Project Description

Partnership approach PPP (Public-Private Partnership)

Public-Private Partnerships (PPP) are a tried and tested model for the joint realization of large infrastructure projects by the public and private sectors. Especially in times of tight public budgets and complex technical requirements, PPPs offer an opportunity to efficiently bundle financing, planning, construction and operation.

In Germany, PPP models in the energy and digital infrastructure sector are gaining in importance: municipalities, municipal companies and cooperatives are increasingly relying on cooperation with experienced project developers and investors to accelerate climate targets, digitalization projects and location development.

Here are the specific challenges:

  • Public and cooperative actors often do not have sufficient capital to manage large-scale projects on their own.

  • A shortage of skilled workers and resources makes it difficult to plan, build and operate complex systems.

  • Risk sharing between public and private partners is crucial for project stability.g.

  • Integration of new technologies such as AI-supported energy management, edge computing and grid-friendly battery systems.

  • Reliable long-term models are needed to secure investments and guarantee public services of general interest.

Developments and challenges

  • Legal framework: PPP is clearly defined by law in Germany, but requires precise contract design and award procedures.

  • Social pressure: Public projects are under scrutiny; transparency and fair cost distribution are crucial for acceptance.

  • Economic pressure: High construction and operating costs, rising interest rates and energy prices are increasing the need for partnership-based financing models.

  • Funding landscape: The federal and state governments support PPP projects through grants, loan programs and tax incentives, particularly for energy efficiency and renewables.

  • Funding landscape: grants and low-interest loans from KfW, BAFA and state programs, including for heating networks, storage, tenant electricity.

  • Best practices: Successful PPPs in the infrastructure sector show that a clear allocation of roles and transparent governance lead to predictable results.

EXAVY services

EXAVY acts as a private project developer and operator in PPP models and provides the following services:

  • Project development & financing

    • Preparation of feasibility studies, business plans and financing structures.

    • Integration of public funding and private investor capital.

  • Risk sharing & governance

    • Clear distribution of roles between public and private partners.

    • Long-term service level agreements with guaranteed performance.

  • Risk sharing & governance

    • Clear distribution of roles between public and private partners.

    • Long-term service level agreements with guaranteed performance.

  • Transparency & participation

    • Open communication with all stakeholders.

    • Participation models for citizens and the local economy.

Benefits for public and cooperative partners

  • Financial relief: projects can be implemented without a full equity burden.

  • Planning security: clear contracts and defined services ensure quality and schedule.

  • Know-how transfer: access to the latest technology and project management expertise.

  • Risk minimization: Risks are distributed in partnership.

  • Sustainable value creation: Local stakeholders benefit from lasting economic and infrastructural improvements.