Government & Public Sector Journal’s Post

Saw this at the back end of last week and seems a good idea.. HM Treasury has confirmed a 10-year infrastructure strategy and the launch of a new body, National Infrastructure and Service Transformation Authority (NISTA), coming in spring 2025! This initiative will combine the National Infrastructure Commission (NIC) and the Infrastructure and Projects Authority (IPA), promising to improve project delivery across transport, energy, housing, schools, and hospitals. 🏗️ Key takeaways from Treasury secretary Darren Jones: 💼 Coordinating infrastructure plans across all government departments for more efficient public capital allocation 🤝 Strengthening partnerships with the private sector to unlock investment and deliver projects on time and within budget 📅 Aligning strategy with multi-year spending cycles to provide stability and foster confidence in project planning and delivery This new approach will ensure that strategy and delivery work hand-in-hand to support long-term growth and the transition to a zero-carbon economy. 🌱 Is this something the construction and engineering sectors are willing to embrace change for? Should help on the strategy side..

Quick Takeaways: Understanding Weakening Momentum of Infrastructure from Funding Sources Since the Spring Festival, the demand for construction steel has demonstrated an on-year decline, while the infrastructure sector has experienced tighter funding. By analyzing government finance, the primary source of infrastructure funding, we can find that among the three components of government finance, public fiscal expenditure significantly favors the infrastructure sector and debt revenue provides support. However, the decline in expenditure from government-managed funds poses a significant challenge to infrastructure investment growth. Meanwhile, other non-government financing sources also witnessed a decrease due to limited financing of CIBs under supervision. The annual growth rate of infrastructure investment in 2024 is expected to be 4.5%. In addition to special bonds, other infrastructure funding sources, such as public financial expenditure and additional issuance of national debt, should also be monitored. Most importantly, financial revenue remains the key to funding. #realestate #demand #construction #steel #funding #finance #infrastructure For detailed projections about this, please feel free to check the full feature article attached to our MIOA Weekly & Monthly Report and click the link below to start a free trial right now! https://lnkd.in/gdPMzCV

Enclosed is Announcement No. 472/TB-VPCP issued by the Office of the Government regarding the Conclusion of Deputy Prime Minister Tran Hong Ha at the Meeting on the Procedures and Steps for Appraisal and Approval of Investment Projects for Construction and Operation of Industrial Infrastructure. On October 9, 2024, Deputy Prime Minister Tran Hong Ha chaired a meeting on the process for appraising and approving investment projects for the construction and business of infrastructure in industrial zones. The meeting was attended by leaders of the relevant ministries. The Deputy Prime Minister concluded that the procedures, processes, and authorities have been clearly defined in the Investment Law and Decree No. 31/2021/ND-CP. State agencies must provide a clear appraisal opinion on project dossiers within the specified time frame. The Ministry of Planning and Investment is responsible for organizing the appraisal of project dossiers, compiling opinions, and only submitting to the Prime Minister when the dossier meets the legal requirements.  Additionally, it is necessary to design transitional provisions for projects awaiting approval to ensure there are no legal gaps and to avoid bureaucratic complexities in administrative procedures. -------------------- #VSE #VSE_LAWYERS

👉 Join us at our roundtable discussion: 'How to leverage private finance to deliver (stuck) regional infrastructure projects' 📆 Wednesday 24th July 2024 🕒 3:00pm - 5:00pm 📍 Manchester As a feeder to our September seminar 'Moving on from PFI - Innovative ways to fund and finance major infrastructure' we are holding a roundtable discussion event in Manchester which looks at how private finance can help projects that would otherwise struggle to 'get to yes' if financed by the Exchequer alone. 💷 We will explore lessons learned on securing financing and funding for infrastructure projects (whether public, private or in combination) from a regional perspective. We will look at projects that have been ‘stuck’ in the pre-investment phase as it looks to attract finance from different sources and, with reference to the recommendations in the second National Infrastructure Assessment, as well as a number of live cases, explore: What is the main reason for projects getting 'stuck' in the pre-investment phase? Where funding is the main issue, what project characteristics are needed to attract private finance? What are the other hurdles to help infrastructure projects ‘get to yes’? The ideas and (any) conclusions from this session will feed into the seminar in September. ➡ Register for this roundtable here: https://lnkd.in/eGWUz4vQ Andy Murray Manon Bradley Sascha Flint #majorprojects #mpaevent #infrastructureprojects #privatefinance

