Arhatabiotechcpp
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This document discusses Community Private Partnerships (CPP), which involve communities and private entities collaborating on local infrastructure projects. CPPs operate on principles of local empowerment, participation, and accountability. They benefit communities by effectively targeting problems, putting resources under local control, and including vulnerable groups. CPPs are more efficient and reduce corruption compared to public-private partnerships by being demand-driven and involving communities in implementation. The document outlines the roles that local governments, NGOs, entrepreneurs, and various stakeholders play in CPPs. It also discusses potential project types, financing sources, and financial structures for CPP initiatives.
Arhatabiotechcpp
- 1. Community Private Partnership COMMUNITY BASED SUSTAINABLE ENTREPRENEURSHIP DEVELOPMENT
- 2. What is CPP? CPP or Community Private Partnership Community level with BOT solutions for urban forestry, lake& pond restoration and land restoration.
- 3. Stakeholders of CPP Community Service Providers People affected by the current state of Infrastructure People gaining from the implementation of development project NGOs Local Government
- 4. Principles of CPP CPP programs operate on the principles of local empowerment, participatory governance demand-responsiveness administrative autonomy greater downward accountability enhanced local capacity
- 5. Benefits of CPP The benefits of a CPP approach accrue mainly under three areas Equity and Inclusiveness Efficiency Capacity Building at Community Level Availability of best technical expertise
- 6. Benefits of CPP Equity and Inclusiveness Effective targeting of right kind of problems Putting resources in direct control of people Inclusion of vulnerable and excluded groups like women, disabled, low caste and minorities Allowing poverty reduction measures to go to scale Efficiency Demand responsive allocation of resources through local participation Better quality and maintenance of physical assets and common property resources Reducing corruption and misuse of resources Lower costs and better cost-recovery Greater utilization and willingness to pay Capacity building at community level • Availability of best technical expertise
- 7. When should one use a CPP Approac Using a CPP approach is warranted in cases of community does not yet have the necessary skills to be actively involved in a business where the investment amount is large where government funding is in short supply Where local institutional support is insufficient where local institutions are absent or non-existent.
- 8. CPP Design Elements There are five defining characteristics of CPP projects: A focus on communities and/or community groups (rather than individuals); A participatory planning process, including inclusive consultations with members of the community; Resources channelled directly to the community, although they may come through a sectoral ministry or local government agency; The community itself is directly involved in project implementation by creation of employment opportunities for members of the community; and The community itself can see the progress of implementation.
- 9. Why CPP & not PPP? Drawbacks of PPP Corruption and misuse of resources High cost as the Private Developer keeps a high margin on its investments Lack of transparency Local community’s problems are overlooked and are not resolved in most of the cases No involvement of local community in implementation of the projects No or negligible capacity building in the local community
- 10. Why CPP & not PPP? Advantages of CPP CPPs are driven by communities and more towards issues at community level CPPs causes huge savings over PPPs Cost of service decreases with time Costs are significantly lower due to non-profit motive Utilization of existing resources E.g. land, water etc. CPP ensures higher accountability than PPP due to involvement of communities
- 11. Role of Local Govt. Facilitating project execution activities Providing clearances. E.g. land, water, power etc. Providing guarantees for any contracts, debt for the purpose of project development Providing capital subsidies to the community where the projects are not viable through Local Area Development Funds Allocation of funds available with Block Development Officers (BDOs) Allocation of funds available with Gram Panchayats
- 12. Role of NGOs Project Identification Coordination with the community Equity infusion in the projects from the grants available to them Increasing awareness about CPP and its benefits to the community Involvement during the implementation of the projects Getting the necessary funds allocated for projects from the Local, Central Governments Getting the companies to fund these projects under their CSR schemes.
- 13. Role of entrepreneur in CPP 13 Advise feasibility of project Feasibility studies Project reports Liaison with stakeholders Local government and authorities Project investors Technical consultancy on design, technology provided by AFII together with its Patrons which include some of Europe's largest Infra Engineering Companies, BOT Contractors and also some of the large and mid-cap Indian Construction Companies Project Management services Capital, Coordination Support and Capabilities for development of Regional and Local Infrastructure Financial Advisory Advising on suitable financial structures Advising on making projects fundable/bankable Assistance in financial closure AFII Corporate Advisors Pte Ltd., 2013
- 14. Types of Projects that can be address Drinking Water Supply Community Roads Slum Redevelopment Estate Redevelopment Hospitals(waste disposal) Schools(forestry , plantation) Solid Waste Management Waste Water Treatment Project ECO Centres
- 15. Way to green future AFII Corporate Advisors Pte Ltd., 2013
- 16. Financing CPP initiatives 18 Typical costs in projects Sources for financing the projects Options for sustenance model Options for financial structure AFII Corporate Advisors Pte Ltd., 2013
- 17. Sources of financing Private Entrepreneurs Community pooled Ranges from nil to a few million rupees Individual donors Ranges from hundred to few thousand rupees Infrequent donations Multilateral/Bilateral organizations Asian Development Bank, World Bank Non-sustained funding for short durations AFII Corporate Advisors Pte Ltd., 2013
- 18. Sources of financing PSU organizations CSR fund of each organization at 2% of net profit Underutilized with Navratna (25%) and Maharatna (49%) Microfinance institutions Local Area development funds MP: Rs. 5 crore MLA: Rs. 3-4 crore BDO: Rs. 2-3 lakh Highly underutilized at 50% AFII Corporate Advisors Pte Ltd., 2013
- 19. Possible sustenance models Revenue mechanism Annuity based Usage based Valorization Land resources. E.g, construction of plants, facilities Natural resources E.g. water Existing buildings E.g. schools, community centers AFII Corporate Advisors Pte Ltd., 2013
- 20. Entrepreneurs: Emerging source of finance Creates an efficient organization Ensures project execution and completion with time and quality Structures a sustainable revenue model Innovative financial structures can be made Progress linked equity contribution from community Payment from community at the end of project AFII Corporate Advisors Pte Ltd., 2013
- 21. Options for financial structures Technical Collaboration Joint Venture for Project Implementation AFII Corporate Advisors Pte Ltd., 2013
- 22. Or Call us at +91 99100 90193 Thank You Contact: email:director@arhatabiotech.in call us: +91 9599354511 website: www.arhatabiotech.in