Project Finance for Business Development

CHAPTER 7Participants and ResponsibilitiesActivities and Deliverables

The stakeholders in project financings are the sponsor(s), the customer or host country government ceding agency, the debt and equity investors, the project company, the offtaker or user of the project company's output, and the supplier of production inputs to the project company. Other project participants are external advisors and consultants, the construction contractor, the technology and equipment provider, the export credit agency (ECA) of equipment origin and multilateral agencies, and the operations and management (O&M) company. The sponsor's or developer's project team usually consists of the project manager under a project executive and representatives from sales and marketing, the CFO and treasury, business development, engineering and technology, legal, and the project finance organization (PFO) that draws from internal and external groups to perform necessary functions.

In infrastructure projects there are numerous tasks that need to be performed, and several participants with different interests, objectives, and project finance skills and experiences; as well as an overlap of roles and responsibilities carried out over complex and lengthy processes. Different projects require different assignment of participant roles and responsibilities that vary by sponsor, host country government authority, and organizational and project finance capabilities. Hence, the need for clearly delineated roles and ...