GRIDLINES Sharing knowledge, experiences, and innovations in public-private partnerships in infrastructure PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY PUBLIC-PRIVATE INFRASTRUCTURE ADVISORY FACILITY PUBL

Helping to eliminate poverty and achieve sustainable development through public-private partnerships in infrastructure noTE no. 21 – MaY 2007 Private activity in electricity in developing countries has stabilized at modest levels since 2001. The main focus remains green-field power plants, particularly those with contrac-tual arrangements that protect investors from sector risks. Long-term guarantees of regulatory perfor-mance and leases and management contracts have encouraged some private activity in distri-bution. Attracting significantly more investment will require greater commercial viability, including cost-reflective tariffs, better collection ratios, well-targeted and sustainable subsidies, and improved quality and reliability of service. In most countries, a move toward cost-reflective tariffs will not b