Building Cities Through Transparent Infrastructure Data

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2

Vehicle fleet in Mexico City Metropolitan Area more than doubled in one decade; ZMCDMX includes

• US$1.7 billion for service for 30 trains (17-year contract)

the capital and 18 State of Mexico municipalities

30 million

100

1824

200

1.4

1.1-18

426

0.6-1.3 720

1351

1682 3

1.5 150

Hong Kong

50

Santiago

0

Tokyo

81.6% Mexico

• 2,652 tons of CO2 reduction (until 2016) Source: Inegi El Economista, ciclo-ciudades, governmental reports

Toronto

0

159% ZMCDMX

296

2

2.6

4

3.5

2,608,659 motorcycles

Vehicle Increase (2005-2015)

Copenhagen

27,171,560 automobiles

of users did not use bicycles before joining Ecobici

• 36 million trips provided in six years

3.84-5.76

6

Amsterdam

60%

• 452 stations and 6,500 bicycles

2600

10 8

Early in 2010, Ecobici became one of the biggest bike-sharing programs in the world

US$9 budg

AVERAGE PRICE SINGLE-RIDE METRO TICKET 2017 COMPARED TO MONTHLY MINIM

vehicles registered in 2015 approximately were reached

Bike-Sharing System

New York

In 2015, Mexico City received from the Mexico-Chile Cooperation Fund Commission to keep promoting the use of bicycles.

1844

MX$3.5 billion

of the approved budget comes from revenues raised by a price hike on tickets (from 3 to 5 pesos implemented in December 2013).

• US$11.2 million annual expense for maintenance (tracks and stations)

The Most Expensive and the newest Metro Line in Mexico City

METROPOLITANS ARE MOTORIZED

the m and re the sy

42.3%

RS CIRC

S OF CA

8.53

LLIONS

5.5 MI

“Line 12”

Y ERY DA

G EV ULATIN

1550

0

base salary.

3

TRIPS

Rio de Janeiro

DAILY

1

London

35,000

| INFOGRAPHIC THE SHARED NETWORK — MILESTONES AND FORECASTS FOR POPULATION COVERAGE* 0 20 40 60 80 100 120

(million)

Percentage of total

14.5

7 n

70%

50%

nvestors: Stanley ucture, al Finance on (IFC), tructure CKD IM), co Fund, et placement (CDPQ), 15-2 and dalupe ments

7.9 56.1

32.2% 5.8 36.1

ch ar

18 20

M

The mobile broadband market grew 200 percent, jumping to 82.7 million lines in 2018 compared to 27.4 million in 2013

y

ar

nu

Ja

y

ar

nu

The market for fixed broadband grew 45 percent, to 17.7 million lines in 2018 compared to 12.2 million lines in 2013

y

ar

nu

Ja

the sky but adding new uses to their projects to offer

a nu

a unique value proposition. In a competitive market, the traditional commercial or corporate space requires

*Population percentages based on the INEGI 2010 census

TORRE REFORMA

TORRE MANACAR

• Developer: Fondo Hexa

• Developer: Pulso Inmobiliario

• Architect: Teodoro González de León

• Extras: Sky Lobby and Robotized parking spaces

• Certification: LEED Gold BD+C: Core and Shell v3 – LEED 2009

• Structural Engineer: Arup • Certification: LEED Platinum BD+C: Core and Shell v2 – LEED 2.0

Auditorium: 100-person capacity

innovation in the types of spaces offered. Location, location, location continues to be a top factor that makes

Ja

• Architect: LBR&A Arquitectos

• Extras: Sky Lobby Robotized parking spaces

Mexican real estate developers are not only reaching for

23 20

nu

22 20

a project successful, but developers are also reacting to

21 20

The elimination of National Long Distance (LDN) cuts mobile phone calling prices by 42 percent from 2Q13 to 2Q18

The total price of communications dropped by over 25 percent from June 2013 to June 2018, contrasting with a 21.3 percent increase in inflation

20 20

y ar

Ja ry

13.4

Ja

covered (million)

85%

95.4

78.6 11

Rural population

88.6%

99.5 14

tal t

population covered

DESIGNING A MIXED-USE SKYLINE

24 20

The drop in prices from 2015 to 2017 amounted to an estimated MX$133.7 billion in cumulative savings for end users, which equals half of ISSSTE’s annual budget or 3 times UNAM’s annual budget

