This section is often the most challenging. The quizzes focus on the various stages of a project, from the planning and construction phases to the operational phase. A recurring theme in the assessments is risk allocation. The golden rule of infrastructure investing is that risks should be allocated to the party best able to manage them. For example, construction risk is typically borne by the contractor, while demand risk might be shared between the public authority and the private partner. Module 3: The Role of Public-Private Partnerships (PPPs)
C) Diversification
Answer: d) Low-return
In a non-recourse project finance deal, if the SPV defaults on its loan, the lender can: This section is often the most challenging
To salvage the project, the sponsors propose a "toll increase." Who typically has the right to approve this? The golden rule of infrastructure investing is that
: An SPV is often described as an "empty shell" that serves as a hub for various project and financial contracts. Sponsor Categories : : An SPV is often described as an
Answer: C) $1 trillion per year