Report on Three Potential PPP Water Projects in the Ministry of Public Works - BPP SPAM
The reaction by bilateral and multilateral agencies, the private sector and the Government of Indonesia to the Infrastructure Summit was an important step toward developing transactions that can assist infrastructure development throughout Indonesi...
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Format: | Policy Note |
Language: | English en_US |
Published: |
Washington, DC
2013
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2012/01/16403921/report-three-potential-ppp-water-projects-ministry-public-works-bpp-spam http://hdl.handle.net/10986/12961 |
Summary: | The reaction by bilateral and
multilateral agencies, the private sector and the Government
of Indonesia to the Infrastructure Summit was an important
step toward developing transactions that can assist
infrastructure development throughout Indonesia. However,
the commitments made by Government to these agencies and the
private sector has not yet come to fruition. Many of the
projects selected and advertised during the Summit required
significant inputs to be attractive to private sector. In
addition, certain key provisions required to ensure mature,
well-defined and bankable transactions were often missing.
A meeting between the Minister of Public Works and a World
Bank delegation recently concluded that Water Supply
projects are now in a position to be tendered with the
expected issuance of water extraction licenses and a further
examination of water supply have shown that some of the
projects can proceed.The overall objective of the Review of
Water Project Tender Documents is to ensure that from the
list of projects noted above the most likely project is
chosen for further analysis. This future analysis will
include an update of previously prepared Tender Documents
and a complete Request for Proposal that the private sector
can bid on and lenders will find bankable. The current
analysis will look closely at objective issues such as the
demand for water within the relative municipalities,
subjective issues such as concerns over raw water extraction
licenses and local government security and at Sovereign
issues that affect project bankability. |
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