Project Overview
In partnership with the European Bank for Reconstruction and Development (EBRD), the Hellenic Ministry of Rural Development and Food initiated a transformative Public-Private Partnership (PPP) project to construct the Minagiotiko Dam. This critical infrastructure aims to capture water resources and surface runoffs into a dam, supported by an irrigation network designed to serve the agricultural needs of the Municipalities of Pylos-Nestor and Messini.
The project seeks to not only enhance water resource management and agricultural productivity in the region but also to leverage PPPs for sustainable infrastructure development. By engaging a private sector partner to design, build, finance, operate, and transfer (DBFOT) the dam and its accompanying network, the initiative underscores a commitment to achieving efficiency, innovation, and long-term value.
PLANET has been engaged to provide comprehensive support in structuring and executing this ambitious PPP initiative, ensuring adherence to local legislation and EBRD’s stringent procurement standards.
This PPP initiative sets a benchmark for sustainable infrastructure development by aligning public and private interests to achieve transformative outcomes. The successful collaboration between the Government, EBRD, and PLANET demonstrates the power of strategic partnerships in addressing complex challenges and delivering impactful results.
The Challenge
The implementation of the Minagiotiko Dam project if the form of PPP presents unique challenges. The overarching goal is to establish a seamless partnership between public and private stakeholders while ensuring full compliance with both local legislation and the European Bank for Reconstruction and Development (EBRD) standards. However, the complexity of the project demanded solutions to several critical issues.
Ensuring the project's attractiveness to potential private sector partners requires identification of any deficiencies in the existing feasibility studies and procurement documentation that in detail balance technical accuracy with legal compliance and operational clarity.
In addition, such an endeavor requires the development of a well-structured framework for balanced risk allocation and bankability. Additionally, the integration of robust Environmental and Social Impact Assessments (ESIA) into the procurement process is essential to align with international best practices.
Finally, the project demands capacity building within the government. Equipping personnel with the skills necessary to monitor and manage a PPP project of this scale was critical for its success. These challenges underscored the need for a comprehensive and well-coordinated approach to ensure the project’s long-term viability and positive impact on the region.
Consultant's Approach
To this end PLANET provides a structured, multi-phased approach to deliver the project successfully:
- Gap Analysis: Detailed review of the existing feasibility study to identify areas requiring enhancement.
- Procurement Documentation:
Preparation of comprehensive documents, including:
RFQ (Prequalification Questionnaire, Expression of Interest, etc.)
RFP (Request for Proposals), covering competitive dialogue phases and binding offer invitations.
Partnership Agreement and annexes, including Technical Specifications.
- Aproval from relevant authorities for all project documents.
- Environmental and Social Impact Assessment (ESIA): Scoped and detailed Terms of Reference for ESIA implementation by the successful bidder.
- Technical Oversight: International Panel of Experts to ensure compliance with global dam safety standards.
- PPP Structuring:
- Risk allocation and bankability structuring to ensure a well-balanced PPP framework.
- Guidance during competitive dialogue and bid review processes, engaging with bidders and their lenders.
- Procurement and Training:
- Competitive PPP procurement process aligned with EBRD and local standards.
- Workshops for training government personnel in PPP procurement, monitoring, and management practices.
- Commercial and Financial Close
- Support to the Government in achieving commercial close, ensuring all agreements are signed.
- Facilitation of financial close
The Outcome
The project is progressing steadily under a robust framework designed to ensure long-term success. Key milestones have been achieved ensuring of a competitive and transparent PPP process. While the initiative continues to evolve, significant progress has been made in aligning public and private interests, setting the stage for successful implementation. This collaborative approach has laid a strong foundation for the Minagiotiko Dam to become a transformative piece of infrastructure, addressing critical agricultural needs and fostering sustainable development in the region.
