The Public Private Partnership (PPP) Office under the Prime Minister’s Office has on 27 April 2014 awarded a PPP Transaction Advisory services contract to a joint venture of PricewaterhouseCoopers (PwC) and BMB Mott Macdonald for upgrading 32km Hemayetpur-Singair-Manikganj Road into 4 lane expressway on PPP basis.
The Hemayetpur-Singair-Manikgonj road is a by-pass road to Dhaka Aricha National Highway (N5) and plays a strategic role in the transportation network in Bangladesh, connecting the North West part of Bangladesh to the capital, Dhaka. This 4 lane road is subject to heavy traffic catering to an estimated 25,000 PCUs (passenger car unit) per day. Moreover, with further planned road networking projects, the traffic is expected to increase significantly. A dedicated 4 lane expressway is required to reduce congestion and journey times, meet the demand of existing traffic and reduce the road accident. In addition, the expressway will require construction of standard wide flexible pavement, road median, bus/truck bays, interchanges, bridges and river crosses.
The Transaction Advisory services contract focuses on undertaking a technical, commercial, financial, environmental and social viability study and support in designing a PPP structure for the proposed expressway. The technical feasibility will include detailed engineering surveys, design & analysis (road, bridge, hydrography, topography) as well as environmental and social assessments. The transaction advisors will support the PPP office in designing a PPP structure optimising the revenue potential of the project and risk allocation amongst different stakeholders. This will aid to attract the best available companies in the bidding process. They would also provide assistance to the implementation agency in the delivering the project, including developing bid evaluation, governance strategy and bid documents; project marketing; assistance in bid evaluation, project negotiation and contract signing.
PwC is one of the largest advisory firms and the leading PPP / Project Finance advisors globally that provides industry-focused assurance, tax and advisory services to enhance value for its clients and their stakeholders and is among the leading advisors in transaction executed globally. Mott Macdonald is a global management, engineering and development consultancy which will be providing the engineering, environmental and social expertise for the technical feasibility study.