PUBLIC PRIVATE PARTNERSHIP FOR MYANMAR TOLL ROADS

OPPORTUNITIES FOR INVESTMENT AND REFORMWORKSHOP @ THE LAKE GARDEN - MGALLERY HOTEL (SOFITEL), NAY PYI TAW, 15 JUNE 2018

ORGANIZED BY

MEDIA PARTNER

MINISTRY OF CONSTRUCTION

H.E. U Kyaw LinnDeputy Minister Ministry of ConstructionGovernment of the Union of Myanmar

His Excellency Kyaw Linn is currently the Deputy Minister for the Ministry of Construction. For the past two years he was a Permanent Secretary in the Ministry, and from 2010 to 2015 occupied the position of Managing Director of Public Works.

H.E. U Han ZawUnion Minister Ministry of ConstructionGovernment of the Union of Myanmar

His Excellency Han Zaw is currently the Minister for the Ministry of Construction. During his professional activity as a civil engineer and decision maker, he participated in several courses in Languages, management, as well as in congresses, seminars, workshops and international technical visits related to bridges, tunnels, roads and urban sectors.

Under leadership since his appointment as Minister for Construction, he is guiding new scenario to construct basic infrastructure for the people such as roads, bridges, houses and comprehensive urban and regional planning works to facilitate the people to have a peaceable and prosperous life.

Edwin VanderbruggenSenior PartnerVDB Loi

Edwin Vanderbruggen is one of Myanmar’s most prominent foreign legal advisers. He advised the Government on transactions and privatizations in energy, telecom and transportation, drafted the country’s first PPP bill, now pending before Parliament, and the regulation on Government guarantees. Edwin assists sponsors and lenders on the large majority of Myanmar IPP projects, including several of the announced LNG to Power projects, road transport PPP projects and port terminal transactions.

INVESTMENT OPPORTUNITIES

Against the backdrop of the Government’s ambitious National Master Transport Plan to improve the country’s land transportation infrastructure along north-south and east-west corridors, including advanced ideas for a Yangon Elevated Expressway, VDB Loi offers this highly practical workshop on toll road PPP projects. With a strong focus on examples and case studies, this workshop is a unique opportunity for developers, construction companies, financiers, officials and other private and public sector participants to get up to speed on this fascinating but complex area.

PUBLIC PRIVATE PARTNERSHIP FOR MYANMAR TOLL ROADSOPPORTUNITIES FOR INVESTMENT AND REFORMWORKSHOP @ THE LAKE GARDEN - MGALLERY HOTEL (SOFITEL), NAY PYI TAW, 15 JUNE 2018

This workshop is organized by Ministry of Construction in cooperation with VDB Loi.

SOME HIGHLIGHTS

• Is the average Yangon driver willing to pay toll, and how much?

• Upcoming land transportation PPP projects proposed by the Ministry of Construction

• Key things to know about the upcoming Yangon Expressway PPP project

• How to structure a toll road PPP project in Myanmar?

• Should the Government be a shareholder?

• How to best reform existing BOT toll roads in Myanmar?

AGENDA

Time Sessions Topics

09.00 – 09.30 Registration and coffee

09.30 – 09.40 Welcome remarks

Remarks by H.E. U Han ZawUnion Minister Ministry of ConstructionGovernment of the Union of Myanmar

09.40 - 09.55

The Yangon Elevated Expressway Project and Beyond: Opportunities for Investment in Myanmar’s Transport Infrastructure

• Key specifications of the planned Yangon Elevated Expressway • Overview of existing BOT and toll roads • Outlook for other transportation projects

09.55 – 10.45

Key Issues in Myanmar’s Existing and Upcoming Toll Roads

(Panel Discussion)

• What is the “willingness to pay” in Myanmar? • How do the Myanmar toll rates compare to those in the region? • AADT on Myanmar BOT roads and obligations to widen the lanes:

need for reform? • Prospects and ideas for future toll regulatory reform

10.45 - 11.05 Networking break

11.05 – 11.25 How to Structure a Toll Road PPP Project in Myanmar?

• Project company, Concession Contract, O&M, lenders• With or without Government joint venture? • With or without Government guarantee?• Include the road operation or separate it from the construction?• Secured lending aspects

11.25 – 11.50 Drafting and Negotiating the Concession Agreement in Myanmar

• What should be the concession rights?• During the construction phase • Rules on setting and collecting tolls • Competing infrastructure • Change in law and force majeure • Termination and payment rights • Financing and security • Operation standards

11.50 – 12.50

The Commercial Terms of Myanmar Road PPP Projects

(Panel Discussion)

• Who covers the traffic risk? • Are projects without “availability payment” bankable in Myanmar? • Who will assume the foreign currency risk? • Is the Government generally prepared to help pay for toll roads?

12.50 – 14.00 Lunch break

14.00 – 14.30Case Studies of Toll Road Projects: Lessons Learned and Implications for Toll Road PPP’s in Myanmar

• What happens if the traffic forecasts are wrong? Case study of the M1-M5 Highway in Hungary (1996) and the Radial Toll Highway Madrid (2003)

• How to adjust the tariff during the term of the project? Case study of the Si Rat Expressway Bangkok (1993)

• What to do when there is local opposition to paying tolls? Case study of the N4 Toll Road in South Africa and Mozambique

• What is the effect of foreign financing on tolls? Case study of the North Luzon Expressway in The Philippines (2005)

14.30 - 15.00 Roundtable on Construction and Financing Aspects

• Which lenders are interested in Myanmar PPP?• Key issues for construction projects in Myanmar• Engineering regulations and importation• Financial models for toll road PPP

This workshop is organized by Ministry of Construction in cooperation with VDB Loi.

WITH THE PARTICIPATION OF

Charles MagdelaineSenior Associate VDB Loi

Sebastien StaudtChief Financial OfficerVINCI Highways

Nevcan M.GungorChief Investment Officer Shwe Taung Infrastructure

Valery TubbaxHead of AdvisoryAsia Sumitomo Mitsui Banking Corp.

Chris TunChief Executive OfficerMax Myanmar Group

Lulu BaclagonSenior Investment OfficerIFC – PPP Advisory for Asia and Pacific

Maung KyayChairmanOriental Highway Co., Ltd.

John LeberInvestment Officer for East and Asia & Pacific, IFC

Khin Maung KyaweManaging DirectorMax Highway Co., Ltd.

James HarrisPartnerJones Day

Aung Zaw NaingGroup Chief Executive OfficerShwe Taung Group

Aung Myint OoDeputy Director GeneralMinistry of Construction

Jean François GautrinTransport Economist ConsultantSMEC

Kyi Zaw MyintDeputy Director GeneralMinistry of Construction

Akira MitsuishiExpertJICA

Yasuhisa MiwaGeneral ManagerJFE Engineering Corp.

Kim Won TaeGeneral ManagerKorea Expressway Corp.

REGISTRATIONAttendance at this workshop is free and by invitation only. Seats are limited and we regret that invitations are not transferable. To reserve your place or request an invitation, please click here or contact Thiha Zaw at thiha.zaw@vdb-loi.com or +951 925 3752~756, +959 773 788813.

This workshop is organized by Ministry of Construction in cooperation with VDB Loi.

MEDIA PARTNER