Hosted by the African UnionHosted by the African UnionAddis Ababa, EthiopiaAddis Ababa, Ethiopia

June 19 & 20 2006June 19 & 20 2006

22ndnd Meeting Meeting

Infrastructure Infrastructure Consortium for AfricaConsortium for Africa

-2-June 2006

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8:30 – 9:00 Registration – tea and coffee

9:00 – 9:45Session 1Welcome and outline of the day Opening messageUpdate since October 6-Secretariat staffing: Secretariat-Website: Secretariat-Project preparation guide: WB

9:45 - 10:15

10:15 – 11:15

Session 2Commitment to “identify and secure funding for 5 STAP projects”Presentations-Overview of Consortium progress-Outcome of project questionnaireDiscussion: on which projects will we work closer together to help accelerate implementation?

11.15 – 11.30 Tea and coffee

11:30 – 11:45

11:45 – 12:30

Session 3Working with other development partnersPresentation: - Indian support to infrastructure: India (15min)

Discussion: how can we work closer together?

12:30 – 13:30 Lunch

Agenda - morning

-3-June 2006

Agenda - afternoon

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13:30 – 14:15

14:15 – 15:15

Session 4Improving infrastructure effectiveness 1Presentations-improving infrastructure effectiveness: Secretariat-roles and responsibilities vs. STAP implementation: AfDB-co-ordination on project selection: Japan Discussion-roles and responsibilities and the STAP – next steps-co-ordination on project selection – next steps

15:15 – 15:30 Tea and coffee

15:30 – 16:00

16:00 – 17:00

Session 5 Improving infrastructure effectiveness 2Presentations-project preparation options paper: Secretariat-innovative financing instruments: Secretariat + IFFm-EU Infrastructure Trust Fund: ECDiscussion-project preparation - next steps-innovative financing instruments – next steps

17:00 – 18:15Session 6Adoption of work planDiscussion: -decisions taken – adoption of “to do” list for each participant-adoption of work programme and budget of ICA Secretariat-agreement on financing sources for ICA Secretariat budget

18:15 – 18:30Session 7-AOB, Overview of tomorrow’s energy discussion

18:30 DRINKS RECEPTION

-4-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-5-June 2006

H.E. Alpha Oumar Konaré

Chairman, African Union Commission

Opening Message

-6-June 2006

Secretariat: staffing

Secondments:Secondments:

Acting coordinatorActing coordinator Andrian Rakotobe (AfDB) Andrian Rakotobe (AfDB)

ExpertsExperts Yuka Hananogi - Japan (JICA) Yuka Hananogi - Japan (JICA) Andrew Roberts - UK (DFID)Andrew Roberts - UK (DFID) Guillaume Grosso – AfDBGuillaume Grosso – AfDB

Administrative supportAdministrative support Houeyda Mamia (AfDB) Houeyda Mamia (AfDB)

Appointment of full-time co-ordinator - Appointment of full-time co-ordinator - statusstatus

Further secondmentsFurther secondments offered from:offered from:

ECEC Russia Russia

Further secondmentsFurther secondments offered from:offered from:

ECEC Russia Russia

-7-June 2006

Website

-8-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-9-June 2006

ICA Members’ Progress: October 05 – June 06

NEPAD-level ProjectsNEPAD-level Projects

NEPAD/STAPNEPAD/STAP

11 projects funded11 projects funded

Worth a total of Worth a total of

USD 764.3 M USD 764.3 M

12 studies funded12 studies fundedWorth a total of USD Worth a total of USD

7.1M7.1M

Contributors:Contributors: AfDB, ECAfDB, EC, , WB, Italy, Japan, USA, WB, Italy, Japan, USA,

UKUK

NEPAD-level ProjectsNEPAD-level Projects

NEPAD/STAPNEPAD/STAP

11 projects funded11 projects funded

Worth a total of Worth a total of

USD 764.3 M USD 764.3 M

12 studies funded12 studies fundedWorth a total of USD Worth a total of USD

7.1M7.1M

Contributors:Contributors: AfDB, ECAfDB, EC, , WB, Italy, Japan, USA, WB, Italy, Japan, USA,

