Note: This programme is a 2-day practical workshop for candidates taking the ISCA Infrastructure & Project Finance Qualification (ISCA IPFQ). This programme is also open to participants who are interested in attending the workshop-only programme to meet their training needs. Do note that participants who registered for this programme are not eligible for the ISCA IPFQ after completion of the workshop. Should you be interested to pursue the ISCA IPFQ instead, please click here to find out more.

 

Programme Objective

To equip participants with the knowledge to understand the basic structure of a Public-Private Partnership (PPP) contract and the key commercial principles involved in designing PPP contracts.

Programme Outline

Topic 5: PPP Contracts

• Introduction to PPP
  • Stakeholders involved
  • Obligations of the different stakeholders
  • Contractual relationship between the stakeholders (e.g., EPC, O&M, sponsor, financiers, etc.)
  • Payment flows
  • Different types of PPP arrangement

•  Commercial principles
  • Design
    • Scope of the private party and government
    • Design process and review
  • Construction and completion
    • Scope of the private party and government
    • Independent engineer
    • Final completion
    • Consequences of delay
  • Payment regime
    • Objectives of PPP payments
    • Availability payments
    • KPIs
    • Availability payment deductions
  • Scope variation
    • Types of variations
    • Pre-agreed variations
  • Intervening and changing events
    • Relief events
    • Compensation events
    • Change in law
    • Force majeure
  • Net financial impact
    • Triggers for net financial impact events
    • Calculation of net financial impact
  • Default and termination
    • Triggers for termination
    • Termination process
    • Calculation of estimated fair value
    • Termination payments
    • Equity valuation under government event of default

• The contract development and management process
  • PPP contract design process
  • Roles of advisors in designing PPP contracts
  • Contract management process

Topic 6: Project Value and Modelling

• Value for money
  • Definition
  • Value
  • Cost
  • Application
  • VFM frameworks

• Basic Excel knowledge
  • Excel functionality and tools
  • Excel functions
  • Present graphical output

• General financial modelling
  • Forecasting
  • Financial statements
  • Three-statement modelling
  • Modular model development

• Project finance issues
  • Model a basic financing structure
  • Reserve accounts and financial ratios
  • Model solvers—rationale, types, application and common errors

Training Methodology

Workshop with group discussions.
 
Closing Date for Registration

2 weeks before programme commencement or until full enrolment

Intended For

Individuals or existing infrastructure and project finance professionals who wish to gain a better understanding of infrastructure and project finance, including PPP contracts, project value and financial modelling.

Programme Facilitator(s)