Public-Private Partnerships (P3s) in the Great LakesDelivery and Finance of Green Stormwater Infrastructure
Solutions to ailing infrastructure include cheaper delivery and access to more capital
The investment gap between federal funding for infrastructure
and actual infrastructure needs is growing.
The total investment gap for water and wastewater infrastructure in the United States is expected to be $105 billion by 2025. And urban stormwater remains one of our biggest challenges1, estimated to be the primary source of impairment for 13 percent of assessed rivers, 18 percent of lakes, and 32 percent of estuaries— significant numbers given that urban areas cover only 3 percent of the land mass of the United States2.
Improving efficiency and cutting cost are the keys to bridging the investment gap.
The P3GreatLakes Initiative addresses these issues in the Great Lakes basin by evaluating and developing:
1) Alternative delivery options, such as Community-based Public-Private Partnerships3 (CBP3) and stormwater credit trading, that seek out more efficient, cheaper delivery set-ups;
2) Alternative finance options, such as Environmental Impact Bonds4 (EIB), that help meet capital needs upfront,achieve pay-for-performance related savings, and pay for underfunded public services and infrastructure
3) Decentralized stormwater management systems called Green Stormwater Infrastructure (GSI) that when properly designed and placed, are cost-effective ways of managing stormwater, improving water quality, and providing aesthetically pleasing solutions.
Overall, when combined with other societal benefits, the availability of aggregated delivery and/or performance-based financing for GSI-based stormwater management heralds a new era in the management of our national waterways.
P3GreatLakes Initiative is led by Environmental Consulting & Technology, Inc. (ECT), with funding from the Great Lakes Protection Fund. Starting in 2015, team partners include Corvias (engaged as the private partner in nation’s first stormwater CBP3), Quantified Ventures (engaged in executing nation’s first stormwater EIB), and Encourage Capital (engaged in nation’s first stormwater credit trading project). In addition, the team includes Storm & Stream Solutions, LLC, and Greenleaf Advisors LLC, in advisory roles.