UKUK

Country-level ProjectsCountry-level Projects

60 projects funded60 projects funded

Worth a total of Worth a total of

USD 3.447 BlnUSD 3.447 Bln

Contributors:Contributors: AfDB, EC, WB, Italy, JapanAfDB, EC, WB, Italy, Japan

Country-level ProjectsCountry-level Projects

60 projects funded60 projects funded

Worth a total of Worth a total of

USD 3.447 BlnUSD 3.447 Bln

Contributors:Contributors: AfDB, EC, WB, Italy, JapanAfDB, EC, WB, Italy, Japan

Total = $4.24 bn In 2004 donors spend approximately $4bn on infrastructure in Africa

Total = $4.24 bn In 2004 donors spend approximately $4bn on infrastructure in Africa

-10-June 2006

1. EAC1. EAC East Africa Trade & Transport FacilitationEast Africa Trade & Transport Facilitation 199199WB WB

2. EAC 2. EAC East Africa Trade and TREast Africa Trade and TR 60 60 WBWB

3. ECOWAS 3. ECOWAS Mali-Senegal South Corridor Rd constr.Mali-Senegal South Corridor Rd constr. 9.3 9.3 JapanJapan

4. ECOWAS 4. ECOWAS Kita-Saraya-Kedougou Rd (Mali–Senegal)Kita-Saraya-Kedougou Rd (Mali–Senegal) 98 98 AfDBAfDB

5. ECOWAS 5. ECOWAS West Africa Air Transport & Security West Africa Air Transport & Security 34 34 WBWB 6. ECOWAS 6. ECOWAS Senegal River Basin Multi-Purp. Water R.Senegal River Basin Multi-Purp. Water R. 110110WBWB

7. ECOWAS 7. ECOWAS WAPP – Coastal Transmission BackboneWAPP – Coastal Transmission Backbone 60 60 WBWB

8. ECOWAS 8. ECOWAS WAPP – OMVS Felou Hydro Power PlantWAPP – OMVS Felou Hydro Power Plant 75 75 WBWB

9. ECOWAS 9. ECOWAS Transport Facilities: Indicative RegionalTransport Facilities: Indicative Regional 80 80 EC EC10. SADC10. SADC Caia Bridge over Zambezi RiverCaia Bridge over Zambezi River 25 25 Ita/Swe/ECIta/Swe/EC11. SADC 11. SADC Shared Watercourses Project Shared Watercourses Project 1414AfDBAfDB

1. EAC1. EAC East Africa Trade & Transport FacilitationEast Africa Trade & Transport Facilitation 199199WB WB

2. EAC 2. EAC East Africa Trade and TREast Africa Trade and TR 60 60 WBWB

3. ECOWAS 3. ECOWAS Mali-Senegal South Corridor Rd constr.Mali-Senegal South Corridor Rd constr. 9.3 9.3 JapanJapan

4. ECOWAS 4. ECOWAS Kita-Saraya-Kedougou Rd (Mali–Senegal)Kita-Saraya-Kedougou Rd (Mali–Senegal) 98 98 AfDBAfDB

5. ECOWAS 5. ECOWAS West Africa Air Transport & Security West Africa Air Transport & Security 34 34 WBWB 6. ECOWAS 6. ECOWAS Senegal River Basin Multi-Purp. Water R.Senegal River Basin Multi-Purp. Water R. 110110WBWB

7. ECOWAS 7. ECOWAS WAPP – Coastal Transmission BackboneWAPP – Coastal Transmission Backbone 60 60 WBWB

8. ECOWAS 8. ECOWAS WAPP – OMVS Felou Hydro Power PlantWAPP – OMVS Felou Hydro Power Plant 75 75 WBWB

9. ECOWAS 9. ECOWAS Transport Facilities: Indicative RegionalTransport Facilities: Indicative Regional 80 80 EC EC10. SADC10. SADC Caia Bridge over Zambezi RiverCaia Bridge over Zambezi River 25 25 Ita/Swe/ECIta/Swe/EC11. SADC 11. SADC Shared Watercourses Project Shared Watercourses Project 1414AfDBAfDB

NEPAD level, Oct 05 – Jun 06: USD 764.3Mln (projects)

