Asia Infrastructure Forum 2022

Ideation Roundtable 1:

Acceleration Sustainable Water
and Waste Infrastructure

Reliable access to clean water and improved sanitation facilities are the building blocks of economic and social development. However, the COVID-19 crisis has exposed the inadequacy of existing public health infrastructure in addressing hygiene and environmental needs. To date, 2.2 billion people around the world continue to lack safely managed drinking water services and 4.2 billion people lack safely managed sanitation services.

To tackle these age-old problems and address anticipated future needs, ageing water infrastructure must be upgraded and alternative waste management systems must be sourced. This could be achieved through the adoption of cutting-edge and commercially viable technologies, in order for Asia to by pass conventional infrastructure models and leapfrog to sustainable and resilient cities of the future.

In charting the way forward, stakeholders across the value chains need to be brought together to collectively rebuild resilient public health infrastructure. How can we entice water and waste service providers to embrace proven technologies? How can the bankability of capital-intensive water and waste infrastructure be improved to crowd in private capital?

Ideation Roundtable 2:

Sustainable Mobility for
Green Transport

Green mobility, spanning electric vehicles to batteries and charging infrastructure, aims to reduce the negative environmental impact brought about by conventional internal combustion engine (ICE) vehicles by reducing both air and noise pollution. According to World Bank Group, Transport accounts for 23 percent of global energy-related greenhouse gas (GHG) emissions and 18 percent of all man-made emissions in the global economy. With urbanisation of developing countries, this could grow further.

Energy related carbon dioxide (CO2) emissions are projected to increase by 40 percent between 2013 and 2040. Air pollution, both ambient (outdoor) and household (indoor), would be the biggest single environmental risk to health. Ambient air pollution alone kills about three million people each year. Furthermore, evidence from several countries suggests that traffic noise has the second biggest environmental impact on health. Thus, there is a pressing need to transit a greener and more sustainable transport network.

Project Discussion 1:

Acceleration Logistic Infrastructure
Projects in Cambodia

In ASEAN, new waves of the pandemic have hit the region hard and will likely delay the region’s economic recovery. Despite Cambodia’s initial success at controlling the outbreak of COVID-19, its economy is impacted. The Royal Government of Cambodia has responded with a broad package of fiscal stimulus measures designed to aid economic recovery. Led by a stable and progressive government which adopts investor friendly policies, Cambodia is emerging as one of ASEAN’s more welcoming investment destinations. According to the Asian Development Bank’s forecasts, Cambodia is expected to record 4.0% growth in 2021, well above Southeast Asia’s average of 3.14%.

Project Discussion 2:

Scaling-Up Infrastructure Asset
Recycling in Indonesia

Indonesia has the largest population and economy in Southeast Asia and is endowed with rich natural resources and human capital. To fully capture the value of these resources, the Government of Indonesia has emphasised increasing the quantity and quality of infrastructure. In the 2020-2024 National Medium-Term Development Plan(RPJMN), it is projected that infrastructure spending to support GDP growth will reach Rp 6,445 trillion. That said, government funding is expected to fill only Rp 2,385 trillion, or37% of what is needed.

One of the ways to bridge the infrastructure spending gap is through Infrastructure Asset Recycling. Infrastructure Asset Recycling refers to monetising existing infrastructure assets(such as toll roads), and recycling the proceeds for further infrastructure investment. This concept is particularly salient given the diversion of public resources and expenditure to health and social programs to mitigate the impact of the COVID-19 pandemic, and the need for an infrastructure-led economic recovery.

Co-organised with PT Sarana Multi Infrastruktur (Persero) (“PT SMI”), the project discussion will provide insight on the current ecosystem as well as showcase several assets that are ready for monetisation together with its partners in the framework to bring investment in Indonesia. The project showcase shall demonstrate the enhanced structure and government commitment to escalate the competition in the infrastructure project. Participants are invited to provide input as well as brainstorm partnerships models that could result in win-win transactions.

Ideation Roundtable 3:

Optimising Energy Efficiency
in Asia's Cities

Building construction and operation produces 39% of global energy-related CO2 emissions. The emergence of Energy-as-a Service (EaaS) business model is a paradigm shift that could potentially transform energy usage in Asia’s cities. The flexibility offered by contracting models gave businesses a practical and cost-effective option to make the sustainable choice as low or even no upfront capital is needed for businesses to adopt low carbon solutions. Value can be captured from improvements made in energy efficiency further incentivise businesses to go green. EaaS could address the energy efficiency gap in Asia. Charging ahead, many financial institutions have developed their own policies and criteria to provide EaaS. However, adoption varied across markets in Asia, greater standardisation could encourage businesses and cities to on-board more sustainable projects and investments. How have some institutions overcome these issues? What are the advances made in low carbon technologies and how can they enable savings in our existing infrastructure? 

Ideation Roundtable 4:

Powering the Next Wave of
Asia's Energy Transition

In the next decade, emerging Asia – home to more than half of the world’s population and a quarter of the world’s economy – will drive the lion share of global energy demand growth. Meeting its economic development needs, while committing to generate 23% of energy from clean sources by 2025, will prove to be the coal-dependent region’s defining challenge.  

As renewables like solar and wind become increasingly accessible, technological and financial solutions must be scaled to bridge the varied adoption of clean energy between and within countries. To facilitate this, international collaborations could enable cross-border technology transfers and infrastructure investments.  

Addressing the technical, financial and regulatory barriers faced by international stakeholders is a stepping stone to navigating Asia’s energy transition. How can Asia create enabling environments for technological solutions and financial instruments to leapfrog to renewable energy? How can Asian economies adapt lessons from western economies to supercharge the next wave of energy transition? 

Project Discussion 3:

Evaluation of Vietnam's Metropolis

In the dynamic region of Southeast Asia, Vietnam has proven to be resilient and a model for economic reforms. The nation’s GDP increased 2.7 times between 2002 and 2020, and in spite the emergence of the covid -19 pandemic, Vietnam is forecasted to rebound to 5.5 percent growth in 2022. As Vietnam pursue new opportunities in the green economy with its pledge to reach net zero emission in 2050. High levels of investments are required to ensure that city infrastructure keeps up with its aspirations. What policies and advances in technology can better position Vietnam to reach it long term growth sustainably? 

Project Discussion 4:

Unlocking Value Through Infrastructure
Asset Recycling in India

How do we create alignment between infrastructure needs with long-term institutional investors?

Asset recycling is shaping the way governments fund new infrastructure assets or revitalise existing infrastructure without increasing tax burden. Asset recycling unlocks and directs capital from long-term institutional investorsAsset recycling unlocks and directs capital from l refreshing mode of investment is ideal for investors averse to project risks associated to starting up greenfield projects.

The National Monetisation Pipeline (NMP) is an initiative of the Government of India launched by Union Minster of Finance and Corporate Affairs, Nirmala Sitharaman, to raise Rs. 6 Lakh crore (U$81b) by leasing out state-owned infrastructure assets, including roads and power assets, over the next four years, FY 2022 – FY2025. This initiative can provide governments with a viable route towards closing the infrastructure investment gap and accelerate infrastructure development towards economic growth. 

This session will address how the National Monetisation Pipeline can unlock the value of investments in brownfield public sector assets by tapping on institutional capital, and how the private sector can capture these opportunities.