Santa Cruz de Tenerife, Canary Islands December 10, 2013 How to be strategic when bidding on WB financed projects Gilles R. Garcia Manager, Enterprise Outreach Services The World Bank Group
The World Bank Group Established in 1944 (together with the IMF) in Bretton Woods, first loan in 1947 5 entities (IBRD, IDA, IFC, MIGA, ICSID) Headquarters in Washington DC, 200 offices worldwide $53B engagement in FY13 25 000 employees (15 000 staff and 10 000 consultants) AAA Bank and Development institution Only active in emerging and developing economies
The World Bank Group: 2 Banks in 1 The Transaction Bank providing financing to exporters and investors The Solutions/ Knowledge Bank sharing 70 years of experience in emerging economies
to reach our two overarching objectives: Ending Extreme Poverty by 2030 Promoting Shared Prosperity
The World Bank Group : A Transaction Bank with 2 main doors For Exporters For Investors $31,5 B (60%) of WB lending in 2013 turned into $25B worth of procurement opportunities $18,3B (35%) of IFC cofinancing $2,7B (5%) of MIGA guarantees against Political Risks For a Total Commitment of $52,6 B in 2013
$ 25 B procurement opportunities on WB financed contracts, $ 100 B on aid funded business Banks World Bank UN EU Development Agencies Other Development Banks Bilaterals and $ 4 500 B of public procurement in developing countries (15% of GDP)
World Bank $25 B procurement contracts Regular flow of 100,000 WB financed contracts worth $25 billion per year in all categories (CW,G,C), sectors (Hard to soft) and size(from $10 000 to $600M), 10,000 contracts prior reviewed (10%) worth $12.7 billion (50%), 77 % contracts are ICB, 10 % contracts are NCB, 70 % of contracts awarded to local companies, «Best practice» projects 220 WB staff involved in procurement, the Bank is a referee for companies who are sure to get paid, Large majority of bidders are SME s. to access $ 4 500 B public procurement contracts
Millones In FY 2013, Spain #1 on WB Prior Review Contracts 900 800 700 600 500 400 300 200 100 0 European Performance on WB-financed contracts FY 2013 Data as of September 2013
Spain #2 on WB Prior Review Contracts FY 2007-2013 Overall Result Millones 4.000 3.500 3.000 2.500 2.000 1.500 1.000 500 0 European Performance on WB-financed contracts FY 2007-2013 Overall Result Data as of September 2013
% of total prior review contract awards Millones A Regular increase since 2010 8,00% 6,00% 4,00% 2,00% 0,00% Spain Prior Review Contract Awards FY07-13 (data as of Sept. 2013) 2007 2008 2009 2010 2011 2012 2013 1.000 800 600 400 200 Amount (USD) % of total amount % of total contracts 0 In FY 2008-2013, Spain was awarded some 324 Prior Reviewed Contracts, worth close to $2 760 M Spanish performance estimates are at some 3000 contracts, worth over $5 500 M
50% of Spanish Prior Review Contracts awarded in LAC, primarily in Brazil, Mexico, and Colombia Millones ECA 18% MENA 2% AFR 10% SA 20% By Region EAP 0% LAC 50% 1.200 1.000 800 600 400 200 0 Top Countries for Spanish Bidders on PRC 08-13
Infrastructures represent 96% of Spanish Prior Review Contracts FY 2008-2013 By Category Consultants 5% 16% By Sectors 1% 1% 1% 1% Goods 42% Civil Works 53% 25% 55% Transportation Water Health & SS Agriculture Energy & Mining Public admin & law Finance Education
Millones Spain #2 on Transportation Sector on Prior Review Contracts FY 2008-2013 2.500 Leading European Countries in Transportation Sector FY 2008-2013 2.000 1.500 1.000 500 0 Data as of September 2013
Millones Spain #1 in Energy & Mining on Prior Review Contracts FY 2008-2013 800 700 600 500 400 300 200 100 0 Leading European Countries in Energy & Mining FY 2008-2013 Data as of September 2013
Millones Spain #1 in Water Sector on Prior Review Contracts FY 2008-2013 500 450 400 350 300 250 200 150 100 50 0 Leading European Countries in Water Sector FY 2008-2013 Data as of September 2013
Average Contract: $8.5M, Median one: $500,000 For Spanish companies in 2008-2013 CAF Construcciones y Auxiliar, $358M, Transportation (Goods), Brazil Dragados, $288M, Water (Civil Works), Poland Corsan-Corviam Construccion, $212M, Transportation (Civil Works), Brazil Isolux Ingenieria, 165M, Energy & Mining (Goods), Bangladesh Aldesa Constructions, $86M, Transportation (Civil Works), India Carija, $18M, Transportation (Civil Works), Mauritania Iberdrola Renovables, $10M, Energy & Mining (Goods), Mexico Groupement Lopesan/ Volconsa, $5.6M, Transportation (Civil Works), Senegal Instalaciones Inabensa, $2.9M, Energy (Goods), India Abarloa2, $260,500, Agriculture (Consultant Services), Tunisia Adasa Sistemas, $211,500, Agriculture (Goods), Morocco Epypsa, $238,000, Transportation (Consultant Services), Colombia International Indemar Fisheries, $93,000, Agriculture (Consultant Services), Ghana
