Activities
Region
Total Funding
(USD)
% by
Funding
No. of
Projects
% by No. of
Projects
Sub-Saharan Africa 519,745 42 5 41
Latin America & the Caribbean 329,780 27 3 25
Middle East & North Africa 236,300 19 2 17
East Asia & the Pacific 150,000 12 2 17
Total 1,235,825 100 12 100

C. The sectoral focus of the 59 approved PPIAF activities is summarized in Table 4. Energy
activities accounted for 35% of the portfolio, totaling over $2.5 million.
Table 4: Sectoral Focus of Total Approved PPIAF Activities
Sector
Total Funding
(USD)
3
% by
Funding
No. of
Projects
% by No. of
Projects
Energy 2,552,415 35 14 24
Multi-sector 2,324,584 24 17 29
Telecommunications 1,212,080 15 8 13
Water & sanitation 1,123,481 13 13 22
Transport 1,054,820 13 7 12
Total 8,267,380 100 59 100
D. The primary action areas of the 59 approved PPIAF activities are summarized in Table 5 1 .
Activities focused on infrastructure development strategies took the largest share of funding, representing
46% of the portfolio. The primary action areas of the approved SNTA activities are summarized in Table
6.
Table 5: Primary Action Areas of Total Approved PPIAF Activities
Action Area
Infrastructure development
strategies
Total Funding
(USD)
% by
Funding
No. of
Projects
% by No. of
Projects
3,802,293 46 26 44
Pioneering transactions 2,019,020 24 11 19
Consensus building 200,000 2 1 2
Capacity building 787,776 10 11 18
Policy, regulatory, and
institutional reforms
750,291 9 8 14
Emerging best practice 708,000 9 2 3
Total 8,267,380 100 59 100
1 In practice, many approved activities from the PPIAF and SNTA funds comprise actions that correspond to two or
more of these specific categories. The breakdown above is based on the PMU’s judgment as to the primary focus of
each approved activity.

Table 6: Primary Action Areas of Total Approved SNTA Activities
Action Area
Total Funding
(USD)
4
% by
Funding
No. of
Projects
% by No. of
Projects
Specific performance improvement 609,295 49 6 50
Financing 296,750 24 3 25
Other 254,780 21 2 17
Credit rating 75,000 6 1 8
Total 1,235,825 100 12 100
E. The breakdown of PPIAF and SNTA support by funding source in the first three quarters of
fiscal 2012 is presented below in Table 7.
Table 7: Breakdown of PPIAF and SNTA support by funding source
Source of funds
Total
Funding
(USD)
% by
Funding
No. of
Projects
% by No. of
Projects
Multi-Donor Trust Fund II 3,613,383 37 29 41
Sweden Sub-Saharan Africa Fund 1,443,660 15 4 6
SNTA 1,235,825 13 12 17
SECO/DFID: Response to the Global
Financial Crisis
748,365 8 5 7
IFC Fragile States 640,401 7 6 8
Norway/Netherlands: Integrating
Climate Change Agenda with PPP
Program
634,850 7 4 6
SECO: Middle-Income Countries 563,671 6 6 8
Austria Climate Change 400,600 4 1 1
Japan: Contribution from the Policy
and Human Resources Development
Fund (PHRD)
USAID for Water and Sanitation
Fund for Sub-Saharan Africa
150,000 2 2 3
72,450 1 2 3
Total 9,503,205 100 71 100
A list of all PPIAF and SNTA approved activities during the first three quarters is included in Annex 1.

Annex 1
Approved Activities for the Period July 1, 2011–March 31, 2012
Activities approved from the PPIAF Non-Core Trust Funds have been shaded using the key below. All
other activities were approved from PPIAF’s Core Trust Fund, which includes IFC Fragile States and
Austria Climate Change activities.
Core funds:
Japan: Contribution from the Policy and Human Resources Development Fund (PHRD)
Norway/Netherlands: Integrating Climate Change Agenda with PPP Program
SECO/DFID: Response to the Global Financial Crisis
SECO: Middle-Income Countries
Sweden Sub-Saharan Africa Fund
USAID for Water and Sanitation Fund for Sub-Saharan Africa
Austria Climate Change
IFC Fragile States
Sub-Saharan Africa
Country/Title Activity Description
PPIAF Activities
1. AFRICA: African
Energy Ministers'
Conference
2. AFRICA: Legal
Services in Support of
the West African Power
Pool’s Power Interconnector
Project for
Côte d’Ivoire, Liberia,
Sierra Leone, and
Guinea
Promoting the dissemination of knowledge
on technical and financial solutions for
expanded access to low-carbon sources of
energy. This activity will facilitate the
formation of consensus on priorities for
supporting Africa's low carbon, climate
resilient energy development agenda,
including in the context of climate change
negotiations.
Assisting the task team to further develop
and finalize the various legal agreements
involved in establishing the Special
Purpose Companies and providing the
appropriate framework for commercial and
private sector transactions on the line. This
work complements other studies that are
underway to prepare an institutional
business plan and the legal framework for
the inter-connector project.
5
Approved
Funding
$40,000 Energy
$70,800 Energy
Sector Action Area
Capacity
Building
Pioneering
Transactions

Country/Title Activity Description
3. AFRICA: Lighting
Africa Expansion
4. AFRICA: Regional
Conference on PPPs in
Water and Sanitation in
Sub-Saharan Africa.
5. BURUNDI: Project
Pipeline Screening and
Initial Feasibility
Assessment of Potential
Infrastructure PPPs in
the Energy Sector
6. CAMEROON:
Support to the Cameroon
Water Sector
7. COMOROS: Options
Evaluation and Strategic
Roadmap for the
Telecommunications
Sector of the Union of
Comoros
8. COTE D'IVOIRE:
Improving Users’
Awareness on Cost
Recovery for Sustainable
Infrastructure
Development-Additional
funding
Increasing access to off-grid lighting and
micro-energy systems for the poor in eight
African countries by replicating the
successful market-development pilots
implemented previously in Kenya and
Ghana with PPIAF support. This activity is
co-financed with AFREA, Norwegian Trust
Fund, ESMAP, GPOBA, and CDKN.
Explaining what the private sector has to
offer in the delivery of water and sanitation
services in Sub-Saharan Africa. The
conference will be held in Dakar, Senegal
on June 5–8, 2012.
Providing advisory support to improve
energy sector investment planning and
provide pipeline screening of potential
PPPs.
Helping the government of the Republic of
Cameroon to identify and propose solutions
towards more effective cooperation
between the Government, Camwater and
Camerounaise des Eaux that will improve
the implementation of the water PPP and
restore the financial equilibrium of the
sector.
Analyzing the options to facilitate
competition in the telecommunications
sector, identifying the necessary steps to
develop robust competition in the sector,
and preparing a sector roadmap for the
government. The proposed activity and
sector roadmap will provide critical inputs to
the preparation of an investment project.
The investment project will enable Comoros
to join a regional connectivity adaptable
program loan program for Eastern and
Southern Africa.
Supporting the government of Côte
d’Ivoire’s efforts raise awareness, build
users’ coalition and to demonstrate
concrete improvements in the lives of its
citizens, a critical step for sustaining social
and political stability in the country. This
activity will educate infrastructure users on
the urgent need for their participation in
funding the development of the country's
infrastructure to improve its sustainability.
6
Approved
Funding
$250,000 Energy
$50,000 Water
$74,500 Energy
$40,000 Water
$75,000 Telecom
$67,438
Sector Action Area
Multisector
Infrastructure
Development
Strategies
Emerging Best
Practices
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies

Country/Title Activity Description
9. COTE D'IVOIRE:
PPP Pipeline and
Enabling Environment
Support
10. GABON: PPP
Program
11. GHANA: Institutional
Options for Improving
Urban Water Supply in
Ghana (Phase 2)
12. GUINEA: Mining
Ancillary Infrastructure
13. GUINEA: PPP
Training Workshop
14. GUINEA-BISSAU:
PPP Training Workshop
15. LESOTHO: Legal
Advisory Support to ICT
and Facilities
Management PPP
16. KENYA: Lake
Turkana Wind Due
Diligence Project
Strengthening the enabling environment in
Côte d'Ivoire through targeted policy
recommendations and identifying a pipeline
of PPPs that could be prepared now and
brought on the market in the immediate
future.
Enabling the government of Gabon to
advance its PPP agenda from both a
transaction and enabling environment stand
point. This activity will include an enabling
environment assessment, PPP pipeline
diagnostic, and options for creating
institutional capacity on PPPs.
Conducting a detailed options analysis for
institutional reform of the urban water
sector in Ghana, in an attempt improve the
performance and financial sustainability of
the sector. It is hoped that such reform will
lead to the commercialization of the sector
and increased private sector investment.
Supporting the government of Guinea in
creating an enabling environment for the
realization of PPPs in mining ancillary
infrastructure development.
Supporting a three-day PPP training
workshop that will be a learning platform for
approx. 50 key stakeholders to share best
practices and emerging lessons regarding
the design, implementation and monitoring
of PPPs, focused on sectors that are
directly relevant to Guinea.
Supporting a three-day PPP training
workshop to build the capacity of
stakeholders involved in PPP project
development and increase awareness of
PPPs.
Providing legal consultant to support the
International Finance Corporation’s work in
the development and implementation of an
ICT and Facilities Management PPP
transaction.
Providing technical, commercial, legal, and
financial expertise to the Kenya Power
Company to support the development of
the Lake Turkana Wind Project. This
activity includes a review of project
documents, providing strategic inputs, and
supporting the Kenya Power Company in
Power Purchase Agreement negotiations.
7
Approved
Funding
$74,640
$74,640
Sector Action Area
Multisector
Multisector
$68,431 Water
$490,000 Transport
$57,763
$49,963
Multisector
Multisector
$301,160 Telecom
$294,900 Energy
Policy,
regulatory, and
institutional
reforms
Policy,
regulatory, and
institutional
reforms
Policy,
regulatory, and
institutional
reforms
Infrastructure
Development
Strategies
Capacity
Building
Capacity
Building
Pioneering
Transactions
Pioneering
Transactions

Country/Title Activity Description
17. MALI: Capacity
Building Support to the
Scatec and Kenie
Projects
18. MALI: Improving
Governance and
Accountability to Foster
an Enabling Environment
for Private Sector
Participation in the
Electricity and Water
Sectors
19. MALI: Legal
Advisory to the
Government of Mali for
the Scatec Solar Project
20. MOZAMBIQUE:
Preparation of a Gas
Sector Master Plan
21. NIGER: Evaluation
of Projects with Private
Participation for
Production and Supply of
Electricity in Rural Areas
22. NIGERIA: Support
for Private Development
of the Power Sector
23. NIGERIA: Workshop
on Water Utility Reform
24. RWANDA: Kigali
Bulk Water Supply
Project—Technical
Assistance and Capacity
Training
Providing transaction support to the
government of Mali to review and negotiate
the Scatec solar and Kenie hydropower
projects as PPPs.
Assisting the government of Mali to
restructure the energy and water sectors by
reviewing existing regulatory framework
and practices, including the role of key
stakeholders, evaluating existing and
envisaged PPP arrangements, and
formulating guidance on avoiding and/or
managing potential risks.
Assisting the government of Mali to review
and negotiate the legal documentation for
the Scatec Solar PPP project.
Supporting the development of a gas sector
roadmap in Mozambique with an emphasis
on stimulating private sector participation.
This activity will develop a gas master plan,
identify sector reforms necessary to attract
private investment, and prepare policy
decisions to help the government of
Mozambique meet its petroleum objectives.
Supporting the government of Niger in the
preliminary assessment of potential
infrastructure projects to develop a pipeline
of feasible projects with private sector
participation. The result of the assessment
will serve to inform future government
decisions on which projects to prioritize for
further development as IPPs or PPPs.
Supporting the creation of a conducive
investment environment for private sector
generating companies selling power to the
bulk trader and building capacity among
local stakeholders in developing, financing,
and contracting for Independent Power
Producers.
Supporting a workshop to examine the core
issues that confront management of
underperforming utilities in Nigeria on a
daily basis.
Assisting the Energy, Water and Sanitation
Authority to identify the best organizational
structure, develop a long-term master plan,
and strengthen its monitoring and
management capacity.
8
Approved
Funding
$49,890 Energy
$74,890
Sector Action Area
Multisector
$49,950 Energy
$250,000 Energy
$60,000 Energy
$402,500 Energy
$32,450 Water
$207,700 Water
Pioneering
Transactions
Policy,
regulatory, and
institutional
reforms
Capacity
Building
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Pioneering
Transactions
Capacity
Building
Capacity
Building

Country/Title Activity Description
25. SOUTH AFRICA:
Pre-feasibility Study for a
Cycling Program in the
City of Johannesburg
26. SUDAN: South
Sudan-Diagnostic of
Power Distribution
System
27. ZIMBABWE:
Assessment of PPP
Enabling Environment
and PPP Pipeline
Supporting a pre-feasibility study to
determine the steps and projects which
would make up a comprehensive,
sustainable and integrated cycling program
in the city of Johannesburg.
Conducting a diagnostic study to
determining the investment and energy
requirements to upgrade/rehabilitate the
power distribution system in Juba, South
Sudan.
Providing technical assistance to the
government of Zimbabwe to develop and
implement its PPP program in the
transportation, electricity,
telecommunication, and water sectors.
Country/Title Activity Description
SNTA Activities
28. AFRICA: Regional
Capacity Building
Workshop with Agence
Française de
Développement on
Revenue Management
29. BURKINA FASO:
Strengthening of Fiscal
Revenues for the
Municipality of
Ouagadougou
30. GHANA: Increasing
Access to Market-Based
Financing for
Municipalities in the
Greater Accra Area
Enhancing the ability of the cities to
effectively collect their revenues and to
generate additional resources. Through the
improvement of their financial health and
performance, the cities will increase their
ability to raise funds and invest in
infrastructures related to service delivery.
Supporting the analysis of how to optimize
fiscal and non fiscal resources for the city of
Ouagadougou. The realization of this
analysis is part of a series of initiatives that
follow the recommendations of the Public
Expenditure Financial Accountability
assessment, prepared for that city with
PPIAF and Agence Français de
Développement support, on how to
strengthen the financial health of the city.
Preparing a diagnostic of the structure of the
market for financial tools for the local
governments and municipal/state owned
enterprises in charge of public infrastructure
to develop urban infrastructure in Ghana.
The main objective of this activity is to
increase local governments and
municipal/state owned enterprises' access
to private credit to finance public
infrastructure.
9
Approved
Funding
Sector Action Area
$74,820 Transport Pioneering
Transactions
$75,000 Energy
$53,000
Approved
Funding
$75,000
$75,000
$175,000
Multisector
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Sector Action Area
Multisector
Multisector
Multisector
Specific
performance
improvement
Financing
Financing

Country/Title Activity Description
31. KENYA:
Assessment of
Geothermal
Development Company
for Enhanced Access to
Finance
32. MAURITANIA:
PEFA Study for the
Communauté Urbaine
de Nouakchott
East Asia and the Pacific
Conducting a quick diagnosis of the financial
situation and administration of the
Geothermal Development Company to
identify critical success factors, key
performance areas, weaknesses, and the
risks. The review will also include a systemic
review of the financial management
arrangements looking at the budgeting,
accounting, financial reporting, internal
audit, and internal control.
Conducting a financial management
assessment of the Communauté Urbaine de
Noukchott to strengthen the municipality's
financial performance.
Country/Title Activity Description
PPIAF Activities
33. PHILIPPINES:
Options to Expand
Private Sector
Participation in the
Development of the
Irrigation Sector
34. LAOS: Transport
Sector Enabling
Environment Assessment
and Pipeline Screening
35. VIETNAM:
Feasibility Study and
PPP Options for the
Implementation of a
Nation-Wide e-ID System
for the Delivery of Public
Services
36. VIETNAM:
Strengthening of the Use
of Performance-Based
Contracts for Road
Maintenance
Supporting the Department of Agriculture
to identify and address policy, regulatory,
and institutional constraints that limit the
recourse to PPPs; develop the capacity to
identify viable and bankable projects and
to plan and manage the development of
the irrigation sector; and identify a pipeline
of bankable projects, some of which could
be supported during a follow-up phase.
Supporting the government of Lao PDR to
conduct the preliminary assessment of the
potential for PPPs in Lao PDR as an input
to the Lao National Strategy for Transport
Sector.
Assisting the government of Vietnam
formulate a sound infrastructure
development strategy and build capacity in
the design and execution of a PPP e-ID
system. The proposed TA will be
comprised of three major components: a
PPP options study and recommendations;
a series of capacity-building activities; and
knowledge dissemination.
Analyzing the current approach to
performance-based contracts for road
maintenance in Vietnam and developing a
road map to strengthen these contracts.
10
Approved
Funding
Sector Action Area
$46,750 Energy Financing
$147,995
Approved
Funding
Multisector
$100,000 Water
$50,000 Transport
$230,620 Telecom
$40,000 Transport
Specific
performance
improvement
Sector Action Area
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies

Country/Title Activity Description
SNTA Activities
37. INDONESIA: Jakarta
Credit Rating
38. PHILIPPINES:
Assisting Tanuan City in
Enhancing the City’s
Creditworthiness
Eastern Europe and Central Asia
Supporting the updated credit rating and
financial management assessment of DKI
Jakarta, and strengthening of Jakarta’s
newly established Debt Management Unit
in assessing and monitoring debt.
Supporting the city of Tanuan in
enhancing its capacity for fiscal and
financial management to improve its
bankability and creditworthiness.
Country/Title Activity Description
PPIAF Activities
39. ALBANIA: Technical
Assessments of Bistrica
1, Bistrica 2, Ulza, and
Shkopeti Hydropower
Plants
40. ALBANIA: Universal
Access and Service
Policy Framework in the
ICT Sector
41. ARMENIA: Advisory
Support for Private
Sector Involvement in
Operation of Regional
Bus-Stations
42. ARMENIA: Support
to the Armenia Water
and Sewerage Company
with the design of the
enhanced Management
Contract for 2011–2013
Helping the government of Albania
prepare a privatization strategy for
hydropower plants. Technical,
environmental, and social impact
assessments will be conducted in this
activity.
Assisting the Authority of Electronic and
Postal Communications to develop a
comprehensive policy for its Universal
Access and Service Program.
Developing a plan for the improvement of
the performance of bus stations
operations through private sector
involvement. This activity will develop
performance standards for bus station
operations, assess the operator's financial
condition, and identify possible sources for
additional revenue.
Supporting the State Committee on Water
Economy to prepare and process an
enhanced Management Contract with the
incumbent operator for the Armenia Water
and Sewerage Company service area for
2011–2013. This activity will ensure the
contract's compliance with the overall long
term economic/financial goals of the
sector.
11
Approved
Funding
$75,000
$75,000
Approved
Funding
Sector Action Area
Multisector
Multisector
$75,000 Energy
$148,100 Telecom
$75,000 Transport
$75,000 Water
Credit Rating
Specific
performance
improvement
Sector Action Area
Pioneering
Transactions
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies
Pioneering
Transactions

Country/Title Activity Description
43. MOLDOVA:
Feasibility Study for
Cloud-Based Shared
Infrastructure PPP
44. TAJIKISTAN:
Drafting a new
Investment Law in
Tajikistan
Global activities
Funding the completion of an M-Cloud
feasibility study that will describe various
options for developing and managing an
M-Cloud PPP, detail relative advantages
and disadvantages of each, identify risks
and suggest risks allocation and mitigation
strategies.
Providing technical assistance to draft a
new investment law and to conduct an
independent valuation of two silver
deposits in Tajikistan.
Country/Title Activity Description
PPIAF Activities
45. GLOBAL: Leaders in
Urban Transport
Program—Translation
and Workshop Delivery
46. GLOBAL: PPI
Database Funding for
FY12 and FY13
47. GLOBAL: The
Governance of Basic
Local Public Services -
3 rd Global Report on
Decentralization and
Local Democracy (GOLD
III)
Responding to a high demand for the
Leaders in Urban Transport Program by
translating all the course material in
French and by delivering two workshops
for an audience of policymakers from lowto-mid-income
French speaking
developing countries.
Supporting the PPI database to provide
critical data and analysis in an objective
manner to government policy-makers,
academia, the donor community, and
other stakeholders. The PPI database
disseminates information on trends in the
private provision of infrastructure services,
provides detailed project-level data, and
identifies emerging trends and changing
market conditions.
Supporting United Cities & Local
Governments to produce the 3rd Global
Report, which will identify the role of local
authorities in providing basic services. The
report will focus on better understanding
this role, the possibilities of partnering with
other stakeholders, and identifying which
future developments should be promoted
to improve access to basic services.
12
Approved
Funding
$200,000 Telecom
$200,000
Approved
Funding
Sector Action Area
Multisector
$75,000 Transport
$658,000
$200,000
Infrastructure
Development
Strategies
Policy,
regulatory, and
institutional
reforms
Sector Action Area
Multisector
Multisector
Capacity
Building
Emerging Best
Practices
Consensus
Building

Latin America and the Caribbean
Country/Title Activity Description
PPIAF Activities
48. BRAZIL: Improving
the Sustainable Forestry
Concession Model in the
Amazon
49. COLOMBIA: Private
Financing Window for
Low-Income Housing
Projects
50. PANAMA:
Preparation of a
Performance-Based
Efficiency Improvement
Contract for IDAAN’s
Colón Business Unit
51. PERU: PPP Options
for Irrigation
Infrastructure
52. URUGUAY:
Development of
Financing Options for
PPPs in Roads Sector
Developing a forestry concession model
and advising the concession process of
the National Forests (―Flonas‖) of Itaituba I
& II, located in the Brazilian State of Pará.
The total area of these two Flonas is
641,105 hectares. The concession
comprises a natural production forest with
a project area of 416,718 hectares,
including 333,000 hectares of net
productive area, and is one of the first
concessions of the second round of
sustainable forestry management
concessions carried out by the Brazilian
Forest Service.
Supporting the government of Colombia in
structuring and developing a ―window‖ to
evaluate and screen private Second
Generation Macroproyectos. This activity
will provide important support to the
government to successfully harness
private sector interest in developing the
approximately 7,000 hectares of land
identified under the Macroproyectos
program.
Supporting the design and preparation of
bidding documents for a performancebased
contract with a private operator;
preparing bidding documents for the
supervision contract for the company in
charge of monitoring the operator’s
performance targets and the execution of
the contract’s activities; and dissemination
of the contract and bidding process
documentation.
Advising the government of Peru on how
to improve the prospects for PPP in
irrigation in the country in general and,
more specifically, to provide
recommendations on how to improve the
Chavimochic PPP model in order to
achieve a successful deal.
Providing transaction assistance to the
government of Uruguay to review existing
road projects, assess their overall
bankability, and identify and develop
financial instruments for the PPP
structure. This activity will provide
guidance on how best to set up an
appropriate and sustainable financial
scheme for PPP agreements, including
commercial and legal aspects.
13
Approved
Funding
$400,000
$74,800
Sector Action Area
Multisector
Multisector
$74,975 Water
$75,000 Water
$250,000 Transport
Pioneering
Transactions
Infrastructure
Development
Strategies
Pioneering
Transactions
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies

Country/Title Activity Description
SNTA Activities
53. BELIZE: Improve
Municipal
Creditworthiness for
Belize Municipalities
54. COLOMBIA:
Feasibility Study to
Develop Tradable Air
Rights Instruments to
Mobilize Private
Financing for Bogotá’s
Carrera 7 Bus Rapid
Transit Corridor
55. MEXICO:
Strengthening Lending
Market for Small
Mexican Municipalities
Middle East and North Africa
Assisting town and city councils implement
the recommendations of the Municipal
Finance and Revenue Enhancement
Report. Using this diagnostic tool, and
working with the Local Government Officer
based in the Ministry of Local Government
and Rural Development, this activity will
support each of the councils to implement
recommendations to improve their financial
management systems, enhance their
creditworthiness by increasing their
revenue collection, and improve the
efficiency of their expenditure.
Analyzing the feasibility of developing and
implementing a tradable air rights
instrument to increase functional densities
in zones adjacent to Bogotá’s Carrera 7
―Green Corridor‖, and mobilize private
sources of financing to the project.
Assessing the development methodology
of a credit risk model created by a Mexican
non-bank financial institution for portfolio
level analysis of a loan book. This activity
will review the model's ability to predict
ratings and map the model's outputs to a
measure of probability of default and/or
expected loss.
Country/Title Activity Description
PPIAF Activities
56. DJIBOUTI: Energy
Sector Assessment
57. DJIBOUTI:
Feasibility Assessment
for Solar Rural
Electrification
Assisting the government of Djibouti to
refine its energy sector master plan,
assessing the cost of refurbishing existing
generation plants, and identifying least
cost infrastructure investments that can be
effectively financed and managed through
a PPP.
Analyzing the technical, economic and
financial feasibility of rural electrification
options to determine the most viable and
sustainable roll-out option available to
electrify each of 25 villages in Djibouti.
14
Approved
Funding
$75,000 Multi-sector
Sector Action Area
$179,780 Multi-sector Other
$75,000 Multi-sector Other
Approved
Funding
$459,275 Energy
$400,600 Energy
Specific
performance
improvement
Sector Action Area
Infrastructure
Development
Strategies
Infrastructure
Development
Strategies

Country/Title Activity Description
58. DJIBOUTI: Options
for Telecoms Sector
Liberalization in Djibouti
59. LEBANON:
Improving the
Performance of the
Beka’a Regional Water
Authority
60. MIDDLE EAST AND
NORTH AFRICA:
Developing Alternative
Broadband Networks
61. MIDDLE EAST AND
NORTH AFRICA:
Training Course on PPPs
in the Water Sector
62. WEST BANK AND
GAZA: Southern West
Bank Solid Waste
Management Project
Helping the government of Djibouti
develop a strategy to transform the
telecommunications sector into an engine
of economic growth and employment.
Strengthening the Beka'a Region Water
Authority's engagement with the private
sector and examining its current PPP to
ensure the private operator is able to
respond to the utility's needs in an efficient
and cost-effective manner.
Assessing the potential of activating
installed unused fiber optic capacity in the
region to form a regional backbone
network.
Conducting a training seminar to introduce
PPPs to water sector professionals in the
West Bank and Gaza, Iraq, and Jordan.
This workshop will raise general
awareness of the PPP process, its
advantages and challenges, as well as
financing modalities available for PPP
development.
Providing legal support for the
development of a solid waste
management PPP.
Country/Title Activity Description
SNTA Activities
63. LEBANON:
Facilitating Sub-National
Government Access to
Commercial Credit and
Capital Markets
64. WEST BANK AND
GAZA: Improving
Municipal Revenue
Generation Policies and
Framework
Conducting a quick diagnosis of the
financial and administrative performance
of the Al-Fayhaa Union of Municipalities,
and the municipalities of Tripoli, Mina, and
Beddawi. Key reforms to improve the
municipalites' financial administration and
increase access to capital markets will be
identified.
Formulating and implementing evidencebased
policies and programs on municipal
finance, with an emphasis on municipal
revenue generation.
15
Approved
Funding
$107,690 Telecom
$75,000 Water
$74,510 Telecom
$50,000 Water
$199,975 Water
Approved
Funding
$75,000
$161,300
Sector Action Area
Policy,
regulatory, and
institutional
reforms
Capacity
Building
Infrastructure
Development
Strategies
Capacity
Building
Pioneering
Transactions
Sector Action Area
Multisector
Multisector
Specific
performance
improvement
Specific
performance
improvement

South Asia
Country/Title Activity Description
PPIAF Activities
65. BHUTAN: Prefeasibility
Assessment of
Infrastructure Projects
Under a PPP Model
66. BHUTAN: Telecom
Sector Policy Roadmap
67. INDIA: Assistance in
Finalization of a PPP
Policy
68. MALDIVES:
Contract Management
Support for Solid Waste
Management PPP
69. NEPAL: Screening
and Initial Feasibility
Assessment of Potential
Private-Public
Infrastructure Projects
70. SRI LANKA:
Identifying PPP
Opportunities for Local
Governments
71. SRI LANKA: Prefeasibility
Assessment of
Infrastructure Projects
under a PPP Model
Supporting the Royal Government of
Bhutan in the preliminary assessment of
potential infrastructure projects to develop
a pipeline of feasible PPP transactions,
including preparing a preliminary
assessment of the feasibility of several
infrastructure projects by providing
assistance for pre-feasibility studies.
Developing a strategic policy roadmap to
guide the development of Bhutan's
telecom sector on introduction of
competition, divestment by the existing
operators, and government transformation
agenda to use the telecom sector for costeffective
service delivery.
Developing a PPP policy framework to
clarify existing guidelines and create new
policies on developing, contracting, and
managing PPPs.
Providing management contract support to
Male City Council to structure and
implement a viable tariff structure for
waste management services, develop a
mechanism for tariff collection, develop an
information system to maintain user data,
and monitor the performance of the
concessionaire.
Identifying potential projects in the urban
and transport sector that are suitable for
financing under the private-public
partnership. This activity will assist the
government in deciding modalities for
future investments in these sectors.
Developing the capacity of the Ministry of
Economic Development and selected
Provincial and Local Governments in Sri
Lanka to identify the potential for private
participation in infrastructure development.
This activity will also develop a prioritized
list of possible projects that could then be
translated into PPP transactions with
further support in the future.
Supporting the government of Sri Lanka in
the preliminary assessment of potential
infrastructure projects to develop a
pipeline of feasible PPP transactions.
16
Approved
Funding
$64,450
Sector Action Area
Multisector
$75,000 Telecom
$75,000
Multisector
$74,950 Water
$50,000
$75,000
$75,000
Multisector
Multisector
Multisector
Infrastructure
Development
Strategies
Policy,
regulatory, and
institutional
reforms
Policy,
regulatory, and
institutional
reforms
Capacity
Building
Infrastructure
Development
Strategies
Capacity
Building
Infrastructure
Development
Strategies

