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The Use and Impact of PFI in Urban Mobility Projects
15.04.2023
Sharon KindleysidesPrevious-Past Chairman ITS UK, Manging Director Kapsch TrafficCom Ltd
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Agenda
What are the Problems of Funding Urban Mobility Projects?
How can a PFI help?
What are the downsides?
Examples of PFIs from the UK?
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What are the Problems of Funding Urban Mobility Projects?
Financial:
Lack of available fundsTransport Infrastructure is further down the list of
priorities than say health or education
Muncipalities may find it difficult to borrow the sums required
Projects may tie-up money for a considerable period of time – up to 30 years!
15.04.2023
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What are the Problems of Funding Urban Mobility Projects?
Practical:
The projects are long term in implementation and benefits and may cover a number of election cycles
A single project may be large and cover multiple sectors
Public Transport, Utilities, Employers, Municipal Authorities
Projects may cover a large geographical area and several municipalities.
15.04.2023
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What are the Problems of Funding Urban Mobility Projects?
Technological
Element of technological risk as the project may be the first of its kind
Returns / Benefits may subjective and not be easily quantifiable or moneytised at the outset
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How can a PFI Help?
Access to funding is arranged as part of the project
The partners in the PFI Consortium have a vested interest in getting the solution to work and delivering on time and to budget
Their money and reputation is at risk!
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How can a PFI Help
The Consortium understands its technologies and can be more innovative and deliver a holistic „solution“ rather than an off-the-shelf system
Eg Providing „Mobility as a Service“ rather than a specific metro route
Projects that might not otherwise be deemed a top priority can be undertaken.
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How can a PFI help?
The PFI Project is the provider‘s showcase, it is in their interest to ensure the scheme is up-to date and implement improvements over time.
15.04.2023
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What are the downsides?
Potentially more expensive in the long term.
On a national scale Governments can borrow money more cheaply than companies.
The price may be inflated as fewer companies are able to bid for the work
The procurement process is more complicated to ensure financial credibility of the bidding Consortia.
Goals of the scheme and the way in which the operator is rewarded must be in-line.
15.04.2023
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Examples of PFIs in Mobility in the UK
Large Scale Projects Where the funding wasn‘t available from the Government
Tolls or fare available to recoup some of the costs:
Severn Crossing (GBP 331 Mio BRL 1655 Million)
Relief Motorway Bridge
M6 Express Way (GBP 485 Mio BRL 2425 Million)
New stretch of road to relieve congestion on the state funded motorway
Dockland Light Railway Extensions
15.04.2023
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Examples of PFIs in Mobility in the UK
Other projects where repayment was not through levying use charges:
Small scale project such as lighting improvements
Larger projects such as the M25 widening and „hard-shoulder running“
National Roads telecommunications System – Comms Backbone for the Motorway Network (GBP 54 Mio BRL 270 Million
15.04.2023
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Future PFI Project Areas in Mobility?
Connected Cities & Internet of Things Infrastructure
Cloud Data Facilities for Floating Vehicle Data, Co-Operative IST
National Road Telecomms over 5G
HGV Platooning on Motorways
…
15.04.2023
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www.kapsch.net
15.04.2023
Please Note:The content of this presentation is the intellectual property of Kapsch AG and all rights are reserved with respect to the copying, reproduction, alteration, utilization, disclosure or transfer of such content to third parties. The foregoing is strictly prohibited without the prior written authorization of Kapsch TrafficCom AG. Product and company names may be registered brand names or protected trademarks of third parties and are only used herein for the sake of clarification and to the advantage of the respective legal owner without the intention of infringing proprietary rights.
Sharon Kindleysides| Managing DirectorMobile +44 (0)771 [email protected] Kapsch TrafficCom Ltd | Unit 2 espace | 26 St Thomas Place | Ely | CAMBS Ι CB7 4EX | UKwww.kapsch.net | www.kapschtraffic.com
Obrigada!
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