Petter Matthews

Executive Director, CoST International Secretariat

International Symposium on the Governance of Infrastructure

Session 3: Transparency & Integrity

29 February 2016, OECD Paris

@CoSTransparency

Structure

1. What is the problem?

2. What is CoST’s response?

3. How does it do this?

4. Examples of impact.

@CoSTransparency

What is the problem?

“Corruption occurs in the shadows, the great

thing about CoST is it shines a light on the dark

areas and illuminates them”

Value global construction likely

to be $15.5 trillion by 2030 Potential savings of $5 trillion

annually

Estimated that 10-30% lost

through corruption

Geoff French, Past President of Institution of

Civil Engineers (ICE) &

International Federation of

Consulting Engineers (FIDIC)

@CoSTransparency

What is CoST’s response?

CoST drives better value from public infrastructure investment

CoST increases transparency & accountability

CoST is a global standard

CoST changes lives CoST is an essential catalyst

for change

@CoSTransparency

Better value for money and better quality infrastructure

Informed citizens and responsive public institutions work together

Multi-stakeholder initiative, promoting disclosure

How does CoST do this?

Start: Corruption and mismanagement

End: Increased quality of life for citizens

@CoSTransparency

Examples of impact Rehabilitation of the Belize Bridge, Guatemala

CoST identified that an invalid procurement process had been followed. Further

investigations determined that the planned work was also unnecessary. The

project was eventually cancelled saving $4.5 million of public money.

Improvements to M40 Junction 15, United Kingdom

CoST identified delays caused by a utility company undertaking maintenance and

preventing site access. The contractor claimed $6.4 million in compensation. The

Highways Agency was encouraged to introduce new measures to ensure better

coordination of site access.

Gindeber to Gobensa Road Upgrade, Ethiopia

The CoST Assurance Team questioned the quantity of earthworks allowed for at the

design stage. The Road Agency reviewed the design and determined there was a

vast overestimate. Design team fired and debarred from future contracts. Cost saving

approximately $3.8 million.

www.constructiontransparency.org

cost@constructiontransparency.org

CoST International

@CoSTransparency

Construction Sector Transparency Initiative (CoST)

Construction Sector Transparency Initiative (CoST)