PABELLON M

• Developer Proyectos

• Architect: Landa Arquitecto

• Auditorium: 100-person capacity

Investment

• Structural Engineer: Arup

US$100 million

the new rules of the game. 77

Height: Height:

M2 BUILT IN MEXICO PER SECTOR

Floors:

246m

NATIONAL INVESTMENT PER SECTOR

Commercial Space:

The penetration of fixed broadband increased 26.8 percent from 2013 to 2018 after stagnating at -2.5% average rate between 2011 and 2013

US$35.9 billion

44.7% Residential

40.9% Mixed-Use

28,868,423 m2

US$14.7 billion

25.9% Residential

22,445,320 m

US$9.3 billion

2

25,000m2

Office Space:

34.7% Mixed-Use

29

Commercial Space:

2,500m2

Total

Total

64.6 million m2

Floors:

140m

57

Office Space:

45,000m2

44,000m2

Investment

Total Construction:

US$130 million

180,000m2

What makes it successful?

What makes it successful?

What makes i

Torre Reforma broke the skyline with a sustainable

Torre Manacar brought the Insurgentes Sur Corridor

This mixed-us

and unique design. A 20th century INBA-protected

back to life with a mixed-use project that rekindled

traditional com

BUILDING CITIES 3.2% Corporate

4.5% Corporate

2,077,352 m2

The GDP contribution of the Telecommunications and Broadcasting sectors increased to an average of 2.4 percent in 2018 compared with 1.6 percent in 2013

US$1.6 billion

2.5% Industrial

4.3% Tourism

1,609,201 m2

US$1.5 billion

1.9% Tourism

1.0% Industrial

1,204,412m2

US$366.8 million

0.3% Infrastructure

FIVE YEARS AFTER THE CONSTITUTIONAL REFORM:

both commercial and office flames. The project

an auditorium

restored a community legacy, Cine Manacar, and kept

traffic. This d

location gave the office tower an edge and attracted

it as part of the project itself. Its anchor stores are

Monterrey do

the first Mac Store to Mexico, along with a 2,500m2

H&M and Cinemex, bringing a new value to the area.

traditional San

Sport City and a unique food court concept, thus

The project is surrounded by a variety of mobility

project restor

incorporating mixed-use elements.

choices making it a sustainable option for corporates.

corridor conne

0.4% Infrastructure

195,000m2

US$143.2 million

0.1% Hospital

EVOLUTION OF MEXICO'S SKYLINE (100m+)

0.3% Hospital

66,330m2

Congress is preparing an amendment to the Federal Telecommunications and Broadcasting Law to enable users to terminate their service plans without penalizations and for licensees to renew their concessions with no forced terms

house was moved to make way for the skyscraper.

Although not a strictly mixed-use construction, the

300

US$98 million

Torre Reforma 182m

200

62.3%

World Trade Center 172m

175

of buildings over 100m are located in Mexico City

Reforma 222 108.5m

150 125

INFRASTRUCTURE DATA 75

50

6 Zapopan

6 Puebla

3 Huixquilucan

25

LIGHT-VEHICLE SALES IN MEXICO'S MAIN EXPORT MARKETS (millions of units)

2012

2013

2011

2010

2008

2009

2007

2005

2006

2004

2002

o

IN Ca DCK

l In dig

Fund

s

pita

12,7 50

12,7 50

DE BT

uis se

Suis se dit

it S red

C

ES TA TE RE AL

0

Capital

S2 CK

EX

6 EX

GBM PMCPCK Prom

GBMECK 1,300

2,503

ne

psto

EXI

Marhnos

MM2C

K

FI acquarie M

ap

E IN PE L PI

DATPCK Atlas Discover STEPCC 16 Stepston ST e STEEPCC16-4 PCC Step 16-2 ston e Ste

41 N/A N/A N/A

cqu a

1,000

399

K

MHNOSCK 6 EXICK1

2,503

00

3,5

3,7 55

CI

F

EXICK EXI 2,255 INFRACK16 CKD Infrastructure 1,289

RC O

M

GB

RC O CB

K CIC

MC

NE

PIPELI

Sources: CONSAR, BMV, 414 Capital Inc

Be and Gr OCK ell OD O'Don

FIM

6,5

K IC BM

G

IGS

T

Th PR Q lig M nm e

A

ta el D CK los TA ol EL rr D sa na De ba K TUC r Ur l o ba Th K Glo IC ad AM ist K Am DC AN GR

