E3 Advisory’s Post

Infrastructure investment drives national and local economic growth, shapes sustainable communities, and provides skills and jobs across the country. Improving the pathway for project delivery to unlock these benefits will undoubtedly be a top priority for any future government, and today Balfour Beatty plc - alongside 12 of the UK’s largest construction and infrastructure companies, including AtkinsRéalis - have put forward a Blueprint for Growth to support that aim. This joint Blueprint sets out recommendations to create the best conditions for infrastructure delivery, from stability and certainty in infrastructure policy to streamlining consenting processes and measures that will strengthen skills and capability across the supply chain. It also represents a collective commitment from our industry to collaborate and help to pick up the pace of delivery and drive sustainable economic growth across the UK. You can read more here: https://lnkd.in/esNQqjDw #infrastructure #construction #collaboration

With the sheer volume of capital program delivery we face, we must come together as a collective industry to work through how we successfully control and manage that delivery. What better place than at the Foundations and Frontiers Forum? #kpmg #construction #programdelivery #projectmanagement #projectcontrols

Cost overrun and delays are not a new topic for Australian infrastructure projects, still the Federal Budget 2024 released this week was another great wake-up call for the industry. We will invest $10.1b to ensure current projects can be delivered, including an additional: - $3.25b for North East Link in VIC - $1.4b for METRONET projects in WA - $1.15b for Direct Sunshine Coast Rail Line in QLD - $50m for existing Appin Road project in NSW - $27.1m for duplication of William Hovell Drive in the ACT A number of studies have highlighted key factors that can contribute to higher costs for Australian infrastructure projects. Considering these, the question is how we can deliver MORE & FASTER & COMPLIANT with LESS?! - Industrial relations and labour regulations - Lower productivities including efficient procurement methods - Lack of effective and transparent governance, assurance and project management / controls - Complex engineering & design requirements - Regulations and standards, and - Unrealistic risk allocation, risk quantification & assumptions during project development with the objective of minimising up-front costs No one has all the answers, but we need opportunities to TALK, TRUST, COMMIT and make each other ACCOUNTABLE for a better national performance! The coming Foundations and Frontiers 2024 (FF24) event on 08/08/2024 here in Sydney is one of these opportunities. The event is organised by Australian Constructors Association (ACA) and supported by KPMG Australia. Further details: https://lnkd.in/gCCgNVGp We will NOT give up!, we just #imaginewhen 😊 👍

Congratulations to S&B USA Concessions and Macquarie Group for our second award of the year recognizing the innovative PennDOT Major Bridge P3 Project. 🏆🏆 Last night in New York City, our team accepted a prestigious P3 Award for the Best Road, Bridge or Tunnel Project. With a capital investment value of $2.3 billion, this is the largest bundled bridge project delivered in the U.S. under a P3 agreement. The megaproject addresses Pennsylvania’s backlog of major bridges needing replacement and rehabilitation through the design, construction, sustainable financing, and routine and life-cycle maintenance of six interstate bridges across the commonwealth that are essential to the state’s intra and interstate transportation system. The program demonstrates how a true partnership between the public and private sectors can help deliver critical infrastructure projects faster and more efficiently than other alternative procurement processes. We expect to complete all construction by summer 2028.    The P3 Award judges said: “The Major Bridge P3 Project is celebrated for its innovative procurement and structure, demonstrating substantial advancements in bridge construction and project management within the sector. The project’s use of a PDA is a pioneering example, enhancing cost efficiency and expediting development. Despite some challenges in risk management, the project’s impressive financial structuring, local participation, and sustainability measures have set a new standard in public-private partnerships.”   In July, this project also won the Innovation of the Year award from the American Road and Transportation Builders Association (ARTBA). 👏👏   Learn more: https://lnkd.in/eu7askDB   #infrastructure #publicprivatepartnerships #innovation #bridges #construction

We are delighted to share that Lisa Boyd has been featured in the Belfast Telegraph, looking into the potential opportunity for Public-Private Partnerships to be used in progressing capital projects in Northern Ireland. Speaking on the benefits and many applications of PPPs, Lisa suggested there is real gain through expedited project delivery, increased efficiency and more. “Throughout the late noughties, we saw the rapid decline of public-private partnerships (PPPs) private finance initiatives. These delivery mechanisms, whereby the public sector enters into partnership with the private sector for the delivery of infrastructure, have fallen out of favour. However, a reintroduction could see more projects break ground sooner rather than later, and PPPs carry with them a number of benefits. PPPs allow the private sector to assume specific risks associated with project delivery, such as construction, operation, and maintenance.” – Lisa Boyd, Partner, Projects Construction & Procurement. Read the full article here: https://lnkd.in/eq2-Qixe