PPIAF and SNTA Total Funding in Q1-Q3 FY2012 vs. Q1-Q3 FY2011—Regional and Sectoral Split
PPIAF and SNTA Funding Approved in Q1-Q3 FY2012
PPIAF SNTA
FY2012
FY2012
Total Count by Region: Total $ by Region
Total $ by Region:
Total Count by Region:
AFRICA 27 46% AFRICA $3,409,435 41% AFRICA $519,745 42% AFRICA 5 42%
CROSS-REGIONAL 0 0% CROSS-REGIONAL $0 0% EAP $150,000 12% EAP 2 17%
EAP 4 7% EAP $420,620 5% ECA $0 0% ECA 0 0%
ECA 6 10% ECA $773,100 9% GLOBAL $0 0% GLOBAL 0 0%
GLOBAL 3 5% GLOBAL $933,000 11% LAC $329,780 27% LAC 3 25%
LAC 5 8% LAC $874,775 11% MENA $236,300 19% MENA 2 17%
MENA 7 12% MENA $1,367,050 17% SAR $0 0% SAR 0 0%
SAR 7 12% SAR $489,400 6% Total $1,235,825 100% Total 12 100%
Total 59 100% Total $8,267,380 100%
Total $ by Sector:
Total Count by Sector:
Total Count by Sector Total $ by Sector
ENERGY $46,750 4% ENERGY 1 8%
ENERGY 14 24% ENERGY $2,552,415 31% MULTI $1,189,075 96% MULTI 11 92%
MULTI 17 29% MULTI $2,324,584 28% TELECOM $0 0% TELECOM 0 0%
TELECOM 8 14% TELECOM $1,212,080 15% TRANSPORT $0 0% TRANSPORT 0 0%
TRANSPORT 7 12% TRANSPORT $1,054,820 13% WATER $0 0% WATER 0 0%
WATER 13 22% WATER $1,123,481 14% Total $1,235,825 100% Total 12 100%
Total 59 100% Total $8,267,380 100%
PPIAF and SNTA Funding Approved in Q1-Q3 FY2011 (as comparison)
PPIAF SNTA
FY2011
FY2011
Total Count by Region: Total $ by Region
Total $ by Region:
Total Count by Region:
AFRICA 12 34% AFRICA $1,044,880 31% AFRICA $146,005 18% AFRICA 1 20%
CROSS-REGIONAL 1 3% CROSS-REGIONAL $300,000 9% EAP $0 0% EAP 0 0%
EAP 3 9% EAP $176,800 5% ECA $0 0% ECA 0 0%
ECA 5 14% ECA $485,450 14% GLOBAL $0 0% GLOBAL 0 0%
GLOBAL 2 6% GLOBAL $111,925 3% LAC $595,950 73% LAC 3 60%
LAC 1 3% LAC $249,484 7% MENA $0 0% MENA 0 0%
MENA 5 14% MENA $649,960 19% SAR $75,000 9% SAR 1 20%
SAR 6 17% SAR $385,640 11% Total $816,955 100% Total 5 100%
Total 35 100% Total $3,404,139 100%
Total $ by Sector: Total Count by Sector:
Total Count by Sector Total $ by Sector
ENERGY $0 0% ENERGY 0 0%
ENERGY 7 20% ENERGY $614,500 18% MULTI $741,955 91% MULTI 4 80%
MULTI 11 31% MULTI $1,072,600 32% TELECOM $0 0% TELECOM 0 0%
TELECOM 3 9% TELECOM $314,760 9% TRANSPORT $0 0% TRANSPORT 0 0%
TRANSPORT 8 23% TRANSPORT $845,784 25% WATER $75,000 9% WATER 1 20%
WATER 6 17% WATER $556,495 16% Total $816,955 100% Total 5 100%
Total 35 100% Total $3,404,139 100%

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
Status of PPIAF Approved Activities Inception to Date
One thousand twenty-eight activities worth over $209 million approved since inception
A. PPIAF has approved 1,028 projects since inception, including 74 projects under the Sub-National Technical Assistance
(SNTA) program, for a total of $209,885,159. A breakdown of the PPIAF and SNTA activities is presented in Table
1 below.
Table 1: Funding Source for PPIAF Activities
July 1999 to March 2012
Source Number of Activities Value (USD)
PPIAF Activities 954 192,207,662
SNTA Activities 74 17,677,497
Total 1,028 209,885,159
B. The geographic focus of the 954 approved PPIAF activities is summarized in Table 2. The largest share of funding has gone
to Africa, representing 35 percent of the approved projects, with a value of $66.7 million. In the SNTA window, summarized in
Table 3, Africa dominates the portfolio, representing 34 percent of the approved projects, with a value of $5.9 million.
Table 2: Geographic Focus of Total Approved PPIAF Activities
Region Total Funding
(USD)
Table 3: Geographic Focus of Total Approved SNTA Activities
www.ppiaf.org
% by
Funding
No. of
Projects
% by No.
of Projects
Africa 66,686,445 35 309 32
East Asia & the Pacifi c 30,319,827 16 141 15
Eastern Europe & Central Asia 25,010,815 13 114 12
Global 19,823,014 10 110 12
South Asia 19,713,074 10 118 12
Latin America & the Caribbean 18,895,157 10 100 10
Middle East & North Africa 10,079,330 5 59 6
Cross-Regional 1,680,000 1 3 1
Total 192,207,662 100 954 100
Region Total Funding
(USD)
% by
Funding
No. of
Projects
% by No.
of Projects
Africa 5,910,410 34 24 31
Latin America & the Caribbean 5,885,147 33 22 30
East Asia & the Pacifi c 1,959,000 11 10 14
South Asia 1,627,850 9 6 8
Eastern Europe & Central Asia 1,134,340 7 5 7
Global Knowledge 924,450 5 5 7
Middle East & North Africa 236,300 1 2 3
Total 17,677,497 100 74 100

C. The sectoral focus of the 954 approved PPIAF activities is summarized in Table 4. Multi-sector activities accounted for the
largest share, representing funding of over $66 million.
Table 4: Sectoral Focus of Total Approved PPIAF Activities
Sector Total Funding
(USD)
D. The primary action areas of the 954 approved PPIAF activities are summarized in Table 51. The primary action areas of the
74 SNTA activities are summarized in Table 6.
Table 5: Primary Action Areas of Total Approved PPIAF Activities
Table 6: Primary Action Areas of Total Approved SNTA Activities
% by
Funding
No. of
Projects
% by No.
of Projects
Multi-sector 66,110,561 35 345 37
Energy 42,666,890 22 191 20
Water & sanitation 35,416,441 19 186 19
Transport 31,572,385 16 152 16
Telecommunications 16,441,385 9 80 8
Total 192,207,662 100 954 100
Action Area Total Funding
(USD)
Infrastructure development
strategies
Policy, regulatory, and institutional
reforms
Action Area Total Funding
(USD)
% by
Funding
% by
Funding
No. of
Projects
No. of
Projects
% by No.
of Projects
74,824,776 39 341 35
53,024,077 28 235 25
Capacity building 23,938,994 12 148 15
Emerging best practice 17,961,325 9 114 12
Pioneering transactions 14,302,401 7 53 5
Consensus building 7,824,365 4 64 7
Other 775,000 1 1 1
Total 192,207,662 100 954 100
% by No.
of Projects
Financing 7,628,000 43 28 38
Credit ratings 4,026,006 23 12 16
Specifi c performance improvement 4,001,646 23 20 27
Other 2,021,845 11 14 19
Total 17,677,497 100 74 100
1 In practice, many approved activities from the PPIAF funds comprise actions that correspond to two or more of these specifi c categories.
The breakdown above is based on the PMU’s judgment as to the primary focus of each approved activity, and should thus be treated as
indicative only.
www.ppiaf.org

PPIAF Work Program 2011–2013
Overarching Goal: Eliminate Poverty and Achieve Sustainable Development
December 2010
PPIAF’s ultimate objective is to support poverty reduction by facilitating private ownership and
management and/or financing of infrastructure service delivery, which plays a critical role in economic
growth. However, effective private sector participation in infrastructure poses considerable challenges for
governments in developing countries, which usually face limits on their administrative capacity and other
resources, and often face greater hurdles in addressing investor perceptions regarding the credibility of
their transaction processes and regulatory frameworks. PPIAF was created to assist governments in
removing these hurdles to private investment.
PPIAF Work Program 2011–2013
To better target its technical assistance, PPIAF has developed a work program to be implemented over
the 2011–2013 period, structured around three strategic pillars and cross-cutting themes. These strategic
pillars logically group several key development priorities identified by PPIAF’s donors, reflect the “special
themes” identified for IDA 16, and organize by themes the technical assistance that has been provided by
PPIAF to date and its priorities for future work.
Pillar #1 Pillar #2 Pillar #3
Sectors Universal Access Climate Change Urbanization
Power
Water
Transport
Telecom
Irrigation
Crosscutting
Themes
Meeting the rural
electrification challenge with
PPPs
Helping public and private
operators improve access to
water in peri-urban and rural
areas
Using performance-based
PPP contracts to design,
build, and maintain highways
and roads, particularly rural
and peri-urban roads
Supporting regulators in
promoting telecom service
extensions in rural areas
Facilitating irrigation PPPs in
areas with high potential for
agricultural output
improvement
Using PPPs to promote
energy efficiency and
renewable energy
Structuring dedicated
adaptation and mitigation
PPPs in water and
wastewater
Reducing, controlling, or
recovering costs from
vehicle use via toll roads,
light rail, and bus systems
Ensuring that private
provision of telecom
services is fully prepared for
harsh weather problems
Using PPPs to “climateproof”
irrigation facilities to
guard against harsh
weather availability
Sub-National Technical Assistance
Fragile States
Regional Integration
Capacity Building
Helping power utilities
access finance and
expertise to improve urban
services
Helping water utilities access
finance and expertise for
service expansion and
rehabilitation
Facilitating PPPs and
access to financing by
municipal transport agencies
and authorities
Working with regulators to
promote broadband services
in urban areas
Exploring the role of SMEs
in management of smallscale
peri-urban irrigation

Strategic Pillars:
Universal Access. To assist governments expand access to basic infrastructure services. Technical
assistance will use innovative approaches to scale up access to services to underserved populations.
Climate Change. To facilitate private financing and PPP arrangements that contribute to infrastructurerelated
climate change mitigation and adaptation efforts. That the private sector must play a role in these
efforts is widely acknowledged, but the actual modalities and mechanisms have rarely been discussed in
detail. PPIAF’s expertise can help structure arrangements for private support in the basic infrastructure
sectors.
Facilitating Urbanization. To help governments cope with the infrastructure needs associated with rapid
urbanization. The work will focus on helping municipal governments and utilities develop their capacity to
access private expertise and financing in order to extend and improve urban services. Financing might be
accessed directly via banks or bond markets, or indirectly via PPP arrangements along with private sector
expertise.
Cross-cutting Themes:
Sub-National Finance. PPIAF’s Sub-National Technical Assistance (SNTA) program now has three
years of successful experience in helping sub-national entities improve their creditworthiness to access
market-based financing without sovereign guarantees. The value of the program is as a means to
increase the funds available for improved and increased infrastructure services in all sectors and across
all three of PPIAF’s strategic pillars.
Fragile States. Weak institutions and high risks of conflict constrain national poverty reduction and
service delivery in many fragile states. Strengthening assistance to these kinds of countries is emerging
as a new PPIAF priority. While all fragile states are characterized by weak policies and institutions,
country context varies considerably and efforts to attract the private sector to such countries must be
carefully designed to take this into account. PPPs may not be easily feasible in many fragile states, but
legal/regulatory/policy reforms are often possible and can represent first steps on the road to improved
infrastructure service provision through private participation.
Regional Integration. Many of the poorest developing countries, particularly those in Africa, are too
small to attract private investors or operators. For example, the 40 IPP projects in Sub-Saharan Africa
average just over 90 MW in size, far below the 200 MW threshold commonly considered to be the
minimum size for cost-effective PPPs of this kind. Regional integration enables smaller countries to join
forces to develop projects of sufficient scale to attract private sector interest, as well as to have strong
positive regional impacts in terms of trade facilitation and economic development.
Capacity Building. The provision of capacity building for decision makers and technical staff in
developing countries is critical to help them understand the benefits of increased private sector
participation for improved service provision, to develop specific infrastructure projects with appropriate
types and degrees of risk allocation, and to negotiate directly with the private sector the terms of the PPP
agreements.

April 2012
Activities Approved in Q1-Q3 of FY2012, Classified in Accordance with PPIAF’s
Work Program 2011–2013
The table below contains the activities approved during the first three quarters of fiscal 2012, classified in
accordance with the three strategic pillars and four cross-cutting themes of PPIAF’s 2011–2013 Work
Program.
Pillar #1 Pillar #2 Pillar #3
Sectors Universal Access Climate Change Urbanization
Power
Water
� Burundi Pipeline Screening and
Feasibility Assessment of PPPs
in the Energy Sector
� Djibouti Energy Sector
Assessment
� Lighting Africa Expansion
� Mozambique Preparation of a
Gas Sector Master Plan
� Niger Evaluation of Rural
Energy Projects with Private
Sector Participation (PSP)
� Nigeria Support for PSP in the
Power Sector
� South Sudan Power Distribution
System Diagnostic
� Armenia Supporting an
Enhanced Management
Contract for Water and
Sanitation Services
� Cameroon Support to Water
Sector
� Lebanon Improving Water Utility
Performance
� Maldives Contract Management
Support for Solid Waste
Management PPP
� Nigeria Workshop on Water
Utility Reform
� Panama Preparation of a
Performance-Based Efficiency
Improvement Contract for
IDAAN’s Colón Business Unit
� West Bank and Gaza Solid
Waste Management Project
� Albania Technical
Assessments of Bistrica 1,
Bistrica 2, Ulza, and
Shkopeti Hydropower Plants
� Brazil Improving the
Sustainable Forestry
Concession Model in the
Amazon
� Djibouti Feasibility
Assessment for Solar Rural
Electrification
� Kenya Lake Turkana Wind
Due Diligence Project
� Mali Capacity Building and
Legal Advisory Support to
the Scatec and Kenie
Projects
� Colombia Private Financing
for Low-Income Housing
Projects
� Ghana Institutional Options
for Improving Urban Water
Supply

Pillar #1 Pillar #2 Pillar #3
Sectors Universal Access Climate Change Urbanization
Transport
Telecom
Irrigation
Multisector
� Albania Advisory Support for
Private Sector Involvement in
Operation of Regional Bus
Stations
� Guinea Mining Ancillary
Infrastructure
� Laos Transport Sector Enabling
Environment Assessment and
Pipeline Screening
� South Africa Pre-feasibility
Study for Johannesburg Cycling
Program
� Uruguay Financing Options for
Road PPPs
� Vietnam Strengthening
Performance-Based Contracts
for Road Maintenance
� Albania ICT Universal Access
and Service Policy Framework
� Bhutan Telecom Sector Policy
Roadmap
� Comoros Telecom Options
Evaluation and Strategic
Roadmap
� Djibouti Options for Telecoms
Sector
� Lesotho Legal Advisory Support
to ICT and Facilities
Management PPP
� Moldova Feasibility Study for
Cloud-Based Shared
Infrastructure PPP
� Vietnam Feasibility Study and
PPP Options for a Nation-wide
e-ID System for the Delivery of
Public Services
� Peru PPP Options for Irrigation
Infrastructure
� Philippines Options to Expand
PSP in the Irrigation Sector
� Bhutan Pre-feasibility
Assessment of PPP Projects
� India Assistance in the
Finalization of a PPP Policy
� Mali Supporting an Enabling
Environment for PSP in the
Electricity and Water Sectors
� Nepal Screening and Initial
Feasibility Assessment of
Potential PPP Projects
� Sri Lanka Pre-feasibility
Assessment of PPPs
� Tajikistan Drafting a New
Investment Law
2

Crosscutting
Themes
Sub-National Technical Assistance:
� Africa Regional Capacity Building Workshop on Revenue Management
� Belize Improve Municipal Creditworthiness for Municipalities
� Burkina Faso Strengthening Fiscal Revenues for the Municipality of Ouagadougou
� Colombia Feasibility Study for Tradable Air Rights Instruments for Bus Rapid Transit Corridor
� Ghana Increasing Access to Market-Based Financing for Municipalities in the Greater Accra Area
� Indonesia Jakarta Credit Rating
� Kenya Assessment of Geothermal Development Company for Enhanced Access to Finance
� Lebanon Facilitating Sub-National Government Access to Commercial Credit and Capital Markets
� Mauritania Public Expenditure and Financial Accountability Study for the Communauté Urbaine de
Nouakchott
� Mexico Strengthening Lending Market for Small Municipalities
� Philippines Assisting Tanuan City in Enhancing the City’s Creditworthiness
� West Bank and Gaza Improving Municipal Revenue Generation Policies and Framework
Fragile States * :
� Burundi Pipeline Screening and Feasibility Assessment of PPPs in the Energy Sector
� Comoros Options Evaluation and Strategic Roadmap for the Telecommunications Sector
� Côte d’Ivoire Improving Users’ Awareness on Cost Recovery for Sustainable Infrastructure
Development
� Côte d’Ivoire PPP Pipeline and Enabling Environment Support
� Guinea-Bissau PPP Training Workshop
� Guinea Mining Ancillary Infrastructure
� Guinea PPP Training Workshop
� Nepal Screening and Initial Feasibility Assessment of Potential PPP Projects
� South Sudan Power Distribution System Diagnostic
� West Bank and Gaza Solid Waste Management Project
� Zimbabwe Assessment of Enabling Environment and PPP Pipeline
Regional Integration:
� Africa Legal Services in Support of the West African Power Pool’s Inter-connector Project for Côte
d’Ivoire, Liberia, Sierra Leone, and Guinea
� Middle East and North Africa Developing Alternative Broadband Networks
Capacity Building:
� Africa Energy Ministers’ Conference
� Africa Regional Conference on PPPs in Water and Sanitation
� Gabon PPP Program
� Leaders in Urban Transport Program
� PPI Database Funding for FY12 and FY13
� The Governance of Basic Local Public Services – 3 rd Global Report on Decentralization and Local
Democracy
� Middle East and North Africa Training Course on PPPs in the Water Sector
� Rwanda Capacity Training for Kigali Bulk Water Supply Project
� Sri Lanka Identifying PPP Opportunities for Local Governments
* Several of the activities listed in the cross-cutting theme Fragile States appear among the three strategic pillars
3

Activities Approved in Q1, Q2, and Q3 of Fiscal 2012
The table below contains the activities approved during the first three quarters of fiscal 2012, classified in
by region.
Region Country/Title
4
Approved
Funding
Sector Nature of Activity
AFR Africa: African Energy Ministers’ Conference $40,000 Energy Capacity Building
AFR
Africa: Legal Services in Support of the West African
Power Pool’s Power Inter-connector Project
AFR Africa: Lighting Africa Expansion $250,000 Energy
AFR
AFR
AFR
AFR
Africa: Regional Capacity Building Workshop with
Agence Française de Développement on Revenue
Management
Africa: Regional Conference on PPPs in Water and
Sanitation, Sub-Saharan Africa; Dakar, Senegal
Burkina Faso: Strengthening of Fiscal Revenues for
the Municipality of Ouagadougou
Burundi: Project Pipeline Screening and Initial
Feasibility Assessment of Potential Infrastructure
PPPs in the Energy Sector
$70,800 Energy Pioneering Transactions
$75,000
Multisector
Infrastructure
Development Strategies
Specific Performance
Improvement
$50,000 Water Emerging Best Practices
$75,000
Multisector
AFR Cameroon: Support to the Cameroon Water Sector $40,000 Water
AFR
AFR
AFR
Comoros: Options Evaluation and Strategic Roadmap
for the Telecommunications Sector of the Union of
Comoros
Côte d’Ivoire: Improving Users’ Awareness on Cost
Recovery for Sustainable Infrastructure Development $67,438
Côte d’Ivoire: PPP Pipeline and Enabling Environment
Support
Financing
$74,500 Energy Capacity Building
$75,000 Telecom
$74,640
AFR Gabon: PPP Program in Gabon $74,640
AFR
AFR
Ghana: Increasing Access to Market-Based Financing
for Municipalities in the Greater Accra Area
Ghana: Institutional options for improving urban water
supply in Ghana (phase 2)
$175,000
AFR Guinea-Bissau: PPP Training Workshop $49,963
Multisector
Multisector
Multisector
Multisector
$68,431 Water
Multisector
AFR Guinea: Mining Ancillary Infrastructure $490,000 Transport
AFR Guinea: PPP Training Workshop $57,763
AFR
Kenya: Assessment of Geothermal Development
Company for Enhanced Access to Finance
Multisector
Infrastructure
Development Strategies
Infrastructure
Development Strategies
Infrastructure
Development Strategies
Policy, Regulatory, and
Institutional Reforms
Policy, Regulatory, and
Institutional Reforms
Financing
Policy, Regulatory, and
Institutional Reforms
Capacity Building
$46,750 Energy Financing
Infrastructure
Development Strategies
Infrastructure
Development Strategies

Region Country/Title
5
Approved
Funding
Sector Nature of Activity
AFR Kenya: Lake Turkana Wind Due Diligence Project $294,900 Energy Capacity Building
AFR
AFR
AFR
AFR
AFR
AFR
AFR
AFR
Lesotho: Legal Advisory Support to ICT and Facilities
Management PPP
Mali: Capacity Building Support to Scatec and Kenie
Projects
Mali: Improving Governance and accountability to
Foster an Enabling Environment for Private Sector
Participation in the Electricity and Water Sectors
Mali: Legal Advisory to the Government of Mali for the
Scatec Solar Project
Mauritania: PEFA Study for the Communauté Urbaine
de Nouakchott
Mozambique: Preparation of a Gas Sector Master
Plan
Niger: Evaluation of projects with private participation
for Electricity Production and Supply of Energy
Services in Rural Areas
Nigeria: Support for Private Development of the
Power Sector
$301,160 Telecom Pioneering Transactions
$49,890 Energy Pioneering Transactions
$74,890
Multisector
Policy, Regulatory, and
Institutional Reforms
$49,950 Energy Capacity Building
$147,995
$250,000
$60,000
Multisector
Multisector
Multisector
Specific Performance
Improvement
Infrastructure
Development Strategies
Infrastructure
Development Strategies
$402,500 Energy Pioneering Transactions
AFR Nigeria: Workshop on Water Utility Reform $32,450 Water Capacity Building
AFR
AFR
AFR
AFR
Rwanda: Kigali Bulk Water Supply Project—Technical
Assistance and Capacity Training
South Africa: Pre-feasibility Study for a Cycling
Program in the City of Johannesburg
South Sudan: Diagnostic of Power Distribution
System
Zimbabwe: Assessment of PPP Enabling
Environment and PPP Pipeline
$207,700 Water Capacity Building
$74,820
Multi-
Sector
$75,000 Energy
$53,000
EAP Indonesia: Jakarta Credit Rating $75,000
EAP
EAP
EAP
EAP
EAP
Laos: Transport Sector Enabling Environment
Assessment and Pipeline Screening
Philippines: Assisting Tanuan City in Enhancing the
City’s Creditworthiness
Philippines: Options to Expand Private Sector
Participation in the Development of the Irrigation
Sector
Vietnam: Feasibility Study and PPP Options for the
Implementation of a Nation-Wide e-ID System for the
Delivery of Public Services
Vietnam: Strengthening of the Use of Performance-
Based Contracts for Road Maintenance in Vietnam
Multisector
Multisector
$50,000 Transport
$75,000
Multisector
$100,000 Water
Pioneering Transactions
Infrastructure
Development Strategies
Infrastructure
Development Strategies
Credit Rating
Infrastructure
Development Strategies
Specific Performance
Improvement
Infrastructure
Development Strategies
$230,620 Telecom Emerging Best Practice
$40,000 Transport
Infrastructure
Development Strategies

Region Country/Title
ECA
ECA
ECA
ECA
ECA
ECA
Global
Albania: Technical Assessments of Bistrica 1, Bistrica
2, Ulza, and Shkopeti Hydropower Plants
Albania: Universal Access and Service Policy
Framework in the ICT Sector
Armenia: Advisory Support for Private Sector
Involvement in Operation of Regional Bus Stations
Armenia: Support to the Armenia Water and
Sewerage Company with the Design of the Enhanced
Management Contract for 2011–2013
Moldova: Feasibility Study for Cloud-Based Shared
Infrastructure PPP
Tajikistan: Drafting a new Investment Law in
Tajikistan
Global: Leaders in Urban Transport Program –
Translation and Workshop Delivery
6
Approved
Funding
Sector Nature of Activity
$75,000 Energy Pioneering Transactions
$148,100 Telecom
$75,000 Transport
Infrastructure
Development Strategies
Infrastructure
Development Strategies
$75,000 Water Pioneering Transaction
$200,000 Telecom
$200,000
Multisector
Global Global: PPI Database Funding for FY12 and FY13 $658,000 Multisector
Global
LAC
LAC
LAC
LAC
LAC
LAC
Global: The Governance of Basic Local Public
Services – 3 rd Global Report on Decentralization and
Local Democracy (GOLD III)
Belize: Improve Municipal Creditworthiness for Belize
Municipalities
Brazil: Improving the Sustainable Forestry
Concession Model in the Amazon
Colombia: Feasibility Study to Develop Tradable Air
Rights Instruments to Mobilize Private Financing for
Bogotá’s Carrera 7 Bus Rapid Transit Corridor
Colombia: Private Financing Window for Low-Income
Housing Projects
Mexico: Strengthening Lending Market for Small
Mexican Municipalities
Panama: Preparation of a Performance-Based
Efficiency Improvement Contract for IDAAN’s Colón
Business Unit
Infrastructure
Development Strategies
Policy, Regulatory, and
Institutional Reforms
$75,000 Transport Capacity Building
$200,000
$75,000
$400,000
$179,780
$74,800
$75,000
Multisector
Multisector
Multisector
Multisector
Multisector
Multisector
LAC Peru: PPP Options for Irrigation Infrastructure $75,000 Water
LAC
Uruguay: Development of Financing Options for PPPs
in Roads Sector
Consensus Building
Consensus Building
Specific Performance
Improvement
Pioneering Transactions
Other
Pioneering Transactions
Other
$74,975 Water Pioneering Transactions
$250,000 Transport
MENA Djibouti: Energy Sector Assessment $459,275 Energy
MENA
MENA
Djibouti: Feasibility Assessment for Solar Rural
Electrification
Djibouti: Options for Telecoms Sector Liberalization in
Djibouti
$400,600 Energy
$107,690 Telecom
Infrastructure
Development Strategies
Infrastructure
Development Strategies
Infrastructure
Development Strategies
Infrastructure
Development Strategies
Policy, Regulatory, and
Institutional Reforms

Region Country/Title
MENA
MENA
MENA
MENA
MENA
MENA
SAR
Lebanon: Facilitating Sub-National Government
Access to Commercial Credit and Capital Markets
Lebanon: Improving the Performance of the Beka’a
regional Water Authority
Middle East and North Africa: Developing Alternative
Broadband Networks
Middle East and North Africa: Training Course on
PPPs in the Water Sector
West Bank and Gaza: Improving Municipal Revenue
Generation Policies and Framework
West Bank and Gaza: Southern West Bank Solid
Waste Management Project
Bhutan: Pre-feasibility Assessment of Infrastructure
Projects Under a PPP Model
7
Approved
Funding
$75,000
Sector Nature of Activity
Multisector
$75,000 Water
$74,510 Telecom
Capacity Building
Specific Performance
Improvement
Infrastructure
Development Strategies
$50,000 Water Building Capacity
$161,300
Multisector
Specific Performance
Improvement
$199,975 Water Pioneering Transactions
$64,450
Multisector
SAR Bhutan: Telecom Sector Policy Roadmap $75,000 Telecom
SAR India: Assistance in Finalization of a PPP Policy $75,000
SAR
SAR
SAR
SAR
Maldives: Contract Management Support for Solid
Waste Management PPP
Nepal: Screening and Initial Feasibility Assessment of
Potential Public-Private Infrastructure Projects
Sri Lanka: Identifying PPP Opportunities for Local
Governments
Sri Lanka: Pre-feasibility Assessment of Infrastructure
Projects Under a PPP Model
Multisector
Infrastructure
Development Strategies
Policy, Regulatory, and
Institutional Reforms
Policy, Regulatory, and
Institutional Reforms
$74,950 Water Capacity Building
$50,000
$75,000
$75,000
Multisector
Multisector
Multisector
Infrastructure
Development Strategies
Other
Capacity Building

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
REGIONAL UPDATE
PPIAF’S WORK IN SUB-SAHARAN AFRICA
April 2012
Sub-Saharan Africa (SSA)’s economies have improved markedly over the past decade.
The continent’s real GDP grew by roughly 5% per year from 2000 to 2008, reaching
$1.56 trillion in 2008 prior to the financial crisis, at a similar level to the GDP of China.
Although the financial crisis slowed the economic boom, SSA has showed significant
resilience, and economic growth climbed back to 5% in 2011. This growth story has
been built on sound macro-economic principles that have reduced inflation from the
highs of the 1990s, brought about tax reforms and the privatization of state assets, and
energized the market through private-sector friendly policies and sector strategies.
Nevertheless, many SSA countries continue to face serious infrastructure deficits that
negatively impact economic growth across the continent. As a result, many of the
region’s governments are recognizing that mobilizing the required investment to
support the development of infrastructure will be a major challenge. To address
this, governments are looking to engage the private sector through public-private
partnership (PPP) arrangements to close the gaps in investment capital, technology,
and know-how needed to improve the efficiency and delivery of public infrastructure
services. Requests for PPIAF assistance in the region continue to be high, as governments
seek support to help develop the appropriate enabling environment for private sector
participation, as well as the knowledge and expertise to develop and implement
bankable PPP projects.
As of March 31, 2012 PPIAF had provided $72,596,855 in funding to 333 projects in
SSA, representing 35% of PPIAF’s total funding portfolio. The region continues to
be the largest recipient of PPIAF assistance, and in fiscal 2012 activities in SSA have
represented 41% of the total portfolio. Since inception, the most frequent recipients
of PPIAF assistance have been Kenya, Mozambique, and Nigeria. While support to
these countries will continue, the portfolio is also diversifying to support fragile and
conflict-affected countries such as Côte d’Ivoire, Liberia, Sierra Leone, and South
Sudan. On a sectoral basis, energy activities represent 55% of PPIAF’s ongoing portfolio
in the region, followed by 17% for multi-sector activities, and 12% for water sector
activities.