F

50

G

BM

2C K GB M I2 ES CK

IC U A

V

ha

00

FIN

rt

0

P

FINSACK

a

th

10 ,0 0

K

l

9,0

3.54 3.71

5.04 4.97

W

XCK

WSM

AMBC VTX2CK

A

1

Ar

C

December

tia

November

en

October

E 13 D In UR14 CK CT K U 15 AC FR TR IN AS 16 FR 17 15 IN 18 7,2

re

tu

uc

r st fra

Amount Raised

M

2,44 0 2,10 Plan 0 2,0 THA CK G 1,7 00 Art S AVACK 1,6 95 ha 1,5 71 A IRENCK G 30 ava R T Ca H4 A pit CK ART a lig nm CI 15 HA ex -2 3C CK K A rth a Ca Ar pi th ta a lI

September

11 12

TICKER Name

K

PI IRA

M

IGS3CK PLAN ICK3 AR

2475

2C

RP

M

2,700

ud

3.42 3.67

7 8

3,046 2,705

FIN

K

PC

MR

— 2012 — 2013 — 2014 — 2015 — 2016 — 2017 August

3

4,0

3,300 3,095

Pr

Germany

70 4,3

India

00 00 5,0

F1

K

SC W

IN

-2

Japan

5,0

CC

SA

00

6,0

o

Un

13

US

X SM Fib W

2 1

ra

to al W

K TC

China

2C

0

0

7,0 n

K

3

9

R A

0

10

July

1 2

5 6

4

2

• MX$40.06 million in real estate

0

5 ITAL CAP ATE PRIV

9

June

0

1

2

3

4

5

• MX$52.12 million in infrastructure and energy projects

billion has been invested by Afores through 74 emissions of CKDs and CerPIs

Ma

IVCK

7

6

4

AFORES INVESTED

MX$146.9

3,900

DA

8

00

rie ICUA 3,4 DCK 15 PMCP I2 CK Promec 2,737

24.66 28.03

17.84 17.86

1CK

AA

icas

9

7

3

0

3,900

4,422 0 4,50

11

10

6

1

3,04 7

13

8

5

0

00

of

No answer

WHAT MAIN FACTORS WOULD INCREASE COMPANIES' COMPETITIVENESS?

K

Amer

81

1

app cor afor m MX$

12

K 15 2C K -I S 27 PLA 4C IG ha 1,5 TH Art AR 4 CK K13 88 5 IGS TC -R IGS 70 5 AR ertex 57 3 CK V S 55 IG ERTXCK 513 V N/A

Dependence on the US

50%

2,7

2,6

4

5

Other

K XC EX

te ty

K

4,082

NEXX6C

ericas

Am overy

10

1C

3,28 2 3,282

FFLA1CK

FFLA2CK

PMIC LATAM

very Disco

-2

FFLA

FFLA4CK

Nexxus

K 15

1CK

TAM

Disc

N

New product / service development

40% 43.4

15

AG

IV

ss

ABJCK Abraaj 15 106 615 K Latin Idea LATINC 950 SCK DALU 1,000 Capital K 1 LA3C Dalus 1,16 FF K 17 TAM 1,4 EXC IC LA DM 30 PM 1,5 CK A MX ery 00 MIF CK cov X Dis 2,0 37 EM x tlas CK me 2,0 A 1 Wa X ON 63 K AC 2, TC DA

Market diversification

30%

L CCK L IVCK

ea

EM

29.3

20

FF

Id

20%

25 Technology

17.5 15.8

PB

a

Ide

Cro

LATA M

PMIC LATAM

2015 2016

6 2,8 4 SC CK Abra 80 GC 2,8 aj K 80 AB PMIC 2,9 JC

PMIC LA

LARGEST VEHICLE MARKETS (millions of units) 30

ern

ge

ga te

Human capital

21.3

atin

uth

rid

rth

at in

9.6 10%

on Ac

11.9

31.03 4.4

L

So

eB

No

L

s xu ex

2.7

12.5

K

N

11.4

15.7

l

NC

Pin

r ve co

10%

countries

15.7

17.9

K ail Ca brid pit ge B BCCK al lac kC re F ek P FLA3 MIC CK LA TA M

ta

28.8

AC

O N S SBCC

pi

Dis

20.6

G G AIA ai a Ca

s

20%

la At

Other

29.3

ACO

LIGHT-VEHICLE EXPORTS BY COUNTRY

Latin America

39.1

30%

Asia

K IIC te PE ga G h N ort N

Europe

40%

50%

Other

y s

77.1% US 8.9% Canada 2.9% Germany 1.8% Colombia 1.7% Brazil 1.4% Argentina 0.7% Chile 0.4% China 0.4% Puerto Rico 0.3% Peru 4.4% Other

WHERE DOES MEXICO HAVE THE BEST POTENTIAL TO DIVERSIFY ITS EXPORTS?

