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solutions for infrastructure 41 Lonsdale Road London NW6 6RA, UK tel: +44 207 604 4546 www.eca-uk.com

ECA provides economic consulting advice in infrastructure services for utilities, investors, governments, regulators and financial institutions worldwide.

Introducing ECA ECA has undertaken more than 500 assignments in over 70 countries since 1997. A selection of these are shown here. European Electricity Forward Markets Advised ACER on the suitability of forward market arrangements in promoting competition Financial assessment of water companies in UK ECA supported CC Water in reviewing the performance of UK water companies to assess the adequacy of the existing regulatory framework Ukraine gas market reform Support to the Government of Ukraine in restructuring the gas sector ECA was formed in 1997 to provide economic and regulatory consulting services to industry and government. Since then, we have undertaken more than 500 assignments in over 70 countries, covering large and small developed and emerging markets on all continents. Our core team of 16 professionals is based in offices in London, Bangkok and Auckland. All permanent staff members hold qualifications in economics, engineering or both, supplemented by many years practical experience. They are supported by an established network of associates with legal, technical and financial expertise. Our approach is focused on providing structured solutions supported by rigorous quantitative analysis drawing in particular on the conceptual insights offered by economics. ECA s geographical presence and experience ECA s experience has traditionally been strongest in the energy sector but the firm has recently strengthened its expertise in water and urban services with new senior team members. We also have highly relevant experience in multi-sector work including telecoms and transport. Our wide range of services can be grouped into five main areas: Markets and regulation Policy and strategy advice Pricing and cost analysis Commercial and regulatory due diligences Investment planning and financing GB gas interconnector revenue projections ECA was appointed by Ofgem to develop financial models and scenarios of future revenues and costs of gas interconnectors to Great Britain solutions for infrastructure 1

Western Balkans Sustainable Energy Financing For the EBRD, ECA led a multi-national project identifying RES and energy efficiency investment opportunities across the Western Balkans and advising on the institutional reforms required to support these. Turkey IPP due diligence The study covered a review and assessment of the key regulatory and commercial risks in electricity and gas markets, as well as detailed modelling and analysis of the electricity market and future prices. Investment appraisals for projects in the water sector in Africa As the financial and institutional experts for the EIB, ECA advised on the financial sustainability, cofinancing opportunities, economic viability, institutional arrangements, and opportunities for PPP for five projects in the water sector in Zambia, Ghana, Burundi and Rwanda. Our services Markets and regulation Our market and regulation services are concentrated in the energy sector. Our advice and support to governments and regulators includes conceptual design, impact analysis, drafting rules and operational assessments for energy markets, network access conditions and connections. In Turkey, for example, we worked with the regulator to develop the initial electricity market design manual. Over five years later, we continue to support the evolving market, most recently on the design of a capacity support mechanism. Policy and strategy advice We provide strategy advice to companies and policy advice to governments, working at various levels. Recent examples include the role of the infrastructure sector in alleviating the impacts of the global economic downturn on Botswana, the optimal future fuel mix for Thailand and actions for emerging East Asian economies to improve environmental sustainability and energy supply security. Pricing and cost analysis Pricing and cost analysis is at the heart of much of our work for both private companies and public sector clients - estimating the costs of service and designing tariff structures to recover these in an economically efficient manner. With the increasing spread of liberalised markets, our expertise has extended beyond such traditional pricing studies, to include analysis of the impacts of pricing systems on market competition, customer behaviour and the environmental outcomes. We also advise on addressing affordability concerns including support to low-income households and linking subsidies to the delivery of outputs. Due diligences ECA provides advice to private investors as well as international financial institutions on the major risks for investments in the water and energy sectors. As part of these studies, we assess the key commercial risks on the basis of projected demand dynamics, the major regulatory risks and financial risks of potential investments. Our clients include large international banks, investment funds, independent power generation project developers as well as IFC, EIB, EBRD and the World Bank. We have extensive experience in the power and gas market in Turkey and have also conducted due diligences in South East Europe, Sub Saharan Africa and South East Asia. Investment planning and financing Our investment expertise is grounded in detailed economic and financial analysis of markets. Recent example analyses include a bankable market study of gas storage in Central Europe and the assessment of the benefits of a Black Sea electricity ring. This expertise is supplemented by our experience in designing public and private financing structures. solutions for infrastructure 2