Project

USDm

Source

Country

-11-June 2006

1. EAC 1. EAC EATTFP-OSBP Feasibility Study EATTFP-OSBP Feasibility Study 0.010.01 UKUK 2.2. EAC EAC EATTFP-OSBP Feasibility Study EATTFP-OSBP Feasibility Study 0.030.03 JapanJapan3. EAC3. EAC Mtwara Corridor Development StudyMtwara Corridor Development Study 0.140.14 JapanJapan 4. EAC4. EAC Mombassa Port Rehabilitation Mombassa Port Rehabilitation ncnc JapanJapan 5. ECOWAS5. ECOWAS Bridges along South Corridor D/DesignBridges along South Corridor D/Design 0.6 0.6 JapanJapan

6. ECOWAS 6. ECOWAS OMVG Energy – Project Preparation OMVG Energy – Project Preparation 0.5 0.5 AfDBAfDB

7. ECOWAS 7. ECOWAS Ghana Ports Up-date of F/S Ghana Ports Up-date of F/S 0.07 0.07 Japan Japan 8. SADC 8. SADC Nacala Corridor Feasibility StudyNacala Corridor Feasibility Study 0.30.3 JapanJapan 9. SADC9. SADC Nacala Corridor Pre Feasibility StudyNacala Corridor Pre Feasibility Study 2.52.5JapanJapan

10. SADC 10. SADC Nacala free Trade Zone StudyNacala free Trade Zone Study ncnc USAUSA 11. SADC 11. SADC Mozambique 4 provinces Rd pre F/S Mozambique 4 provinces Rd pre F/S ncncUSAUSA

12. SADC 12. SADC Rehabilitation of Angola Ports F/S Rehabilitation of Angola Ports F/S 33 JapanJapan

1. EAC 1. EAC EATTFP-OSBP Feasibility Study EATTFP-OSBP Feasibility Study 0.010.01 UKUK 2.2. EAC EAC EATTFP-OSBP Feasibility Study EATTFP-OSBP Feasibility Study 0.030.03 JapanJapan3. EAC3. EAC Mtwara Corridor Development StudyMtwara Corridor Development Study 0.140.14 JapanJapan 4. EAC4. EAC Mombassa Port Rehabilitation Mombassa Port Rehabilitation ncnc JapanJapan 5. ECOWAS5. ECOWAS Bridges along South Corridor D/DesignBridges along South Corridor D/Design 0.6 0.6 JapanJapan

6. ECOWAS 6. ECOWAS OMVG Energy – Project Preparation OMVG Energy – Project Preparation 0.5 0.5 AfDBAfDB

7. ECOWAS 7. ECOWAS Ghana Ports Up-date of F/S Ghana Ports Up-date of F/S 0.07 0.07 Japan Japan 8. SADC 8. SADC Nacala Corridor Feasibility StudyNacala Corridor Feasibility Study 0.30.3 JapanJapan 9. SADC9. SADC Nacala Corridor Pre Feasibility StudyNacala Corridor Pre Feasibility Study 2.52.5JapanJapan

10. SADC 10. SADC Nacala free Trade Zone StudyNacala free Trade Zone Study ncnc USAUSA 11. SADC 11. SADC Mozambique 4 provinces Rd pre F/S Mozambique 4 provinces Rd pre F/S ncncUSAUSA

12. SADC 12. SADC Rehabilitation of Angola Ports F/S Rehabilitation of Angola Ports F/S 33 JapanJapan

Note: using 1EUR = 1.25 USD; 1 UA = 1.49 USD

SSttuuddiieess

Project

USDm

Source

Country

NEPAD level, Oct 05 – June 06: USD 7.1 Mln (studies)