ALS Alsis ISCK

attractive to Afores?

Cre

subsectors within the infrastructure industry are most

invest more and more in the infrastructure industry, and

CSMRTCK Credit Suisse

regulatory framework for Afores has allowed them to

C

▲ 0.72 ▲ 0.82

E

CK

▲ 0.59

g new operations.

CS

Argentina

gate

Brazil ▲ 22.48 ▲ 1.98 ▲ 1.99

in the future. But with more flexibility to invest, which

PMCAPC

ty from the government

Afores with more flexibility to invest in bigger projects

infrastructure or real estate. Throughout the years,

ecap

s for Mexico’s executives,

from 35 percent to 100 percent, which will provide

the country’s infrastructure gap, whether in public

ap

ability and a strong local

in a Fibra or CKD in a single issuance will be increased

funds that can now access funds from Afores, to bridge

North

must also address some

2017, CONSAR announced that the limit Afores can invest

CerPIs are gaining popularity among developers and

Promec

23

for its projects. Structured vehicles such as CKDs and

K

US ▲ 17.48 ▲ 17.54 ▲ 16.75

will become more active in years to come. In September

3,500

However, to increase its

shrinks, the sector is looking to the BMV to obtain money

LIN

ALTU ALTUMMCK

with new instruments such as Fibras and Fibra Es, they

As the Federal budget for infrastructure development

PIPE

ICK

▲ 3.46 ▲ 3.63 ▲ 3.77

PENSION FUNDS TO THE RESCUE

*Annualized data

NGCF

Germany

Source: LBR&A, Pulso In

INFOGRAPHIC

▲ 2015 ▲ 2016 ▲ 2017*

▲ 1.95 ▲ 2.02

4,00 0

▲ 1.90

Number of completions

NXCERPI Nexxus Capital

Canada

2003

1952 1954 1956 1958 1960 1962 1964 1968 1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998

• Tallest project

2001

0

81 Mexico City

2000

Source: IFT, Altán Networks, INEGI

14 Monterrey

Torre Virreyes 130m

Capital Reforma 108.5m

100

2 Tijuana

K1

PROMTEL leases 90MHz of the 700MHz band Telecomm contributes 2 optic fiber threads

225

GEOGRAPHIC DISTRIBUTION (Buildings above 100m)

By January 2022 The Telecommunications and Broadcasting Reform’s the shared main objective was to increase market competition in the sector. network is After five years, several players have entered the market but America Mobile continues to hold twoexpected to cover thirds of the market share 100% of Pueblos Mágicos, a total of 111

Torre Mayor 225m

Torre Ejecutiva PEMEX 211m

250

IC

phase’s goal 30 percent opulation Pueblos is exceeded, g 32 percent e of the pulation, or on people, g 5.8 million areas and Pueblos

21.2

Torr Reform 246

275

THROUGH TRANSPARENT The Ministry of Communications and Transport takes part through:

The Shortcomings

*According to ADI Associates

8, 50

While the project is entirely designed, deployed, operated and maintained by the private sector through the awarded consortium, the PPP considers a public contribution:

US$8.2 billion

I

The Accomplishments

THE PUBLIC COMPONENT:

22.8% Commercial

8,174,746 m2

18 20

12.6% Commercial

2015

92.2%

103.5

2014

Number of Pueblos Mágicos covered Total population covered


Society is changing as people demand more visual communication means 100

80

81.2

400

92.6

401

500

384

cities with more than 15,000 inhabitants

300

60

200

40

100

0

20

0

million people

MEXICO’S RAPID URBANIZATION CALLS FOR A TRANSPARENT USE OF INFORMATION IN INFRASTRUCTURE PROJECTS According to the National Urban System, there were 384 cities with more than 15,000 inhabitants in 2012. This is 72.3 percent of the total Mexican population. By 2018, these figures increased to 401 cities with more than 15,000 inhabitants, which is 92.6 million people that represents a 1.9% increase in that period. According to SEDATU, urban areas in Mexico are experiencing a physical expansion, concentration of urban furniture, and growing urban populations. However, opacity in the allocation of public tenders and a raging unawareness of how tax money is invested in infrastructure projets pose challenges for the Mexican infrastructure industry Infographics and similar visual communication means and formats can increase transparency in that sector.