Pipeline LAC: 17 projects in Infrastructures (E&M, T, W), worth over $1.8 B 2% 1% 1% 3% 3% 2% 1% 3% 35% 7% 11% 31% www.worldbank.org/projects Countries Brazil Argentina Colombia Peru Jamaica Bolivia Haiti Nicaragua OECS Countries Dominica Belize
Pipeline LAC: 17 projects in Infrastructures (E&M, T, W), worth over $1.8 B www.worldbank.org/projects
Key Contact information can be found in the Project Information Document (PID) A selection of contacts for Pipeline projects in Brazil Team Leaders Gaston Mariano Blanco, Senior Social Protection Specialist based in Buenos Aires, gblanco@worldbank.org Thomas Kenyon, Senior Private Sector Development Specialist based in Washington DC, tkenyon@worldbank.org Lizmara Kirchner, Senior Water & Sanitation Specialist, lkirchner@worldbank.org Implementing Agencies Brazil State of Ceara, Secretariat of Planning and Management, Cristina Medeiros, Project Coordinator, cristina.medeiros@ipece.ce.gov.br SEPLANDE, Luiz Otavio Gomes, State Secretary of Planning and Economic Development, secretario@seplande.al.gov.br State Secretariat of Special Projects and Metropolitan Management (SEPAM) Regina Curitiba, State Subsecretary of Resource Development, Tel: 55 27 3636 1190
Pipeline: 14 projects in Water in Africa, worth $1.7 B 12% 13% 6% 2% 0% 4% 18% 45% By Country Nigeria Ethiopia Africa Regional Kenya Mali Tanzania Sierra Leone Rwanda www.worldbank.org/projects
Pipeline: 14 projects in Water in Africa, worth $1.7 B
Pipeline in West Africa: 19 Projects worth $ 1.4 B 7% By Country 1% 5% 3% 1% 9% By Sector 3% 2% 9% 15% 11% 52% 53% 11% 18% Nigeria Ghana Cameroon Niger Senegal Burkina Faso Mali Guinea-Bissau Mauritania Gambia Water Agriculture Public admin Education Health & SS Energy
Pipeline in West Africa: 19 Projects worth $ 1.4 B www.worldbank.org/projects
The World Bank has NO contractual relationship with companies Country Assistance Strategy (CAS) Contractual Relation World Bank Procurement Rules Information Dissemination Complaints Government PMU Project Implementation Contractual Relation Companies
World Bank Project Life Cycle Country Assistance Strategy Evaluation Identification Implementation and Completion Preparation, Appraisal and Board Approval Implementation and Supervision http://go.worldbank.org/gi967k75d0
The Key Issue is to address the Real Issues Business Opportunities Identification The Real Strategic Challenge Systematic Web based Screening Strategic Selection Field Focus Local Partnership Bid Preparation Timing & Details Critical Clarity of Bidding Documents Be responsive Ask questions to the right people Project Implementation Mapping of the key actors critical Payments PMU/CM/CD/ TTL/ RPM Corruption INT in each phase of the Project Life Cycle
Two Sets of Procurement Guidelines For Consultants For Goods & Works http://go.worldbank.org/u9ipsludc0 http://go.worldbank.org/1kkd1knt40
http://consultations.worldbank.org/consultation/procurement-policy-review-consultations
Mapping of the Key WB Actors Critical Consultant Guidelines, Page 47 Appendix 3: Guidance to Consultants Contact the Task Team Leader Copy the Country Director for the borrowing country Copy the Regional Procurement Manager All names and contact information are available in the Project Information Document (PID)
70 % of contracts awarded to local companies (For 105 Countries with PSLO network representation) Access detailed information on prior reviewed contracts awarded, including: Operational region Type of contract Client country Supplier name Sector Contract amount http://go.worldbank.org/by6hrbv4e0
http://www.worldbank.org/
www.worldbank.org/projects
www.maps.worldbank.org
www.worldbank.org/projects
Accessing Procurement Notices http://go.worldbank.org/ktpe1wku20
From the Country Assistance/Partnership Strategy 2 critical steps & sets of documents to track: Monthly Operational Summary (MOS) http://go.worldbank.org/og8cl2bd20 PID/ PAD: Project Information Document and Project Appraisal Document http://documents.worldbank.org to submitting your bidding documents
Consultants Have 3 Options 1. To work on WB-financed projects 2. To work for the WB as consultants https://wbgeconsult2.worldbank.org/ 3. To work for the PMU to prepare the projects Option 1, 10 times bigger than Option 2
Electronic Resources World Bank General Website: Search by Countries and Topics or by Projects & Operations http://www.worldbank.org/ Advanced Search for Projects http://go.worldbank.org/ylpqahby40 Procurement Guidelines http://go.worldbank.org/1kkd1knt40 Procurement Notices http://go.worldbank.org/ylpqahby40 Procurement Awards and Summary Reports http://go.worldbank.org/by6hrbv4e0 Monthly Operational Summary http://go.worldbank.org/og8cl2bd20
Muchas Gracias Gilles R. Garcia Ggarcia2@worldbankgroup.org www.worldbank.org/business-global