-12-June 2006

Note: all amounts in USD, using 1EUR = 1.25 USD; 1 UA = 1.49 USD

Country

Project USDm Source

Country level, Oct 05 – June 06: USD 3.5 Bln

1. Benin Sanitation 25 1. Benin Sanitation 25 EC EC2. Benin Upgrading of Banikoara-Kandi Rd 29 2. Benin Upgrading of Banikoara-Kandi Rd 29 EC EC 3. Burundi3. Burundi Rehab. of Hydro Infrastructure Rehab. of Hydro Infrastructure 18 18 AfDBAfDB4. Burundi4. Burundi Public Works and Employment Creation Public Works and Employment Creation 31 31 WB WB5. Cameroon5. Cameroon Yaoundé Sanitation Project Yaoundé Sanitation Project 38 38 AfDB AfDB6. Cameroon Rd Programme 101 6. Cameroon Rd Programme 101 EC EC7. Central Africa Rehabilitation of Sanitation System 9.4 7. Central Africa Rehabilitation of Sanitation System 9.4 EC EC8. Chad8. Chad Rural WS&S Rural WS&S 19 19 AfDB AfDB9. Chad Support to Transport Sector Policy 105 9. Chad Support to Transport Sector Policy 105 EC EC10.Comoros Infrastructure Rehabilitation 3.9 10.Comoros Infrastructure Rehabilitation 3.9 EC EC11.Congo Reconstruction and monitoring of National Rd 59 11.Congo Reconstruction and monitoring of National Rd 59 EC EC12. DRC12. DRC Nsele-Lufimi & Kwango-Kenge Road Rhb. Nsele-Lufimi & Kwango-Kenge Road Rhb. 78 78 AfDB AfDB13. DRC13. DRC Emergency Multi Sectoral Rhb. & Recov. Emergency Multi Sectoral Rhb. & Recov. 125 125 WB WB14. Egypt Integrated Solar/Power Plant 106 14. Egypt Integrated Solar/Power Plant 106 Japan Japan 15. Ethiopia15. Ethiopia Rural WS&S Rural WS&S 65 65 AfDB AfDB16. Ethiopia16. Ethiopia Road Sector Development Road Sector Development 87 87 WB WB17. Ethiopia17. Ethiopia Accelerated Electricity Access – Rural Accelerated Electricity Access – Rural 134 134 WB WB18. Gabon18. Gabon Local Infrastructure Development Local Infrastructure Development 25 25 WB WB19. Gambia Rural Water Supply Sector 8 19. Gambia Rural Water Supply Sector 8 EC EC20. Ghana20. Ghana WS&S Programme (Study)WS&S Programme (Study) 1 1 AfDB AfDB21. Ghana21. Ghana Accra Sewage ImprovementAccra Sewage Improvement 69 69 AfDB AfDB22. Ghana Rehabilitation of Kumashi Teciman Rd 45 22. Ghana Rehabilitation of Kumashi Teciman Rd 45 EC EC23. Ghana Feeder Rds Improvement 34 23. Ghana Feeder Rds Improvement 34 EC EC24. Ghana Small Town Water and Sanitation 29 24. Ghana Small Town Water and Sanitation 29 EC EC 25. Guinea25. Guinea Electricity Sector EfficiencyElectricity Sector Efficiency 7 7

WB WB26. G-Bissau26. G-Bissau Multi Sector Infrastructure Rhb. 15 Multi Sector Infrastructure Rhb. 15

WB WB27. Lesotho Water Sanitation Rehabilitation 44 27. Lesotho Water Sanitation Rehabilitation 44 EC EC28. Liberia28. Liberia Emergency Infrastructure ProjectEmergency Infrastructure Project 25 25 WB WB29. Madagas.29. Madagas. Rural WS&SRural WS&S 76 76 AfDB AfDB 30. Malawi30. Malawi Rural Infrastructure ServicesRural Infrastructure Services 40 40

WB WB31. Mauritania Construction of Rd Kaedi-Gouraye 83 31. Mauritania Construction of Rd Kaedi-Gouraye 83 EC EC32. Morocco Motorway Construction 177 32. Morocco Motorway Construction 177 Japan Japan 32. Morocco Sewage System 42 32. Morocco Sewage System 42 Japan Japan34. Morocco Rural Electrification3 52 34. Morocco Rural Electrification3 52 Japan 35. Mozamb. Japan 35. Mozamb. Nhacangara Dam over Ponwe RiverNhacangara Dam over Ponwe River 49 Italy 49 Italy

-13-June 2006

Country level, Oct 05 – June 06: USD 3.5 Bln

36. Mozamb.36. Mozamb. Maputo Drainage System Maputo Drainage System 2121 ItalyItaly 37. Mozamb Limpopo Railway Line 7.5 37. Mozamb Limpopo Railway Line 7.5 ECEC 38. Mozamb Beira Sanittion Project 38. Mozamb Beira Sanittion Project 41 41

ECEC 39. Niger39. Niger Tibiri-Dakoro & Madaoua-Tahoua Roads Tibiri-Dakoro & Madaoua-Tahoua Roads 33 33 AfDBAfDB 40. Niger Rd maintenance 40. Niger Rd maintenance 86 86

