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1. Basel, GEB, February 2012| André Schneider
Sustainable Infrastructure Project Guiding
Principles, Self-Evaluation and Validation Tool
Global Energy Basel Foundation (©)
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2. Disclaimer
The Sustainable Infrastructure Project Guidelines, Self-Evaluation and Validation Tool of the
Global Energy Basel Foundation is an adaption done by Daniel Wiener, chairman Global
Energy Basel and CEO ecos, and André Schneider, deputy chairman Global Energy Basel and
CEO and chairman André Schneider Global Advisory, of the "Guidelines and Principles for
Public Private Partnerships in Sustainable Water Management", which were designed in an
extensive multi stakeholder and expert consultation process by the consultancies ecos of
Basel and BHP of Zurich, commissioned by the Swiss State Secretariat of Economic Affairs
(SECO) and the Swiss Development Cooperation (SDC) in cooperation with the re-insurer
Swiss Re.
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3. GEB Rational
Fundamentals and GEB-Platform
• Confronting the challenges of climate change mitigation and adaptation,
resource scarcity and energy security will require massive investment in
the fundamental reconfiguration of the infrastructure that supports
modern society.
• By 2050, nothing will function as it does today. This challenge presents
huge opportunities both for investors, general contractors and for
projects owner.
• To accelerate the development of sustainable infrastructures we need a
common language and also definition between the financial, government,
and construction community. Even more so we need to clarify what
sustainable really means as many limit this very often to a pure ecological
question.
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4. GEB Rational
Fundamentals and GEB-Platform
• To create a common definition and language, we need to define criteria
that define a sustainable infrastructure project and this for its economic
side, its social side and its ecological side. We a also need to support the
understanding by offering a qualitative way to self assess the specific
qualities and challenges for such a project.
• By globally applying such a system of self assessment, we will also be able
to create a de facto grading which will help to manage risks better and
facilitate the decisions of financial institutions to invest in such projects.
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5. Guiding Principles
Ten Themes
The following ten themes clearly affect the performance of
sustainable infrastructure projects and their governance:
Accountability
Transparency
Customer Focus
Results Orientation
Poverty Responsiveness
Power-Balanced Partnerships
Shared Incentives
Sound Financing Mechanisms
Proactive Risk Management
Resource Protection
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6. The Ten Themes
Accountability and Transparency
• Governmental institutions, the private sector and
civil society organisations must be equally
accountable to their stakeholders and to the public.
• Transparency, the rule of law and effective oversight
all play a crucial role in making partnerships work
and holding actors accountable. Transparency is an
indispensable precondition to countering corruption
and bribery. Key to transparency is access to
information.
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7. The Ten Themes
Customer Focus and Results Orientation
• Customers as actors with rights and obligations are only
willing to pay if they perceive the level and quality of service
to be adequate. Therefore, striving to serve customers and
responding to their requests is essential.
• Agreement on overall goals and priorities permits the use of
results-driven steering mechanisms. This will provide scope
for innovative and efficient approaches.
• Distinct measurement criteria and agreed adjustment
processes in changing environments provide the basis for
effectively achieving goals.
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8. The Ten Themes
Poverty Responsiveness
• Running a sustainable infrastructure does not
necessarily or naturally address poverty issues.
• The delivery of basic services requires explicit efforts
by governments to meet the needs of the poor
through, for example, designing effective support
mechanisms - such as smart subsidies - to ensure
affordability.
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9. The Ten Themes
Power-Balanced Partnerships
• Successful relationships are based on negotiating
balances of power and capacity among the
contracting parties.
• Enabling stakeholders to effectively play their roles in
the sector is key for successful and accepted
processes.
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10. The Ten Themes
Shared Incentives
• Taking into account the range of stakeholders
and their objectives demands expectations
and interests to be made transparent. From
this starting point, common goals can be
identified, incentive mechanisms that link the
interests designed and possible adverse
impacts addressed.
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11. The Ten Themes
Sound Financing Mechanisms and Proactive Risk Management
• Self-financing infrastructure services are at the core of
sustainable services. The focus must be on financially
appropriate systems and service levels, as well as on
favourable financing architecture.
• Exposure to, and management of, commercial and non-
commercial risks strongly influence the prospects of
success. A risk culture that identifies the risks, allocates
them appropriately and uses effective mitigation
strategies significantly improves the risk profile.
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12. The Ten Themes
Resource Protection
• Respecting the limits and protecting the
quality of resources available through a
systematic assessment of the environmental
impact of planned activities and investments
is required.
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13. Self-Evaluation and Validation Tools
An overview and first approach to performance
Accountability
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Resource Protec on 3.5 Transparency
3
2.5
2
Proac ve Risk 1.5
Customer Focus
Management 1
0.5 Good Performance
0
Modest Performance
Sound Financial
Results Orienta on
Mechanisms
Shared Incen ves Poverty Responsiveness
Power-Balanced
Partnership
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