3.2 Technical Issues

Under this stream of analysis, the government should assess current technical constraints in the sector to be reformed (to the extent they are known) including system efficiency, utility operations, and responsiveness to customers. It should determine the degree to which operational issues are a result of underinvestment, poor investment planning, maintenance, ineffective management, lack of operational expertise, or other issues.

Investments underway and investments planned, as well as existing assets, should be catalogued-to the degree that this information is relevant to the reform and can be obtained in a cost-effective manner.

The analysis needs to take into account connectivities, links, and interdependencies of various infrastructure elements (e.g., electricity generation vs. distribution, connectivity of

Figure 2: Generic PPP Project Sequence

Source: Heather Skilling. 2007.

transport modes, validity of tickets/billing across transport modes, technical standards to be followed, etc.).