EC EC 41. Niger Air Region 41. Niger Air Region 14 14

ECEC 42. Rwanda42. Rwanda Urban Infrastructure DevelopmentUrban Infrastructure Development 20 20 WBWB

43. Senegal43. Senegal AES Sonel Electricity ProjectAES Sonel Electricity Project 75 75 AfDBAfDB 44. Senegal44. Senegal Participatory Local DevelopmentParticipatory Local Development 50 50

WBWB 45. Senegal Road Rehabilitation 45. Senegal Road Rehabilitation 77 77

EC EC 46. Senegal Support to Urban Development 46. Senegal Support to Urban Development 20 20

EC EC 47. S-Leone47. S-Leone Matotoka-Sefadu Road (Study)Matotoka-Sefadu Road (Study) 3 3

AfDBAfDB 48. S-Leone48. S-Leone Transport Infrastructure DevelopmentTransport Infrastructure Development 44 44 WBWB 49. Sudan49. Sudan Emergency Multi Sectoral Rhb. & Recov.Emergency Multi Sectoral Rhb. & Recov. 50 50 WBWB 50. Tanzania50. Tanzania Local Government SupportLocal Government Support 98 98 WBWB 51. Tanzania Kilwa Rd Construction 51. Tanzania Kilwa Rd Construction 11 11

Japan Japan 52. Tanzania Rehabilitation of Mandela Rd 52. Tanzania Rehabilitation of Mandela Rd 40 40

EC EC 53. Tanzania Rehabilitation and upgrading of Rd 53. Tanzania Rehabilitation and upgrading of Rd 37 37

ECEC 54. Tunisia Rural Water Supply 54. Tunisia Rural Water Supply 54 54

Japan Japan 55. Uganda Rural WS&S55. Uganda Rural WS&S 60 60 AfDBAfDB 56. Uganda Northern Rehabilitation 56. Uganda Northern Rehabilitation 25 25

ECEC 57. Uganda Reconstruction of Priority Rd 57. Uganda Reconstruction of Priority Rd 115 115

ECEC 58. Uganda Strengthening of the Northern Rd 58. Uganda Strengthening of the Northern Rd 24 24

ECEC 59. ACP EC Energy Facility 59. ACP EC Energy Facility 275 275

EC EC 60. ACP EC Water Facility 313 60. ACP EC Water Facility 313 ECEC

SourceProject USDmCountry

-14-June 2006

Outcome of Project Questionnaire

Questionnaire exercise on shortlisted 12 programs identified on Questionnaire exercise on shortlisted 12 programs identified on April 11April 11thth 2006, conducted by the ICA Secretariat 2006, conducted by the ICA Secretariat

Information received does not paint complete picture to complete Information received does not paint complete picture to complete the programs, but helped identify key upcoming projects for each the programs, but helped identify key upcoming projects for each program.program.

For these, we have distinguished between two situations:For these, we have distinguished between two situations:

Questionnaire exercise on shortlisted 12 programs identified on Questionnaire exercise on shortlisted 12 programs identified on April 11April 11thth 2006, conducted by the ICA Secretariat 2006, conducted by the ICA Secretariat

Information received does not paint complete picture to complete Information received does not paint complete picture to complete the programs, but helped identify key upcoming projects for each the programs, but helped identify key upcoming projects for each program.program.

For these, we have distinguished between two situations:For these, we have distinguished between two situations:

Projects that already have full Projects that already have full funding commitmentsfunding commitments

Projects that already have full Projects that already have full funding commitmentsfunding commitments

Projects that still have funding Projects that still have funding gapsgaps

These represent a total of 10 These represent a total of 10 projects, for a total gap of projects, for a total gap of

USD 947 MUSD 947 M

Can we fill some Can we fill some of these gaps?of these gaps?

Projects that still have funding Projects that still have funding gapsgaps

These represent a total of 10 These represent a total of 10 projects, for a total gap of projects, for a total gap of

USD 947 MUSD 947 M

Can we fill some Can we fill some of these gaps?of these gaps?

