Negotiate a PPP Deal – A Tailored Course Offering

Negotiate a PPP Deal – A Tailored Course Offering Course Content

Government departments responsible for negotiating deals with the private sector need transaction skills. They require the underlying knowledge to determine the best structure for the people they serve. Private sector participants need to understand their risks and those of the Government to ensure a fair and reasonable partnership.

This PPP course is not theory based. It is an application of real world skills required to transact. For that reason, the PPP course is only offered on a tailored basis to clients. The course is delivered ‘live’ either in-person or via Zoom. We tailor the course material to your specific regulations, region of the world, focus industries, or even a planned deal. We offer coaching and mentoring post training courses to support your team through the deal.

Typical topics covered are included in the syllabus below. The syllabus can however be varied based on your needs. Pivotal180 is able to customize training to include company-specific case studies, formats, templates, technologies and geographies..

If you would like to receive more information on this PPP course please share your details or feel free to contact us directly to discuss your requirements.

Course Schedule and Pricing

Negotiate a PPP Deal In-House

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Course Syllabus

SECTION	OVERVIEW
Project Finance	Debt versus equity Structural, tactical, legal aspects Corporate form Participants / contract framework Construction versus operating period Liability and risk sharing
Modeling: exercise 1	Why debt makes sense Unlevered vs levered returns NPV and IRR Best practices for layout and forecasting revenues and expenses
Debt concepts	Sources and pricing of debt Amortization structures DSCR and other ratios Senior vs subordinated debt Secured vs unsecured debt
Navigating legal documents	Structure of legal documents Reps and warranties Events of review and default Cashflow waterfall
Legal documents: exercise	Best practices for comprehending and summarizing transaction documents Overview of a sample term sheet
Project Documents overview	Project Agreements Concession Agreements Power Purchase Agreements
Project documents	Take-or-pay obligations Structure of payments Credit-worthiness Reasons for private sector involvement (instead of Government ownership)
Project documents: exercise	Reading a project agreement Term sheet Key clauses of agreements
Innovation in offtake agreements	Best practice examples around the world Small scale applications Off-grid power / rural pay-as-you-go Securitization
Modeling: exercise 2	Sizing a debt facility Basic financial model to assess required offtake payment for private sector to invest (i.e. determine project economics
Design of auctions / competitive tenders	Ensuring auction effectiveness Setting and shaping the auction volume Determining winners Exercise: Policy objective design impacts and determining auction winners
Capex and operating expenses	EPC contracts O&M contracts
Credit rating agencies	Function and role in market Ratings methodologies Sovereign ratings / ceiling Bond pricing
Key issues in renewable energy	Forecasting wind and solar Intermittency / integration Siting and environmental concerns Operating risks
Modeling: exercise 3	Sensitivity analysis Use of scenario manager Data tables Reviewing financial models
Auction / bidding implementation	Global trends Pros and cons of procurement methods Trust as a key auction variable The importance of the instruction setting Capacity, resources and rules Value for money Exercise: Understanding the bidding decision
Implementation and Direct Agreements	Key concepts Requirements for ‘bankability’
Taxation	Import duties, VAT, withholding taxes Property tax and income tax Depreciation and tax incentives Implications of tax policy (who is really being rewarded)
Role of independent engineer	Lenders rep vs owners rep Due diligence, construction monitoring, progress reports, and project acceptance Exercise: reading an IE report
Mitigating risk	Political risk insurance Foreign direct investment Bilateral investment treaties Sovereign immunity, international arbitration, choice of law DFIs, sovereign and partial risk guarantees Letters of credit, escrow, put-call options
Security packages	Perfecting a security interest Pledge, hypothecation, mortgage, lien Deeds and certificate of title Foreclosure / bankruptcy

Delivery Options

Who should attend this course?

Government ministers and Government department officials
Analysts, associates & vice presidents at banks, funds, investors, developers, and operating entities looking to standardize approaches to modeling or solve new problems
More senior participants changing careers or looking to up their skill-set
Students wishing to enter the project finance sector or about to start new roles – get ahead of your competition now

Negotiate a PPP Deal – A Tailored Course Offering