Indonesia Gas Masterplan ECA developed a long term gas strategy for Indonesia by developing an optimised infrastructure plan, assessing the importance of exports versus domestic supplies and advising on a suitable downstream tariff level. India PPP Toolkits ECA worked with the Department of Economic Affairs to prepare webbased toolkits to assist practitioners with all stages of PPP in infrastructure, including project identification, structuring, tendering, negotiation and implementation. Botswana renewable energy strategy Advice to the Government of Botswana on the potential for large scale solar plants and the necessary policy, regulatory and technical measures to facilitate the promotion of renewable energies Clients Companies and enterprises AES Corporation (United Kingdom) BG Storage and BG Transco (United Kingdom) EdF Energy Networks (United Kingdom) Egyptian Electricity Holding Company Electricity Authority of Cyprus Electricity of Vietnam Elektroprivreda Srbije (Serbia) EnTec Inc (United Kingdom) Energiaki Thessalonikis S.A. (Greece) Enerjisa GDF SUEZ Georgian International Oil Corporation HE&D (Greece) Kenya Power & Light Company Logica (United Kingdom) Marguerite Fund Mytilineos S.A. (Greece) Nigerian National Petroleum Corporation National Transmission and Dispatch Company (Pakistan) PetroBangla PetroVietnam Saudi Aramco Shell / SPDC (Nigeria) SNC-Lavalin (Canada) State Power Corporation (China) TXU Eastern Power and Energy Trading Ltd (United Kingdom) Zimbabwe Electricity Supply Authority International financing institutions and agencies Agence Française de Développement African Development Bank Asian Development Bank Department for International Development (United Kingdom) European Agency for Reconstruction European Bank for Reconstruction and Development European Commission European Investment Bank Global Environment Facility Global Gas Flaring Reduction Global Partnership for Output-Based Aid GTZ (Germany) Infrastructure Consortium for Africa International Finance Corporation Japanese Bank for International Co-operation KfW (Germany) Know How Fund (United Kingdom) Overseas Private Investment Corporation (OPIC) Public-Private Infrastructure Advisory Facility World Bank Group Regulators Agency for the Regulation of Natural Monopolies (Kazakhstan) Commission for Energy Regulation (Ireland) Croatian Energy Regulatory Agency Egyptian Water Regulatory Authority Electricity Authority of Cambodia Electricity Regulatory Authority of Vietnam Energy Market Regulatory Authority (Turkey) Energy Policy and Planning Office (Thailand) Energy Regulatory Authority (Mongolia) Energy Regulatory Commission (Armenia) Energy Regulatory Office (Kosovo) Ethiopian Electric Agency Israel Natural Gas Authority Lesotho Electricity and Water Regulatory Authority National Electricity Regulatory Commission (Ukraine) Oil and Gas Regulatory Authority (Pakistan) Public Utilities Commission of Sri Lanka Regulatory Authority for Energy (Greece) State Energy and Water Regulatory Commission (Bulgaria) solutions for infrastructure 3

Our senior experts Ray Tomkins Paul Lewington Peter Robinson William Derbyshire Frederik Beelitz Ray Tomkins Chairman Ray established ECA in 1997. His professional career spans 35 years and includes founding the Energy Policy Research Group at Imperial College, University of London and the energy and environment practice at ERM and London Economics. He leads much of ECA s gas sector work and due diligence work XXXXXXXXXXXX ray@eca-uk.com Paul Lewington Director Paul has over 25 years experience as an energy economist. He is an expert on pricing and cost analysis, recently leading projects on the development of long-run marginal cost estimates for the Cypriot regulatory agency, time-of-use prices for electricity in Egypt and gas pricing strategy in Iraq. paul.lewington@eca-uk.com Peter Robinson Director for Africa Peter has over 30 years experience as a consultant in energy, water and telecoms. Based in Zimbabwe for many years, Peter relocated to London in 2007 and maintains a strong focus on Africa. He has worked with senior officials in many countries and has advised several regional institutions on the delivery of urban and water services. peter.robinson@eca-uk.com William Derbyshire Director for Asia William has 15 years experience in consulting on utility regulation and energy markets. He has been a long-term advisor to the electricity regulatory agencies in Kosovo and Vietnam as they introduce new power markets. William is based in our Bangkok office. william.derbyshire@eca-uk.com Frederik Beelitz Managing Director Frederik is experienced in energy policy issues and energy infrastructure economics. His advice primarily covers financial and commercial analyses, pricing, energy masterplan studies and regulatory economics. Frederik s core area of expertise is in natural gas markets but he is also experienced in the electricity sector, involving projects covering renewable energy support mechanisms, infrastructure programme reviews and social cost benefit analyses. fred.beelitz@eca-uk.com solutions for infrastructure 4

www.eca-uk.com Contact us ECONOMIC CONSULTING ASSOCIATES LIMITED 41 Lonsdale Road London NW6 6RA, UK tel: +44 20 7604 4546 email: info@eca-uk.com solutions for infrastructure 5