PPP as a trend in construction contracts... Public-Private Partnerships (PPPs) are becoming a prominent trend in construction contracts due to their ability to address challenges in infrastructure development while leveraging private sector resources. Here's why PPPs are gaining traction: 1. Addressing Funding Gaps Governments face budget constraints and rising infrastructure demands. PPPs bring private sector investment to fund large-scale projects. Private financing reduces the immediate fiscal burden on public entities. 2. Risk Sharing Risks such as cost overruns, delays, and operational inefficiencies are shared between public and private parties. Private sector expertise in managing risks enhances project performance. 3. Efficiency and Innovation PPPs incentivize private partners to adopt cost-effective and innovative construction techniques. The private sector often delivers projects faster and more efficiently than traditional public procurement methods. 4. Lifecycle Approach PPPs often involve Design, Build, Operate, and Maintain (DBOM) contracts, ensuring long-term quality and performance. This aligns private sector incentives with the lifecycle of the infrastructure asset. 5. Economic Stimulus PPPs attract foreign direct investment (FDI), boosting local economies and creating jobs. Improved infrastructure facilitates trade and economic growth. 6. Focus on Sustainable Infrastructure PPPs encourage private sector adoption of sustainable construction practices and technologies, aligning with global climate goals. 7. Global Success Stories Countries like the UK, Canada, and Australia have successfully implemented PPP models in sectors like transportation, water supply, and energy. These examples inspire others to adopt similar frameworks. 8. Institutional and Policy Support International organizations like the World Bank, IFC, and EIB actively promote PPPs as a development tool. Governments are creating PPP units and legal frameworks to facilitate these partnerships. Challenges and Mitigation While PPPs offer many benefits, challenges like complex negotiations, long procurement cycles, and potential public opposition exist. These can be mitigated by: Transparent processes. Well-drafted contracts with clear risk allocation. Robust feasibility studies and stakeholder engagement. Conclusion PPPs represent a balanced approach to tackling infrastructure needs, fostering collaboration between public and private sectors while ensuring sustainable, efficient, and high-quality project delivery. As global infrastructure demands grow, PPPs are poised to dominate construction contracts. #PPP #private #public #partnershipship #construction #contract #law

Forward-thinking budgeting fuels infrastructure success. Project lifetimes and impact are extended when there’s a strong financial foundation in place before construction begins. Being open to innovative alternatives can set the course for creative short-term and long-term financing strategies. Michael Palmieri, Senior Vice President of Project Finance and Structuring at Glydways, an urban transport provider, weighs in on the financial balancing act: “Various financial structures can help address affordability. But we shouldn’t push the cost of today’s problems onto people in the future.” Take the right steps before infrastructure construction projects start. Read what today’s experts are saying about the essential infrastructure best practices in the new industry report: Infrastructure Outlook 2024. #infrastructure #majorprojects #riskmanagement #p3 #ppp #procurementrisks #procurement #bestpractice

Forward-thinking budgeting fuels infrastructure success. Project lifetimes and impact are extended when there’s a strong financial foundation in place before construction begins. Being open to innovative alternatives can set the course for creative short-term and long-term financing strategies. Michael Palmieri, Senior Vice President of Project Finance and Structuring at Glydways, an urban transport provider, weighs in on the financial balancing act: “Various financial structures can help address affordability. But we shouldn’t push the cost of today’s problems onto people in the future.” Take the right steps before infrastructure construction projects start. Read what today’s experts are saying about the essential infrastructure best practices in the new industry report: Infrastructure Outlook 2024. #infrastructure #majorprojects #riskmanagement #p3 #ppp #procurementrisks #procurement #bestpractice

Thames Water picks 10 consultants for major upgrade plans: Firms will share £400m of fee work over next five years

📣 Thames Water Capital Delivery AMP8 Major Projects Pipeline Introduction Webinar Thames Water’s Capital Delivery business is planning to spend circa £790m on major projects during AMP8. Thames Water will be holding a webinar to provide an overview of its anticipated major projects pipeline for AMP8. This webinar intends to provide further detail on the pipeline (where available), relating to the programme, delivery model, and key challenges & risks. Time limit for expressions of interest: 14 November 2024 Webinar Notice: https://buff.ly/3Aeyxpr If you need support with your tender pipeline, contact us today: ✉️ enquiries@bwlgroup.co.uk 🌐 https://buff.ly/3v2i3hN 📲 01325 792 744 #TenderOpportunity #Procurement #Tender #BWLGroup #BidWriting #BidManagement #AMP8 #ThamesWater #Webinar