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Ppp

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this is alla bout our betterment of future the government and private individuals come together for the betterment of india

this is alla bout our betterment of future the government and private individuals come together for the betterment of india

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  • 1. Presented By: Kumar satyam A0102107041
  • 2. Introduction <ul><li>The biggest bottleneck for India’s future growth is its tottering roads, airports, ports and power generation. </li></ul><ul><li>Public Private Partnership (PPP) is a system in which a project or business venture is funded and operated through a partnership of government and one or more private sector companies. </li></ul><ul><li>US$ 480 billion (Next 5 Years) </li></ul><ul><li>Current Spending – 3.5% of total GDP </li></ul><ul><li>In 2010 Estimated – 3.8% of total GDP </li></ul>
  • 3. Introduction <ul><li>As the government resources are limited, the PPP arrangement allows the government to consider and undertake otherwise unaffordable projects. </li></ul><ul><li>The projects are assigned by the government to private parties on </li></ul><ul><li>Build-Own-Operate & Transfer (BOOT) </li></ul><ul><li>Build-OperateTransfer (BOT) </li></ul><ul><li>Build-Operate Lease Transfer (BOLT) </li></ul>
  • 4.  
  • 5. Objectives <ul><li>The potential of the PPP model for meeting the investment challenge in an efficient, cost-effective way </li></ul><ul><li>To See the progress of India’s infrastructure through the PPP model. </li></ul><ul><li>To appreciate the opportunities for private sector in bringing about desirable changes through participation in public endeavors . </li></ul><ul><li>The benefits of PPPs as well as the main difficulties facing the public and private sectors are explored. </li></ul><ul><li>Enhancing the understanding of PPP in its dimensions in different sectors. </li></ul>
  • 6. Problem Statement <ul><li>The first problem that is been identified is the urban areas are not developed despite they are the major contributor to the growth of India. </li></ul><ul><li>The Next problem been identified is the co-ordination between the private and public sector when they are given the task to build infrastructure. </li></ul><ul><li>Other main problem is that responsibilities are given to those people that are not sufficient and thus it takes time to done the project. </li></ul>
  • 7. Existing Scenario <ul><li>Most towns and cities are growing… Like this! </li></ul>
  • 8. PPP Approach <ul><li>Goal: Attract private investments for infrastructure projects. </li></ul><ul><li>Need: Lack of Budgetary Resources </li></ul><ul><li>Need to improve efficiency in service delivery. </li></ul><ul><li>PPP approach: </li></ul><ul><li>Private Sector contribution for: </li></ul><ul><ul><li>Financial investments </li></ul></ul><ul><ul><li>Best Management practices </li></ul></ul><ul><ul><li>Efficiency in service delivery </li></ul></ul><ul><ul><li>Efficient use of capital resources </li></ul></ul><ul><li>Public Sector contribution limited to: </li></ul><ul><li>Providing institutional commitment to project </li></ul><ul><ul><li>Project Development & Selection of Developer </li></ul></ul><ul><ul><li>Viability gap funding (VGF), if any </li></ul></ul>
  • 9. Project Development Process <ul><li>PROJECT DEVELOPMENT </li></ul><ul><ul><li>Techno-Economic & Market Assessment </li></ul></ul><ul><ul><li>Legal Documentation </li></ul></ul><ul><ul><li>Policy amendments and notification </li></ul></ul><ul><ul><li>Contractual and Institutional Framework </li></ul></ul><ul><li>DEVELOPER SEARCH </li></ul><ul><ul><li>Expression of Interest </li></ul></ul><ul><ul><li>Request for Proposal (RFP) </li></ul></ul><ul><ul><li>Pre-Bid Conferences </li></ul></ul><ul><ul><li>Proposal Evaluation </li></ul></ul><ul><ul><li>Finalisation of Developer </li></ul></ul><ul><ul><li>Finalisation of Agreements </li></ul></ul><ul><li>MARKETING & COMMUNICATION </li></ul><ul><ul><li>One-to-one meetings </li></ul></ul><ul><ul><li>Direct Mailers </li></ul></ul><ul><ul><li>Media release </li></ul></ul><ul><ul><li>Road Shows </li></ul></ul><ul><ul><li>Investor’s Conferences </li></ul></ul><ul><ul><li>Facilitating Consortia formation </li></ul></ul>
  • 10. A PPP is not a transfer of responsibility: <ul><li>A PPP project DOES NOT Mean that the Government has little or no onus. </li></ul><ul><li>It’s objective has to be synergy between the private & public sectors </li></ul><ul><ul><li>Areas such as land acquisition, clearances, utilities, etc., can still be best done only by the Government. </li></ul></ul><ul><ul><li>Then why PPP? </li></ul></ul><ul><li>Demand – Supply gap - Constraints in financing through budgetary/ other government sources </li></ul><ul><li>Innovation in designs, project management and implementation of projects </li></ul><ul><li>Long-term operations and maintenance of assets </li></ul><ul><li>Focus on service to users – not just asset creation </li></ul>
  • 11. Findings <ul><li>90% of the urban population has access to potable water supply.(5-6 Hrs.) </li></ul><ul><li>Over 40% of India’s population, mostly rural, does not have access to electricity. </li></ul><ul><li>Demand and supply gap. </li></ul><ul><li>Roads & bridges are the main focus area for government. </li></ul><ul><li>As per the questionnaire analysis findings were that people find government firms more accountable but they are more corrupt then the private firms. </li></ul>
  • 12. Suggestions <ul><li>Government or a statutory entity should make the proposal and not the private party . </li></ul><ul><li>Transparent and competitive bidding process. </li></ul><ul><li>It is often better to reach financial close on a good deal rather than endlessly delay a project for the sake of a best deal. </li></ul><ul><li>Increase the private sector participation </li></ul>
  • 13. Learning <ul><li>Clarifying the objectives </li></ul><ul><li>Detailed policy for implementing PPP projects is required . </li></ul><ul><li>Risks (who is better). </li></ul><ul><li>Provides adequate protection for lenders </li></ul>

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