Introducing GIZ s Public-Private-Partnership Instrument

Transcription

1 Introducing GIZ s Public-Private-Partnership Instrument Deutsche Gesellschaft für Internationale Zusammenarbeit GIZ Bob Heereman, Windhoek, Seite 1

2 Contents Introduction to GIZ Public Private Partnerships 17/11/2011 Seite Page 2

3 Introduction to GIZ 17/11/2011 Seite Page 3

4 The Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH As a 100% federally owned, public-benefit enterprise, we support the German Government in achieving its development policy goals. Established on 1 January 2011, GIZ brings together, under one roof, the long-standing expertise of DED, GTZ und InWEnt. GIZ operates in more than 130 countries, and employs approximately 19,000 staff members worldwide, more than 60% of whom are local personnel. Seite Page 4

5 GIZ worldwide Seite Page 5

6 GIZ s fields of action in Namibia Natural resources management and rural development GTZ supports land reform activities, sustainable natural resource management, the Namibia Program to Combat Desertification and the National Biodiversity Program. Transport GTZ promotes the road transport sector in planning, organising and financing the road network. Its main focus is on economic efficiency criteria. Seite Page 6

7 GIZ s fields of action in Namibia (cont.) Economic promotion In order to strengthen the economy, GTZ is supporting the small-scale enterprises sector in Namibia. The most important aims are to improve access of small and medium-sized enterprises (SME) to financial resources and general advisory services. Mainstream Topics Further to the activities undertaken in the three agreed priority areas, Germany and Namibia also cooperate at supra-project level on good governance, gender equity and HIV/AIDS prevention. Seite Page 7

8 Public Private Partnerships (PPPs) 17/11/2011 Seite Page 8

9 PPP Background GIZ worldwide German Federal Ministry for Economic Cooperation and Development initiated the programme in 1999 Joint projects by GIZ and privately owned companies In more than 70 emerging nations and developing countries Over 1,200 partnerships to date, worth a total of EUR 504 million Seite Page 9

10 PPP Background GIZ Namibia Since 2005 GIZ has spend over NAD 3 million on PPPs in Namibia So far 6 PPPs have been concluded and 3 are currently running (Private Partners: NamPost Savings Bank, Pupkewitz Megabuild, BFS Nampro Fund Manager) GIZ s PPP funds for Namibia are hosted by our Partners SMEs Compete and Global Compact Network Namibia (GCNN) Seite Page 10

11 Definition of PPPs A PPP is a cooperation between one or more private businesses or a business association and GIZ is a co-financed project that produces tangible commercial benefits for the private partner(s) and at the same time developmental benefits for Namibia is designed by both partners, but implemented solely by the private partner(s) Lasts between 2 to 4 years Seite Page 11

12 PPP Option 1: Piloting market place improvements Test innovative sales strategies to reach into underserved markets (e.g. mobile stores, franchise models) Test innovative supply chain solutions for lower sourcing costs and higher value added in Namibia Test business case behind capacity building programs for suppliers (i.e. decrease in costs outweighs investment into training, mentoring, etc.) Test business case behind workplace programs (i.e. Increase in labour productivity outweighs costs of program) Seite Page 12

13 PPP Option 2: Building infrastructure Establish intermediaries for value chain optimisation, e.g.: a bottleneck through which products from decentralised informal producers are sourced Access to finance solutions for informal suppliers or poor customers Establish certification systems, e.g.: Quality assurance certification of informal suppliers Ecological certification of suppliers Seite Page 13

14 Benefits to the partners Private Partner: Shared costs and business risk of innovative improvements to core business Effective and sustainable contribution to development goals of Namibia Access to development expertise of GIZ Public Partner: High degree of efficiency, sustainability and local ownership of development intervention Seite Page 14

15 Where to look for PPPs Developmental Challenges PPP Potential Business Challenges Seite Page 15

16 How can we identify PPP potential? workforce community market environment challenges: What challenges does our farm/industry face? Stakeholders: Who are the major stakeholders involved? solution-ideas: What can we do to tackle the challenges? business benefits: What benefits does our business gain from engaging? Seite Page 16

17 What is a Public Private Partnership? Contribution Contribution Private Partner Commercial benefit Public- Private- Partnership Project Public Partner Public Welfare benefit Seite Page 17

18 General PPP Criteria Compliance: Every PPP has to comply with the development-policy principles of the German Government. Complementarities: Public and private contributions must be mutually complementary, i.e. cooperation must enable both partners to achieve their objectives more cost-efficiently, effectively and swiftly. Subsidiarity: Public support for the PPP measure is only given if the private partner would not otherwise implement the PPP and if the PPP is not a legal necessity. Seite Page 18

19 General PPP Criteria (cont.) Competitive neutrality: The measure must not distort competition. Private sector's own contribution: The private partner makes a substantial cash and/or in-kind contribution to the project costs (usually 60%; overall volume usually EUR), is responsible for the project s implementation and commits himself for at least 2 years Uniqueness: The intervention has not yet been implemented in the same form with another partner Seite Page 19

20 General PPP Criteria (cont.) Roll-out potential: PPP Option 1: A successful project must be adoptable by other players of the same industry or be transferrable in principle to other industries. PPP Option 2: The infrastructure put into place through the PPP must benefit a variety of stakeholders, including other players from the private partner s industry Seite Page 20

21 Timeframe and milestones Step of process According timetable Idea-generation/-finetuning Proposal Development of project plan Signing of MoU Project implementation Monitoring (steering committee) Evaluation company (private partner/s) GIZ (public partner) Seite Page 21

22 The GIZ does not offer Subsidies Export promotion Venture-capital measures Low interest loans Start-up support Seite Page 22

23 For further questions please contact: Bob von Heereman Technical Advisor CSR & PPP GIZ 7 Schwerinsburg Street PO Box Windhoek Robert.Heereman@giz.de Phone: Cell: Seite Page 23