ULAANBAATAR – July 22, 2016 – The Global Green Growth Institute (GGGI) and the Asian Development Bank (ADB) signed a Memorandum of Understanding with the Government of Mongolia to advise in the preparation of green Public-Private Partnership (PPP) projects that can deliver more services faster, at lower cost, and to a higher standard.
The Memorandum of Understanding (MoU) is the first co-advisory framework arrangement between ADB and GGGI to the Government of Mongolia GoM). The proposed technical assistance is intended to help speed up the delivery of private sector funding to critical infrastructure projects by structuring greener and bankable projects through technical assistance.
GGGI has been working with the GoM since 2015, to develop contractual PPP models and technical specifications for greener, pro-poor PPP applications, starting with public education buildings.
“This partnership aims to develop broader green infrastructure PPP programs that help Mongolia access low-cost finance for energy efficient public building projects by designing a financing structure that benefits government and enhancing public and private capital flows into the program,” said Ms. Seung-yeon Stella Lee, Senior Project Manager and Infrastructure/PPP Specialist at GGGI.
Under the MoU, GGGI will focus on helping to guide the business case development of potential green PPP projects and to catalyze private capitals and low-interest green capital flows into the program.
The partnership aims to achieve three outputs by mid-2020: (i) Potential PPP projects that provide priority and essential services are screened and are selected in accordance with the national and city development plans and legislative requirements (ii) At least 10 PPP business cases are prepared that include fiscal affordability and value-for-money tests (iii) Effective and sustainable project development facility is placed.