With an potential $14 trillion shortfall in global infrastructure funding. The need for project funding models which can offer value to the development and return to investors is paramount.
Olcay's article points out a few of these models which whilst becoming more common place are not anything new in the UK rail and infrastructure asset market.
One thing is for sure; the need to please multiple parties involved across the project lifecycle and the end user is paramount. But along with the obvious operational and safety responsibilities of these assets. Unless these projects can be successfully structured and delivered from a commercial perspective, they would never even break ground.
The World Economic Forum estimates that between now and 2030 the world is facing a $14 trillion shortfall in infrastructure funding. In the UK, the railway industry faces this funding challenge at a time when infrastructure spending is key to enabling economic growth. All railway projects, whatever their scope, scale and complexity must satisfy a broad range of requirements. Above all, they must be delivered safely and continue to operate safely throughout their life. Clearly, they must deliver the required benefits for the infrastructure owner, train operator, maintainer and the travelling public. But before any work can even be considered, they must also work commercially.