It is estimated that inadequate infrastructure across SSA is slowing GDP growth by around 2%. Governments in the
region face a serious challenge of increasing the quality and quantity of infrastructure service provision to sustain and
enhance economic growth rates in the context of narrow fi scal space to fund these investments. A sizeable funding
gap exists, which governments and donors are unable to fi ll alone. The PPIAF-sponsored African Infrastructure
Country Diagnostic found that the continent needs to spend about $93 billion per year over the next ten years, 15%
of the region’s GDP, to plug the infrastructure gap. The report also estimated current spending at only $45 billion a
year, demonstrating the size of the funding gap. For this reason, PPIAF assistance has been highly requested to help
governments leverage private sector management expertise and/or fi nancing to expand and improve infrastructure
services.
As is often noted, the infrastructure gap is most acute in the power sector, where chronic power shortages in many
of the region’s countries signifi cantly impact economic activity and growth. Although the sector is already the second
largest recipient of private sector investment across the continent, it is estimated that SSA spends only around one
quarter of the amount needed to fulfi ll demand. Thus the power generation capacity of the entire continent, populated
by 800 million people, is comparable with that of Spain, with a population of only 45 million.
Clearly the private sector will play a signifi cant role in building Africa’s power generation potential, and PPIAF has
provided support to several projects in the region with this goal in mind. In Nigeria, PPIAF approved an activity that
will support the government in reaching its Vision 2020 goal of increasing the country’s generation capacity from
3,000 MW to 40,000 MW by 2020 by facilitating private sector investment in Independent Power Producers (IPPs).
PPIAF is supporting the due diligence of proposed IPPs to ensure that the projects meet internationally established
benchmarks for proposed technology and cost effi ciency. It is hoped that the IPPs that will be examined as part of
the activity will provide additional generation capacity of more than 2,500 MW. Similarly, in Kenya PPIAF is providing
technical, commercial, legal, and fi nancial expertise to the Kenya Power Company to support the development of
the €600 million Lake Turkana Wind Project, including the negotiation of the Power Purchase Agreement with the
private operator. When completed the 300 MW Lake Turkana wind power generation facility is expected to represent
17% of Kenya’s installed capacity.
Several countries in Africa are rich in natural resources, and as these countries attempt to embark into a sustainable
development path, a key question arises of how to integrate the infrastructure assets (e.g., roads and power) created
to serve mining companies into the policies and plans that aim to improve the provision of infrastructure nation-wide.
In recognizing the increasing importance of this question for African countries, PPIAF is supporting the government
of Guinea in its efforts to integrate its mining ancillary infrastructure into the relevant national development plans.
Across infrastructure sectors, private sector investors in SSA are looking to implement PPP projects that provide suitable
returns for the risks undertaken. These investors have sometimes complained of the lack of bankable deals in the
region, which has made it diffi cult to invest funds appropriately. In fi scal 2012 PPIAF has approved multiple projects
that seek to respond to this challenge by promoting the identifi cation and prioritization of potential PPP projects. In
Burundi, Côte d’Ivoire, Gabon, Niger, and Zimbabwe PPIAF is providing support to screen and examine infrastructure
projects for their suitability to be structured as PPPs. In doing so, PPIAF is helping these governments prioritize fi rstmover
projects and signal to potential investors their government commitment to developing a multi-project PPP

Ethiopia: Solid Waste Management
PPIAF Funding: $391,500
Background: In 2002 municipal solid waste management (SWM) was
in a poor state in Ethiopia, and the absence of an appropriate policy and
regulatory environment continued to inhibit private sector participation
(PSP). SWM had not been a national priority, and investments were
minimal; poor waste collection and disposal practices had signifi cant
environmental and health impacts. There was no formal structure
for charging waste generators, and weak fi nancial and cost recovery
systems were one of the major sources of poor waste management
performance. PSP in SWM was limited to informal pre-collection
companies in Addis Ababa and a few other cities. Moreover, there was
virtually no capacity within government to develop appropriate SWM
contracts and carry out the tendering and evaluation process for PSP.
PPIAF’s Contribution: Although government interest in PSP in the solid waste sector was growing, it was
essential that the necessary framework for PSP be developed before contracts were tendered and the private
sector became formally engaged in SWM operations. In late 2002 the government of Ethiopia sought PPIAF
support in the solid waste sector. PPIAF supported: 1) a diagnostic of the solid waste sector in the country;
2) an assessment of the legal and institutional changes required for greater PSP; 3) an assessment of the PSP
opportunities and options available to the Environmental Protection Agency; 4) recommendations on policy,
institutional reforms, strategy, and applicable laws necessary for greater PSP; and 5) capacity building training
through courses on fi nance and cost recovery options in the SWM sector, workshops with relevant stakeholders,
and two study tours to South Africa and Egypt.
Outcomes: The PPIAF activity built the technical capacity of municipality staff to understand the principles
of private fi nancing, operation, and cost recovery in the sector, which was crucial for the supervision and
monitoring of the tendering and implementation of PSP. Subsequently the Environmental Protection Agency
began a full review of the national SWM strategy, to incorporate the policy provisions for PSP generated by
the PPIAF-funded study. As a result, in February 2007 the President passed the Solid Waste Management
Proclamation No. 513/2007, which allowed private operators to obtain a permit to engage in the collection,
transportation, and use or disposal of waste.
In May 2007 the Agence Française de Développement approved funding of €5.4 million, out of total project
costs of €27.76 million, for the construction of four transfer stations in Addis Ababa. In May 2008 the World
Bank approved a $145 million loan to support SWM and provide assistance for urban local governments
interested in entering into service contracts with private enterprises for the collection of solid waste.
Impacts: Following the 2007 proclamation, the Municipality of Addis Ababa, with 3 million residents, was
divided into 549 collection zones with one private enterprise assigned to each zone. Service charges for waste
collection are collected as part of water consumption rates, and payment is on a volume-based rate of 30 birr
(around $1.75) per m 3 of waste collected. Thus far 524 enterprises have obtained permits to perform primary
collection of solid waste in Addis Ababa, employing a total of 5,815 waste collectors. Consequently, the
garbage collection rate has increased from 60% to 80%, and an additional 600,000 residents in Addis Ababa
now have their waste collected.

program. It is hoped that PPIAF can provide second-phase support to the projects identifi ed for more in depth
pre-feasibility studies and project appraisal. In addition, many of these projects also include a component that assesses
the enabling environment for PPPs in general, and for the identifi ed projects in particular. In doing so, the activities
are designed to quickly fl ag legislative and regulatory impediments that need to be addressed before a project can
be launched.
Expanding access and improving services in Africa will need private sector involvement, but given the magnitude of
the challenges it will continue to require an active participation of the public sector. This is why PPIAF, through its Sub-
National Technical Assistance (SNTA) program also supports the efforts of municipalities responsible for the provision
of public services, as well as autonomous public utilities, to improve their fi nancial and operational performance and
their capacity to access fi nancing in commercial and quasi-commercial terms. In fi scal 2012, the SNTA program has
approved activities in Ghana, Burkina Faso, and Mauritania to improve the fi nancial performance of municipalities in
those countries, and has also supported an Africa-wide capacity building workshop on revenue management, which
was co-fi nanced by the Agence Française de Développement’s Center for Financial, Economic, and Banking Studies.
SNTA has also approved an activity in Kenya that supports an assessment of the Geothermal Development Company
to enhance its access to fi nance.
PPIAF Activities Approved in Fiscal 2012 (as of March 31, 2012)
• Africa: African Energy Ministers’ Conference, approved August 23, 2011, $40,000
• Africa: Legal Services in Support of the West African Power Pool’s Power Inter-connector Project for Côte
d’Ivoire, Liberia, Sierra Leone, and Guinea, approved February 28, 2012, $70,800
• Africa: Lighting Africa Expansion, approved December 5, 2011, $250,000
• Africa (SNTA): Regional Capacity Building Workshop with Agence Française de Développement on Revenue
Management, approved March 4, 2012, $75,000
• Africa: Regional Conference on PPPs in Water and Sanitation in SSA, approved March 26, 2012, $50,000
• Burkina Faso (SNTA): Strengthening of Fiscal Revenues for the Municipality of Ouagadougou, approved
March 19, 2012 $75,000
• Burundi: Project Pipeline Screening and Initial Feasibility Assessment of Potential Infrastructure PPPs in the
Energy Sector, approved January 31, 2012, $74,500
• Cameroon: Support to the Water Sector, approved February 15, 2012, $40,000
• Comoros: Options Evaluation and Strategic Roadmap for the Telecommunications Sector, approved December
22, 2011, $75,000
• Côte d’Ivoire: Improving Users’ Awareness on Cost Recovery for Sustainable Infrastructure Development—
Phase II, approved December 6, 2011, $67,438
• Côte d’Ivoire: PPP Pipeline and Enabling Environment Support, approved October 16, 2011, $74,640
• Gabon: PPP Program, approved February 7, 2012, $74,640
• Ghana (SNTA): Increasing Access to Market-Based Financing for Municipalities in the Greater Accra Area,
approved November 18, 2011, $175,000

PPIAF Activities Approved in Fiscal 2012 (as of March 31, 2012)... Continued
• Ghana: Institutional Options for Improving Urban Water Supply—Phase II, approved March 11, 2012, $68,431
• Guinea-Bissau: PPP Training Workshop, approved October 16, 2011, $49,963
• Guinea: Mining Ancillary Infrastructure, approved January 10, 2012, $490,000
• Guinea: PPP Training Workshop, approved October 30, 2011, $57,763
• Kenya (SNTA): Assessment of Geothermal Development Company for Enhanced Access to Finance, approved
September 28, 2011, $46,750
• Kenya: Lake Turkana Wind Due Diligence Project, approved November 30, 2011, $294,900
• Lesotho: Legal Advisory Support to ICT and Facilities Management PPP, approved December 16, 2011,
$301,160
• Mali: Capacity Building Support to the Scatec and Kenie Projects, approved December 5, 2011, $49,890
• Mali: Improving Governance and Accountability to Foster an Enabling Environment for Private Sector Participa
tion in the Electricity and Water Sectors, approved July 24, 2011, $74,890
• Mali: Legal Advisory to the Government of Mali for the Scatec Solar Project, approved November 11, 2011,
$49,950
• Mauritania (SNTA): PEFA Study for the Communauté Urbaine de Nouakchott, approved October 30, 2011,
$147,995
• Mozambique: Preparation of a Gas Sector Master Plan, approved September 14, 2011, $250,000
• Niger: Evaluation of Projects with Private Participation for Production and Supply of Electricity in Rural Areas,
approved March 11, 2011, $60,000
• Nigeria: Support for Private Development of the Power Sector, approved December 2, 2011, $402,500
• Nigeria: Workshop on Water Utility Reform, approved December 2, 2011, $32,450
• Rwanda: Kigali Bulk Water Supply Project—Technical Assistance and Capacity Training, approved November 1,
2011, $207,700
• South Africa: Pre-feasibility Study for a Cycling Program in the City of Johannesburg, approved March 20,
2012, $74,820
• South Sudan: Diagnostic of Power Distribution System, approved December 14, 2011, $75,000
PPIAF has supported activities in: Angola, Benin, Botswana, Burkina Faso, Burundi, Cameroon, Cape
Verde, Central African Republic, Chad, Comoros, Côte d’Ivoire, Democratic Republic of Congo, Ethiopia,
Gabon, Gambia, Ghana, Guinea, Guinea-Bissau, Kenya, Lesotho, Liberia, Madagascar, Malawi, Mali,
Mauritania, Mauritius, Mozambique, Niger, Nigeria, Republic of Congo, Rwanda, São Tomé and Princípe,
Senegal, Sierra Leone, South Africa, Sudan, Swaziland, Tanzania, Togo, Uganda, and Zambia

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
REGIONAL UPDATE
PPIAF’S WORK IN EAST ASIA AND PACIFIC
April 2012
The growth of economies in the East Asia and the Pacific (EAP) region remains strong
but constrained by weakening external demand due to the sluggish U.S. economy,
uncertainties in the eurozone, and the impact of natural disasters (such as the tsunami
in Japan and flooding in several countries) in the production supply chain. The slow
global growth, however, presents an opportunity to enhance medium- to long-term
growth by increasing investment in infrastructure (particularly in those sectors that
support production) and increasing the quality and efficiency of these investments.
The private sector can play a role in financing and improving the delivery of productive
infrastructure. PPIAF assistance in the region continues to be centered on building a
robust pipeline of public-private partnership (PPP) projects and improving enabling
environments for private sector financing.
Since inception PPIAF has approved $32,278,827 in funding to 151 projects in the
EAP region, representing 15% of PPIAF’s total funding portfolio. Projects have been
concentrated in the largest countries in terms of economies and population: China,
Indonesia, Philippines, and Vietnam. These four countries account for 60% of all
funding in the region. Multi-sector activities dominate and represent 32% of PPIAF’s
funding portfolio, followed by 23% in energy and 18% in water. PPIAF has activities in
over 11 countries with a current portfolio of 14 ongoing activities.
In recent months, PPIAF supported four activities that will help governments determine
the potential for private sector participation in roads in Lao PDR and Vietnam, irrigation
in the Philippines, and a nationwide e-ID system in Vietnam. PPIAF also approved two
Sub-National Technical Assistance (SNTA) activities to support the credit rating of
Jakarta, Indonesia in preparation for a bond issuance and improve the creditworthiness
of Tanuan City in the Philippines.
Recent PPIAF assistance in the region focused on developing a pipeline of PPPs particularly in the
roads, irrigation, and ICT sectors. Lao PDR is positioning itself as a “land-linked” country for regional
trade, and is looking at PPPs as an innovative way of fi nancing future infrastructure investment. A
PPIAF activity is supporting the government of Lao PDR in conducting the preliminary assessment
of the enabling environment for PPPs in the transport sector and the country’s potential PPP pipeline.
The activity will serve as an input to the Lao National Strategy for the Transport Sector. In the
Philippines, PPP arrangements are relatively new in the agriculture sector, and the Department of
Agriculture requested support to address the enabling environment for PPPs and build its capacity
to implement its PPP program. PPIAF is currently providing assistance to the to the Department
to identify policy, regulatory, and institutional constraints in the sector, in addition to a pipeline
of bankable projects. Another PPIAF activity is providing assistance to determine options in the

design and execution of a PPP e-ID system in Vietnam. The deployment of e-ID systems helps increase effi ciency and
transparency of public service delivery to citizens. The private sector’s role in deploying this e-ID infrastructure is critical,
because it can potentially ensure the fi nancial viability and sustainability of the project.
Strengthening private sector engagement is also important, particularly in countries where the PPP model has
been gaining support. In Vietnam, for example, the Ministry of Transport—through the Directorate of Roads
Vietnam—is taking the lead in setting a strategic vision for the national road system, which will include the use of
performance-based contracts in road maintenance. PPIAF is helping to undertake a review of the current approach
to performance-based road maintenance contracting in Vietnam and providing recommendations to improve its
implementation.
Two SNTA activities were approved in recent months to assist local government units access market-based fi nancing
to support priority projects that will help them cope with the challenges of rapid urbanization and climate change.
The fi rst activity will support a credit rating and fi nancial management assessment of the Province of Jakarta and the
strengthening of its newly established Debt Management Unit in assessing and monitoring debt. The Province of
Jakarta is keen on issuing a bond in July 2012, which will potentially be the fi rst municipal bond issuance for Indonesia.
The other SNTA activity is helping the City of Tanuan in the Philippines improve its capacity for fi scal and fi nancial
management as it considers a local currency loan from the International Finance Corporation to fi nance its capital
expenditure program for essential infrastructure. The planned transaction will be different from earlier borrowing by
the city, as this will not involve traditional inter-governmental transfers (block grants from the national government
to local governments) as security.
Looking forward, PPIAF assistance in EAP will continue in the region’s larger economies, but focusing on the least
developed economies remains a strategic priority. To date, potential activities in the energy sector in Papua New
Guinea and telecommunications sector in Myanmar are being explored. Developing a pipeline for PPIAF’s SNTA
window will also be a priority starting with follow-up support to local governments that benefi tted from initial activities
under the SNTA assistance (see box below).

Indonesia: Support for Financial and Credit Rating Assessment for Sub-National
Governments
PPIAF Funding: $330,000
Background: About a decade ago, Indonesia implemented a
sweeping decentralization reform, which made empowering local
governments critical. To help increase the level and quality of
local spending for public services and infrastructure, Indonesia
embarked on developing a framework for sub-national borrowing,
in particular on issuing municipal bonds. In this context, the
Ministry of Finance sought guidance from the World Bank on
setting up a system for fi nancial assessment and credit ratings,
and assisting sub-national governments in attaining credit ratings
and issuing of bonds.
PPIAF’s Contribution: As part of the overall work to support the Ministry of Finance in developing a framework
for sub-national borrowing, PPIAF’s SNTA program supported fi nancial management assessments and credit
ratings for four cities: Surabaya, Makassar, Bandung, and Balikpapan.
Outcomes: In 2011 the fi nancial management assessments and credit ratings were completed for the four
cities. The assessments for Surabaya and Bandung were done by Standard & Poor’s, while those for Makassar
and Balikpapan were done by PEFINDO, a local rating agency. A workshop was conducted on November 21,
2011 in Jakarta to present the results of the assessments and credit rating reports, discuss the legal background
of sub-national borrowing (Government Regulation 30/2011), share international experiences with sub-national
borrowing, and share the experience of DKI Jakarta in preparing for the issuance of Indonesia’s fi rst municipal
bond. The results of the fi nancial management assessments and credit ratings for the participating cities were
very encouraging, and the cities also found the inputs from these reports to be benefi cial to improve their fi scal
management practices. Follow-up support to Makassar and Surabaya to help them move towards accessing
market-based fi nancing is currently being explored.
PPIAF Activities Approved in Fiscal 2012 (as of March 31, 2012)
• Indonesia (SNTA): Jakarta Credit Rating, approved February 19, 2012, $75,000
• Laos: Transport Sector Enabling Environment Assessment and Pipeline Screening, approved December 21,
2011, $50,000
• Philippines (SNTA): Assisting Tanuan City in Enhancing the City’s Creditworthiness, approved March 20,
2012, $75,000
• Philippines: Options to Expand Private Sector Participation in the Development of the Irrigation Sector,
approved March 20, 2012, $100,000
• Vietnam: Feasibility Study and PPP Options for the Implementation of a Nation-Wide e-ID System for the
Delivery of Public Services, approved March 29, 2012, $230,620
• Vietnam: Strengthening of the Use of Performance-Based Contracts for Road Maintenance, approved October
17, 2011, $40,000
PPIAF has supported activities in: Cambodia, China, East Timor, Indonesia, Lao PDR, Mongolia, Papua
New Guinea, Philippines, Solomon Islands, Thailand, Vanuatu, and Vietnam

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
REGIONAL UPDATE
April 2012
PPIAF’S WORK IN EASTERN EUROPE AND CENTRAL ASIA
The global financial crisis that began in late 2008 set back ambitious infrastructure
development plans for many countries in the Eastern Europe and Central Asia (ECA)
region. Many such plans relied on public-private partnership (PPP) arrangements. The
flight to quality projects and countries perceived as less risky has been notable. Across
the region, each project structure exhibited unique risks, but since the crisis, increased
complexity and longer times between contract signature and financial close have been
common.
Since inception PPIAF and its Sub-National Technical Assistance (SNTA) program have
provided $26,145,155 in funding to 119 projects in the ECA region, representing 12%
of PPIAF’s total portfolio. Armenia dominates the regional portfolio with 15 projects
worth $3.6 million approved since inception. Ukraine, with eight activities, has the
next highest number of activities, followed by Croatia, with six activities, Bosnia and
Herzegovina, Bulgaria, Macedonia, and Turkey, with five activities each. Energy and
multi-sector activities represent 35% and 19% respectively of PPIAF’s portfolio in the
region.
In recent months, PPIAF approved one activity in Albania to provide technical assessments
for three hydropower transactions; another activity in Albania to improve universal
access and service policy framework in the ICT sector; one activity in Armenia supporting
private sector involvement in the operation of regional bus stations; another activity
in Armenia assisting the Armenia Water and Sewerage Company with the design of
the enhanced management contract for 2011–2013; one activity in Moldova to assess
the feasibility of a cloud-based ICT PPP scheme; and one activity in Tajikistan to draft
a new investment law.
The ECA region has seen investment in infrastructure projects with private participation grow by
80%, emerging as a leader among other developing regions. However, the fi nancial crisis has had
an adverse impact on private sector funding fl ows: investment levels have since dropped signifi cantly
lower than in previous years, and have dropped at a much higher rate than that in other developing
regions.
Nevertheless, as of 2011 the city of St. Petersburg had closed fi ve signifi cant PPP projects, including
the €1.5 billion Moscow–St. Petersburg Highway and the €1 billion Pulkoyo Airport Development
project. Another area of growth in PPP project development was in renewable energy. Largely thanks
to effective policy support, 2011 also saw signifi cant growth in PPPs in renewable energy projects;
Bulgaria and Romania PPP deals closed in this sector with values of $370 million and $1.3 billion,
respectively. These projects demonstrate sectoral and regional pockets of appetite for PPPs in ECA
as the global fi nancial crisis lessens in intensity.

Albania: Technical Assistance for the Transport Sector
PPIAF Funding: $245,000
Background: In 2005 Albania’s road infrastructure was
inadequate, as about 63% of the national road network
was in poor condition, and the sector was in need of major
investment. However, given the huge investment needs, the
government realized that it could not achieve the targets laid
out in its National Transport Plan using only government and/
or donor funds. The government was therefore interested
in exploring private participation options to support its road
infrastructure development goals. In 2005 the government
requested PPIAF support to provide a road map for private
participation in the road sector, by identifying obstacles to PPPs
and recommendations to increase private sector interest.
PPIAF’s Contribution: The PPIAF-funded framework report was compiled within the context of huge investment
needs in the roads sector in Albania. In assessing available PPP structures, the report assessed build-operatetransfer,
rehabilitate-operate-transfer, and maintain-operate-transfer as the best available options to maximize
private participation for high priority investments in the sector. The report noted that with low traffi c volumes,
weak local fi nancial markets, and inexperience with tolling, the government’s objective of large-scale private
sector investment in roads would be a longer-term objective.
A one-day training session on PPPs in the roads sector was held, and the report’s recommendations were
presented at a two-day workshop in May 2007. Consensus was achieved on moving forward with the design
of performance-based road maintenance contracts for Albanian roads.
Outcomes: Following on from the recommendations of the PPIAF activity, a World Bank project was launched
to support the piloting of four performance-based maintenance contracts in the Tirana and Kukës regions.
The three-year contracts were subsequently awarded in October 2009. The total cost of these contracts was
$10 million, with the fi rst two years paid by the World Bank, and the third year fi nanced by the government
of Albania. Since the beginning of the contracts, the contractors have improved their overall performance and
built their capacity in the performance-based maintenance approach. As a result, it is likely that the approach
will be scaled-up in other regions within Albania.
In addition, enabling legislation was passed in October 2009 to transform the General Roads Directorate
into the Albanian Road Authority, which is responsible for national and regional roads. The Albanian Road
Authority Board was appointed in September 2010, and the authority will benefi t from autonomy and greater
responsibility for overseeing the roads sector in Albania, as recommended in the PPIAF-funded report.
Finally, the government of Albania has recently decided to introduce a tolling system on the Durres–Kukës
highway. It will be the fi rst highway to charge tolls to cover maintenance costs, and the government intends
to introduce tolls to other highways currently under construction. The Durres–Kukës highway was constructed
in 2007–2010 to connect Kosovo with the Albanian seaport of Durres. As of February 2012, fi ve international
consortia have submitted bids to upgrade, operate, and maintain the new Durres–Kukës highway. The lead
fi nancial advisor on the project is the International Finance Corporation PPP Transaction Advisory team.

