Thinking about Global InfrastructureThe Next Few Years

Global Infrastructure Summit

May 19th, 2010

London, UK

Agenda

Strategic Infrastructure

Economics

Trends

Projects

People

Public Sector

Public Works

Internal Issues

Politics

Economics

Trends

Enhance Country/Regional Competitiveness • Public Goods Creation

$0

$750,000

$1,500,000

$2,250,000

$3,000,000

1980 1985 1990 1995 2000 2005 2010 2015 2020 2025 2030

Infrastructure Spending in Millions of Dollars

World Infrastructure Spending1980-2030

3Source: CG/LA Infrastructure Global 2030 Projections Model

PART 1 - Overall Market Shape

GRAPH 6The Two Infrastructures - Old/Liquids & New/Electrons

Interstate Highway System Smart Grid

Diesel Rail

Large Vehicles

Diesel Trucks

Central Generation (Coal)

Analog Grid

Big Utilities

1.3% of GDPState-Centered

High CarbonPublic Control

Liquids

+1.7% of GDPFederal DrivenCarbon NeutralPublic + Private

Electrons

Renewables

Smart Meters & Batteries

Massive Technology Innovation

Electric Rail

Electric & Hybrid Cars

High Speed Rail

Venture Infrastructure BankGeneral Fund

Innovation - Business Model, Finance, Technology, Operation

A 50 Year Old Infrastructure Matrix& Project Delivery Model

GRAPH 10The Ebb & Flow of Infrastructure Creation Models

1960 - 1990 1990-1999 2000-2009 2010 -

State Investment Privatization Public/Private Partnership Public Leadership

O&M Private

Concept

Public

Public or Private Public or Private

Feasibility

Bid

Finance

Construct

Public

Public

Public

Public

Public

REG Public Public Public Public

Private Private

Private Private Private Private

Private Private Public

Public

Private

Private

Public Public

PrivatePrivate

PART 2 - Country Infrastructure Capacity (CIC)

BRAZIL

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8Source: CG/LA Annual CIC Survey

Russia

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9Source: CG/LA Annual CIC Survey

India

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10Source: CG/LA Annual CIC Survey

China

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11Source: CG/LA Annual CIC Survey

U.S.

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41.2/0

12Source: CG/LA Annual CIC Survey

$0

$75,000

$150,000

$225,000

$300,000

126,396.0 128,165.0

112,972.0

133,726.0

158,116.0

192,306.0

254,777.0

296,935.0

2008 2009 2010 2011 2012 2013 2014 2015

United States Infrastructure Investment2008-2015

13

BRICUS SCORING

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2.25

4.5

6.75

9

VISIONPS TECHNICAL

PS STRATEGICGREAT PROJECTS

LEADERSHIPLT PERFORMANCE

EPCEQUITY

15

PART 3 - What’s the Strategy Meaning?

BNDES - An Example of Strong Local Finance

0

7.5

15

22.5

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20032004

20052006

20072008

2009

Source: BNDES; CG/LA Interviews

$US B

Financial Piece - The Limiting Fact?Brazil Does this Internally, through Their Development Bank

17