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Construction and maintenance of road infrastructure
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Infrastructure
Land Transportation
Business Model Description
Invest in paving and maintenance of roads (whether in rural or urban areas) for vehicles and people, as well as tunnels, bridges and associated road infrastructure through public-private partnerships such as concessions or other models.
Expected Impact
Increase connectivity both physical and digital throughout the country, leading to economic and social development.
Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
15% - 20% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Long Term (10+ years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
The vehicle fleet, currently at 1.2 million vehicles, will increase to 4.5 million (3).
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.