PPIAF support to ECA has shifted its focus from the Balkan states to a broader pool of countries, including Tajikistan.
With respect to the scope of PPIAF-funded activities, the focus has shifted from regional initiatives to single-country
activities, often supporting specifi c PPP transactions. While PPIAF continues to support the development of a wholesale
electricity market in Southeastern Europe in order to achieve greater economies of scale, the large majority of
new activities provide just-in-time interventions strengthening client countries’ capacity to successfully close selected
PPP schemes (i.e., in Albania, Armenia, and Moldova).
Particularly noteworthy is the realization in Moldova of a feasibility study for a PPP on the development of a “cloud”
computing-based data center. This activity will create a set of reference documents that can be later reused by other
countries interested in building cloud-based shared e-government infrastructure leveraging PPPs.
PPIAF responded quickly and provided assistance in fi scal 2012 to meet the needs resulting from the fi nancial crisis.
In Albania, PPIAF is assisting the government to further liberalize the energy sector, enhance private sector participation,
and monetize the value of its generation assets.
PPIAF Activities Approved in Fiscal 2012 (as of March 31, 2012)
• Albania: Technical Assessments of Bistrica 1, Bistrica 2, Ulza, and Shkopeti Hydropower Plants, approved
December 15, 2011, $75,000
• Albania: Universal Access and Service Policy Framework in the ICT Sector, approved November 26, 2011,
$148,100
• Armenia: Advisory Support for Private Sector Involvement in Operation of Regional Bus Station, approved
September 15, 2011, $75,000
• Armenia: Support to the Armenia Water and Sewerage Company with the Design of the Enhanced
Management Contract for 2011–2013, approved July 15, 2011, $75,000
• Moldova: Feasibility Study for Cloud-Based Shared Infrastructure PPP, approved January 15, 2012, $200,000
• Tajikistan: Drafting a New Investment Law in Tajikistan, approved September 27, 2011, $200,000
PPIAF has supported activities in: Albania, Armenia, Azerbaijan, Belarus, Bosnia and Herzegovina,
Bulgaria, Croatia, Federal Republic of Serbia and Montenegro, Georgia, Hungary, Kazakhstan, Kosovo,
Kyrgyz Republic, Latvia, Lithuania, Macedonia, Moldova, Montenegro, Romania, Russia, Serbia, Slovakia,
Tajikistan, Turkey, Turkmenistan, Ukraine, and Uzbekistan

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
REGIONAL UPDATE
April 2012
PPIAF’S WORK IN LATIN AMERICA AND THE CARIBBEAN
Latin America has the most unequal income distribution in the world as well as high
rates of extreme poverty.
Since inception PPIAF has provided $24,780,304 in funding to 122 projects in the Latin
America and Caribbean (LAC) region, representing 12% of PPIAF’s total portfolio.
Brazil leads with the most funding received ($3.1 million) for 15 activities, but is closely
followed by Colombia with 17 projects worth $2.9 million and Peru with 12 activities
worth $2.9 million. Twenty-six region-wide activities worth $4.7 million have also been
approved since inception. Multi-sector activities represent 39% of PPIAF’s portfolio in
the region, followed by 21% in transport and 18% in water and sanitation.
In recent months, PPIAF has approved one activity in Uruguay to provide transaction
assistance with the review of existing road projects, assess their overall bankability,
and identify financial instruments for the public-private partnership (PPP) structure.
Another significant activity recently funded by PPIAF seeks to improve the forestry
concession model in the Amazon, one of the first concessions of sustainable forestry
management concessions carried out by the Brazilian Forest Service. On the subnational
side, one noteworthy activity recently approved through PPIAF’s Sub-National
Technical Assistance (SNTA) program supports the feasibility study for the development
of tradable air rights instruments to mobilize private financing in Bogotá, Colombia.
The LAC region has consistently led the way in terms of private participation in infrastructure. At the
beginning of the 1990s, all developing countries in the region suffered from large infrastructure defi -
cits, dismal service standards, tight fi scal constraints, and deep problems with the traditional mode
of public infrastructure service delivery. There were weak incentives for effi ciency and infrastructure
delivery was often embedded within patronage-drive political systems. In most of these countries,
the decline in public fi nance was larger than the increase. The exception was Colombia, where the
decline was slight and, on average, public investment levels remained roughly unchanged (albeit
with major fl uctuations) throughout the period.
In recent years, however, privatization has slowed dramatically in the region. Disparities in LAC are
also refl ected by the different maturity levels of private participation in infrastructure markets across
the region. Numerous countries in the region are moving towards a second phase of programs for
private participation in infrastructure—mostly through PPP schemes—while other countries are just
beginning the process. As of 2012, several countries in the region—including Brazil, Chile, Costa
Rica, and Peru—have created government departments to foster investment through PPPs. Most
recently, in December 2011 the Mexican Congress approved the Public-Private Partnership Act,

a piece of legislation that aims to promote PPPs by providing an offi cial framework for public and private entities to
enter into such agreements.
PPIAF is expected to spearhead private participation in infrastructure activities in the region by piloting cutting-edge
interventions and consolidating know-how that will benefi t initiatives worldwide. A good example of this is a recent
activity with the Brazilian Forestry Service, which is in charge of awarding concessions for forest management of
federal public forests in Brazil. Forest concessions on publicly-owned land can play a crucial role in the promotion
of sustainable forest management and the reduction of illegal logging or forest conversion. The Brazilian federal
government’s Forest Concession Program intends to create a new paradigm for forestry production in the Amazon,
ensuring social control over this activity, fi ghting illegal land occupation, and inducing players in the logging sector
to adopt a sustainable and business oriented behavior in their activities.
Honduras: Support to Non-Revenue Water Performance-Based Contracting
PPIAF Funding: $75,000
Background: Access to water and sanitation services improved in
Honduras in the 1990s, in both rural and urban areas. However, the
sector’s weak institutional framework and competition between
national, state, and municipal actors led to a lack of planning,
inadequate regulation of operators, and poorly-defi ned policies.
In 2003 the government of Honduras passed the Drinking Water
and Sanitation Sector Framework Law, which created a central
policy-making council (CONASA) and an independent regulatory
agency (ERSAPS). The law also decentralized water and sanitation
services, shifting the responsibility for operations from the national
water and sewerage agency (SANAA) to municipalities.
PPIAF’s Contribution: PPIAF assistance was requested in 2008 to support a non-revenue water (NRW)
performance-based management contract for SANAA’s operations in Honduras’ capital city, Tegucigalpa
Metropolitan District. The contract was piloted by a World Bank project to demonstrate how the private sector
can be used as an effi cient means to achieve signifi cant improvements in operational and fi nancial performance.
PPIAF funded several elements to ensure the contract design refl ected international best practice in NRW
management, including training for SANAA staff on management and NRW contracts and a report on the
lessons learned from the design and bidding process.
Outcomes: The $6.5 million NRW contract went into effect July 1, 2011, and was awarded to a consortium
made up of ACC Ingenieria SAS, Radian Colombia SAS, and Veritec Consulting Inc. The consortium’s obligations
under the contract include: assessing the current conditions of the water supply; implementing minimum cost
interventions to improve service reliability and hours of service; and reducing both physical and commercial
losses to improve the utility’s income.

The track record of urban development projects (e.g., rapid transit systems), coupled with the fi nancial viability of
some sub-national governments in Latin America, led to the need for innovative fi nancial tools to incorporate future
gains in land value resulting from the realization of major infrastructure projects. One such fi nancial instrument is
tradable development rights originally developed in Brazil. An SNTA project in Colombia is helping Bogotá tap private
sources of fi nancing by auctioning additional building rights to private investors beyond what was initially permitted
by the city’s zoning legislation. The resulting certifi cates are freely tradable instruments in the local stock exchange.
The development of innovative fi nancial tools allows the public sector to mobilize private fi nancing for such infrastructure
investments and frees up much-needed fi scal space to target other pressing social and economic concerns.
PPIAF Activities Approved in Fiscal 2012 (as of March 31, 2012)
• Belize (SNTA): Improve Municipal Creditworthiness for Belize Municipalities, approved July 15, 2011, $75,000
• Brazil: Improving the Sustainable Forestry Concession Model in the Amazon, approved September 21, 2011,
$400,000
• Colombia (SNTA): Feasibility Study to Develop Tradable Air Rights Instruments to Mobilize Private Financing for
Bogotá’s Carrera 7 Bus Rapid Transit Corridor, approved November 24, 2011, $179,780
• Colombia: Private Financing Window for Low-Income Housing Projects, approved March 4, 2012, 74,800
• Mexico (SNTA): Strengthening Lending Market for Small Mexican Municipalities, approved August 10, 2011,
$75,000
• Panama: Preparation of a Performance-Based Effi ciency Improvement Contract for IDAAN’s Colón Business Unit,
approved November 4, 2011, $74,975
• Peru: PPP Options for Irrigation Infrastructure, approved January 8, 2012, $75,000
• Uruguay: Development of Financing Options for PPPs in the Roads Sector, approved September 9, 2011,
$250,000
PPIAF has supported activities in: Argentina, Bolivia, Brazil, Colombia, Costa Rica, Dominica, Dominican
Republic, Ecuador, El Salvador, Guatemala, Guyana, Haiti, Honduras, Jamaica, Mexico, Nicaragua,
Panama, Paraguay, Peru, Uruguay, and Venezuela

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
REGIONAL UPDATE
April 2012
PPIAF’S WORK IN THE MIDDLE EAST AND NORTH AFRICA
Political turmoil has swept the Middle East and North Africa (MENA) region since the
Arab Spring, which began in Tunisia in December 2010 and spread to several other
countries. The upheaval has had political and economic consequences across the region,
yet its impact on public-private partnerships (PPPs) is still relatively unclear.
Prior to the Arab Spring, growth rates in the region averaged around 3.2% and were
insufficient to create enough jobs to match a rapidly growing labor force. In 2011 this
growth rate fell to just 1.9% as unrest persisted and economic activity declined. Fiscal
deficits and government debt levels in the MENA region have also grown, particularly
in non-oil producing countries, as governments responded to the unrest by increasing
spending on subsidy programs and cutting tax rates. Unemployment in the region,
one of the contributing factors to the Arab Spring, is still around 10%, significantly
higher than that in other regions. The problem is particularly acute among the youth
and women, who are suffering from 20–25% and 30–35% unemployment, respectively.
The MENA region is expected to experience a large increase in its working population,
almost doubling to 605 million by 2050, and the region will need to create around 6.75
million jobs per year until 2050 in order to avoid an increase in unemployment rates.
As of March 31, 2012 PPIAF had provided $10,315,630 in funding to 61 projects in the
MENA region, representing 5% of PPIAF’s total funding portfolio since inception. Since
fiscal 2010, MENA activities have represented 11% of PPIAF’s portfolio, as requests
for PPIAF assistance have grown more frequent due to recent increased interest from
regional governments in private sector participation in the provision of infrastructure
services. The portfolio is also evolving, from a focus on middle-income countries such
as Jordan, Egypt, and Morocco, to focus on lower-income and fragile countries such as
Djibouti and the West Bank and Gaza. On a sectoral basis, energy activities represent
56% of PPIAF’s ongoing portfolio in the region, followed by 20% in water.
As regional governments work towards economic development and growth, the provision of
adequate infrastructure services has grown in importance. MENA countries have a critical need
to upgrade their infrastructure to address past underinvestment and new demand, and a link
was drawn between the Arab Spring and lack of access towards adequate infrastructure services.
However, with state budgets stretched thin, regional governments face a serious challenge of
increasing the quality and quantity of infrastructure services in MENA. Since the global fi nancial
crisis, governments in the region are increasingly looking to leverage private sector management
expertise and/or fi nancing to expand and improve infrastructure services. As a result, PPIAF’s MENA
portfolio has been highly solicited by a range of governments to identify and implement PPPs.

PPIAF’s portfolio in low-income and fragile states has grown in fi scal 2012. In Djibouti, PPIAF is currently providing
support to the solid waste and transport sectors, and recently approved three more activities in the energy and telecommunications
sectors. The fi rst activity is assisting the government of Djibouti to refi ne its energy sector master
plan, assess the cost of refurbishing existing generation plants, and identify least cost infrastructure investments that
can be effectively fi nanced and managed through a PPP. It is anticipated that this analysis will help the government to
defi ne a sector strategy that suits its energy and investments needs, and is cognizant of the potential for geothermal
energy, which is currently being explored. The second energy activity is analyzing the technical, economic, and fi nancial
feasibility of rural electrifi cation options to determine the most viable and sustainable roll-out option available to
electrify 25 villages in rural Djibouti using solar energy. In addition, a third activity in the telecommunications sector
is assessing sector liberalization options to help the government transform the sector into an engine of economic
growth and employment.
Morocco: PPP Unit
PPIAF Funding: $245,700
Background: The World Bank Group’s Country Partnership Strategy 2010–
2013 for Morocco underlines the challenges related to underinvestment
in infrastructure and the need to improve the quality and sustainability of
infrastructure provision in Morocco. The government of Morocco, aware
of these challenges, sought PPIAF support for assistance in launching its
PPP program, designed to scale up infrastructure investments in sectors
including energy, transportation, water, health, and education. The
government’s commitment to exploring the PPP modality also relates
to the country’s current economic context, where fi scal constraints and
the impact of the global fi nancial crisis have limited the ability of the
government to fi nance critical infrastructure investments.
PPIAF’s Contribution: PPIAF provided support to assist the government of Morocco in launching its PPP
program through the design of a dedicated PPP unit within the Directorate for State Enterprises and Privatization
(DEPP), a specialized department within the Moroccan Ministry of Finance. The second component of the
activity assisted in the identifi cation and screening of pilot PPP transactions. The activity also strengthened the
DEPP’s PPP expertise via the organization of seminars. The medium-term goal of the activity was to identify PPP
transactions that could be implemented within the framework of transaction advisory mandates to be led by
the IFC’s PPP Transaction Advisory Services department.
Outcomes: In May 2011, with assistance from PPIAF and the IFC, a central PPP Unit was established within the
DEPP. The PPP unit is responsible for promoting PPPs in Morocco through coordination with sector ministries,
and assisting in the development and implementation of PPP projects. The government is now discussing the
drafting of a PPP Law as it seeks to develop and improve the enabling environment for PPPs in Morocco. The
PPP identifi cation exercise launched under the PPIAF activity is also showing signs of success. Despite decisionmaking
delays caused by the recent November 2011 parliamentary elections, several potential projects are
being analyzed, including advising the National Social Security Agency (Caisse Nationale de Sécurite Sociale) in
the development, structuring, and implementation of Morocco’s fi rst health PPP project, which would require
a private operator to invest in, maintain, and operate a network of 13 clinics.

In the West Bank and Gaza, a strategic priority for PPIAF, two activities have thus far been approved in fi scal 2012. PPIAF
is supporting the fi rst PPP transaction by providing funding for legal advisory transaction support for the Southern West
Bank Solid Waste Management Project. The project, to be structured by the International Finance Corporation (IFC),
is supporting the Joint Services Council for Hebron and Bethlehem in attracting private sector participation for the
operation and maintenance of the new Al-Minya Landfi ll that will provide improved solid waste management services
to approximately 780,000 inhabitants. The landfi ll is expected to open in early 2013 and will process approximately
34% of the solid waste in the West Bank. It is designed based on international standards, and will dramatically improve
sanitation services and help to eliminate the use of unregulated dump sites. The second activity is also innovative as it
is one of the fi rst examples of support to the MENA region through PPIAF’s Sub-National Technical Assistance (SNTA)
program. The activity will work with municipalities across the West Bank and Gaza to improve and expand municipal
revenue generation in order to improve municipalities’ creditworthiness. In the medium-term it is hoped that some of
the best performing municipalities may be able to gain a credit rating, which will enable them to access market-based
fi nance to fund infrastructure development.
Looking forward, PPIAF assistance is needed to implement critical reforms in the energy, transport, and water sectors
throughout the region, and to further transaction support to middle-income countries in pioneering sectors. Following
the Arab Spring, political upheaval has ushered in a wave of new governments focused on responding to citizens’
demands. Ensuring access to adequate infrastructure services will be crucial to spurring economic development and
growth in the region, and providing jobs for an ever-growing labor force.
Demand for PPIAF technical assistance is expected to grow as governments face the challenge of balancing fiscal
constraints with the need to provide signifi cant investment to meet the infrastructure needs of the region. The global
fi nancial crisis and recent political events have stagnated the PPP market in the region. PPIAF will provide support
to governments to build PPP programs based on their individual requirements and the unique social, political, and
demographic environments in each country.
PPIAF and SNTA Activities Approved in Fiscal 2012 (as of March 31, 2012)
• Djibouti: Energy Sector Assessment, approved October 24, 2011, $459,275
• Djibouti: Feasibility Assessment for Solar Rural Electrifi cation, approved December 7, 2011, $400,600
• Djibouti: Options for Telecoms Sector Liberalization, approved January 25, 2012, $107,690
• Lebanon (SNTA): Facilitating Sub-National Government Access to Commercial Credit and Capital Markets,
approved December 21, 2011, $75,000
• Lebanon: Improving the Performance of the Beka’a Regional Water Authority, approved November 20, 2011,
$75,000
• MENA: Developing Alternative Broadband Networks, approved December 11, 2011, $74,510
• MENA: Training Course on PPPs in the Water Sector, approved November 14, 2011, $50,000
• West Bank and Gaza (SNTA): Improving Municipal Revenue Generation Policies and Framework, approved
January 23, 2012, $161,300
• West Bank and Gaza: Southern West Bank Solid Waste Management Project, approved December 16, 2011,
$199,975
PPIAF has supported activities in: Algeria, Djibouti, Egypt, Iraq, Jordan, Lebanon, Morocco, Syria,
Tunisia, West Bank and Gaza, and Yemen

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
REGIONAL UPDATE
PPIAF’S WORK IN SOUTH ASIA
April 2012
South Asia—home to 1.5 billion people with over one billion living on less than $2 per
day—has the largest global concentration of poor people. Since inception PPIAF and
its Sub-National Technical Assistance (SNTA) program have provided $21,340,924 in
funding to 124 activities in the South Asia Region, representing 10% of PPIAF’s total
portfolio, including SNTA. India dominates the South Asia portfolio with 54 activities
worth $8,918,541 approved since inception. The next most frequent recipient of PPIAF
funding has been Pakistan with 12 activities, followed by Sri Lanka with 9. Multi-sector
activities represent 44% or $9,596,218 of PPIAF’s portfolio in the region, followed by
22% in water and 13% in energy. This South Asia total also incorporates $1,627,850 in
funding to six SNTA activities since the start of that program in 2007—five in India and
one in Nepal.
In fi scal 2012, PPIAF has successfully rebalanced its South Asia portfolio to support the development
of public-private partnerships (PPPs) in countries other than India in the region, particularly
in the most lagging countries. PPIAF approved two activities in Bhutan, two in Sri Lanka, one in
the Maldives, one in Nepal, and one in India.
PPIAF has continued to support the development of strong PPP policies, programs, and pipelines
across South Asia. In Bhutan, PPIAF approved an activity with the Ministry of Information and
Communications to develop a strategic policy roadmap to guide the development of Bhutan’s
telecommunications sector on the introduction of competition, divestment by the existing operators,
and government transformation agenda to use the sector for cost-effective service delivery.
In the Maldives, PPIAF provided management contract support to Malé City Council to structure
and implement a viable tariff structure for waste management services, develop a mechanism for
tariff collection, develop an information system to maintain user data, and monitor the performance
of the concessionaire. In India, PPIAF is providing assistance to the Department of Economic
Affairs in the Ministry of Finance with the preparation of a national PPP policy statement, to serve
as guidance to the states as well as to central ministries as they pursue PPPs in the provision of
infrastructure. In Sri Lanka, PPIAF approved an activity to develop the capacity of the Ministry of
Economic Development and selected Provincial and Local Governments through a series of local
workshops. This activity will contribute to identify a list of potential local infrastructure projects
that could be implemented under a PPP model in the future.

PPIAF has also been supporting a number of screening activities and initial feasibility assessments of potential PPP
infrastructure projects in Bhutan, Nepal, and Sri Lanka. In Bhutan, the PPIAF-funded PPP feasibility assessment focuses
on a dry port facility in Toribari and a new inter/intra-city bus terminal in Thimphu. In Nepal, PPIAF is helping to identify
potential urban and transport projects that are suitable for fi nancing under a PPP arrangement. In Sri Lanka, PPIAF
assistance is focusing more specifi cally on three potential PPPs: the redevelopment of railway stations in Colombo, a
bulk water supply and transmission project in Bandarawela, and a solar park and wind farm in Mannar.
Maldives: Supporting Private Sector Participation in the Solid Waste Sector
PPIAF Funding: $145,000
Background: The Maldives, a country of 192 inhabited islands with
a population of 395,000, is known for its white-sand beaches and
pristine environment. But its poor waste management practices
were threatening its tourism industry, Maldives’ largest economic
activity. Waste was collected in an ad-hoc manner and dumped at
the shore, disposed of in the ocean, or transported to Thilafushi
Island, where it was burnt openly. This combination of dumping
and open burning destroyed the marine environment, polluted
the air, and put the health of the country’s population at risk.
PPIAF’s Contribution: To address this problem, the government of Maldives turned to PPIAF in 2009 to
review options to introduce best practices in solid waste management through private sector participation in
conjunction with the International Finance Corporation (IFC)’s mandate as lead transaction advisor to implement
a waste management PPP project.
PPIAF technical assistance recommended an institutional and regulatory framework to promote
PPPs; an optimal collection, segregation, treatment, and disposal technology; measures to enhance
the project’s fi nancial viability; and PPP options for the management of the solid waste services. The
due diligence work also included drafting technical sections and performance obligations for the
bidding process, pre-qualifi cation, and evaluation of the award of the waste management contract.
Outcomes: In May 2011, the government successfully implemented a solid waste management PPP following
PPIAF’s recommendations and with the help of IFC as lead transaction advisor. In September 2012, PPIAF
approved a follow-up activity to help the Malé City Council structure and implement a viable tariff structure for
waste management services provided under the management contract.

PPIAF Activities Approved in Fiscal 2012 (as of March 31, 2012)
• Bhutan: Pre-feasibility Assessment of Infrastructure Projects Under a PPP Model, approved January 12, 2012,
$64,450
• Bhutan: Telecom Sector Policy Roadmap, approved August 30, 2011, $75,000
• India: Assistance in Finalization of a PPP Policy, approved November 1, 2011, $75,000
• Maldives: Contract Management Support for Solid Waste Management PPP, approved September 17, 2011,
$74,950
• Nepal: Screening and Initial Feasibility Assessment of Potential Private-Public Infrastructure Projects, approved
December 19, 2011, $50,000
• Sri Lanka: Identifying PPP Opportunities for Local Governments, approved February 12, 2012, $75,000
• Sri Lanka: Pre-feasibility Assessment of Infrastructure Projects under a PPP Model, approved March 21, 2012,
$75,000
PPIAF has supported activities in: Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal,
Pakistan, and Sri Lanka

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
March 2011
IMPACT STORIES
PPIAF Supports Small-Scale Water
Providers in Uganda
To complement and support the Uganda Small-Scale Infrastructure Provider (SSIP)
Water Program, PPIAF support was sought in 2009 to assess private operators’
ability to expand service delivery in Uganda’s water sector, which included
reviewing the terms and conditions of available fi nancing and the constraints
private operators face. The recommendations from the PPIAF-funded study were
implemented by the International Finance Corporation (IFC), who organized training
sessions to present the Uganda SSIP Water Program to local banks in Uganda to assess
their interest in fi nancing private water operators. Following the training event, two
banks expressed interest to provide pre-fi nancing loans to the pre-qualifi ed bidders for a
tender in Busembatia, one of the small towns in the Uganda SSIP Water Program. The fi rst fi veyear
management contract was awarded in June 2010 to a private operator for the expansion of
piped water services in Busembatia. This private operator was able to receive a loan from DFCU Bank,
a Ugandan commercial bank, of approximately $100,000 for the expansion of piped water services.
The new operator agreed to install 400 new water connections during the fi rst two years of the
contract, which is expected to benefi t 13,000 people.
In small towns and rural areas of Uganda, where 90% of the population lives, water shortages
are part of daily life. In these areas, 60% of the population lacks access to safe water, and waterborne
diseases and infant mortality are widespread. Increasingly, the government of Uganda is
reliant upon private operators to assist in the expansion of access to safe water supply within
the country. These private operators are typically small and medium enterprises that are often
unable to access fi nancing from local banks to operate and expand their businesses.
To help the Ugandan government achieve greater effi ciency and improve access to water,
the IFC was appointed by the Ugandan Ministry of Water and Environment as an Advisor
to the Department of Water Development to assess the feasibility of various public-private
partnership (PPP) options for private operators to increase sustainability and effi ciency in the
distribution of water to small towns and rural areas. The resulting Uganda SSIP Water Program,
initiated in 2007, aimed to structure and implement PPP transactions in fi ve small towns in the
eastern region of Uganda (Kamuli, Nawanyago, Palisa, Tirinyi, and Nankoma), which would
serve as replicable models for the water sector. During implementation of program activities,
an additional fi ve towns, including Busembatia, were added. The program comprised three
components: 1) the design of access to fi nance interventions to facilitate fi nancing for private
operators; 2) transaction structuring and implementation of water PPPs; and 3) provision of
related public sector capacity building interventions for local government offi cials and technical
staff from the Ministry of Water and Environment.
PPIAF SUPPORT
The government of Uganda, together with the IFC, sought Public-Private Infrastructure Advisory Facility
(PPIAF) support in 2009 for a study to assess private operators’ ability to expand service delivery in
Uganda’s water sector. The objectives of the study were to 1) defi ne the characteristics of the private

operators participating in PPPs in Uganda’s water sector; 2)
examine their constraints and potential remedies to improve
their service delivery; and 3) assess the terms and conditions
of private fi nancing available to the private operators. The
study provided recommendations to address the constraints
of high operating costs and lack of access to fi nance, such as:
• Educate banks about private operator operations and activities
to increase assurance of the repayment of loans
• Extend the duration of the management contracts from
three to a minimum of fi ve years to allow private operators
to invest over a longer period and improve service
delivery, as well as recover the initial funds invested in
the water schemes, which would also give their potential
fi nanciers confi dence about the possibility of recovering
their loans
• Cluster small towns together to improve the viability of
businesses, make supervision more effi cient, and allow
for larger contracts that capture economies of scale
OUTCOMES
The IFC incorporated the recommendations from the PPIAFfunded
study in the Uganda SSIP Water Program. In particular,
the IFC proposed a generic contract with a minimum
term of fi ve years that would appeal to both private operators
and lenders. The IFC also proposed clustering towns
within close proximity to another, but since funding was
eventually only secured for one town, this approach could
not be implemented. Furthermore, the IFC identifi ed alternative
fi nancing models with greater potential for success
including leveraging its relationship with local banks
in Uganda, which were presented with a viable business
model for small-town water operations for the fi rst time.
Findings and recommendations from the study were also
used to design and implement an effective training session
to present information on the Uganda SSIP Water Program
to local banks in Uganda and assess their interest in
providing fi nancing to private water operators. This training
provided a platform where the Ministry of Water and
Environment and the Association of Private Water Operators
could engage for the fi rst time with local banks to describe
the operation of privately-operated water schemes.
The training also addressed weaknesses in the area of
RELATED PPIAF ACTIVITIES
IN UGANDA
www.ppiaf.org
contract administration among public sector stakeholders
based on the proposed generic management contract.
Following the training event, two banks expressed interest
to provide pre-fi nancing loans to the pre-qualifi ed
bidders for a tender in Busembatia, one of the small
towns in the Uganda SSIP Water Program. These loans
would be refi nanced by a subsidy provided by the Global
Partnership on Output-Based Aid (GPOBA) upon verifi
cation of the water connections and water supply.
As a result, the fi rst fi ve-year management contract was
awarded in June 2010 for the town of Busembatia to
a private operator, Trandint Limited, who had the lowest
bid with a required subsidy of $270,000 for the expansion
of piped water services. This winning private
operator was able to receive a loan from DFCU Bank, a
Ugandan commercial bank, of approximately $100,000.
DONOR COORDINATION
This PPIAF activity complemented the Uganda SSIP Water
Program, in partnership with the Austrian Development
Agency via the DevCo vehicle. It also complemented
the pilot output-based aid scheme designed and funded
by GPOBA in 10 small towns and rural growth centers.
IMPACTS
The new operator agreed to install 400 new water
connections during the fi rst two years of the contract,
which is expected to benefi t 13,000 people.
• 2000: Country Framework Report, $400,000
• 2007: Public-Private Partnership (PPP) Unit
Feasibility Study, $325,000
• 2009: Private Water Service Delivery Access to
Finance, $74,810

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
November 2011
IMPACT STORIES
PPIAF Helps Peruvian Sub-Nationals
Tap Financial Markets
PPIAF’s Sub-National Technical Assistance (SNTA) program is helping sub-national
government entities in Peru raise market-based fi nancing for much needed
infrastructure investment. Since 2008, SNTA has assisted eight regional and
municipal entities by facilitating credit ratings, implementing fi nancial assessments
and coaching, supporting transaction preparation, and helping the central
government monitor and evaluate the fi nancial health of local authorities.
As a result of SNTA support, the Municipality of Lima signed a $70 million commercial
bank loan with BBVA Banco Continental in April 2010—the largest market-based borrowing
ever concluded by a sub-national government entity in Peru. The loan was partially backed by
a $32 million IFC guarantee. SNTA technical assistance also helped the Regional Government of
Arequipa obtain a $10 million commercial bank loan in January 2011 to fi nance a regional road
rehabilitation project.
Until 2002, Peru was one of the more centralized countries in Latin America. The government’s
approach to fi scal decentralization was a cautious and gradual one. However, a policy shift in
2002 led to the passage of the Decentralization Framework Law, which established the guiding
principles of a political and fi scal decentralization process.
Because of the limited authority of sub-national governments to raise tax revenues and the
absence of a sub-national debt market, local governments in Peru rely heavily on government
transfers for both operating and capital expenditures. Regional governments, in particular, have
no authority to levy taxes and hence rely almost fully on central government transfers for both
operating expenditures and investments. Municipalities fi nance a higher percentage of their
expenditures from their own sources (e.g., property tax, real estate transaction tax, various fees,
sale of goods and services, etc.), but have no authority to set local tax rates and rely heavily on
government transfers for capital expenditures.
Local governments are exploring options to better leverage their resources in order to meet large
infrastructure investment needs. Currently, borrowing accounts for only 1% of such investment
funding, with virtually all of that in Lima. Commercial banks restrict their activities to fi nancing
working capital for a small number of local governments. To date, the only sub-national bonds
issued securitized Lima’s toll road revenues, allowing for greater investment in roads.
PPIAF SUPPORT
In 2008 and 2009 PPIAF’s SNTA program funded two technical assistance grants designed to facilitate
Peruvian sub-national governments access fi nancing from commercial banks and capital markets, as a
way to complement existing government transfers and revenues, diversify funding sources, lengthen the
maturity of available commercial bank fi nancing, create and strengthen credit histories, and introduce
fi nancial discipline. The objective was to strengthen fi nancial standing and management capacity and
help sub-nationals prepare infrastructure projects for commercial fi nancing.

