1. www.envecologic.com +91 981-165-4229 agupta@envecologic.com Public Private Partnership in urban & Rural Water Services September 13, 2013 This report has been prepared by ENVECOLOGIC meant for a specific purpose to facilitate proposal discussion with the client. It may not be appropriate for other purposes or audiences. ENVECOLOGIC Applying Economic Logic to Understand and Propose Solutions to Environmental Issues

2. 2 Water Supply Demand Gap Envecologic Analysis, 2013

3. Operation and Maintenance (O&M) Build-Operate-Transfer (BOT) Affermage Concession Investor-Owned Utility (IOU) 3 PPP Options in India

4. Partnership Risks Increasing level of risk and irreversability O & M Contracts Service Contracts BOT Approach Leases or Affermage Concessions Build, Operate, Own Approach Investor Owned Utility

5. 5 Market Size ($ billion) 0. 8 32 1750 29.5 12.16 1300 Water Collection & TreatmentDistribution & Supply Sewage & Sanitation Services Other Services 3.5 45