-15-June 2006

Outcome of Project Questionnaire

Questionnaire on shortlisted 12 programs identified on April 11Questionnaire on shortlisted 12 programs identified on April 11thth 2006, 2006,Main funding gaps identified:Main funding gaps identified:

EAPP-East Africa Power Market APL EAPP-East Africa Power Market APL US$ 115 MUS$ 115 M

WAPP-APL3 Phase 1 of Inter Zonal Transmission Hub WAPP-APL3 Phase 1 of Inter Zonal Transmission Hub US $45 MUS $45 M WAPP-Inter-Zonal Transmission Hub; Ghana System Reinforcement WAPP-Inter-Zonal Transmission Hub; Ghana System Reinforcement US$ 75 MUS$ 75 MWAPP-Inter-Zonal Transmission Hub; Ghana/Burkina Faso/Mali Link WAPP-Inter-Zonal Transmission Hub; Ghana/Burkina Faso/Mali Link US$ 55 MUS$ 55 MWAPP- Inter-Zonal Transmission Hub; Cote d’lvoire/Mali/Mali Link WAPP- Inter-Zonal Transmission Hub; Cote d’lvoire/Mali/Mali Link US$ 75 MUS$ 75 MWAPP-OMVG Power System WAPP-OMVG Power System US$ 300 MUS$ 300 MWAPP-Nigeria-Niger Interconnection System WAPP-Nigeria-Niger Interconnection System US$ 70 MUS$ 70 M

Inga-Regional and Domestic Power Markets Development Inga-Regional and Domestic Power Markets Development US$ 110 MUS$ 110 M

CAR/CHAD/Cameroon Corridor-Duala-Banjul and Duala-Ndjamena Road CAR/CHAD/Cameroon Corridor-Duala-Banjul and Duala-Ndjamena Road Construction Construction US$ 42 MUS$ 42 M

EARNP-NCTIP Road Construction EARNP-NCTIP Road Construction US$ 60 MUS$ 60 M

Questionnaire on shortlisted 12 programs identified on April 11Questionnaire on shortlisted 12 programs identified on April 11thth 2006, 2006,Main funding gaps identified:Main funding gaps identified:

EAPP-East Africa Power Market APL EAPP-East Africa Power Market APL US$ 115 MUS$ 115 M

WAPP-APL3 Phase 1 of Inter Zonal Transmission Hub WAPP-APL3 Phase 1 of Inter Zonal Transmission Hub US $45 MUS $45 M WAPP-Inter-Zonal Transmission Hub; Ghana System Reinforcement WAPP-Inter-Zonal Transmission Hub; Ghana System Reinforcement US$ 75 MUS$ 75 MWAPP-Inter-Zonal Transmission Hub; Ghana/Burkina Faso/Mali Link WAPP-Inter-Zonal Transmission Hub; Ghana/Burkina Faso/Mali Link US$ 55 MUS$ 55 MWAPP- Inter-Zonal Transmission Hub; Cote d’lvoire/Mali/Mali Link WAPP- Inter-Zonal Transmission Hub; Cote d’lvoire/Mali/Mali Link US$ 75 MUS$ 75 MWAPP-OMVG Power System WAPP-OMVG Power System US$ 300 MUS$ 300 MWAPP-Nigeria-Niger Interconnection System WAPP-Nigeria-Niger Interconnection System US$ 70 MUS$ 70 M

Inga-Regional and Domestic Power Markets Development Inga-Regional and Domestic Power Markets Development US$ 110 MUS$ 110 M

CAR/CHAD/Cameroon Corridor-Duala-Banjul and Duala-Ndjamena Road CAR/CHAD/Cameroon Corridor-Duala-Banjul and Duala-Ndjamena Road Construction Construction US$ 42 MUS$ 42 M

EARNP-NCTIP Road Construction EARNP-NCTIP Road Construction US$ 60 MUS$ 60 M

Which way forward? Who can commit, to what project?Which way forward? Who can commit, to what project?