A workshop on sustainable development plans for provincial
and regional governments was held in April 2010, and
used international examples to demonstrate how access to
market-based fi nance can result from fi scal discipline, sound
fi nancial management, and investment planning. The fi rst
SNTA grant helped the Municipality of Lima obtain a credit
rating from an international credit rating agency, identify
potential sources of fi nance for new infrastructure investments,
and assess ways of replacing existing short-term debt
with sustainable longer-term fi nancing. This work resulted
in compliance with sub-national fi scal prudence rules and
helped Lima make a signifi cant contribution to the Metropolitano
Bus Rapid Transit Corridor Project, also supported
by the World Bank and the Inter-American Development
Bank. The second SNTA grant helped the Regional Governments
of Arequipa and Cuzco, the Provincial Municipality of
Santa (Chimbote), the Municipality of Piura, and Arequipa’s
water utility SEDAPAR prepare for and obtain credit ratings
from a local credit rating agency. In the case of the Regional
Government of Arequipa, SNTA’s technical assistance also
included support in navigating the sub-national borrowing
approval process, fi nancial coaching, and a review of technical
documentation.
DONOR COORDINATION
SNTA activities complemented on-going work in Peru by
several donors and international fi nance institutions, including
work by the United Nations on water utility fi nancing,
successful efforts by the International Finance Corporation
(IFC) to establish a sub-national guarantee facility in 2008,
and funding from the World Bank to the central government
for projects executed by regional authorities.
Since 1999 PPIAF, a
multidonor technical
assistance facility, has helped
developing countries use publicprivate
partnerships to improve their
infrastructure. A key focus has been
upstream technical assistance to support
the development of an enabling
environment for such partnerships.
This series highlights how PPIAF’s support
has made an impact on the ground.
OUTCOMES
www.ppiaf.org
SNTA’s technical assistance, and close collaboration with key
partners, facilitated a $70 million commercial bank loan to
the Municipality of Lima by BBVA Banco Continental, signed
in April 2010. The loan was partially backed by a $32 million
IFC guarantee. This was the largest market-based fi nancing
ever realized by a sub-national government entity in Peru.
The maturity of this loan was double that of previous debt
incurred by the municipality.
As a result of the second phase of SNTA support, the Regional
Government of Arequipa signed a $10 million loan
with a local commercial bank—the fi rst time a Regional
Government in Peru borrowed without a sovereign guarantee.
As in Lima’s case, the loan was backed by another IFC
guarantee. All other banks invited to arrange the fi nancing
(without IFC’s guarantee) declined interest in the transaction.
With the help of this loan, Arequipa will fi nance its
regional road rehabilitation program.
Other Peruvian authorities supported by PPIAF’s SNTA program
are also advancing steadily toward creditworthiness
and additional transactions are expected.
IMPACTS
By doubling the tenor of the BBVA loan, the Municipality
of Lima’s monthly debt service payments were much more
affordable and left more city revenues available to cover
critical operating expenses. Important milestones were also
reached in improving Lima’s fi nancial management, such
as the consolidation of the accounts of the Municipality
of Lima and the 19 public companies and other entities it
controls.
RELATED PPIAF/SNTA ACTIVITIES IN PERU
• 2008: Access to Commercial Banks and Capital
Markets (SNTA), $355,296
• 2009: Access to Commercial Banks and Capital
Markets, Phase II (SNTA), $499,776
• 2010: Strategic Plan for the Universal Service Fund,
$75,000
• 2011: Technical Assistance to the Metropolitan
Municipality of Lima (SNTA), $350,000
• 2011: Technical Assistance to Peruvian Water
Utilities (SNTA), $75,000
Learn more about SNTA at
www.ppiaf.org/snta

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
April 2011
IMPACT STORIES
SNTA Supports a Water Utility in
Brazil’s Frontier Region
PPIAF’s Sub-National Technical Assistance (SNTA) support to the Brazilian water
utility DESO has helped to secure a BRL 18.9 million fi nancing by substantially
improving the company’s ability to interact with fi nanciers. SNTA provided
technical assistance in 2010 to help DESO prepare fi nancial projections and a
credit memorandum on the company. By delivering this forward-looking analysis
to the company and going through the process of discussing the impact of the key
turnaround initiatives in future fi nancials, the company has attracted more interest
from commercial banks to refi nance the company’s BRL 40 million short- and mediumterm
debt.
As a result of SNTA support, a Brazilian water utility in a frontier region became ready to borrow
on commercial terms and, through the fi nancing obtained, gained effi ciencies by reducing
water losses and energy consumption.
The water company owned by the Brazilian state government of Sergipe (“DESO”) had gone
through several years of mismanagement when, in early 2007, the state government decided
to hire professional managers to run the company. Although the results of the management
change were starting to show, the company still did not have access to commercial sources or
to local development fi nance institutions. DESO could not adequately demonstrate the impact
of the fi nancial and operational turnaround being implemented to the potential fi nanciers.
Furthermore, they did not have suffi cient capacity or experience to prepare a forward-looking
view that investors and fi nanciers would normally request.
PPIAF SUPPORT
The state government of Sergipe thus sought assistance from the Public-Private Infrastructure Advisory
Facility (PPIAF)’s SNTA program in 2010 to improve the company’s ability to interact with potential fi nanciers.
PPIAF-SNTA quickly brought in a fi nancial consultant to assist DESO in preparing fi nancial projections
and a credit memorandum on the company.
Only a handful of top tier pubic water utilities in Brazil have access to both commercial banking and capital
markets. They have the capacity and experience to prepare information and conduct forward looking
analysis to show their creditworthiness. The rest of the water utilities have much more limited capacity
and experience in dealing with commercial banking and capital markets. Water utilities in the north and
northeast of Brazil lag particularly behind, given the lower income client base and precarious fi nancial
situation, exacerbated by generally weak corporate governance and lack of well trained and skilled staff
on fi nancial assessments. Not all utilities are suited for private management, given the operating environment,
including political sensitivity. In such a case, private fi nancing of infrastructure may be a more
effective way to introduce commercial orientation, better disclosure of fi nancial operational information,
medium-term planning, and even better corporate governance. To this effect, SNTA helped the Brazilian
water utility DESO achieve the following objectives:

• Prepare the key fi nancial and operational information,
including historical and projected fi nancial statements
• Assess and quantify the fi nancial and operational impact
of the proposed institutional development programs
• Compile other key information normally requested by
commercial banks, including environmental and social
practices, corporate governance, insurance policy, etc.
• Provide training to the companies’ fi nance and planning
teams on the use of fi nancial assessments and
projections
OUTCOMES
As a result of the PPIAF-SNTA support, the company was
able to borrow on commercial terms. While the SNTAfunded
activity primarily helped DESO access a BRL 18.9 million
loan from the International Finance Corporation (IFC),
it is expected that, as a result of this assistance, the utility
will also have access to capital market instruments such as
CCB (Brazilian medium-term bond), FIDC (securitization of
receivables), and debentures, which require further disclosure
and better corporate governance.
The appraisal revealed a company with qualifi ed fi nancial
statements and a low operating cash fl ow, but improving at
a fast pace. In addition, the team identifi ed high quality collateral
available to be pledged, which substantially reduced
the credit risk for potential investors. The team mitigated
credit risk with a pledge of receivables from water supply
to one of the largest oil companies in the world (Petrobras)
and receivables from sales to a diversifi ed pool of customers.
Each of these components was expected to exceed debt
service by multiple times. The company also committed to
Since 1999 PPIAF, a
multidonor technical
assistance facility, has helped
developing countries use publicprivate
partnerships to improve their
infrastructure. A key focus has been
upstream technical assistance to support
the development of an enabling
environment for such partnerships.
This series highlights how PPIAF’s support
has made an impact on the ground.
not increase indebtedness and undertook to implement a
plan to eliminate all auditors’ qualifi cations on the fi nancial
statements. To further improve the credit profi le, IFC agreed
to jointly approach local banks to form a syndicate to refi -
nance DESO’s short-term debt.
DONOR COORDINATION
This activity complements World Bank projects in the states
of Sergipe, currently under preparation, and in Rio Grande
do Norte, under execution, which address the states-wide
water resources management issues as well as sector regulatory
issues. Furthermore, the two projects mentioned
above include components for expanding water supply and
wastewater services.
IMPACTS
The BRL 18.9 million project—now fi nanced—will reduce
water losses that were approaching 50% and make customers
more accountable for their water use, which are critical
in a water scarce state, where water for the metropolitan
area is brought from 100 kilometers away. In addition to
saving part of the costs associated with pumping the water
over long distances by reducing water losses, the volume
saved will increase availability of water to the population,
which has recently faced rationing periods.
A subsequent World Bank loan that will be complementary
to the loan fi nanced by the IFC is designed to fi nance
complex and broad water sector institutional reforms at the
state level and investments in water supply, sewerage expansion,
irrigation improvements, and other initiatives with
over 25 years of tenor and at a spread over LIBOR of less
than one tenth of IFC’s spread.
RELATED SNTA ACTIVITIES
IN BRAZIL
• 2008: COMPESA IPO Action Planning, $29,000
• 2008: Strategy for Restructuring of Eletrobras,
$380,000
Learn more about SNTA at
www.ppiaf.org/snta
www.ppiaf.org

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
May 2011
IMPACT STORIES
PPIAF Supports Private Sector
Participation in the Solid Waste
Sector in Ethiopia
PPIAF has supported the government of Ethiopia in the formulation of a strategy
for private sector involvement in municipal solid waste management. PPIAF
provided funding in 2002 for a comprehensive diagnosis of the solid waste
sector, including generation, collection, storage, transport, and disposal of waste.
These fi ndings were presented at four stakeholder workshops on private sector
participation in the sector, and further insights into international best practices
appropriate for Ethiopia were gained through two study tours to South Africa and Egypt.
As a result of the PPIAF study, in February 2007 the Ethiopian President passed the
Solid Waste Management Proclamation No. 513/2007, which allows private operators to
obtain a permit to engage in the collection, transportation, and use or disposal of waste.
As of April 2011, 524 private enterprises in the Municipality of Addis Ababa have obtained the
necessary permits to perform primary solid waste collection, employing a total of 5,815 waste
collectors. Consequently, the municipality has increased the garbage collection rate from 60% to
80%, resulting in an additional 600,000 residents in Addis Ababa having their waste collected.
Despite deregulation in the 1990s, which permitted increased private sector participation (PSP)
in the provision of infrastructure services, the absence of an appropriate policy and regulatory
environment continued to inhibit PSP. By 2002 municipal solid waste management (SWM) was in
a poor state in Ethiopia. SWM had not been a national priority and investments were minimal;
it existed in some cities but not in most rural areas and there was no overall national strategy
for SWM. Poor waste collection and disposal practices had signifi cant environmental and health
impacts. There was no formal structure for charging waste generators and weak fi nancial and
cost recovery systems were one of the major sources of poor waste management performance.
Thus, there was considerable potential for improvements in SWM performance through
effi ciencies gained from the introduction of the private sector. However, PSP in SWM was
limited to informal pre-collection companies in Addis Ababa and a few other cities. Moreover,
there was virtually no capacity within government to develop appropriate SWM contracts and
to carry out the tendering and evaluation process for PSP.
It was essential that the necessary framework for PSP be developed before contracts were tendered
and the private sector became formally engaged in SWM operations, and it was in this context
that the government requested support from the Public-Private Infrastructure Advisory Facility
(PPIAF) for the development of an appropriate strategy and framework for PSP in the SWM sector.
PPIAF SUPPORT
In late 2002 the government of Ethiopia, through the Environmental Protection Agency (EPA), sought
PPIAF support to: 1) provide a diagnostic of the solid waste sector in the country, 2) assess the legal and
institutional changes required for greater PSP in the sector, 3) assess the available opportunities and options
available to EPA for PSP in the sector, and 4) recommend policy, institutional reforms, strategy, and
applicable laws necessary for greater PSP in the sector.

In addition to the diagnostic report, PPIAF funded a training
course on fi nance and cost recovery options in the SWM
sector, four consultation workshops with relevant stakeholders,
and two study tours to South Africa and Egypt
to learn from African experiences of PSP in the sector.
OUTCOMES
Following the PPIAF activity, consensus was achieved on the
value of the incorporation of private sector enterprises in
the solid waste sector. In addition, the PPIAF-funded training
course and study tours increased the technical capacity
of municipality staff to understand the principles of private
fi nancing, operation, and cost recovery in the sector, which
was crucial before staff began supervising the tendering
and evaluation of PSP in the sector.
Subsequently the EPA began a full review of the national
SWM strategy, to incorporate policy provisions for PSP in
SWM generated by the study. As a result, in February 2007,
the President passed the Solid Waste Management Proclamation
No. 513/2007.
The proclamation encouraged urban administrations to create
appropriate enabling conditions to promote private investment
and operation in the provision of SWM services,
and allowed private operators to obtain a permit to engage
in the collection, transportation, and use or disposal of
waste. The objective of the proclamation was to increase
solid waste collection rates to reduce the potential negative
environmental and social impacts of insuffi cient SWM,
and provide economic and social benefi t through increased
private sector involvement in the sector.
DONOR COORDINATION
Together with PPIAF assistance to the sector, other donors
have also been active in the solid waste sector in Ethiopia.
In May 2007 the Agence Française de Développement approved
€5.4 million in funding—out of total project cost of
€27.76 million—for the construction of four transfer stations
to reduce the distance from primary collection sites to
the landfi lls. The main objective of the project is to improve
living conditions in Addis Ababa by supporting the amelioration
of solid waste management and infrastructure.
www.ppiaf.org
In addition, in May 2008 the World Bank approved a $145
million loan to support improved performance in the planning,
delivery, and sustained provision of priority municipal
services and infrastructure by urban local governments. The
project includes signifi cant focus on solid waste management
and the provision of related infrastructure, facilities,
and machinery. The activity also provides assistance for urban
local governments interested in entering into service
contracts with private enterprises for the collection of solid
waste.
IMPACTS
The Municipality of Addis Ababa is the largest municipality
in Ethiopia with over 3 million residents. Following the 2007
proclamation, the municipality was divided into 549 collection
zones comprising 800–1000 households, with one private
enterprise assigned to each zone. Service charges for
waste collection are collected as part of water consumption
rates, and payment for the private operators is on a volume
based rate of 30 birr (around $1.75) per m 3 of waste
collected.
As of April 2011, 524 enterprises have obtained the necessary
permits to perform solid waste collection in Addis
Ababa, employing a total of 5,815 operators. These operators
are focused on primary collection of solid waste.
Consequently, in Addis Ababa, the municipality has increased
the garbage collection rate from 60% to 80% and
more than 200,000 tons of waste are now collected each
year. As a result, an additional 600,000 residents in Addis
Ababa now have their waste collected.
RELATED PPIAF ACTIVITIES
IN ETHIOPIA
• 2002: Workshop on Private Sector Participation in
the Water Sector, $71,400

PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY
January 2012
IMPACT STORIES
PPIAF Support to the Enabling
Environment for Public-Private
Partnerships in Malawi
PPIAF support to the government of Malawi has led to a strong legislative and
institutional public-private partnership (PPP) framework that will pave the way
for increased private sector participation in the provision of basic infrastructure
services. PPIAF support began in 2000 to design regulatory and institutional
arrangements for oversight of key infrastructure sectors, which led to legislative and
regulatory reform in the energy sector. In 2005 PPIAF provided additional assistance
to mobilize a national PPP program through the drafting of a PPP Law and PPP policy
framework, and the establishment of a PPP unit. The PPP policy framework was passed by
Cabinet in May 2011, and the PPP Law was passed through Parliament in November 2011. As part
of the new legislation, the Privatization Commission will transition to become the PPP Commission.
In the late 1990s the government of Malawi chose to pursue greater private participation in
and the liberalization of its infrastructure services, with a view to increasing the quality of
and access to infrastructure services while minimizing the drain on public resources. A survey
of the private sector conducted for the 1997 World Development Report had identifi ed the
deterioration of Malawi’s infrastructure to be the principal constraint to private business. In
response, the government began a long process of improving the enabling environment for
PPPs, with the aim of lowering investors’ risk perceptions and increasing government capacity
to develop, implement, and monitor PPP projects.
The government of Malawi had successfully developed a comprehensive policy, legislative, and
institutional framework to serve the needs of its privatization program. However, the concept
of introducing private sector participation in the delivery of public services through PPPs was
still new in Malawi. Thus, the government decided that the establishment of a strategic PPP
framework, consisting of a clear guiding policy, appropriate legal and regulatory provisions,
and an institutional set-up capable of effi cient implementation of PPP projects, was necessary.
Between 2000 and 2007 the government of Malawi sought assistance on three occasions from
the Public-Private Infrastructure Advisory Facility (PPIAF) to improve the legal, regulatory, and
institutional framework for private participation in infrastructure.
PPIAF SUPPORT
The government of Malawi requested PPIAF support in 2000 to help design an appropriate regulatory
framework for private participation in infrastructure. The PPIAF-funded report assessed regulatory options
for utilities and recommended the establishment of two new regulatory bodies, a combined energy
and water regulator, and a transport regulator. The activity also designed an appropriate institutional
structure, draft enabling legislation, and an implementation plan for the operationalization of the regulatory
bodies.
In 2005 the government approached PPIAF for further assistance in developing an appropriate PPP framework.
PPIAF provided support to the development of policies, laws, and regulations that defi ned the

scope of authority within the various spheres of government
to enter into PPP contracts. PPIAF also designed an institutional
set-up to support and streamline PPP implementation,
guided by a set of institutional development principles.
Following the recommendations of the 2005 activity, the
government of Malawi requested support for a third time
to establish detailed PPP procedures and guidelines for project
conception, preparation, procurement, and management,
to create the right environment for the transparent
and successful development of infrastructure PPP projects.
In addition to the preparation of the operating procedures
and guidelines for PPP implementation, PPIAF also provided
funds for the drafting of PPP policy framework and the review
of a draft PPP Law.
OUTCOMES
Following the fi rst PPIAF activity, the government passed a
new legal framework for the energy sector, consisting of
the Energy Regulatory Act No. 20 of 2004, the Rural Electrifi
cation Act No. 21 of 2004, and the Electricity Act No.
22 of 2004. The Malawi Energy Regulatory Authority was
established under Act No. 20 of 2004 as Malawi’s energy
sector regulator. The authority’s mandate is to regulate the
energy sector in Malawi in a fair, transparent, effi cient, and
cost-effective manner for the benefi t of the consumers and
operators. In 2007 the fi rst Commissioners of the energy
regulator were appointed.
The second and third PPIAF activities have also garnered
solid outcomes. The operations guidelines and standard
documents and procedures prepared under the PPIAF activity
were subsequently published on the Privatization Commission’s
website. In May 2011 the Public-Private Partnership
Since 1999 PPIAF, a
multidonor technical
assistance facility, has helped
developing countries use publicprivate
partnerships to improve their
infrastructure. A key focus has been
upstream technical assistance to support
the development of an enabling
environment for such partnerships.
This series highlights how PPIAF’s support
has made an impact on the ground.
www.ppiaf.org
Policy Framework was passed by Cabinet, laying out the
government’s commitment to promoting private infrastructure
investment, setting out the policy framework for the
initiation, design, and implementation of PPPs, and promoting
PPPs as a new form of procuring and fi nancing infrastructure
projects and services. In November 2011 the
Malawian Parliament passed “Bill No. 13 of 2011: Public-
Private Partnership.” The law provides the legal framework
for the participation of private entities in government projects.
Following the passing of the PPP Law, the Privatization
Commission will be strengthened and assume new responsibilities,
formally becoming the implementation agency
for PPPs, and will be renamed as the PPP Commission.
DONOR COORDINATION
Several donors are active in support of private sector participation
in infrastructure development in Malawi, including
the World Bank, the UK’s Department for International Development,
and the United States Agency for International
Development.
IMPACTS
Since 2000 PPIAF has supported three activities in Malawi to
identify and defi ne the most appropriate enabling environment
for PPPs. PPIAF is currently providing assistance for the
renegotiation of the concession of the Malawi Rail Network,
and the extension of the railway by Vale. It is expected that
government commitment to the PPP agenda and the sound
enabling environment for PPPs facilitated by PPIAF will help
to build a pipeline of PPP transactions in Malawi.
RELATED PPIAF ACTIVITIES
IN MALAWI
• 2001: Harmonization of the Institutional and
Regulatory Framework, $200,000
• 2005: PPP Legal and Regulatory Framework,
$269,000
• 2006: Create the Enabling Policy and Legal
Environment for Improved Access to Information
and Communication Technology (ICT) Services in
Rural and Remote Areas, $365,000
• 2007: PPP Implementation—Development of
Regulations and Procedures, $251,500

PPIAF Non-Core Trust Fund for Middle-
Income Countries
Status Report
April 2012

Overview
Table of Contents
I. Activities Funded through PPIAF Middle-Income Countries Non-Core Trust Fund
1. Egypt: Improving Private Sector Participation in the Municipal Solid Waste Management
Sector
2. South Africa: Independent Power Producer Regulatory Framework
3. Colombia: Support to Concession Agency (INCO)
4. Vietnam: PPP Viability Study for the Ninh Bin–Than Hoa–Bai Vot Expressway
5. Vietnam: Capacity Building to Review Waste-to-Energy Project Proposals in Ho Chi Minh City
6. Vietnam: Strengthening of the Use of Performance-Based Contracts for Road Maintenance
7. Peru: PPP Options for Irrigation Infrastructure
8. Colombia: Private Financing Window for Low-Income Housing Projects
9. Ghana: Institutional Options for Improving Urban Water Supply in Ghana (Phase 2)
10. South Africa: Pre-feasibility Study for a Cycling Program in the City of Johannesburg
11. Vietnam: Feasibility Study and PPP Options for the Implementation of a Nation-Wide e-ID
System for the Delivery of Public Services
II. Looking Ahead
Annexes
Annex 1: Table of Approved Activities Funded Through the PPIAF Middle-Income Countries Non-
Core Trust Fund
Annex 2: Statement of Funding for the PPIAF Middle-Income Countries Non-Core Trust Fund
1

Overview
The PPIAF Trust Fund for Middle-Income Countries was set up in 2010 as a non-core multi-donor trust
fund. It is fully funded by Switzerland and supports a program of country-specific and multi-country
advisory and related activities in selected middle-income countries through the following activities:
� Framing infrastructure development strategies to take full advantage of the potential for private
sector involvement
� Building consensus for appropriate policy, regulatory, and institutional reforms
� Designing and implementing specific policy, regulatory, and institutional reforms
� Supporting the design and implementation of pioneering projects and transactions
� Building government capacity in the design and execution of private infrastructure arrangements
and in the regulation of private service providers
The countries able to benefit from this trust fund are Colombia, Egypt, Ghana, Indonesia, Peru, Vietnam,
and South Africa.
Annex 1 provides more information about the approved activities, and Annex 2 provides a
statement of funding for this trust fund.
I. Activities Funded through PPIAF Middle-Income Countries Non-Core Trust Fund
Since 2010, PPIAF has supported eleven activities from the Middle-Income Countries Non-Core Trust
Fund.
1. Egypt: Improving Private Sector Participation in the Municipal Solid Waste Management
Sector ($250,000): this activity was approved on December 2, 2009. Note that the activity was originally
approved ahead of the establishment of the Middle-Income Countries Non-Core Trust Fund and then,
with SECO's approval, transferred to that non-core fund once it was set up.
The activity is assessing the current state of private sector participation in the Municipal Solid Waste
Management (MSWM) sector in Egypt, in the context of the National Strategy for Integrated Solid Waste
Management, prepared in 2000. It will provide recommendations to increase involvement of the private
sector in the MSWM sector and to improve cost effectiveness.
Recent major political events in Egypt continue to affect the progress of the activity, which had already
completed its first deliverable on schedule (i.e., the initial draft report reviewing the current institutional,
political, legal, and financing environment in Egypt to determine the strengths and weaknesses of the
system). The next steps will require engagement with the government at national and municipal levels to
receive their feedback on the initial report in the development and finalization of a strategic framework for
more efficient, cost effective, and streamlined participation of the private sector in municipal solid waste
management services. The initial draft study report has been widely shared with all stakeholders and a
draft strategic action plan was developed in close collaboration with the Ministry of Local Development
and Ministry of Environment. A consultation workshop is being planned shortly to seek inputs from
various stakeholders on the draft strategic action plan. This workshop has been delayed due to the
parliamentary elections.
An extension was granted until September 2012 to allow time for the completion of the consultations and
also for finalizing the findings of the study. The activity is still of importance to the government.
2

Results to Date of the Municipal Solid Waste Management Sector Activity
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� The report on Private Sector Participation in the
Municipal Solid Waste Management Sector in Egypt was
delivered in September 2010 and covered: policy and
legal framework, fiscal and economic impacts, social
issues, market conditions, capacity, contract structuring
and procurement, and management. The analysis
guides identification of lessons learnt for more efficient
and effective private sector participation in MSWM.
� The work is the basis for a Strategic Action Plan for
private sector participation in MSWM in Egypt.
3
The activity is ongoing and it is too early
to tell if there are outcomes. PPIAF will
continue to monitor the results to capture
the outcomes and impacts of this activity.
2. South Africa: Independent Power Producer Regulatory Framework ($440,000): this activity was
approved on December 28, 2009. Note that the activity was approved in advance of the establishment of
the Middle-Income Countries Non-Core Trust Fund, but the implementation of the activity only
commenced after the non-core fund was launched. The activity will cover:
� Review of the regulatory work products to date in the government's REFIT Programme, in
particular the Amendments to the Electricity Regulation Act and the National Energy Regulator
Act
� Development of the regulatory environment for licensing
� Review and recommend amendments to legislation relating to Independent Power Producers at
the municipal level
This is a recipient-executed activity by the PPP Unit in the National Treasury of South Africa. Its
implementation was delayed until urgent issues within Eskom (South Africa's power utility) were resolved
around the financing of an urgently needed major base-load power plant. This unavoidably meant a very
slow start for the activity. The National Treasury finalized its evaluation of proposals and the selected
consultant is mobilizing. This activity is ongoing and is expected to be completed by August 2012.
3. Colombia: Support to Concession Agency (INCO) ($249,484): this activity was approved on
February 28, 2011. The activity supported the government of Colombia to improve the planning,
structuring, award process, implementation, management, and regulation of road infrastructure projects
under the concession modality. The assistance concentrated on strengthening the capacity of the
National Institute for Concessions (INCO) to deliver projects able to attract private investment. The activity
recommended changes in the procedures from project preparation to contract management and the
reforms are aimed to help the government to make investments more efficient and transparent. INCO is
now embarked on an ambitious program to develop new projects mainly in roads, railroads, and airports.

