Project and Infrastructure Finance Training Course

Participants can frame an infrastructure proposal around service need, options and strategic fit.

• Problem statements defined using service gaps, demand evidence and policy objectives
• Theory of Change links infrastructure outputs to intended public outcomes
• Options appraisal compares do-minimum, public delivery and PPP alternatives
• Demand forecasts tested against population, tariff and economic growth drivers
• Reference class forecasting addresses optimism bias in early project estimates
• Strategic case documents align project scope with sector investment plans

Participants can evaluate whether a proposed asset has a credible technical and financial basis.

• Capital expenditure estimates separated into base cost, contingency and escalation
• Operating expenditure drivers linked to asset condition and service standards
• Economic appraisal applies NPV, economic IRR and shadow pricing
• Financial viability distinguishes project cash generation from economic benefits
• Pre-feasibility assumptions documented with sources, dates and confidence ranges
• Sensitivity analysis tests cost overruns, delays, demand shortfalls and inflation

Participants can select and analyse revenue structures appropriate to infrastructure service characteristics.

• User-pay revenues modelled through tariffs, volumes, collections and exemptions
• Availability payments linked to performance deductions and indexation formulas
• Take-or-pay contracts examined for energy and bulk-water projects
• Regulated revenue frameworks assessed through allowed returns and tariff reviews
• Minimum revenue guarantees evaluated for fiscal cost and incentive effects
• Payment mechanisms tested for affordability, predictability and enforceability

Participants can map the project company structure and contractual relationships required for financing.

• Special purpose vehicle functions defined for ring-fencing project cash flows
• Shareholder agreements allocate governance rights, funding duties and transfer restrictions
• Sponsor support obligations distinguished from limited-recourse project liabilities
• EPC contractors, operators and suppliers mapped into contractual interfaces
• Offtaker and grantor obligations assessed for payment security and creditworthiness
• Lender security packages identify pledged shares, accounts and project assets

Participants can design a transparent project finance model with linked operating and financing schedules.

• Model structure separates inputs, calculations, outputs and error checks
• Construction schedules sequence expenditure, drawdowns, interest and completion dates
• Operating model links capacity, utilisation, tariffs, costs and lifecycle spending
• Financial statements connect income statement, cash flow and balance sheet
• Sources and uses schedule reconciles total funding against project requirements
• Model integrity checks identify circularity, balance-sheet errors and broken links

Participants can determine debt capacity and evaluate repayment profiles against project cash flows.

• Debt service coverage ratio calculated from CFADS and scheduled debt service
• Loan life coverage ratio measures cash flow against outstanding debt
• Debt sculpting aligns principal repayments with forecast cash flow availability
• Grace periods matched to construction completion and revenue ramp-up
• Reserve accounts sized for debt service, maintenance and operating liquidity
• Debt capacity constrained by coverage ratios, tenor and lender assumptions

Participants can assess project and equity returns under base-case and downside assumptions.

• Project IRR calculated from unlevered cash flows before financing effects
• Equity IRR reflects dividends, shareholder loans and residual value
• Net present value tested using project-specific discount rate assumptions
• WACC components examined through debt pricing, beta and capital structure
• Distribution waterfalls allocate cash after operating, reserve and debt obligations
• Exit valuations test sponsor returns under refinancing and disposal scenarios

Participants can prepare a risk allocation matrix that assigns risks to capable parties.

• Risk register identifies cause, event, consequence, owner and mitigation
• Construction risk allocated through EPC scope, pricing and completion security
• Demand risk assigned using traffic evidence, payment design and flexibility
• Operating risk linked to performance standards, deductions and maintenance obligations
• Political risk assessed through change-in-law, convertibility and expropriation provisions
• Force majeure regimes distinguish relief events, compensation events and termination

Participants can align procurement strategy and evaluation criteria with financeable PPP outcomes.

• Procurement routes compared through competition, dialogue and negotiated procedures
• Prequalification criteria test technical capacity, financial strength and relevant experience
• Request for proposal documents define output specifications and bid requirements
• Bid evaluation models weight price, quality, risk and deliverability
• Affordability ceilings prevent selection of financially unsustainable bids
• Bidder due diligence examines funding sources, conflicts and beneficial ownership

Participants can review core concession terms for bankability, accountability and risk alignment.

