Financing JESSICA Projects: the cases of Portugal and Andalucía

Transcription

1 Brussels, 27 June 2012 Financing JESSICA Projects: the cases of Portugal and Andalucía Pedro Couto Local Officer JESSICA Holding Fund Portugal JESSICA South Western Unit JESSICA & Investment Funds Division European Investment Bank Nuno Vitorino Secretary General JESSICA Holding Fund Portugal

2 Agenda Portugal and Andalucía Structure Investment strategies Timeline Investment Portfolio Portugal in more detail Investment Portfolio Financed Projects Increasing attractiveness towards promoters Final Remarks Stakeholders/National authorities expectations towards project financing through JESSICA 2

3 Portugal and Andalucía 3

4 Basic Characteristics PORTUGAL One HF managed by EIB HF ANDALUCIA One HF managed by EIB 6 OPs, 5 Regions (same Axis across Regions) 1 OP, 1 Region, 1 Axis UDFs 3 UDF 2 UDF Amount Awarded 130 M 80 M Co-investment at UDF level 61 M 0 M From the UDF: 144 M From the project promoter: x2,5 times Co-investment at Project Level From the UDF: At least 40 M

5 Investment strategies (1) PORTUGAL Urban rehabilitation and regeneration, including infrastructure and equipment; Renewable energy and Energy efficiency; Urban economic regeneration, specially regarding SME or innovative companies; Communication and Information Technologies, including broadband and wireless. Final recipients Public, private or public/private Investment Typologies Investment procurement ANDALUCIA Urban infrastructure, including those aiming at improving mobility and utilities and also cultural, tourist, social and educational infrastructures and the rehabilitation and upgrading of cultural heritage. Regeneration of derelict industrial areas and the creation of facilities for SMEs and innovative firms. UDFs are responsible for selection and financing of Urban Projects. UDFs have an open pipeline on a first come, first served basis. UDFs shall prepare and submit a definitive portfolio of eligible urban projects and Business Plan within 12 months from the date of the signature of the Operational Agreement.

6 Investment strategies (2) PORTUGAL Regional split of the JESSICA 100M OP contribution: North 30M Center 20M Lisbon 5M Alentejo 10M Algarve 5M BPI: Only Loans TdP: Only Tourism enhancing investments Maximum JESSICA investment per project of 3,5M Focusing the instrument at HF Level Focusing the instrument at UDF level ANDALUCIA 60% investments in big cities (> inhabitants) 40% in small/medium cities. Maximum investment of EUR 15 M per project in big cities Maximum investment of EUR 5 M per project in small/medium cities BBVA: Only Loans ACJA: Equity, Quasi-Equity and Loans

7 Timelines Implementation Andalucía Apr-10 Sep-10 Nov-10 Mar-11 May-11 Oct-11 May-12 Call for EoI Selection of UDFs Signature of Oas Construction of Project Portfolio Portugal Apr-10 Sep-10 Nov-10 Mar-11 May-11 Oct-11 May-12 Call for EoI Selection of UDFs Signature of Oas Construction of Project Portfolio Start of Project Financing Notes: Implementation period important to raise awareness from both potential UDFs and promoters; Targeted communication was more effective, by engaging promoters (increasing demand side of this instrument) before talking with potential UDF promoters (increasing demand for the management of this financial engineering instrument). Andalucía project procurement strategy allowed for closed fund approach.

8 Project portfolio at a) Pipeline per typology of project (number of projects ): 8

9 Project portfolio at a) Pipeline per typology of project (amounts in M ): Notes: Very high demand for touristic accommodation in Portugal. Andalucía shows a more balanced procurement across sectors. 9

10 Portugal in more detail 10

11 Project portfolio at a) Pipeline per typology of project: 3% 3% 5% 6% 3% 15% 3% 6% 7% 8% 41% 11

12 Project portfolio at a) Pipeline per typology of project: Not every region is the same 3 examples: 12

13 Project portfolio at a) Pipeline per region: Not every region reveals similar demand: 317% 521% % Pipeline/JESSICA Funds coverage 25% 54% 56% 13

14 Project portfolio at b) Investment agreements signed with project promoters : Fundação Eugénio de Almeida: Acrópole XXI Total Investment: 10M JESSICA 1.65M UDF Co-financing 1.65M Impact/multiple factor of 6x 1 Arts and culture centre 1 Museum 14

15 Project portfolio at b) Investment agreements signed with project promoters: Terreiro do Paço: Commercial spaces and the Lisbon Story Centre Total Investment: 10M JESSICA UDF Co-financing 1.1M 1.1M Impact/multiple factor of 9x 5 restaurants 1 commercial space 1 cultural space 1 showroom on the story of Lisbon 1 event room 1 terrace 15

16 Increasing attractiveness towards promoters 1. Communication and expectation management 2. Removing uncertainty on eligibility 3. Periodic revision of action plans (HF and UDFs)

17 Increasing attractiveness towards promoters Communication plan Coordination of messages between MAs, HF, UDFs Roadshows for promoters and municipalities but also below the line communication action, namely with consultants Communicating signed projects More exposure of the instrument and concrete examples of use Promoters see similar projects approved = more projects submitted

18 Increasing attractiveness towards promoters Eligibility clarification Meetings between National Certifying Authorities and JHFP/UDFs Establishing direct communication channels between UDFs and MAs Establishing clear and homogeneous rules under regional OPs for JESSICA use Clearer project and eligibility rules Less risk for HF, UDF, Promoter = more projects submitted/approved

19 Increasing attractiveness towards promoters Revision of Action Plans IB Meetings coordination of UDF action with MA s expectations Periodic analysis of JESSICA implementation Detailed semi-annual UDF action plans to accelerate implementation Monitoring and maybe requesting mitigating actions towards project concentration Stimulus for proactive project procurement Larger sectorial and geographical scope = more projects submitted

20 Final Remarks 20

21 Final Remarks Difficulties faced and overcomed Results achieved Excellent opportunities identified Prospects for next programming period

22 Contact information JESSICA & Investment Funds European Investment Bank 100, Bvd. Konrad Adenauer L-2950 Luxembourg jessica@eib.org JHF Andalucía: c.ruizbeneyto@eib.org JHF Portugal: geral@fundojessicaportugal.org 22