Financial Assessment of Availability Payment PPP Projects A Public Private Partnership (PPP or P3) involves a long-term contract between a private party and a government entity, for providing a public asset or service. Availability payments are a form of PPP where the public sector takes on the long-term obligation of making regularly scheduled payments (“availability payments”), which the concessionaire earns by making the facility (e.g., a road, railway, school, hospital) available to the public at a specified level of service. Availability payment concession agreements are common in Canada, Europe, and Australia, but are relatively new in the US. An Output- and Performance-based Road Contract (OPBRC) is a form of availability payment concession common in several developing countries. Based on an original financial model included in the World Bank/PPIAF Toolkit for PPP in Roads and Highways, this Seminar discusses a model developed to assess the financial feasibility of Availability Payment (or Annuity) PPP Projects in any infrastructure sector, including OPBRC.

An interesting read over the weekend. I’d argue, the RAB model has been used successfully for Thames Tideway. But I can’t see the general public being so comfortable with another £1trn cost overrun on their bills! Some eye watering numbers but invest to grow has go to be the way to go to unlock the level of capital infrastructure projects in the pipeline. Whether is RAB or some other private sector investment incentive - the need to sure up the infrastructure pipeline is incredibly important to give industry the runway it needs to invest in talent, technology and MMC. What do we think? UK confronts massive funding gap to tackle crumbling infrastructure https://on.ft.com/4gCuMdM

How will the current budget influence construction pricing? 🤔 The recent budget announcement has got everyone talking! Funding changes and tax adjustments mean construction firms must re-evaluate their pricing strategies. The big question is: how will these financial shifts impact project costs? The budget's focus on infrastructure investment is a double-edged sword. More work is available, which is fantastic! However, increased demand can lead to higher material costs and labour shortages. Firms need smart pricing to stay competitive while maintaining quality. 🏗️ At Phoenix Gray, we're closely monitoring these developments to ensure top-notch service without breaking the bank. If you're in construction, how are you adapting your pricing strategies? Share your thoughts in the comments! 📧 [email protected] 📞 01708693100 Visit us at phoenixgrayrec.com #Construction #Budget2024 #PricingStrategies #tradesandlabour #ukconstruction

Public-Private Partnership (PPP) Is the Public-Private Partnership (PPP) mode of service delivery the ideal option for future infrastructure development? With the increase in consumption, the need for new infrastructure is also increasing. At the same time, the older infrastructure requires better upkeep and maintenance. These changes necessitate huge funding requirements, which are not possible for the Government or a public body to arrange alone. As one of the greatest beneficiaries of economic reforms, the private sector possesses greater wealth and can be a potential source of financing for public infrastructure projects. In general, PPP projects offer the following advantages: An acceleration of infrastructure provision 1. Increased efficiency 2. Faster implementation 3. Improved service quality 4. Advantages of bundling asset creation and service provision, 5. More efficient allocation of risk — risk is borne by whoever can manage it best 6. Increased scope for user charges — generation of additional revenue 7. Private financing can support increased infrastructure investment without adding to government borrowing and public debt 8. Reduced life-cycle costs 9. An alternative to full privatization 10. Transfer of knowledge, know-how, management skills and new technologies 11. They are especially good vehicles for a ‘green’ agenda because of their focus on the whole life- cycle of a project. #PPP #ProjectManagement #Finanace #Strategy #ProjectFinance #Infrastructure #CapitalProject #PMO #RiskManagement

It's good to see industry leaders working together to drive positive change. The devil will be in the detail I'm sure as the legacy issues created by PFI/PPP done 'wrong' can be problematic. But there is a definite need to look at funding models that can cope with the hikes is delivery costs we've experienced. One of the points made in the article that I wholeheartedly back is; 'The industry manifesto also reiterated the call to install an infrastructure minister at cabinet level, who would coordinate major infrastructure projects across government and tackle barriers to implementation' It's staggering that for all the talk of economic growth, there's no one spearheading infrastructure planning at cabinet level. #constructionnews #publicinvestment