-16-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-17-June 2006

Working with other Development Partners

India’s Support to Infrastructure in Africa

Discussion

-18-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-19-June 2006

Infrastructure effectiveness - Framing the issue

AfricanAfricaninstitutions institutions

and countriesand countries

Privatesector

Donors

StakeholderStakeholder

Area ofintervention

Area ofintervention

OverallFramework

ProjectPreparation

• Ability to scope• Project

ownership • Competing

projects

• Bottlenecks• Duplication of

efforts• Power /

delegation of authority issue

• Weak strategies vs reform adoption

• Focus on projects, not on enabling framework

• Limited impact

• Multiple PPFs & funds

• Low awareness• Gaps in cycle

• Lack of lawyers / project structuring capacities

• Protection of pipelines

• High transaction costs

• Need for other financial products

• Fast-track vs. risk

• Low / reduced activity in project preparation

• Limited contribution to business climate improvement

• Lack of project financiers

• Underdeveloped local financial markets

• Shortage of LT money

Project Finance &

Implementation

-20-June 2006

Infrastructure effectiveness - Framing the issue

AfricanAfricaninstitutions institutions

and countriesand countries

Privatesector

Donors

StakeholderStakeholder

Area ofintervention

Area ofintervention

OverallFramework

ProjectPreparation

• Ability to scope• Project

ownership • Competing

projects

• Bottlenecks• Duplication of

efforts• Power /

delegation of authority issue

• Weak strategies vs reform adoption

• Focus on projects, not on enabling framework

• Limited impact

• Multiple PPFs & funds

• Low awareness• Gaps in cycle

• Lack of lawyers / project structuring capacities

• Protection of pipelines

• High transaction costs

• Need for other financial products

• Fast-track vs. risk

• Low / reduced activity in project preparation

• Limited contribution to business climate improvement

• Lack of project financiers

• Underdeveloped local financial markets

• Shortage of LT money

Project Finance &

Implementation

-21-June 2006

Infrastructure effectiveness - Framing the issue

AfricanAfricaninstitutions institutions

and countriesand countries

Privatesector

Donors

StakeholderStakeholder

Area ofintervention

Area ofintervention

OverallFramework

ProjectPreparation

• Ability to scope• Project

ownership • Competing

projects

• Bottlenecks• Duplication of

efforts• Power /

delegation of authority issue

• Weak strategies vs reform adoption

• Focus on projects, not on enabling framework

• Limited impact

• Multiple PPFs & funds

• Low awareness• Gaps in cycle

• Lack of lawyers / project structuring capacities

• Protection of pipelines

• High transaction costs

• Need for other financial products

• Fast-track vs. risk

• Low / reduced activity in project preparation

• Limited contribution to business climate improvement

• Lack of project financiers

• Underdeveloped local financial markets

• Shortage of LT money

Project Finance &

Implementation

-22-June 2006

Infrastructure effectiveness - Framing the issue

AfricanAfricaninstitutions institutions

and countriesand countries

Privatesector

Donors

StakeholderStakeholder

Area ofintervention

Area ofintervention

OverallFramework

ProjectPreparation

• Ability to scope• Project

ownership • Competing

projects

• Bottlenecks• Duplication of

efforts• Power /

delegation of authority issue

• Weak strategies vs reform adoption

• Focus on projects, not on enabling framework

• Limited impact

• Multiple PPFs & funds

• Low awareness• Gaps in cycle

• Lack of lawyers / project structuring capacities

• Protection of pipelines

• High transaction costs

• Need for other financial products

• Fast-track vs. risk

• Low / reduced activity in project preparation

• Limited contribution to business climate improvement

• Lack of project financiers

• Underdeveloped local financial markets

• Shortage of LT money

Project Finance &

Implementation

-23-June 2006

Today’s main focus

AfricanAfricaninstitutions institutions

and countriesand countries

Privatesector

Donors

StakeholderStakeholder

Area ofintervention

Area ofintervention

OverallFramework

ProjectPreparation

• Ability to scope• Project

ownership • Competing

projects

• Bottlenecks• Duplication of

efforts• Power /

delegation of authority issue

• Weak strategies vs reform adoption

• Focus on projects, not on enabling framework

• Limited impact

• Low awareness• Multiple PPFs &

funds• Gaps in cycle

• Lack of lawyers / project structuring capacities

• Protection of pipelines

• High transaction costs

• Need for other financial products

• Fast-track vs. risk

• Low / reduced activity in project preparation

• Limited contribution to business climate improvement

• Lack of project financiers

• Underdeveloped local financial markets

• Shortage of LT money

Project Finance &

Implementation

-24-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-25-June 2006

Project Preparation –Tunnel of Funds

State of play on potential Pilot ProjectsState of play on potential Pilot Projects

Project Status of discussion Next steps

EAC – Regional Telecom Carrier

Request under preparation but delays in submission

1) Finalization of the request by end june

2) Contact with Partner Facility Managers for work-sharing

SADC – Southern african Power pool (SAPP)