Results to Date of the Activity for Support to INCO
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Diagnosis and assessment of existing
concessions program
� Assessment of National Procurement Law
Policies prepared or legal or regulatory changes
recommended
� Guiding recommendations proposed for drafting
National Concessions Law
Plans/strategies prepared
� Proposal defined for management strategy
change for the INCO
Capacity and awareness building
Workshops/seminars
� On-the-job training on international best practice in
PPPs
Knowledge products disseminated
� Notes on international best practice and lessons
learned for Colombia
4
The activity was completed in February 2012. It
is too early to report on many of the outcomes
but PPIAF will continue to monitor results to
capture the actual outcomes and impacts of this
activity.
Technical capacity enhanced
� INCO staff with improved capacity in
planning, structuring, award,
implementation, management, and
regulation of road concession contracts
4. Vietnam: PPP Viability Study for the Ninh Bin–Than Hoa–Bai Vot Expressway ($500,000): this
activity was approved on June 23, 2011. It supports the government of Vietnam to evaluate PPP options
for the 220 kilometer Ninh Bin-Than Hoa-Bai Vot (NBBV) expressway section, which forms part of the
Eastern North-South expressway linking Hanoi, Ho Chi Minh City, and Can Tho in the Mekong delta, a
total length of 1,811 kilometers. This North-South expressway is the backbone of a planned national
network and will serve the densely populated coastal area of Vietnam. NBBV is the next priority section,
and the PPIAF activity will assess the viability of PPP arrangements, identify the best PPP model, and
establish a standard practice guideline for leveraging private sector resources in expressway
development. Implementation of the activity is underway, and the consultant (Halcrow) is engaged, albeit
with some delays in this process. The current completion date of November 2012 will most likely need to
be revised once the consultant is able to confirm the work schedule.
5. Vietnam: Capacity Building to Review Waste-to-Energy Project Proposals in Ho Chi Minh City
($75,000): this activity was approved on June 30, 2011. The activity supports the Department of Natural
Resources and Environment of the People's Committee of Ho Chi Minh City (HCMC) to evaluate the
waste-to-energy project proposals it is considering. This activity will build the Department's capacity to
assess proposed technologies, expected project costs, land use requirements, and the financial capacity
of investors. The project finally selected will provide a cleaner option to the growing problem of solid
waste management. The project will also generate 30 MW of energy to supplement the HCMC grid, which
cannot currently meet growing demand from households and industries. Implementation of the activity is
underway. No issues have been noted so far, and the activity is expected to be completed by June 2012.
6. Vietnam: Strengthening of the Use of Performance-Based Contracts for Road Maintenance
($40,000): this activity was approved on October 17, 2011. It supports the government of Vietnam to
analyze the current approach to performance-based contracts for road maintenance and to develop a
plan to strengthen these contracts, including the application of relevant best practice from other countries

and the integration of performance-based road maintenance contracts into standard maintenance
practices in Vietnam. Implementation of the activity is underway. No issues have been noted so far, and
the activity is expected to be completed by May 2012.
7. Peru: PPP Options for Irrigation Infrastructure ($75,000): this activity was approved on January 8,
2012. The activity supports the government of Peru on improving the prospects for PPP in irrigation in the
country in general and, more specifically, to provide recommendations on how to improve the
Chavimochic PPP model in order to achieve a successful deal. The activity includes an analysis of the
proposed Chavimochic III PPP model, which is based on the current model at Majes II. The analysis
relies primarily on the existing feasibility studies. That activity is also reviewing the emergence and
evolution of irrigation PPPs in Peru to better understand the political and social "forces" that have led to
the current framework, its weaknesses and strengths, and that will have an impact on possible future
changes. Implementation of the activity is underway. No issues have been noted so far, and the activity is
expected to be completed by September 2013.
8. Colombia: Private Financing Window for Low-Income Housing Projects ($74,800): this activity
was approved on March 4, 2012. It supports the government of Colombia in structuring and developing a
―window‖ to evaluate and screen private Second Generation Macroproyectos. This activity will provide
important support to the government to successfully harness private sector interest in developing the
approximately 7,000 hectares of land identified under the Macroproyectos program. The ―window‖ would
enable the transparent and competitive technical, environmental, social, and financial screening of private
sub-projects that could be structured as PPPs, under which the government commits to providing a partial
supply-side capital investment subsidy of no more than 40% of overall sub-project cost. The activity is
developing a framework for government to analyze such private financing proposals. The activity has only
recently been approved and is expected to be completed by October 2012.
9. Ghana: Institutional Options for Improving Urban Water Supply in Ghana (Phase 2) ($68,431):
this activity was approved on March 11, 2012. It supports the government of Ghana to undertake a
detailed analysis of the institutional, legal, and financial implications of different options identified by the
government for institutional reform of the urban water sector, aiming to improve the performance and
financial sustainability of the sector. It is seen that such reform will lead to the commercialization of the
sector and increased private sector investment. The activity has only recently been approved and is
expected to be completed by December 2012.
10. South Africa: Pre-feasibility Study for a Cycling Program in the City of Johannesburg
($74,820): this activity was approved on March 20, 2012. It supports the City of Johannesburg in South
Africa to undertake an initial pre-feasibility study to determine the steps and projects that would make up
a comprehensive, sustainable, and integrated cycling program for the city. This includes high-level
options for private sector involvement in the delivery, management, and/or financing of such a program,
including looking at the international experience of bike sharing schemes. The activity has only recently
been approved and is expected to be completed by November 2012.
11. Vietnam: Feasibility Study and PPP Options for the Implementation of a Nation-Wide e-ID
System for the Delivery of Public Services ($230,620): this activity was approved on March 29, 2012.
It provides assistance to the government of Vietnam to formulate a sound infrastructure development
strategy and build capacity in the design and execution of a PPP e-ID system. The activity is comprised of
three major components: a PPP options study and recommendations; a series of capacity building
activities; and knowledge dissemination. The activity has only recently been approved and is expected to
be completed by April 2013.
5

II. Looking Ahead
There are a number of proposals in the pipeline for this Middle-Income Countries Non-Core Trust Fund.
Region Title Description Comments
Africa South Africa: Water
Sector
East Asia
and the
Pacific
Latin
American
and the
Caribbean
Vietnam: Pathways for
Private Sector Energy
Investments
Peru: Potential PPP
for Wastewater
Treatment and Reuse
in Ica
Formulation of approaches to address acid
mine drainage; exploring the technical,
institutional, legal, economic, and financial
implications associated with PPP options.
Outcomes would include the reduction of
mine water contribution to the salinity of major
river systems, improvement in water security,
and identification of financing mechanisms
through the re-sale of treated water and
recovery of mineral bi-products recovered
through the treatment and desalinization
process.
The state electricity utility EVN is facing a
difficult financial situation, which is affecting
its creditworthiness and ability to attract
generation investors. The potential activity
would prepare an action plan and financial
forward looking assessment to improve the
financial strength of EVN and its ability to be
perceived as a credible buyer by private
investors. This would include
recommendations on tariff adjustment
regulations and implementation. This would
benefit not only EVN but also support its
willingness to sign contracts with new
renewable energy projects.
The World Bank and IFC are working with the
Peruvian Business Association of
Manufacturing—Sociedad Nacional de
Industrias (SNI)—on a potential application to
examine the options for developing a
concession to private operators of wastewater
treatment and reuse solutions.
6
Under discussion.
Under discussion.
This had been previously
identified and the
stakeholders have reaffirmed
their intent in
January 2012. Discussions
are still ongoing, and an
application is seen as likely.

Annex 1: Pipeline of Activities Funded Through the PPIAF Middle-Income Countries Non-Core Trust Fund
Region Title Major Sector
Middle East
and North
Africa
Africa
Latin America
and the
Caribbean
East Asia and
the Pacific
East Asia and
the Pacific
East Asia and
the Pacific
Latin America
and the
Caribbean
Latin America
and the
Caribbean
Africa
Africa
East Asia and
the Pacific
Egypt: Improving Private Sector Participation in the
Municipal Solid Waste Management Sector
South Africa: Independent Power Producer Regulatory
Framework
7
Approval
Amount
Approval
Date
Completion
Date
Status
Solid Waste $250,000 2-Dec-09 30-Sep-12 Ongoing
Energy $440,000 28-Dec-09 31-Aug-12 Ongoing
Colombia: Support to Concession Agency (INCO) Transportation $249,484 16-Feb-11 28-Feb-12 Completed
Vietnam: PPP Viability Study for the Ninh Bin-Than Hoa-
Bai Vot Expressway
Vietnam: Capacity Building to Review Waste-to-Energy
Project Proposals in Ho Chi Minh City
Vietnam: Strengthening of the Use of Performance-
Based Contracts for Road Maintenance in Vietnam
Transportation $500,000 23-Jun-11 30-Nov-12 Ongoing
Energy $75,000 30-Jun-11 30-Jun-12 Ongoing
Transportation $40,00 17-Oct-11 31-May-12 Ongoing
Peru: PPP Options for Irrigation Infrastructure Irrigation $75,000 8-Jan-12 30-Sep-12 Ongoing
Colombia: Private Financing Window for Low-Income
Housing Projects
Ghana: Institutional Options for Improving Urban Water
Supply in Ghana (Phase 2)
South Africa: Pre-feasibility Study for a Cycling Program
in the City of Johannesburg
Vietnam: Feasibility Study and PPP Options for the
Implementation of a Nation-Wide e-ID System for the
Delivery of Public Services
Multi-sector $74,800 4-Mar-12 31-Oct-12 Ongoing
Water $68,431 11-Mar-12 31-Dec-12 Ongoing
Transportation $74,820 20-Mar-12 30-Nov-12 Ongoing
Telecommunications $230,620 29-Mar-12 30-Apr-13 Ongoing

Annex 2: Statement of Funding for the PPIAF Middle-Income Countries Non-Core
Trust Fund
Trust Fund: 71453 - PPIAF Middle-Income Countries - Status as of 03/31/12
Description
Contribution receipts
Add:
Financial information summary (inception to date)
8
Amount in $
7,822,339
Investment income 52,720
Total Income (A)
Less:
7,875,059
Administration fee 2% 156,447
Disbursements made for the approved, ongoing activities 1,622,298
Program Management Unit (PMU) administration expenses*
Funds committed and pending to be disbursed to the task teams by PMU for the ongoing
activities
Total disbursements (B)
Net fund balance (C) = (A) - (B)
List of approved activities to be created in SAP (D)
740,000
328,431
2,847,176
5,027,883
Pre-feasibility Study for a Cycling Program in the City of Johannesburg 74,820
Pipeline (E)
PMU costs - additional funds to be allocated 433,351
Fund balance available for new commitments (F) = (C) - (D) - (E) 4,519,712
Add:
Contribution receipts anticipated
(a) Received, but yet to be accounted -
(b) To be received within the next 3 months -
(c) To be received in the next 12 months -
Total receipts anticipated
* PMU Costs:
15% equivalent of contributions received to date
End disbursement date 12/31/2013
-
-
1,173,351

PPIAF Non-Core Trust Fund as a Response
to the Global Financial Crisis
April 2012

Overview
Table of Contents
I. Regional and Global Activities Funded through PPIAF Non-Core Trust Fund as a Response to
Global Financial Crisis
1. Feasibility Study for a Middle East and North Africa Islamic Finance Facility for Infrastructure
2. Assessment of Chinese Industrial Zones in Nigeria, Ethiopia, and Mauritius
3. Russian Translation of the Toolkit for PPPs in Roads and Highways
4. Addressing the Challenge of Doing PPPs in Specific Sectors in the Black Sea Region, the
Caucasus, and Central Asia
5. PPP Forum for Accelerating Infrastructure Development in Transport for Francophone Africa
6. Rapid Needs Assessments and Helpdesk Service
7. PPP Workshop Best Practices and Lessons Learned from Recent African Case Studies
8. PPPs in Infrastructure Resource Center (PPPIRC) website
II. Country-Specific Activities Funded through PPIAF Response to Financial Crisis Non-Core Trust
Fund
1. India: Preparation of a Business Plan for India Infrastructure Finance Company Limited
2. Ethiopia: PPP Irrigation Model Contracts
3. Sri Lanka: Facilitating PPPs for Infrastructure Development
4. Paraguay: Support for the Design of River Navigation Concessions—Phase II
5. India: Support for Assessment of Public and Private Investment in Infrastructure During the
Financial Crisis
6. India: PPP Options Study for Wastewater Management in Delhi Jal Board
7. India: Review and Analysis of the Proposed Regulatory Framework for the Ports and Airports
Sectors
8. Azerbaijan: National Solid Waste Management Performance Improvement and Private Sector
Participation Strategy
9. Morocco: PPP Unit Support
10. Cambodia: Developing the Universal Access and Service Policy Framework in the ICT Sector
11. Turkmenistan: Enhancing Private Sector Participation at the Port of Turkmenbashi
12. Djibouti: Improving the Regulation of Private Operators in the Ports Sector
13. Kenya: PPP Unit Support
14. Rwanda: Independent Review of Energy Generation Investments
15. Uganda: Technical Assistance to Prepare PPP Pipeline
16. Bhutan: Improving the Capacity of the Government to Implement Infrastructure PPPs
17. Malawi: Transaction Advice on Concession Renegotiation of the Railways
18. Djibouti: Energy Sector Assessment
19. Bhutan: Telecom Sector Policy Roadmap
20. Albania: Technical Assessments of Bistrica 1, Bistrica 2, Ulza, and Shkopeti Hydropower
Plants
21. Bhutan: Pre-feasibility Assessment of Infrastructure Projects Under a PPP
22. Gabon: PPP Program
III. Looking Ahead
Annexes
Annex 1: Pipeline of Activities Funded through the PPIAF Response to Financial Crisis Non-Core
Trust Fund
Annex 2: Statement of Funding for the PPIAF Response to Financial Crisis Non-Core Trust Fund
2

Overview
At the onset of the global financial crisis in the second half of 2008, public-private partnerships (PPPs) in
infrastructure were seeing encouraging trends: private investments had become more evenly distributed
across sectors instead of being concentrated in the more profitable telecommunications sector; and
geographically, larger shares were going to low-income countries, particularly in Sub-Saharan Africa and
South Asia. However, when the global financial crisis struck, these trends were disrupted. Some
regions—particularly Eastern Europe and Central Asia—have seen a fall in investments by as much as
40% 1 with a number of projects being delayed or at risk of being cancelled. Higher costs of financing and
the decline of private investors’ risk appetite were a significant cause of these delays and uncertainties.
By end-2009, overall private activity in infrastructure declined.
In 2010 the governments of the Swiss Confederation and the United Kingdom provided funding to PPIAF
for a non-core trust fund for technical assistance to help countries deal with specific problems related to
the global financial crisis. Thirty activities received total funding of $4,269,710 from the PPIAF Non-Core
Trust Fund as a Response to the Global Financial Crisis, with the majority currently under
implementation. These activities aimed at:
� Finding bankable and sustainable solutions in PPPs, taking into account the lessons learned from
the financial crisis
� Supporting governments in developing project pipelines, particularly those that were further left
lagging as a consequence of constrained funding
� Improving the institutional capacity of governments in designing, preparing, and implementing
PPPs to help them be credible counterparts to potential private investors and/or operators
These are important interventions to support PPPs in a post-crisis world where private resources are
scarce and investors have become highly selective. Annex 1 contains the pipeline of these activities,
and Annex 2 provides a statement of funding for this trust fund.
I. Regional and Global Activities Funded through PPIAF Non-Core Trust Fund as Response to
the Global Financial Crisis
Since 2009 PPIAF has supported eight regional and global activities:
1. Feasibility Study for a Middle East and North Africa Islamic Finance Facility for Infrastructure
($395,000): the activity was approved on February 2, 2010. It conducted a feasibility study to guide the
design and establishment of a sharia-compliant facility, the Arab Financing Facility for Infrastructure
(AFFI), which will enable the financing of cross-border infrastructure projects in the region and provide
technical assistance to client governments to prepare bankable projects. The recommendations of the
study were adopted by key stakeholders, and the facility was subsequently set up and formally launched
at a PPP conference held in Jordan from April 2–6, 2011. The event was attended by delegates from
Arab League countries, as well as development partners such as the World Bank and the Islamic
Development Bank. The AFFI Technical Assistance Window was officially signed and also launched as
part of the conference.
1 PPI Database data update note 42, December 2010
3

Results of the Feasibility Study of Arab Islamic Finance Facility Activity
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Feasibility study of the Arab Financing
Facility for Infrastructure (AFFI),
September 2010
Capacity and awareness building
Workshops/seminars
� PPP workshop and launch of AFFI, April
2011
Institutions created or strengthened
� AFFI launched in April 2011
Consensus achieved and awareness enhanced
� Consensus achieved on the set-up and launch of the
AFFI
� Awareness enhanced on PPPs and the new shariahcompliant
facility, AFFI
2. Assessment of Chinese Industrial Zones in Nigeria, Ethiopia, and Mauritius ($99,086): the
activity was approved on June 17, 2010. PPIAF support was mobilized to help address the infrastructure
needs for the four Industrial Zones (Nigeria – Lekki, Nigeria – Ogun, Mauritius – Jinfei Economic and
Trade Cooperation Zone, and Ethiopia – Oriental) by estimating the infrastructural gap that needs to be
fulfilled before the four zones were able to operate. The studies identified possible opportunities for
infrastructure provision by the private sector and the necessary policy framework and enabling
environment that needs to be in place to ensure effective PPP implementation. The work was discussed
with governments, and counterparts in Nigeria and Ethiopia have expressed interest in seeking
assistance from the World Bank Group on the implementation of zone projects in areas such as policy,
legal, regulatory, and institutional frameworks for the development, management, and regulation of
zones; models for public financing; and PPP arrangements for external infrastructure for zones. Mauritius
is also keen to share its successful experience in zone development with other Sub-Saharan Africa
countries, potentially in partnership with other countries. The activity was completed in December 2010
and concrete outcomes are still forthcoming.
3. Russian Translation of the Toolkit for PPPs in Roads and Highways ($350,000): the updated
and improved Toolkit for PPPs in Roads and Highways (―Highways Toolkit‖) was developed in 2009 by
the World Bank with PPIAF support. Increased demand for PPPs in the roads subsector in Russianspeaking
countries (or where Russian is a major language) indicates the need to facilitate access to the
Highways Toolkit for key stakeholders in those countries. This has become particularly important after the
onset of the global financial crisis, which led to a ―flight to quality‖ of potential investors, and a slowdown
of private participation in infrastructure in the Eastern Europe and Central Asia region, which had been
previously booming. All this makes it all the more important for countries to have a solid pipeline of wellprepared
projects, and a clear strategy on how to attract private investors. The Highways Toolkit was
available only in English at that time. On June 29, 2010, PPIAF provided funding to translate the
Highways Toolkit in Russian for all interested parties (e.g., governments, academia, the private sector,
NGOs) for developing and transitioning economies where Russian is a major language. The activity was
recently completed in early May 2011, and the toolkit will soon be available on the World Bank’s transport
website and on the PPIAF homepage. An initial dissemination workshop was held in Kiev, Ukraine on
April 12, 2011. Apart from introducing the Highways Toolkit to participants, the workshop gave an
opportunity for participants from both the government and private sectors to exchange experiences and
good practices as well as explore lessons learned internationally. The workshop was attended by 38
participants.
4

Results of the Russian Translation of the Toolkit for PPPs in Roads and Highways
Outputs Outcomes
Capacity and awareness building
Knowledge products disseminated
� Russian version of the Toolkit for PPPs in
Roads and Highways, April 2011
Workshops/seminars
� Dissemination workshop held in Kiev, Ukraine
on April 12, 2011
Technical capacity enhanced
� Successfully completed and initially
disseminated in Kiev, Ukraine on April 12, 2011
� Enhanced understanding of 38 participants on
PPPs in highways
4. Addressing the Challenge of Doing PPPs in Specific Sectors in the Black Sea Region, the
Caucasus, and Central Asia ($35,500): the activity was approved on November 16, 2010. The PPIAF
grant facilitated the attendance of 12 representatives in the capacity building event on PPPs, which took
place in Istanbul, Turkey. The request came in light of the need to strengthen the institutional capacity to
undertake PPPs, which was especially acute in the aftermath of the financial crisis, because Eastern
Europe has been one of the regions most affected by the downturn of private financing resources and
decrease activity of private investors.
The workshop was held in Istanbul, Turkey on December 15–19, 2010. Around 50 participants attended
from several countries from the Central Asia, the Caucasus, and the Black Sea regions. A majority of the
participants were members of PPP units in their respective countries, but there were also some
representatives of the private sector from these countries. The workshop helped improve understanding
of PPPs and the issues discussed in the event: risk sharing and sustainable financing of PPPs. These
were of equal relevance to all countries participating in the seminar given a big majority were at the early
stages of developing and implementing their PPP programs.
Results of the Capacity Building Activity on PPPs in Eastern Europe and Central Asia
Outputs Outcomes
Capacity and awareness building
Workshops/seminars
� Seminar in Istanbul, Turkey on Addressing the
Challenge of Doing PPPs in Specific Sectors
in the Black Sea Region, the Caucasus, and
Central Asia, December 15–19, 2010
Technical capacity enhanced
� Improved awareness and understanding of 50
participants from the Central Asia and Black
Sea Region on PPPs
5. PPP Forum for Accelerating Infrastructure Development in Transport for Francophone Africa
($70,000): this activity was approved in January 2011. The PPIAF grant supported a Regional Forum on
PPP in Transport Infrastructure: Fostering Infrastructure Development in Francophone Africa in Yaoundé,
Caméroun on April 23–29, 2011. The Forum was co-sponsored by the World Bank, the World Bank
Institute, and the Club PPP MedAfrique, in collaboration with the government of Cameroun. The Regional
PPP Forum provided a platform for high-level delegates from Francophone countries in Africa to share
knowledge and exchange good practices and emerging lessons regarding the design and implementation
of PPPs in the region. Around 130 people attended, representing 17 countries in Francophone Africa:
Benin, Burundi, Rwanda, Central African Republic, Congo Brazza, Congo DRC, Mali, Burkina Faso,
Gabon, Chad, Niger, Guinea, Equatorial Guinea, Madagascar, Mauritius, and Mauritania.
5

Results of the PPP Transport Forum in Francophone Africa
Outputs Outcomes
Capacity and awareness building
Workshops/seminars
� Forum on PPP in Transport Infrastructure
in Francophone Africa, April 23–29, 2010
Technical capacity enhanced
� Improved awareness and understanding of 130
participants from the Francophone Africa on transport
infrastructure PPPs
6. Rapid Needs Assessments and Help Desk Service ($300,000): this activity was approved on
March 10, 2011. The activity was undertaken in response to governments who needed an immediate
analysis of various options available to them in developing PPPs. This activity will provide a quick
intervention to guide senior level government officials in making a decision for more targeted technical
assistance in the sector. An initial rapid assessment was undertaken to determine options for urban water
supply in Ghana. The options identified were developed in consultation with relevant stakeholders and
discussed with the Minister of Water Resources, Works, and Housing in Accra on October 21, 2011. In
December 2011 the government selected three of the options, which focus on strengthening the
governance and performance of the sector by considering different institutional arrangements and
contractual relationships between the main parties, for detailed analysis. The government has requested
further support for the analysis of these preliminary options. A second intervention for the activity consists
of providing technical assistance through a helpdesk, staffed by experts, to PPP units to build capacity to
develop, implement, and manage PPP projects. The helpdesk is currently being carried out as a pilot
project with Uganda’s privatization unit. There are no outputs and outcomes at this moment as the activity
is still underway. The helpdesk has been in operation since April 2011.
7. PPP Workshop Best Practices and Lessons Learned from Recent African Case Studies
($75,000): this activity was approved on March 30, 2011 and aims to co-finance a workshop to create
awareness to African governments on the realities in PPPs and best practices particularly in the aftermath
of the global financial crisis. There has been a widespread recognition in African countries of the benefits
of private market financing of, and participation in, infrastructure projects. This has been driven largely by
factors such as austere budgetary constraints that have limited the public sector’s ability to meet
increasing infrastructure needs and consumer demand for reliable and efficient services. Perhaps, more
importantly, success stories across Africa have encouraged a number of governments to consider a
change in socio-economic paradigm from the traditional welfare state to one where the user pays for
infrastructure services. However, the African dilemma is that governments are constantly faced with
decisions regarding PPPs, but enthusiasm is usually curbed by factors such as the lack of information
about best practices, absence of PPP skills and capacity to properly manage PPP processes, and the
inadequate regulatory and institutional framework. The workshop seeks to bridge the gap between PPP
theory and PPP best practices and was held in Nigeria in November 2011. Government and private
sector stakeholders and practitioners from several African countries including Kenya, Burundi, Southern
Sudan, Sierra Leone, South Africa, Liberia, Cameroun, Senegal, and Gabon attended.
Results of the PPP Best Practices Workshop in Africa
Outputs Outcomes
Capacity and awareness building
Workshops/seminars
� Africa: PPP Workshop Best Practices
and Lessons Learned, November 14–15,
2011
Technical capacity enhanced
� Improved awareness and understanding of
participants from Africa on best practices and recent
experience of African countries on PPPs
6

8. PPPs in Infrastructure Resource Center (PPIRC) website ($332,000) 2 : approved on June 24,
2011, this activity will help the PPPs in Infrastructure Resource Center website to enhance its existing
resources—particularly on up-to-date information related to the effects of the global financial crisis on the
PPP contracts. The website, launched in 2009, makes practical PPP infrastructure related resources
publicly available to governments, particularly in the developing world, to assist them with the legal and
contractual issues arising from these complex projects. An assessment of reports, terms of references,
and other relevant references for the website is expected to be completed by May 31, 2012.
II. Country-specific Activities Funded through PPIAF Response to Financial Crisis Non-
Core Trust Fund
In addition to regional activities, PPIAF supported 22 country-specific activities:
1. India: Preparation of a Business Plan for India Infrastructure Finance Company Limited
($218,000): approved on December 1, 2009, this activity aims to help the Infrastructure Finance
Company Limited (IIFCL) update its business plan in the context of market realities following the global
financial and economic slowdown and the PPP financing needs in India. The government of India
established the IIFCL in 2006 under a scheme for financing of infrastructure projects, with a focus on
infrastructure projects domiciled as special purpose vehicles (SPV) and promoted by the private and
public sectors. The IIFCL has been incorporated as a public financial institution designed to borrow in
domestic markets as well as from multilateral financial institutions for on-lending to infrastructure SPV
projects. However, the IIFCL was falling short on capacity in terms of people, processes, and systems for
addressing this rapidly evolving role, which inter alia involves managing complex borrowings from
domestic and international markets and multilateral institutions, and deployment through an increasing
complex set of structures and products. The PPIAF activity aimed at helping the IIFCL to evolve from its
present role, and introduce innovating financing instruments to address the challenge of infrastructure
project financing in India. A market assessment report and business plan for IIFCL was developed in
December 2011 under the PPIAF activity.
Results from Support to the India Infrastructure Finance Company Limited
Outputs Outcomes
Enabling environment reform Capacity and awareness building
Analyses/assessments prepared
� Assessment report for infrastructure finance
market, December 2011 Technical capacity enhanced
Plans/strategies prepared
� Business plan for the India Infrastructure
Finance Company Limited prepared,
December 2011
� India Infrastructure Finance Company Limited
strengthened, 2011
2. Ethiopia: PPP Irrigation Model Contracts ($349,000): the activity was approved on February 3,
2010 and is considered a follow-up activity to an earlier PPIAF grant which helped the government of
Ethiopia determine options in delivering irrigation services. An innovative PPP option has been selected
by the government for implementation on a pilot basis. The approach included charging farmers an
Irrigation Service Fee for the full cost of operation and maintenance of the irrigation system—including
energy costs—thereby contributing to making the system financially sustainable. However, in light of the
changes to capital markets and the perception of risk arising from the financial crisis, additional support
was requested to fine-tune the PPP arrangements. The work included drafting the prequalification
2 From the total approved amount of $332,000, only $282,000 has been funded from the SECO/DFID Financial Crisis
non-core fund. The rest of the $50,000 is funded from the Multi-Donor Core Trust Fund
7

documents, information memorandum, model bidding documents, and a model transaction agreement for
the Megech (Lake Tana) irrigation project. The PPP irrigation project at Megech is currently at the bidding
stage. Once implemented, this project is expected to irrigate 5,000 hectares of land, benefitting 10,000
farmers.
Results of the PPP Irrigation Model Contracts in Ethiopia
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Draft prequalification documents,
information memorandum, model bidding
documents, and transaction agreement for
Megech irrigation project, 2011
� Bids have been solicited for a management
contract for the Megech irrigation project, 2011.
The Megech pilot project will irrigate 5,000
hectares of land, benefitting 10,000 farmers
through increased crop yields and productivity
3. Sri Lanka: Facilitating PPPs for Infrastructure Development ($290,000): this activity was
approved on April 29, 2010. PPPs in Sri Lanka are relatively new, with the exception of few Independent
Power Producers and the Colombo Port, but are nevertheless growing in strategic importance for the
government in its plans of infrastructure development. This is of particular importance in the North and
East, where the population is recovering from decades of conflict and investment shortfalls. The PPP Unit
housed in the Board of Investment of Sri Lanka has been tasked with monitoring and managing the
pipeline of new PPP projects in an effort to respond to the financial crisis, and has received a number of
proposals for such projects. The PPP Unit has been recently formed and currently has only limited
experience and technical capacity. PPIAF provided grant funding to assist the central PPP Unit to identify
any gaps in the legal and regulatory framework in Sri Lanka to develop and implement PPP projects,
specifically in view of the changes in best practice PPPs following the global economic and financial
crisis. It will also help the PPP Unit’s capacity to undertake proper feasibility study for a PPP project,
specifically on a waste management facility in the Western Province of Sri Lanka, and in the overall
project development, monitoring, and oversight of PPPs. The activity has been delayed in implementation
and will be closely monitored by the Program Management Unit.
4. Paraguay: Support for the Design of River Navigation Concessions—Phase II ($168,000): this
PPIAF activity was approved on May 19, 2010. It provided the technical, legal, and economic conditions
of the Pilcomayo-Formosa segment of the Paraguay River and developed the final bidding documents
that will serve as a structure for the future river concession. This activity builds on a Phase I study of the
Rio Apa-Pilcomayo segment of the river. Outcomes are pending as activity recently closed.
5. India: Support for Assessment of Public and Private Investment in Infrastructure During the
Financial Crisis ($47,950): approved on July 27, 2010, the activity’s aim is to review and assess the flow
of economic resources during the financial crisis to Indian infrastructure projects and the impact of the
crisis on progress towards India’s 2007–2012 economic plan. The government later decided to cancel this
activity as an advisory firm, McKinsey, offered to undertake the assessment at no cost.
6. India: PPP Options Study for Wastewater Management in Delhi Jal Board ($168,000): the
activity was approved on August 4, 2010. Contending with the reduced risk appetite of the private sector
in the aftermath of the financial crisis, private sector interest was limited to the power and
telecommunications sectors. The creation of new infrastructure assets—namely in the wastewater
sector—lagged in comparison to other sectors. To keep up the pace of capital investments across these
sectors, the Delhi Jal Board requested assistance from PPIAF to undertake an options study to outline
the various PPP options available to the city to improve its wastewater management for both current and
8

