The proposed TA will provide capacity development to the government's overall effort to support increased private sector investment in infrastructure and related services through public-private partnerships (PPP). It will help support the government in establishing and operating a PPP center and a project development facility (PDF) to prepare properly structured PPP arrangements. It will also support the government in implementing a community service obligations (CSO) framework, allowing the private sector to compete for CSO contracts.
|Project Name||Facilitating Public-Private Partnerships|
|Country||Papua New Guinea
|Project Type / Modality of Assistance||Technical Assistance
|Source of Funding / Amount||
|Strategic Agendas||Inclusive economic growth
|Drivers of Change||Governance and capacity development
Private sector development
|Sector / Subsector||
Public sector management - Economic affairs management
|Gender Equity and Mainstreaming||No gender elements|
|Description||The proposed TA will provide capacity development to the government's overall effort to support increased private sector investment in infrastructure and related services through public-private partnerships (PPP). It will help support the government in establishing and operating a PPP center and a project development facility (PDF) to prepare properly structured PPP arrangements. It will also support the government in implementing a community service obligations (CSO) framework, allowing the private sector to compete for CSO contracts.|
|Project Rationale and Linkage to Country/Regional Strategy||Increased private investment in the provision of infrastructure services, through direct means as well as PPPs, is an integral part of the Government's PNG Development Strategic Plan 2010-2030 and Medium Term Development Strategy 2011-2016. It is also a central feature of the approach to supporting private sector development in ADB's PNG Country Partnership Strategy (CPS) 2011 -2015.|
|Impact||Increased private sector investment in infrastructure services|
|Description of Outcome||Improved capacity of the government to prepare and transact PPPs|
|Progress Toward Outcome||The TA has four interrelated components: (i) support for the PPP center in preparing a first set of pilot PPP transactions and establishing momentum and credibility in the PPP program; (ii) support for the development of financing mechanisms for PPP project preparation, through a PDF; (iii) support for the development of mechanisms to secure long-term funding for the implementation of PPPs; and (iv) support for a CSO framework for PNG, allowing the private sector to compete for CSO contracts, and freeing up SOEs to adopt commercial practices, making them more viable partners for the private sector in future PPP transactions.|
|Description of Project Outputs||
The PPP center is operational and executing its mandate.
Project development facility (PDF) operational.
Mechanism for longterm financing of PPP projects is agreed by the government.
New community service obligation (CSO) framework established and piloted in selected state-owned enterprises (SOEs).
|Status of Implementation Progress (Outputs, Activities, and Issues)||
The PPP pre-feasibility assessments of the Jackson's and Nadzab Airports were presented to the new National Airport Corporation management team in November 2013, which requested a follow-on presentation to their Steering Committee. This Committee will make the financing decisions for the development of both airports.
It is also expected that TA support will be required to further develop PPP options for the new Lae Port. A PPP options report was delivered by ADB in March 2014, and pending endorsement by the Government, it is expected that a more detailed PPP feasibility assessment will be commissioned.
The PPP Act was endorsed by the Parliament in September 2014. To implement the Act, further work is now required in four core areas: (i) establishment of the PPP Centre and the installation of a PPP process, (ii) PPP advocacy and identifying PPP opportunities within the infrastructure investment pipeline, (iii) supporting sponsoring agencies in developing PPP project opportunities and (iv) developing financing mechanisms for PPP project preparation.
The TA's physical completion date is 31 Dec 2015. Consultants' final claims are being processed, and the TCR is being prepared for approval in Q2 2016.
|Geographical Location||Papua New Guinea|
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design||The TA has been designed in close consultation with the Department of Treasury and key stakeholders, including the Department of National Planning and Monitoring, the Ministry of Public Enterprises, and development partners.|
|During Project Implementation||The TA is being implemented by ADB in coordination with the Department of Treasury, which is the implementing agency. The Department of Treasury will play an important role in establishing the PPP center and PDF and will serve as a co-chair of the CSO working group. In line with government processes, the executing agency for the TA will be the Department of National Planning and Monitoring.|
|Consulting Services||It is estimated that the TA as a whole will require a total of 19.5 person-months of international consultant time and 10 person-months of national consultant time.|
|Responsible ADB Officer||Everett, Hayden B.|
|Responsible ADB Department||Pacific Department|
|Responsible ADB Division||Pacific Liaison and Coordination Office in Sydney, Australia|
|Concept Clearance||05 May 2010|
|Fact Finding||20 May 2010 to 21 May 2010|
|Approval||23 Feb 2011|
|Last Review Mission||-|
|PDS Creation Date||22 Apr 2010|
|Last PDS Update||31 Mar 2016|
|Approval||Signing Date||Effectivity Date||Closing|
|23 Feb 2011||04 Apr 2011||04 Apr 2011||30 Apr 2013||31 Dec 2015||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|0.00||800,000.00||800,000.00||0.00||0.00||0.00||1,600,000.00||23 Feb 2011||431,968.41|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
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|Title||Document Type||Document Date|
|Facilitating Public-Private Partnerships: Technical Assistance Completion Report||TA Completion Reports||May 2016|
|Facilitating Public-Private Partnerships||Technical Assistance Reports||Feb 2011|
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
None currently available.
Evaluation Documents See also: Independent Evaluation
None currently available.
None currently available.
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
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