Submitted a list of priority activities to be funded

Request to be prepared

1) Finalization of the request by mid-july

2) Contact with Partner Facility Managers for work-sharing

IGAD – Addis Ababa Dry Port

No answer -

Proposed way forwardProposed way forward

SHORT TERM : Launching of pilot projects under the Tunnel scheme

SHORT TERM : Launching of pilot projects under the Tunnel scheme

MEDIUM TERM : Validation of concept, generalizationMEDIUM TERM : Validation of concept, generalization

-26-June 2006

Project Preparation – Options for Change

Option 1 Option 1

Collaboration of existing Collaboration of existing facilitiesfacilities

Option 2 Option 2

““One-stop-shop”One-stop-shop”

Option 3Option 3

Performance partnershipPerformance partnership

Option 1 Option 1

Collaboration of existing Collaboration of existing facilitiesfacilities

Option 2 Option 2

““One-stop-shop”One-stop-shop”

Option 3Option 3

Performance partnershipPerformance partnership

Key messagesKey messages

Cannot be business as usual Cannot be business as usual for flow of projects for for flow of projects for financial closure to increasefinancial closure to increase

Resources for project Resources for project preparation is a shared preparation is a shared responsibility between responsibility between countries and donors countries and donors

More money is needed, which More money is needed, which will be more at risk and not will be more at risk and not always produce visible always produce visible outputsoutputs

Output-based solution offers Output-based solution offers many potential advantages many potential advantages

-27-June 2006

Innovative Financing: more and better

funding for development

International community has been looking for new tools to International community has been looking for new tools to

ensure sustained financing for development and the fight ensure sustained financing for development and the fight

against poverty. Now a consensus on the usefulness of such against poverty. Now a consensus on the usefulness of such

financing. financing.

79 countries endorsed the Declaration on Innovative Sources 79 countries endorsed the Declaration on Innovative Sources

of Financing for Development adopted on September 14, 2005 of Financing for Development adopted on September 14, 2005

at the United Nations.at the United Nations.

1. Taxation - environmental, arms, currency transactions,

multinational profit, global lottery

2. Bonds/pension funds – raise money on capital markets /

invest

-28-June 2006

Innovative Financing cont.

France

- Taxation, recently established an international solidarity contribution on airline tickets, effective from July 1, with part of proceeds going to the International Drug Purchase Facility.

African Development Bank (Annual Meetings, 2006)African Development Bank (Annual Meetings, 2006) - - TaxationTaxation, mobilise funds from Oil Exporting countries. , mobilise funds from Oil Exporting countries. Countries should put at least 5% of excess revenues arising Countries should put at least 5% of excess revenues arising from Oil Price windfall in to a from Oil Price windfall in to a special fundspecial fund to support regional to support regional infrastructure.infrastructure.

- - Bonds/pensionsBonds/pensions, AfDB should champion this in collaboration , AfDB should champion this in collaboration with other key institutions, and accelerate the process of bond with other key institutions, and accelerate the process of bond issues in local currencies .issues in local currencies .

UK Bonds, International Finance Facility (IFF): bonds issued on financial markets, backed by pledges from participating governments.

-29-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-30-June 2006

Agenda

1 Welcome and Outline of the Day

2 Commitment to identify and secure funding for 5 STAP projects

3 Working with other development partners

4 Improving infrastructure effectiveness – I

5 Improving infrastructure effectiveness – II

6 Adoption of work plan

7 Overview of tomorrow’s energy session / AOB

-31-June 2006

Agenda - tomorrow

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9:00 – 09:45

9:45 – 10:45

Session 1 Energy access and security in Africa Welcome and outline Introductory remarks – framing the issue-Introduction to Energy security in Africa: World Bank-Impact of high oil prices on Africa: African Development BankPresentations - actions taken or planned-Forum for Energy Ministers of Africa (FEMA)- Russia – plans for G8 Presidency- African Development Bank- World Bank- African Union

10:45 – 11:00 Tea and coffee

11:00 – 12.00 Discussion: what are the common threads? What is the way forward?

12:00 – 12:45

12:45 – 13:30

Session 2Challenges and opportunities in water resource managementPresentations: - Hydropower in Africa: World Bank - Water resources management, the Ethiopian experience: Ethiopia

Discussion: what is the way forward?

13:30 – 13:45 Summing up and close

-32-June 2006

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-33-June 2006

Thank you