planned activities, and facilitate the bid process to appoint project consultants for implementing such
projects. Implementation of the activity is still ongoing.
Results of PPP Options Study for Wastewater Management in Delhi Jal Board
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Delhi Jal Board Wastewater Management
PPP Options Study, 2011
Capacity and awareness building
Workshops/seminars
� Stakeholder workshops to present the
findings of the PPP options report, June 8,
2011
Technical capacity enhanced
� Technical capacity of the Delhi Jal Board
enhanced, 2011
7. India: Review and Analysis of the Proposed Regulatory Framework for the Ports and Airports
Sectors in India ($65,000): approved on August 4, 2010, this activity helped the government of India
review and analyze i) the draft Major Ports Regulatory Authority Act and ii) the consultation paper
―Regulatory Philosophy and Approach in Economic Regulation of Airports and Air Navigation Services,‖
circulated by the Airport Economic Regulatory Authority to ensure they are consistent with international
best practice, appropriately adapted to the local context as well as market realities after the global
financial crisis, and directed towards ensuring efficient, competitive, and effective operation of the ports
and airports sectors.
Results of Analysis of Proposed Regulatory Framework for Ports and Airports
Outputs Outcomes
Enabling environment reform Capacity and awareness building
Analyses/assessments prepared
� Regulation of Indian Port Sector report,
2011
� Assessment of the Regulatory Philosophy of
Airports Economic Regulatory Authority of
India, 2011
Technical capacity enhanced
� Technical capacity of the Ministry of Roads,
Transport, and Highways enhanced, 2011
� Technical capacity of the Airport Economic
Regulatory Authority enhanced, 2011
8. Azerbaijan: National Solid Waste Management Performance Improvement and Private Sector
Participation Strategy ($74,950): approved on December 6, 2010, this activity aims to assist the
government of Azerbaijan in developing a national strategy for integrated solid waste management. The
PPIAF-funded work is envisaged to provide policy recommendations for improving solid waste
management infrastructure, service levels, and financial sustainability through various options, including
private sector participation. Implementation of the activity is still ongoing.
9. Morocco: PPP Unit Support ($245,700): this activity was approved on December 30, 2010 and is
still under implementation. The request for PPIAF funding came in light of the impact of the global
financial crisis on the ability of the government of Morocco to finance critical infrastructure investments.
PPIAF support compliments the IFC PPP advisory role to the government and will specifically aim to help
i) design and establish a dedicated PPP unit within the Directorate for State Enterprises and Privatization
and strengthen the Directorate’s PPP expertise via the organization of seminars, and ii) identify pilot
9

transactions. A number of reports were undertaken under the activity which led to noteworthy initial
outcomes, specifically the establishment of a Moroccan PPP unit in May 2011.
Results of Support to the Morocco PPP Unit
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Review of Legal/Institutional Framework, 2011
� Analysis of Tools for Public and Private
Financing of PPP Infra Projects, 2011
� Analysis of Administrative Constraints to PPP
Projects, 2011
� International Benchmarking of PPP Unit, 2011
Plans/strategies prepared
� PPP unit functions and organization plan
Project cycle-related assistance
Transaction support
� Report from rapid screening missions to
identify pilot PPP transactions in the health
sector, 2011
Capacity and awareness building
Workshops/seminars
� PPP Seminar held in February 2011 to build
consensus between the Moroccan Ministry of
Finance and all interested line ministries on
the role of the PPP unit
Institutions created or strengthened
� Moroccan PPP Unit (part of the Ministry of
Finance) created in May 2011
Plans/strategies adopted
� PPP unit functions and organization plan
adopted
Consensus achieved
� Consensus achieved on role of PPP Unit, May
2011
10. Cambodia: Developing the Universal Access and Service Policy Framework in the ICT Sector
($110,000): this activity was approved on December 31, 2010 and aims to assist the Ministry of Posts
and Telecommunications of Cambodia in developing a universal access/service (UAS)
telecommunications policy framework. Though telecommunications continue to be an attractive sector to
investors even in a constrained environment brought by the effects of the global financial crisis, providing
services to remote rural areas are considered daunting. This activity is expected to provide a platform for
the government of Cambodia to bridge the urban-rural divide and an opportunity to extend the gains to
those who are most in need. The PPIAF activity recently closed and the work that was undertaken
revealed that affordability constraints would need to be taken into account in developing Cambodia’s UAS
framework, especially the potential set-up of a universal access fund, which is normally used for
infrastructure supply. As a result, the scope of the PPIAF-funded work has been narrowed down to look at
the feasibility of telecenters as part of the UAS strategy and identify initiatives that would reduce the
service price paid by the consumers (including public institutions) and review elements of the existing
regulatory regime that impact affordability and usage.
11. Turkmenistan: Enhancing Private Sector Participation at the Port of Turkmenbashi ($150,000):
this activity was approved on January 19, 2011 and is currently under implementation. The Port of
Turkmenbashi is the primary port in Turkmenistan, and hence has a significant role in that it could
enhance and sustain economic growth in the country. Because of its geographic location, the Port of
Turkmenbashi could serve as a major logistics center linking Asian and Western markets. To achieve this
goal, the government of Turkmenistan requested PPIAF support to help them engage the private sector
to provide management experience, connections to the global maritime network, and shoulder some
commercial, financial, and operational risks in transforming the Port. The PPIAF activity will undertake i)
10

an assessment and recommendations for introducing PPPs in the Port of Turkmenbashi, and ii) provide
recommendations on the revision of the Port Law.
12. Djibouti: Improving the Regulation of Private Operators in the Ports Sector ($74,500): approved
on February 14, 2011, this activity aims to strengthen the competitiveness of the ports of Djibouti (old port
of Djibouti and new port of Doraleh) and ensure their medium- and long-term development by designing a
modern and efficient regulation system for private port operators, and specifically addressing issues
related to the quality of service and pricing, in addition to institutional related issues. Progress has been
delayed due to change in government counterpart and the government’s decision to take back the
management of the old port due to a strain in the relationship with the existing port contractor.
13. Kenya: PPP Unit Support ($124,240): the activity was approved on February 23, 2011. At the
request of the government, a PPIAF activity is currently providing advice and support to the PPP
Secretariat in Kenya in fulfillment of its mandate to ministries, departments, and government agencies to
identify and develop PPP projects; and helping contracting authorities review the work of PPP transaction
advisors. This support will include the PPP Unit’s coordination of PPP information dissemination, training
and capacity building, as well as the development of the PPP institutional procedures, including a revised
PPP Guidance Manual. The work has been delayed and no outputs and outcomes are yet available.
14. Rwanda: Independent Review of Energy Generation Investments ($74,500): this activity was
approved on February 28, 2011. PPIAF funding was requested to help the government of Rwanda
identify priority generation projects to be able to establish a pipeline of commercially-sound energy
generation investments that can be undertaken through a PPP. The activity is currently under
implementation. A diagnostic report was prepared and a list of priority generation projects was
recommended. Since the activity has just recently been concluded, concrete outcomes have not yet been
attained.
15. Uganda: Technical Assistance to Prepare PPP Pipeline ($70,000): approved on April 7, 2011, this
activity will help identify and prioritize potential PPP projects that can be implemented by the government
of Uganda. The activity is still under implementation and will compliment the ongoing helpdesk activity
where Uganda is the pilot country for the project.
16. Bhutan: Improving the Capacity of the Government to Implement Infrastructure PPPs
($167,450): this activity was approved on June 30, 2011. This ongoing PPIAF activity will help assess
Bhutan’s capacity needs with respect to infrastructure PPP development and propose a roadmap for
improved PPP capability in Bhutan.
17. Malawi: Transaction Advice on Concession Renegotiation of the Railways ($166,156): the
activity was approved on June 30, 2011 and is currently under implementation. The activity will review the
current railway concession, propose modifications accordingly, and frame it in such away to ensure
positive involvement of the concessionaire and assist the government of Malawi in the renegotiation of
the concession agreement for the Malawi Railway Network. The PPIAF activity will also advise the Malawi
government on rail infrastructure, commercial, regulatory, and financial aspects of the proposed
concession for Railway Extension from Nkaya to Mwanza by Vale.
18. Djibouti: Energy Sector Assessment ($459,275): approved on October 24, 2011, this activity will
assist the government of Djibouti to refine its energy sector master plan, asses the cost of refurbishing
existing generation plants, and identify least-cost infrastructure investments that can be effectively
financed and managed through a PPP. Implementation of this activity is still ongoing.
11

19. Bhutan: Telecom Sector Policy Roadmap ($75,000): this ongoing activity was approved on
October 30, 2011. This activity will develop a strategic policy roadmap to guide the development of
Bhutan's telecom sector specifically in introducing competition, determining the divestment policies to
promote strategic investment by foreign investors, and developing a transformation agenda to use the
telecom sector for cost-effective service delivery.
20. Albania: Technical Assessments of Bistrica 1, Bistrica 2, Ulza, and Shkopeti Hydropower
Plants ($75,000): this activity was approved on December 15, 2011. IFC recently signed a mandate with
the government of Albania to act as a lead advisor for privatization of four existing hydropower plants:
Bistrica 1 (25MW) and Bistrica 2 (5 MW) on River Bistrica, and Ulza (25.2MW) and Shkopeti (25MW) on
River Mati. In light of this transaction, the government requested PPIAF support to undertake additional
assessments to maximize privatization proceeds from the sale of the hydropower plants and attract
credible investors. An environmental assessment of the project to identify any environmental risks
stemming and propose mitigation measures will be undertaken under the PPIAF activity, along with
technical diagnostics on the conditions of the civil, mechanical, hydraulic, and electrical components of
the hydropower plants.
21. Bhutan: Pre-feasibility Assessment of Infrastructure Projects Under a PPP Model ($64,450):
this activity was approved on January 12, 2012. The Royal Government of Bhutan is currently
implementing its 10 th Five-Year Plan (10FYP, 2008–2013) which has a central focus on poverty reduction
and envisages a wider role for the private sector in the implementation of its development goals. The
PPIAF activity will undertake a preliminary assessment of potential infrastructure projects to develop a
pipeline of feasible PPP transactions, including preparing a preliminary assessment of the feasibility of
several infrastructure projects.
22. Gabon: PPP Program ($74,640): approved on February 7, 2012, this activity will enable the
government of Gabon to advance its PPP agenda from both a transaction and enabling environment
stand point. Specifically, it will assess and recommend improvements in Gabon’s PPPs pipeline, provide
targeted policy recommendations on improving the legal, regulatory, and institutional and policy
arrangements, and present options for creating the institutional and human expertise on PPPs either
through the establishment of a PPP unit or an inter-institutional commission.
12

Annex 1: Approved Activities Funded Through the PPIAF Non-Core Trust Fund as a Response to the Global
Financial Crisis
Region Title Major Sector
South Asia
Middle East &
North Africa
India: Preparation of a Business Plan for India
Infrastructure Finance Company Limited (IIFCL)
Middle East and North Africa: Feasibility Study for
MENA Islamic Finance Facility for Infrastructure
13
Approval
Amount
Approval
Date
Completion
Date
Status
Multi-sector $218,000 1-Dec-09 30-Dec-11 Completed
Multi-sector $395,000 2-Feb-10 30-Sep-11 Completed
Africa Ethiopia: PPP Irrigation Model Contracts Water $74, 923 3-Feb-10 30-Sep-10 Completed
South Asia
Latin America &
the Caribbean
Africa
Global
South Asia
South Asia
South Asia
Europe and
Central Asia
Europe and
Central Asia
Middle East &
North Africa
East Asia &
Pacific
Sri Lanka: Facilitating PPPs for Infrastructure
Development
Paraguay: Support for the Design of River Navigation
Concessions – Phase II
Africa: Assessment of Chinese Industrial Zones in
Nigeria, Ethiopia, and Mauritius
Global: Russian Translation of the Toolkit for PPPs in
Roads and Highways
India: Support for Assessment of Public and Private
Investment in Infrastructure During the Financial Crisis
India: PPP Options Study for Waste Water
Management in Delhi Jal Board
India: Review and Analysis of the Proposed
Regulatory Framework for the Ports and Airports
sector in India
Europe and Central Asia: Addressing the Challenge of
doing PPPs in Specific Sectors in the Black Sea
Region, the Caucasus, and Central Asia
Azerbaijan: National Solid Waste Management
Performance Improvement and Private Sector
Participation Strategy
Multi-sector $290,000 29-Apr-10 15-Jan-13 Ongoing
Transportation $186,000 19-May-10 30-Sep-10 Completed
Multi-sector $99,086 17-Jun-10 31-Dec-10 Completed
Transportation $20,000 29-Jun-10 30-Nov-11 Completed
Multi-sector $47,950 27-Jul-10 30-Jun-11 Cancelled
Water $73,390 4-Aug-10 31-Oct-11 Completed
Transportation $65,000 4-Aug-10 30-Jun-11 Completed
Multi-sector $35,500 16-Nov-10 30-Apr-11 Completed
Water $74,950 6-Dec-10 30-Jun-12 Ongoing
Morocco: PPP Unit Support Multi-sector $245,700 30-Dec-10 31-Dec-12 Ongoing
Cambodia: Developing the Universal Access and
Service Policy Framework in the ICT Sector
Telecommunications $110,000 31-Dec-10 31-Aug-11 Completed

Africa
Region Title Major Sector
Europe &
Central Asia
Middle East &
North Africa
Africa: PPP Forum for Accelerating Infrastructure
Development in Transport for Francophone Africa
Turkmenistan: Enhancing Private Sector Participation
at the Port of Turmenbashi
Djibouti: Improving the Regulations of Private
Operators in the Port Sector
14
Approval
Amount
Approval
Date
Completion
Date
Status
Transportation $70,000 8-Jan-11 30-May-11 Completed
Transportation $150,000 19-Jan-11 30-Apr-13 Ongoing
Transportation $74,500 14-Feb-11 30-Jun-12 Ongoing
Africa Kenya: PPP Unit Support Multi-sector $124,240 23-Feb-11 31-Aug-12 Ongoing
Africa
Cross-Regional
Africa
Africa
Global
South Asia
Africa
Rwanda: Independent Review of Energy Generation
Investments
Cross-Regional: Rapid Needs Assessment and Help
Desk Service
Africa: PPP Workshop Best Practices and Lessons
Learned from Recent African Case Studies
Uganda: Technical Assistance to Prepare PPP
Pipeline
Global: PPPs in Infrastructure Resource Center
(PPPIRC) Website
Bhutan: Improving the Capacity of the Government to
Implement Infrastructure PPPs
Malawi: Transaction Advice on Concession
Renegotiation of the Railways
Energy $74,500 28-Feb-11 30-Sep-11 Completed
Multi-sector $300,000 10-Mar-11 31-Dec-12 Ongoing
Multi-sector $75,000 30-Mar-11 31-Dec-11 Completed
Multi-sector $70,000 7-Apr-11 31-Mar-12 Ongoing
Multi-sector $332,000 24-Jun-11 30-Jun-13 Ongoing
Multi-sector $167,450 30-Jun-11 30-Jun-12 Ongoing
Transportation $166,156 30-Jun-11 14-Dec-12 Ongoing
South Asia Bhutan: Telecom Sector Policy Roadmap Telecommunications $75,000 30-Aug-11 30-Jun-12 Ongoing
Middle East &
North Africa
Europe and
Central Asia
South Asia
Djibouti: Energy Sector Assessment Energy $459,275 24-Oct-11 31-Oct-12 Ongoing
Albania: Technical Assessments of Bistrica 1, Bistrica
2, Ulza, and Shkopeti Hydropower Plants
Bhutan: Pre-feasibility Assessment of Infrastructure
Projects Under a PPP Model
Energy $75,000 15-Dec-11 30-Sep-12 Ongoing
Multi-sector $64,450 12-Jan-12 30-Nov-12 Ongoing
Africa Gabon: PPP Program Multi-sector $74,640 7-Feb-12 30-Jun-12 Ongoing
Total $4,296,710

Annex 2: Statement of Funding for the PPIAF Non-Core Trust Fund as a
Response to the Global Financial Crisis
Trust Fund: 71466 - PPIAF Financial crisis - Status as of 03/31/12
Description
Contribution receipts
Add:
Investment Income
Total Income (A)
Less:
Financial information summary (inception to date)
15
Amount in $
7,507,918
55,231
7,563,149
Administration fee 2% 150,158
Disbursements made for the approved, ongoing activities 3,657,338
Program Management Unit (PMU) administration expenses* 714,090
Funds committed and pending to be disbursed to the task teams by PMU for the
ongoing activities 315,275
Total disbursements (B) 4,836,861
Net fund balance (C) = (A) - (B) 2,726,288
List of approved activities to be created in SAP (D)
Support to PPP Program in Gabon 74,640
Pipeline (E)
PMU costs – additional funds to be allocated -
Fund balance available for new commitments (F) = (C) – (D) – (E) 2,651,648
Add:
Contribution receipts anticipated
(a) Received, but yet to be accounted -
(b) To be received within the next 3 months -
(c) To be received in the next 12 months
Total receipts anticipated -
* PMU Costs:
Total PMU cost allowed per the agreement 714,090
End disbursement date 12/31/2013

PPIAF Non-Core Trust Fund on Integrating
Climate Change Agenda with Public-Private
Partnerships
Status Report
April 2012

Overview
Table of Contents
I. Regional Climate Change Activities Funded through PPIAF Climate Change Non-Core Trust
Fund
1. Compact Fluorescent Lamp Waste Management in Sub-Saharan Africa
2. Impact of Climate Change on the Transport Sector in Africa
3. Lighting Africa Policy Issues
4. Capacity Building Seminar on Geothermal Energy
5. African Energy Ministers’ Conference
6. Lighting Africa Expansion
II. Country-Specific Activities Funded through PPIAF Climate Change Non-Core Trust Fund
1. South Africa: South African Cities Energy Efficiency and Renewable Energy Program
2. Côte d’Ivoire: Strategic Framework for the Development of Transport Infrastructure
3. Kenya: Due Diligence for the Lake Turkana Wind Project
4. Mali: Legal Advisory Services to the government of Mali for Scatec Solar Project
III. Looking Ahead
Annexes
Annex 1: Pipeline of Activities Funded through the PPIAF Climate Change Non-Core Trust Fund
Annex 2: Statement of Funding for the PPIAF Climate Change Non-Core Trust Fund
1

Overview
The PPIAF Trust Fund on Integrating Climate Change Agenda with Public-Private Partnerships (PPPs)
was set up in 2008 as a non-core multi-donor trust fund. This Trust Fund, funded by Norway and more
recently by the Netherlands, aims to mainstream considerations of climate change externalities and
opportunities with existing work in improving the delivery of infrastructure services. Four out of the ten
activities funded through the Climate Change Non-Core Trust Fund are currently under implementation.
Annex 1 contains the pipeline of these activities, and Annex 2 provides a statement of funding for
this trust fund.
I. Regional Climate Change Activities Funded through PPIAF Climate Change Non-Core
Trust Fund
Since 2009, PPIAF has supported six regional climate change activities in the transport and energy
sectors in Africa.
1. Compact Fluorescent Lamp (CFL) Waste Management in Sub-Saharan Africa ($170,000): this
activity was approved on April 28, 2009. It supports a study that examines issues and options related to
the proper disposal and recycling of mercury-containing lamps, and aims to enhance private sector
participation and to mitigate environmental and health impacts of CFLs disposal. Implementation of the
CFL waste management activity progressed steadily since its inception in June 2009, and the activity was
completed in March 2011. The final report of the study provided a comprehensive analysis of sanitary
risks induced by CFL distribution programs in Africa, and an analysis of practical options to deal with the
issues of collecting and recycling mercury-contained lamps, including an enhanced role for the private
sector for proper waste management. Among the recommendations of the study are: 1) to promote a
strong and sustainable market penetration of readily available high-quality lamps; 2) to avoid mercury
emissions by capture and confinement solutions that include proper landfilling; and 3) to control the
impact of mercury emissions by applying waste management best practices.
The activity also delivered six country case studies (Central African Republic, Ethiopia, Rwanda, Senegal,
South Africa, and Uganda), which were showcased in the World Bank Compact Fluorescent Lamps toolkit
funded through the Energy Sector Management Assistance Program (ESMAP). The results achieved by
this activity are summarized in the table below.
Results of the CFL Waste Management Activity
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Study of mercury-containing lamp
waste management in Sub-Saharan
Africa, December 2010
Capacity and awareness building
Knowledge products disseminated
� Dissemination of a Compact
Fluorescent Lamps toolkit, available
online. 1
� The activity was completed on March 31, 2011. It is too
early to report on some of the outcomes. PPIAF will
continue to monitor results to capture the actual outcomes
and impacts of this activity.
Technical capacity enhanced
� The CFL toolkit is being widely disseminated. The six
country case studies have been integrated in the toolkit to
enhance the technical capacities of decision-makers in
Sub-Saharan Africa to design appropriate frameworks for
CFL waste management.
1 http://www.esmap.org/esmap/sites/esmap.org/files/CFL_Toolkit_Web_Version_102110_REVISED_FINAL.pdf
2

2. Impact of Climate Change in the Transport Sector in Africa ($261,500): this activity was approved
on May 27, 2009. It built on the ongoing work of the Sub-Saharan Africa Initiative to respond to the impact
of climate change on the transport sector, and aimed to examine mitigation and adaptation measures
needed to make climate-resilient transport systems in Africa. The activity was successfully implemented
despite initial delays in the procurement process, and the study was completed in January 2011. It
produced a guideline framework for upstream PPP work needed to address mitigation in Ghana and
adaptation in Ethiopia and Mozambique.
The preliminary findings of the study were presented to key practitioners in the African transport sector
during a workshop held in Kampala, Uganda in October 2010, and during the World Bank’s Transport
Forum held in Washington, DC in March 2011.
Based on the recommendations of the study, the government of Ghana developed the Ghana Urban
Transport project in April 2011 with the aim to improve mobility through a combination of traffic
engineering measures, regulation of the public transport industry, and implementation of a bus rapid
transit system. It is expected that the project increases the use of lower-emission transport along a pilot
corridor in Accra.
Results of the Impact of Climate Change on the Transport Sector in Africa Activity
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Study on transport climate-resilience in
Ghana, Ethiopia, and Mozambique,
December 2010
Capacity and awareness building
Workshops/seminars
Knowledge products disseminated
� Dissemination of case studies on climate
change adaptation and mitigation in the
transport sector in Ghana, Ethiopia, and
Mozambique, October 2010–March 2011
� In April 2011 the government of Ghana developed
the Ghana Urban Transport project, which is
expected to increase the use of lower emission
transport in Accra
Technical capacity enhanced
� The two dissemination workshops held in Kampala
in October 2010 and in Washington, DC, in March
2011, helped raise the awareness of policy makers
and potential private investors how Africa’s road
transport sector could adapt to climate change.
3. Lighting Africa Policy Issues ($350,000): this activity was approved on August 12, 2009. It is a
follow-up to the Lighting Africa Conference and Development Marketplace Competition held in Accra,
Ghana, on May 5–8, 2008. PPIAF was a key sponsor of the Lighting Africa Development Marketplace
competition that selected 16 organizations for the development and delivery of improved lighting products
and services for Sub-Saharan Africa. Lighting Africa is a joint World Bank and IFC program that seeks to
accelerate the development of markets for modern off-grid lighting products in Sub-Saharan Africa where
an estimated 10–30% of household incomes are spent on hazardous and low quality fuel-based lighting
products.
The PPIAF grant supported a study on key policy and regulatory issues affecting adoption and scale-up
of clean, low-cost lighting products, and services in Sub-Saharan Africa.
Country policy reports were prepared for eight countries in Sub-Saharan Africa: Cameroon, Democratic
Republic of Congo, Ghana, Ethiopia, Rwanda, Kenya, Tanzania, and Senegal. The preliminary findings of
the study were presented to African policy and decision-makers at a workshop held in Nairobi, Kenya in
3

May 2010. Key issues addressed during the workshop were policy and regulatory barriers and the
mobilization of finance and business support services. The following lessons have been also learned:
lighting products need to be 1) easy to use and understand; 2) seen as relevant and capable of delivering
their promised service; and 3) affordable and offer good value for money.
Recommended policy interventions include:
� Incorporate modern lighting strategies into overall government development and poverty
reduction strategy
� Adjust regulatory environments to favor modern lighting solutions
� Support a market transition to high-quality products
� Facilitate a competitively priced supply chain that delivers lighting products to all segments of the
market
� Ensure that the widest possible access to modern lighting is achieved, particularly among the
poor
The implementation of this activity was completed in June 2011.
Results of the Lighting Africa Policy Issues Activity
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Study on Lighting Africa Policy Issues; country
reports for Cameroon, Democratic Republic of
Congo, Ghana, Ethiopia, Rwanda, Kenya,
Tanzania, and Senegal, December 2010
� Policy note summarizing the findings of the
countries studies, August 2011
Capacity and awareness building
Workshops/seminars
� Regional workshop held in Nairobi, Kenya, on
May 18–20, 2010
� PPIAF will monitor results to capture the actual
outcomes and impacts of the activity.
Technical capacity enhanced
� During the workshop, dozens of African policy
makers and other key stakeholders in the energy
sector discussed opportunities to scale up the
use of renewable energies in Africa
4. Capacity Building Seminar on Geothermal Energy ($30,000): this activity was approved on
December 30, 2010. The PPIAF grant helped enhanced the capacity of five senior officials from Kenya,
Uganda, Rwanda, Ethiopia, and Djibouti on geothermal energy, as these countries strive to exploit this
untapped natural resource. The five policy makers were sponsored by PPIAF to participate in a training
seminar on held in Iceland in January 2011, organized by the African Development Bank. The seminar
helped them get a clearer understanding of how to handle geothermal development issues with the
involvement of the private sector. All five countries are developing a pipeline of geothermal projects with
private sector participation. Kenya, the largest producer of geothermal power in Africa, is looking at
increasing the participation of the private sector in the supply of energy to surpass hydropower as the top
contributor to the country’s electricity grid by 2014. Kenya is developing a $1.3 billion, 280 MW,
geothermal project that could help the country meet the growing demand for electricity.
4

Results of the Capacity Building Activity on Geothermal Energy
Outputs Outcomes
Capacity and awareness building
Workshops/seminars
� Capacity building seminar held in
Reykjavík, Iceland on January
13–16, 2011
Technical capacity enhanced
� Five African policy makers attended a seminar on geothermal
energy held in Reykjavík, Iceland, on January 13–16, 2011
where they learned how to develop tools to implement
geothermal projects in their countries
5. African Energy Ministers’ Conference ($40,000): this activity was approved on August 23, 2011.
The objective was to facilitate the formation of consensus on priorities for supporting Africa’s low carbon,
climate resilient energy development agenda, including in the context of climate change negotiations. The
two-day Ministerial Conference, co-sponsored by PPIAF, was held in Johannesburg, South Africa on
September 15 and 16, 2011. The conference provided an important platform for high-level policy dialogue
to build consensus and catalyze action for sustainable energy access across the African continent. In
addition, it highlighted Africa’s energy challenges and critical energy investment priorities that need to be
addressed.
Results of the African Energy Ministers’ Conference Activity
Outputs Outcomes
Capacity and awareness building
Workshops/seminars
� African Energy Ministers’ Conference held in Johannesburg,
South Africa on September 15 and 16, 2011
Knowledge products disseminated
� Background papers and briefing notes on key thematic areas;
Proceedings Report summarizing the Conference; Regionalbased
action plan document with key participating parties
5
Consensus achieved
� Consensus achieved on priorities
for supporting Africa’s low
carbon, climate resilient energy
development agenda
6. Lighting Africa Expansion ($250,000): this activity was approved on December 5, 2011 to help the
Lighting Africa program scale-up its activities in Sub-Saharan Africa. The program leveraged $500,000
from the Energy Sector Management Assistance Program (ESMAP) and the Global Partnership on
Output-Based Aid (GPOBA). The purpose of this activity is to accelerate the adoption of affordable, clean
low-carbon off-grid lighting technologies to bottom of the pyramid households and businesses throughout
Sub-Saharan Africa that rely on candles, kerosene, and other environmentally harmful fuels for their
lighting needs.
The PPIAF grant will finance the development of national off-grid lighting programs in selected countries.
It is expected that the total of up to eight countries can be reached with the available funds. The focus will
be on countries where the private market is expected to be strongest, such as Nigeria, Tanzania,
Senegal, and Mali, as well as on post-conflict countries where the needs are strongest (e.g., South
Sudan, Liberia, Rwanda, and Democratic Republic of Congo).

