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European PPP Center

PPP Opportunities in Bulgaria

The topic of PPP is not new to Bulgaria. There are already smaller projects in place on municipal levels. The Ministry of Finance has developed a document called “PPP Initiative”, which is a framework for PPP development in the country.

There are the following projects in the pipeline to be implemented by the line ministries:
• Motorway concessions – estimated investments 2.4 billion EUR
• Port concessions – estimated investments 97.4 million EUR
• Airport concessions – estimated investments 38.3 million EUR
• Railway station concessions – estimated investments 17.9 million EUR
• Inter-modal terminal concessions - estimated investments 25.6 million EUR

The main projects in the road section should be the construction of “Struma” motorway, where the ministry is currently exploring the possibility of blending PPP and EU financing.

Source: European PPP Center

1st Czech Road PPP

After long debates the first Road PPP Project is to become reality in the Czech Republic. A 30.5 km long section between Tabor and Bosilec from the total length of 171.4 km of the D3 Motorway is to be constructed in a PPP scheme.

The Ministry of Transport assigned an advisory team comprised of Mott MacDonald, ING Bank and Ashurst for selecting the construction company until June 2006 for the 530 million EUR worth PPP section. The concession procedure is expected to take place between July 2007 and June 2008, whereas the implementation phase is scheduled between July 2008 and June 2010.

The cost of construction per kilometer is expected to increase because of environmental aspects and the involvement of the Green Party in the Czech government. The Ministry of Transport is evaluating the introduction of a combined toll collection system. Electronic toll collection would remain for trucks and satellite toll collection would be introduced for personal vehicles.

More information about the project can be found on the website PPP Centrum Czech Republic.

Source: European PPP Center

Institutional PPPs

Public-Private Partnerships established for the construction and/or operation of public works with the participation of mixed capital entities are referred to as Institutional PPPs or IPPPs.

The European Federation of Engineering Consultancy Associations (EFCA) published a position paper in December 2006 on IPPPs, in which EFCA expresses a clear concern about the “lack of clarity on the legal background for the set-up of IPPPs”.  Further in the paper, EFCA proposes clear provisions that a detailed guidance provided by the European Commission should include.

To read the complete position paper, please refer to EFCA's website. 

Source: European PPP Center

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