• Concession term aligns asset life, debt tenor and handback requirements
• Output specifications establish measurable service levels and acceptance standards
• Change mechanisms price authority variations and protect approved project economics
• Termination payment formulas allocate default, force majeure and political risks
• Step-in rights enable lenders to cure default before termination
• Dispute resolution clauses sequence negotiation, adjudication, arbitration and courts

Participants can assess construction-period financing risks and protections required by lenders.

• EPC contracts compared across lump-sum, unit-price and target-cost structures
• FIDIC risk allocation reviewed for design, ground conditions and variations
• Construction drawdowns tied to certified milestones and independent engineer reports
• Completion tests define physical completion, performance completion and reliability standards
• Delay liquidated damages assessed against debt service and revenue-loss exposure
• Contingency governance controls use, approval thresholds and cost reporting

Participants can conduct a lender-style review of project risks, cash flows and protections.

• Credit memorandum structure presents project rationale, risks and recommendation
• Base-case assumptions challenged using independent technical and market reports
• Downside cases test delays, costs, rates, volumes and operating failures
• Covenant packages set coverage tests, restrictions and reporting requirements
• Security enforceability assessed across project assets, contracts and bank accounts
• Direct agreements preserve lender rights with authorities and key contractors

Participants can evaluate government commitments and quantify material fiscal exposure from PPPs.

• Viability gap funding assessed against capital needs and affordability limits
• Government guarantees classified by payment, demand, exchange-rate and political coverage
• Contingent liabilities quantified using scenario analysis and expected value
• Fiscal commitment registers track contractual payments, guarantees and termination exposure
• Budget appropriations assessed for timing, certainty and payment priority
• Credit enhancement options compare escrow accounts, guarantees and multilateral support

Participants can incorporate environmental, social and governance obligations into financing decisions.

• Environmental and social impact assessments identify material project effects
• Equator Principles reviewed for lender environmental and social due diligence
• Stakeholder engagement plans address affected communities, grievances and disclosure
• Resettlement obligations assessed through compensation, livelihood restoration and monitoring
• Climate risk screening examines physical hazards and transition impacts
• ESG covenants connect financing conditions with management and reporting actions

Participants can manage the documents, approvals and conditions required to reach financial close.

• Term sheets translate commercial agreements into financing parameters and conditions
• Conditions precedent register assigns evidence, owners, deadlines and dependencies
• Legal opinions confirm authority, enforceability and security perfection requirements
• Financial model audit tests formulas, assumptions and documentation consistency
• Funds flow statements sequence equity, debt, grant and transaction payments
• Financial close checklist coordinates lenders, sponsors, authority and advisers

Participants can assess refinancing opportunities and respond to projects under financial stress.

• Refinancing cases compare interest savings, fees, reserve releases and risks
• Refinancing gain-sharing mechanisms allocate benefits between authority and sponsors
• Covenant breaches diagnosed through coverage ratios, liquidity and completion performance
• Waiver requests evaluated against revised forecasts and remedial action plans
• Debt restructuring options include tenor extension, principal deferral and equity injection
• Termination scenarios model compensation, lender recovery and service continuity

Participants can monitor operational, financial and contractual performance after financial close.

• Performance dashboards track availability, quality, safety and response-time measures
• Covenant compliance certificates monitor coverage ratios, reserves and payment obligations
• Lifecycle maintenance plans align asset condition with handback standards
• Lender information packages combine financial statements, certificates and variance explanations
• Contract management logs record changes, claims, notices and outstanding disputes
• Early warning indicators identify revenue deterioration, delays and counterparty stress

Participants can adapt project finance structures to the differing economics of key infrastructure sectors.

• Toll roads assessed through traffic forecasts, tariff regulation and demand risk
• Renewable energy projects model resource variability, PPAs and curtailment exposure
• Water concessions address non-revenue water, tariff collection and service obligations
• Hospitals use availability payments, clinical interfaces and equipment replacement cycles
• Ports evaluate throughput, concession fees and competing terminal capacity
• Sector comparators identify transferable assumptions and sector-specific financing constraints

Participants can build, review and present a complete PPP financing case with a justified approval recommendation.

• Project assumptions consolidated into an integrated development, operating and financing case
• Financial model outputs present cash flows, ratios, returns and sensitivities
• Risk allocation matrix reconciled with concession, EPC and financing provisions
• Fiscal exposure analysis quantifies payment commitments, guarantees and termination liabilities
• Credit review identifies bankability gaps, mitigations and conditions for approval
• Investment committee presentation defends structure, affordability and recommended next actions