The proposed activity will leverage earlier PPIAF support, including Lighting Africa Development
Marketplace and Policy and Regulatory Study, by scaling up the benefits of Lighting Africa to additional
households in new countries.
The expected closing date for this activity is September 30, 2013. PPIAF will monitor results to capture
the actual outcomes and impacts of the activity.
II. Country-specific Activities Funded through PPIAF Climate Change Non-Core Trust
Fund
In addition to regional activities, PPIAF supported four country-specific climate change activities in South
Africa, Côte d’Ivoire, Kenya, and Mali.
1. South Africa: South African Cities Energy Efficiency and Renewable Energy Program
($400,000): this activity was approved on August 27, 2009. It aims to support the South African Cities
Network to implement a renewable energy and energy efficiency program for improved infrastructure
development through private investment across nine South African cities.
The activity included a component on pre-feasibility studies to help prepare renewable energy and energy
efficiency (REEE) within South Africa’s municipalities in order to mitigate climate change from the bottomup
by providing a well-documented, replicable framework for other municipalities to follow. The project
delivered four pre-feasibility studies: Energy Efficient Street Lighting, Energy Efficient Lighting in
Municipal Buildings, Implementation of Solar Water Heaters to Middle Class Neighbourhoods, and Micro
Hydro Electricity Potential Study. Each pre-feasibility report came with terms of reference detailing the
next steps for each project.
The consultant also developed an online toolkit on REEE consisting of reviews of REEE technologies,
analysis of the policy and legislative landscape, and links to useful online resources.
A one-day conference on climate change, co-organized by PPIAF and the South African Cities Network,
was held in September 2011 to share lessons learned from the various business plan developments.
Results of the South African Cities Energy Efficient and Renewable Energy Program
Outputs Outcomes
Enabling environment reform
Analyses/assessments prepared
� Four pre-feasibility studies were
developed: Energy Efficient Street
Lighting, Energy Efficient Lighting in
Municipal Buildings, Implementation
of Solar Water Heaters to Middle
Class Neighbourhoods, and Micro
Hydro Electricity Potential Study
Capacity and awareness building
Workshops/seminars
� A workshop was organized for
participating municipalities in
September 2011
� The government of South Africa has approved the
findings of the studies and is seeking funding to conduct
full feasibility studies for the following projects:
– City of Johannesburg’s energy efficient street
lighting
– City of Tshwane’s solar water heating in the
middle-income neighborhoods
– City of Tshwane’s energy efficient lighting in the
municipal buildings
– City of Cape Town’s micro hydro potential
Technical capacity enhanced
� The representatives of the participating municipalities
received training on preparation and implementation of
renewable energy and energy efficiency projects,
September 2001
6

2. Côte d’Ivoire: Strategic Framework for the Development of Transport Infrastructure ($349,000):
this activity was approved on November 2, 2009. At the request of the government of Côte d’Ivoire,
PPIAF is supporting a strategy for the development and maintenance of transport infrastructure, including
mitigation mechanisms against the impact of climate change and options for private sector participation in
future infrastructure investments.
The political crisis in Côte d’Ivoire has significantly derailed the procurement process, which has thus
delayed the launch of the work. The activity was cancelled in August 2011 at the request of the
government of Côte d’Ivoire.
3. Kenya: Due Diligence for the Lake Turkana Wind Project ($294,900): this activity was approved
on November 30, 2011. Following a request from the government of Kenya, the World Bank Group
intends to provide risk guarantees that will enable the realization of the Lake Turkana Wind Power
project, a 300 MW wind power generation facility expected to represent 17% of Kenya’s installed capacity
at completion. This project, expected to be worth over €600 million, is part of Kenya’s Independent Power
Producer program and reflects strong cooperation and synergies between the public and private sectors.
Against this background, PPIAF approved this grant to support the review of project documents and
provision of strategic inputs, as well as support Kenya Power Company in discussions and negotiations of
the Power Purchase Agreement and other relevant project agreements for the Lake Turkana Wind Power
project. Additional support will be provided for an in-depth technical and legal review of the proposed
construction contract and technical solution for the wind resource, the turbine choice, as well as the
building of a transmission line and substations for evacuation of power from the Lake Turkana Wind
Power project.
The expected closing date for this activity is December 31, 2012. PPIAF will monitor results to capture the
actual outcomes and impacts of the activity.
4. Mali: Legal Advisory Services to the Government of Mali for Scatec Solar Project ($49,950):
this activity was approved on November 30, 2011. The government of Mali signed a memorandum of
understanding with Scatec Solar AS (Norway) for the development of the Scatec Solar project as a PPP.
This represents the development, financing, construction, operation, and maintenance of solar
photovoltaic system for a total capacity of 60 MW. The project will be develop by Scatec Solar and
includes a pilot project of 7 MW in Mopti. PPIAF has approved a small-size grant to provide the
government of Mali with the services of a legal advisor who will assist in the review and negotiation of
legal documentation necessary to carry out the PPP project. The Scatec project is the pilot phase for a
further 53 MW clean energy program to be develop in rural areas considered as isolate centers.
The expected closing date for this activity is December 31, 2012. However, there is a high risk that the
activity will be delayed or cancelled due to the political coup that occurred in Mali on March 22, 2012.
III. Looking Ahead
Through the PPIAF Climate Change Non-Core Trust Fund, PPIAF has provided technical assistance to
help African countries use PPPs in efforts to address climate change-related issues by improving the
delivery of infrastructure services in Sub-Saharan Africa.
The pilot project ended in August 2011. Building on the satisfactory implementation of ongoing activities
funded through the Climate Change Non-Core Trust Fund in Sub-Saharan Africa, PPIAF sought
additional funding to expand the climate change program globally. New funding would support innovative
activities that help establish strong institutional and regulatory frameworks that incorporate adaptation and
mitigation measures to attract private sector climate finance in low-carbon and climate-resilient
infrastructure PPPs.
7

In addition to Norway, the Netherlands have also provided funding to support the PPIAF Public-Private
Partnerships and Climate Change initiative. The closing date of the Trust Fund has been extended to
December 31, 2014. In accordance to PPIAF’s 2011–2013 Work Program, funding will be used to provide
technical assistance to help countries develop appropriate policy strategies, action plans, and regulations
that incorporate adaptation and mitigation measures to attract private sector participation in climatefriendly
infrastructure PPPs (i.e., power, transport, water, sanitation, and solid waste, including urban
infrastructure).
8

Africa
Annex 1: Pipeline of Activities Funded Through the PPIAF Climate Change Non-Core Trust Fund
Region Title Major Sector
Africa: Compact Fluorescent Lamp (CFL) Waste
Management
9
Approval
Amount
Approval
Date
Completion
Date
Status
Energy $170,000 28-Apr-09 31-Mar-11 Completed
Africa Africa: Impact of Climate Change in Transport Transportation $261,500 27-May-09 31-Jan-11 Completed
Africa Africa: Lighting Africa Policy issues Energy $350,000 12-Aug-09 30-Jun-11 Completed
Africa
Africa
South Africa: South African Cities Energy Efficient and
Renewable Energy Program
Côte d’Ivoire: Strategic Framework for the Development
of Transport Infrastructure
Energy $400,000 27-Aug-09 30-Jun-11 Completed
Transportation $349,000 2-Nov-09 30-Jun-11 Cancelled
Africa Africa: Capacity Building Seminar on Geothermal Energy Energy $30,000 30-Dec-10 29-Feb-11 Completed
Africa Africa: African Energy Ministers’ Conference Energy $40,000 23-Aug-11 31-Dec-11 Completed
Africa Kenya: Wind Diligence for Lake Turkana Project Energy $294,900 30-Nov-11 31-Dec-12 Ongoing
Africa
Mali: Legal Advisory Services to the government of Mali
for the Scatec Solar Project
Energy $49,950 30-Nov-11 31-Dec-12 Ongoing
Africa Africa: Lighting Africa Expansion Energy $250,000 5-Dec-11 30-Sep-13 Ongoing
Total $2,195,350

Annex 2: Statement of Funding for the PPIAF Climate Change Non-Core Trust Fund
Trust Fund: 71153 - PPIAF Integrating Climate Change Agenda with Public-Private
Partnerships Program – Status as of March 31, 2012
Contribution receipts
Add:
Investment Income
Total Income (A)
Less:
Administration fee 2%
Description
Financial information summary (inception to date)
Disbursements made for the approved, on-going activities
Program Management Unit (PMU) administration expenses
Funds committed and pending to be disbursed to the task teams by PMU for the on-going
activities
Total disbursements (B)
Net fund balance (C) = (A) - (B)
List of approved activities to be created in SAP (D)
Mali: Legal Advisory Support for the Scatec Solar Project
Pipeline (E)
PMU costs - additional funds to be allocated (TF094229)
Fund balance available for new commitments (F) = (C) - (D) - (E)
* PMU Costs:
15% of contribution received to date
End disbursement date 12/31/2014
10
Amount in $
4,028,006
48,997
4,077,003
80,560
1,649,201
604,000
144,900
2,478,661
1,598,342
49,950
201
1,548,191
604,201

Development Impact of Fragility
Report for IFC on Fragile States as of April 2012
1
April 2012
Fragile and conflict-affected states suffer from low economic growth and development, and citizens of
these states lack access to basic services. More than 1.5 billion people live in countries affected by
fragility, violence, and conflict. No low-income fragile state has achieved a single Millennium Development
Goal, and poverty reduction in countries affected by violence is on average nearly a percentage point
lower per year than in countries not affected by violence.
The Infrastructure Challenge in Fragile and Conflict-Affected States
Fragile and conflict-affected states have an urgent need to deliver basic infrastructure services. However,
characterized by the negative impacts of conflict or natural disasters, infrastructure service provision in
these states is often left underfunded, and in many cases, damaged or destroyed. In addition, fragile and
conflict-affected states often have inadequate public revenues and insufficient government capacity to
provide these services.
Opportunities exist to leverage the private sector in the financing and operation of vital infrastructure
assets. Mobilizing private sector financing and expertise can break the cycle of low investment, low
productivity, and resurgent conflict.
Nevertheless, challenges remain in attracting private investors with the risk appetite inherent in working in
fragile and conflict-affected states:
� Higher political and economic risks
� Weak investment climate/enabling environment
� Lack of counterpart agents
� Greater investment needs
� Lower payment capacities on the part of consumers
Laying the Groundwork for Private Sector Participation
Establishing an early track record of attracting private investment and demonstrating good contractual
faith can have a positive demonstration effect on other potential private investors. Creating a solid
enabling environment and investment climate through legal, regulatory, and policy reforms can represent
the first steps on the road to improved infrastructure service provision through private participation.
In post-conflict states, mobile telephony has successfully attracted rapid private sector interest due to the
sector’s short cost recovery period. Investments in other sectors such as power generation and ports
have also taken place relatively soon following the end of conflict. Choosing first projects with the highest
chance of success can create a signaling effect, with the possibility to sequence further activities in other
sectors based on the success of initial projects.
PPIAF-IFC Collaboration in Fragile and Conflict-Affected States
PPIAF and IFC are committed to supporting governments in fragile and conflict-affected states to deliver
basic services to citizens. In June 2010 the IFC provided PPIAF $2 million, 30% of which was targeted
towards IDA-eligible fragile states, with a focus on Sub-Saharan Africa.
PPIAF has used the funds to attempt to address the development issues that plague fragile and conflictaffected
states by supporting an enabling environment for long-term private sector investments in
infrastructure and by funding activities in telecommunications and other sectors with the highest likelihood
of yielding immediate impact. Examples of PPIAF technical assistance include:

� Preparation of a pre-feasibility or feasibility study for a specific project
� Capacity building support to strengthen knowledge and technical capacity on private sector
participation strategies
� Developing of sector strategies and policies related to private participation in infrastructure
� Quick screening of potential projects with private sector investment
� Payment for legal counsel
Results of PPIAF-IFC Support
PPIAF and IFC teams have worked closely together to screen activities and provide funding to those
activities that have the greatest potential for success in the long term. Thus far, this collaboration has
yielded impressive results:
� C3P has signed six mandates directly following support from PPIAF-IFC funds
� One potential mandate is currently at post-quality at entry stage
� One existing mandate used PPIAF-IFC funds to strengthen the mandate’s implementation and
chance of success
� One existing mandate used PPIAF-IFC funds to provide a post-transaction communications plan
� 77% of country-specific activities took place in fragile countries, representing 80% of funding
� 100% of country-specific activities took place in IDA countries, representing 100% of funding
� 56% of activities were managed by C3P staff, representing 64% of funding
An additional benefit of PPIAF support is that funding can be provided in support of C3P mandates, prior
to the signing of such mandates. This can provide C3P with further leverage when negotiating mandates
with clients.
Support has also been provided for World Bank projects, for example:
� In Chad, the government is launching a bidding process to select a private operator for the water
sector under a three-year service contract
� In Liberia, PPIAF support has catalyzed government commitment to launch a PPP program, and
projects are currently being identified for further pre-feasibility analysis
2

Lesotho: Technical Assistance for PPP Policy
PPIAF funding: $74,910
In 2004 PPIAF supported the preparation of a Country Framework
Report in Lesotho, which included an action plan for facilitating private
participation infrastructure. Since then, the government of Leostho
embarked on a series of PPP projects, the largest being the $100
million Lesotho hospital PPP, structured by IFC, which reached financial
close in March 2009. The government was interested in launching a
more systematic PPP program to cover all sectors, and provide greater
autonomy to line ministries to develop PPPs of their own. The
government viewed the development of a PPP policy and guidelines as
a key step to institutionalizing PPPs across government.
PPIAF’s Contribution: PPIAF provided support for an analysis of the legislative and regulatory framework relating to
PPPs in Lesotho and the development of a draft PPP Policy to be used as a basis for promoting PPPs in the country.
The activity fit in parallel with a separate activity to identify and prioritize a PPP pipeline.
Results: The PPP Policy is currently waiting to be approved by Parliament, and a draft PPP Law is also in the
process of being drafted. Following on from the PPIAF activity, IFC C3P has signed three mandates with the
government of Lesotho: 1) ICT and facilities management PPP to connect 165 rural health centers; 2) medical waste;
and 3) wind farm.
PPIAF has provided follow-on support for legal advisory services for the ICT and facilities management PPP, and an
application to support the wind farm through assistance to the Lesotho Electricity Generation Authority is currently
being considered.
The table below lists C3P mandates that have been signed or are at a developed stage of discussion that
have benefitted from PPIAF support using IFC funds. A full list of activities and results can be found in
Annex 1.
PPIAF-Funded Activity Related C3P Mandate Results
Guinea-Bissau: PPP Training Workshop Guinea-Bissau: Support to
Mandate signed
Guinea-Bissau: Preparation of the Strategy Electricidade e Águas de Guinea- 8/4/2011
for Private Sector Participation in the Water
and Electricity Sector
Bissau
Lesotho: PPP Policy Lesotho: Health Centers ICT Mandates signed
Lesotho: Medical Waste
Lesotho: Wind
2/9/2012
Maldives: Solid Waste Management
Maldives: Solid waste Mandate
Communication Program
successfully
closed
Rwanda: Kigali Bulk Water Supply Project— Rwanda: Kigali Bulk Water Mandate signed
Technical Assistance and Capacity Training
10/14/2010
South Asia: Leveraging PPPs for
Bhutan: Urban Transport Mandate signed
Development—Workshops on Building
Awareness and Strengthening Capacity for
PPPs in South Asia
4/27/2011
Timor-Leste: Implementation of PPP
Timor-Leste: Dili Airport Post Quality at
Program
Entry
West Bank & Gaza: Southern West Bank West Bank & Gaza: West Bank Solid Mandate signed
Solid Waste Management Project
Waste Management
12/19/2011
3

Annex 1
The table below lists the activities approved using IFC funds since July 2010. IFC funds are 100%
committed. We are monitoring ongoing activities to ensure they are implemented as intended and deliver
results.
Title Description of Activity Status of Activity
Afghanistan:
Assessment of
Constraints to
Increased Private
Participation in
Infrastructure
Chad: Support to
Private Sector
Participation in
the Water Sector
Guinea-Bissau:
PPP Training
Workshop
This PPIAF grant is supporting a complete diagnostic
of the PPP enabling environment in Afghanistan. It
will lay the ground work for the future development of
a business plan for the PPP cell to be established in
the Ministry of Finance and the requisite guidelines
and procedures for the cell.
Analyze options for private sector participation in
Chad's water sector.
PPIAF funding is supporting: 1) an analysis of the
sector legal framework; 2) a review Societé
Tchadienne des Eaux (STE)'s current performance;
3) an analysis of the potential participation of the
private sector in the delivery of potable water
services; and 4) an assessment of STE's financial
situation.
The PPP workshop is designed to strengthen the
institutional capacity of Guinée-Bissau’s state-owned
electricity and water utility (EAGB) as well as that of
key stakeholders and government officials
responsible for other sectors with strong PPP
potential.
The workshop will be a learning platform for
government officials and other stakeholders to share
best practices and emerging lessons regarding the
design, implementation, and monitoring of PPPs. The
main beneficiaries of the workshop will be the newlyformed
EAGB PPP Commission, officials from the
Ministry of Energy, and the Ministry of the Economy,
Planning and Regional Integration. It will have the
dual objective of strengthening the capacity of those
officials that will be engaging in preparing and
launching the transaction for a PPP in EAGB, and will
open the discussion to the participation of the private
sector in several other sectors that are of direct
interest for the country.
4
This work is ongoing in close
collaboration with C3P.
Following the PPIAF activity
the government adopted the
PPP strategy including the
recruitment of a private
operator under a 3-year
Service Contract. In June
2011 the World Bank
approved a $27 million
Additional Financing to
support this strategy. The
bidding process for
recruitment of the private
operator is expected to be
launched in April 2012.
The workshop took place in
Bissau from November 7- 11,
2011, attended by around 50
participants. A diverse roster
of speakers contributed to
strengthening the capacity of
government officials working
on the EAGB PPP project as
well as stakeholders in other
sectors.
The training provided an
opportunity for a robust
dialogue on infrastructure
PPPs in general, and the
EAGB PPP project in
particular, which is currently
under preparation, also with
PPIAF support.
Amount
Requested/
Actual
Fragile
$71,250 Yes
$189,730 Yes
49,963 Yes

Guinea-Bissau:
Preparation of
the Strategy for
Private Sector
Participation in
the Water and
Electricity Sector
Guinea: PPP
Training
Workshop
Lesotho: PPP
Policy
Liberia:
Assessment of
PPP Pipeline and
Enabling
Environment
The overall objective of the activity is to successfully
select a private operator for electricity and water
supply/distribution in Bissau. Success will be
measured by a government of Guinea-Bissau
decision to implement the Phase I recommendations
to introduce private sector participation in EAGB. The
PPIAF grant will permit the government to focus on
addressing the technical, legal, institutional, financial
as well as other issues necessary to make an
informed decision as to how to improve the
performance and impact of EAGB through a private
sector participation arrangement. DevCo funds will
also be used during Phase I to defray the IFC costs
associated with this activity. Phase 2 costs will be
largely funded by DevCo. The objective of this phase
is to successfully tender and select a private operator
for EAGB.
The government requested PPIAF funding to support
a three-day PPP training workshop as a learning
platform for approximately 50 key stakeholders to
share best practices and emerging lessons regarding
the design, implementation and monitoring of PPPs,
focused on sectors that are directly relevant to
Guinea.
The government requested PPIAF assistance in
developing a PPP policy for Lesotho. PPIAF funding
would support: 1) an analysis of the legislative and
regulatory environment in Lesotho as relevant to
PPPs; 2) the identification of a PPP pipeline; and 3) a
draft PPP policy and recommendations for next steps.
The objective is to develop a comprehensive, clearly
articulated PPP policy that allows the government to
embark on PPPs in all sectors in a more systematic
manner and provides greater autonomy to line
ministries and other government entities to embark on
PPPs on their own.
The government of Liberia has recently embarked on
a ―national visioning‖ exercise that aims for Liberia to
achieve middle-income status by 2030 through
economic diversification, infrastructure improvement,
and good governance. In particular, the government
of Liberia has recognized the need to leverage private
sector investment in priority sectors of the economy
to accelerate growth. The government of Liberia
requested PPIAF assistance to perform a rapid
scoping of the PPP pipeline and the PPP enabling
environment. This work will facilitate the government
to structure a PPP engagement program that seeks
to address critical policy, institutional, and legal
weaknesses that deter private sector investment and
also put in place proper institutional and project
development services to guide PPP transactions to
market according to best practices.
5
The activity is progressing
well. The call for elections
after the death of the
President slowed progress
slightly, but commitment of
the relevant ministries to the
project remains strong.
The following has already
been achieved:
- completed a 3-day PPP
seminar (see above)
- organized three stakeholder
events (donors' roundtable
and separate workshops for
EAGB and private sector
stakeholders)
- completed the due diligence
of EAGB.
- completed communications
plan
The workshop is due to take
place in Conakry on May 16-
17, 2012 under the auspices
of the Ministry of Finance.
The training will focus on
electricity, telecoms, and
transport (including mining).
PPP Policy is pending
cabinet approval.
Following on from this
activity, C3P has recently
signed three mandates with
the government of Lesotho.
PPIAF has provided
additional funding to retain a
legal consultant for the health
centers ICT project.
Further PPIAF support to the
wind mandate and PPP
legislation is also planned.
This activity identified a
selection of PPP projects with
strong support from the
government. The work was
completed under close
collaboration with C3P.
Additional PPIAF support is
planned to fund pre-feasibility
work on one of the projects
identified in the pipeline
screening.
$439,850 Yes
$57,763 Yes
$71,900
(actual)
$71,557
(actual)
No
Yes

Maldives: Solid
Waste
Management
Communication
Program
Middle East and
North Africa:
Training Course
on PPPs in the
Water Sector
Rwanda: Kigali
Bulk Water
Supply Project—
Technical
Assistance and
Capacity Training
The government of Maldives wants to explore private
sector participation in scientific management of the
waste disposal site on Thilafushi Island and in
developing and implementing an integrated waste
management system, which will include collection,
transfer, processing, and disposal of waste. The
government sought support to assist them in
developing and implementing a communication plan
to ensure that all key stakeholders, opinion makers,
customers (including resorts), and the public as a
whole have access to clear, accurate, and
comprehensive information about the project and are
appropriately consulted on major aspects of the
project. These tasks should contribute to a systematic
effort at change management at the Waste
Management Corporation and with project
stakeholders overall, in order to address the
sensitivities normally associated with a PPP process.
The overall objective of the communication and public
relations program will be to increase awareness,
improve knowledge, understand stakeholder
concerns so that these could be addressed, and
strive for broad-based support for the project.
The workshop is designed to build awareness and
train key government officials from the water
ministries of Iraq, Jordan, and the West Bank & Gaza
on PPP options in the delivery of water services. It is
expected that the training will be attended 15–20
participants. The training workshop will be a learning
platform to provide a basic understanding, build
capacity, and share best practices and emerging
lessons regarding the design, implementation, and
monitoring of PPPs in the water sector.
The objective of this PPIAF activity is to support the
key stakeholders in strengthening their ability to
oversee and implement the PPP transaction currently
being structured by IFC. This will be implemented in
through three main components:
1) Institutional Support Component: to assist the
Energy, Water and Sanitation Authority (EWSA) in
identifying the most appropriate organizational
structure and developing the capacity of the
organization.
2) Technical Support Component: to assist EWSA
with the first steps to developing a long-term master
plan and to strengthen their monitoring and
management capacity to accommodate growth in
water supplied and increase operational capacity and
efficiency.
3) Training: to provide appropriate targeted training
on PPP for key stakeholders
6
This activity provided posttransaction
related support
for a successful C3P
mandate.
Workshop successfully
completed.
The consultants have been
selected, and work begins in
mid-March 2012 for the
EWSA institutional support
and EWSA technical
monitoring. The technical
assistance and capacity
building is in support of the
Kigali Bulk Water Supply
Project being structured by
C3P.
$50,000 No
$50,000 N/A
$207,700 No

South Asia:
Leveraging PPPs
for Development
– Workshops on
Building
Awareness and
Strengthening
Capacity for
PPPs in South
Asia
South Asia:
Urban Water and
Sanitation
Transformation
South Sudan:
Diagnostic of
Power
Distribution
System
The project is a series of PPP awareness building
workshops to be held in Bhutan, Nepal, Sri Lanka,
and Bangladesh. Developed through a consultative
process between IFC and key government officials in
each of the proposed countries, the PPP workshops
are designed to address the needs of national
governments and policymakers, as well as other key
stakeholders, to better understand the fundamentals
of PPPs and sector-specific issues.
This PPIAF support shall be utilized to encourage
governments to think through PPP options for
strategy infrastructure development and to explore
PPP opportunities to expand IFC’s engagement with
the rest of the region in South Asia. Extending the
seminar series to Indian low-income states is also
being discussed.
The objective of this consultancy is to support the
Bank team in identifying and assessing various PPP
models that could be used in urban water and
sanitation services projects in South Asia to achieve
the goal of delivering sustainable 24/7 water supply
and improved sanitation to current service areas
within a five to six year project period. The
assignment will be split into three phases: 1)
characterize the typical situations to be found in
urban water and sanitation service delivery in South
Asia and hence identify the specific challenges that
are to be faced in developing PPP models to deliver
the above service delivery goal; 2) review national
and international experience in PPPs to identify
possible strengths and weaknesses in meeting the
service delivery goal, and to draw on those reviews
and the consultant’s experience to develop models
that may be appropriate for the South Asia setting;
and 3) carry out a ―market sounding‖ exercise with
potential private sector operators, local urban water
utilities and other government stakeholders to get
their feedback on the PPP options identified in the
second phase.
The Norwegian government has been in discussions
with the government to construct a 30MW hydro plant
at Fula Rapids. Feasibility work has begun, but the
Norwegians have expressed concern about credible
off-take given the current state of the South Sudan
Electricity Corporation (SSEC), the state-owned utility
responsible for power distribution in Juba, Wau, and
Malakal. Based on their experience with IFC in
Liberia, the Norwegians approached IFC to address
the distribution system and structure a management
contract to increase the efficiency of SSEC and
provide a credible off-taker for Fula. In light of this,
IFC engaged in discussions with the government to
provide transaction advice to select an operator to
manage SSEC under a management contract.
It was decided that IFC would first carry out a
diagnostic study, to be funded by PPIAF, to
determine the investment and energy requirements to
upgrade/rehabilitate the power distribution system in
Juba. This diagnostic would then serve as a basis for
the government to search for donor funds to
subsidize the capital and operating costs of such a
project. After this, IFC could then provide transaction
advice to help the government identify and select a
private sector partner to operate SSEC under a
management contract.
7
Following from the
workshops, C3P signed a
mandate to support urban
transport in Bhutan.
$74,300 N/A
Activity is ongoing. 135,000 N/A
The activity was approved
recently, and procurement
has now been completed.
The consultants are expected
to commence on the ground
in late April 2012.
$75,000 Yes

Timor-Leste:
Implementation
of PPP Program
Togo:
Development of
a New
Telecommunications
Sector
Policy and
Strategy
West Bank &
Gaza: Southern
West Bank Solid
Waste
Management
Project
Greater private participation, in particular in
infrastructure, is a strategic priority for IFC in Timor-
Leste and in the Pacific. The government of Timor-
Leste is looking to develop key infrastructure and
believes that PPPs may be one way to do so.
However, it is at a very early stage in terms of its
understanding and capacity. The Asian Development
Bank is helping to develop the policy and regulatory
framework for PPPs. The government of Timor-Leste
has asked IFC to assess 22 potential PPP projects,
which include ports, airports, roads, power
generation, water and sanitation, health,
telecommunications, and other areas. Information is
scarce, and it is not clear how many projects may be
financially viable as PPPs. Nevertheless the
government is keen to find practical ways to move
ahead—it is not interested in conducting drawn-out
studies or producing lengthy reports. The overall
objective is therefore to support the government of
Timor-Leste to launch its PPP program and
implement pilot transactions.
To develop a new policy and strategy for the further
liberalization of the telecommunications sector of
Togo.
PPIAF funding would support: 1) technical advisory
services to the Ministry of Posts and
Telecommunications; 2) implementation support in
follow-up projects; 3) drafting a telecommunications
sector policy statement; and 4) development of
related legal instruments.
Due to political and economic instability in the West
Bank & Gaza, the people of the West Bank & Gaza
have suffered years of inadequate infrastructure
investment and poor provision of public services. In
particular, the provision of solid waste management
(―SWM‖) services represents a concern, as
unsanitary waste disposal practices present a serious
public health threat and environmental hazard.
IFC C3P has been solicited to ensure efficient and
appropriate operations and maintenance of a donorfunded
landfill, and will support the Joint Services
Council for Hebron & Bethlehem in attracting private
sector participation for the operation and
maintenance of a SWM project for the Southern West
Bank. PPIAF support is funding the services of a legal
consultant.
8
PPIAF will provide follow-up
support for transaction
advisory costs if C3P is able
to secure a mandate for Dili
Airport, one of the projects
prioritized during the pipeline
screening.
A first report, the draft of the
sector assessment market
analysis, has been prepared
and submitted to the
government for comments.
This activity is supporting the
C3P solid waste mandate in
the West Bank. Procurement
of consultants completed,
and work is now underway.
$74,750 Yes
$130,000 Yes
$199,975 Yes
Total 1,970,561