The need for new urban projects There is and will continue to be a need for new urban infrastructure projects that support the growth of Mexico’s urban population

Key areas of opportunities are: MOBILITY

WATER MANAGEMENT URBAN LIGHTING

Alleviates pressure on public transportation means and benefits the environment Prevents water shortages such as Mexico City’s Massive Water Shutdown of 2018 Improves public security

PEDESTRIAN STREETS

Enables people to take back their streets from cars

RECREATIONAL SPACES

Are meeting points where citizens can practice sport or interact with each other

IT INFRASTRUCTURE Supplies the digital needs of an emerging economy


INFOGRAPHICS

The following material was desgined for Mexico Business Publishing, an editorial house that specializes in developing business intelligence for decision-makers in Mexico’s private and public sector who are shaping the future of the country’s infrastructure industry. The use of infographics plays a key role in generating valuable leads for these leaders to take advantage of business opportunities and increase of transparency in this sector.

3.

INFOGRAPHIC

4.

UNCLOGGING MEXICO’S MOBILITY ARTERIES

MEXICO CITY METROBÚS AT A GLANCE Introduced on 2005, Metrobus changed Mexico City public transportation 17% of Metrobus users left their cars to use this form of transportation

To combat the congestion and environmental effects of

was a wide stride toward integrated urban planning as

motorized transportation, the Mexican capital is setting

mandated parking causes a shortage of living spaces,

an example for not only the country but also other cities

drives up the costs of housing and promotes the use of

around the world by implementing innovative public

automobiles in cities. The city was also the first to use a bike-

policies in mobility. In July 201, Mayor Miguel Angel Mancera

sharing program in Latin America in 2010. Mexico may still

dropped regulatory requirements for parking spaces in

have a long way to go in terms of mobility but concerned

the construction of new developments and pushed to

citizens and authorities are working to reverse the effects of

incorporate new uses for existing lots. The announcement

car-oriented legislation to develop healthier cities.

6 Lines

New Line 7 6. The Construction is underway for the

8 hybrid buses (in Line 4) saves 30% of fuel consumption

125km extension

Will reduce commute time in the area by 40%

US$84.3 million total estimated investment

new route on the emblematic Reforma Avenue

Annual reduction of 19,000 tons of CO2 emissions

US$618,000 for each double-decker bus

90 double-decker buses (for 128 passengers) will replace 180 obsolete units on the avenue

RTED

NSPO

TRA OPLE

ON PE

1 MILLI

ON A

DAILY

BASIS

6

5

4

1.

3 2

MEXICO’S BIKE REVOLUTION Bicycles are gaining popularity as a form of transportation. Over the last three years, the 30 most-populated cities in Mexico invested on average 0.3% of federal funds designated to mobility for bicycle use

is complex. The capital may have one of the cheapest

The Mexico City Metro has 195 stations

4

METROPOLITANS ARE MOTORIZED Vehicle fleet in Mexico City Metropolitan Area more than doubled in one decade; ZMCDMX includes

affordable transportation

• 108 of those are under maintenance, special projects or in reserve

travels long distances using

• US$11.2 million annual expense for maintenance (tracks and stations)

of the approved budget comes from revenues raised by a price hike on tickets (from 3 to 5 pesos implemented in December 2013).

world (and one of the most systems in Mexico), but as the average commuter more than one form of

municipalities

30 million

add up in comparison to the base salary.

42.3%

US$931 million budget for Metro

• Approved by Mexico City Legislative Assembly (ALDF)

1351

1682

1824

677

1,000 0.35 Mexico City 125

Panama City

425

0.35

1 Montevideo

0.6-1.3 720 Hong Kong

1.1-18

Santiago

1.5

426

1,500

2.6 Toronto

200

Source: Inegi El Economista, ciclo-ciudades, governmental reports

New York

150

0

Amsterdam

100

1844

2600

2

81.6% Mexico 50

• The metro requires a US$1.7 billion investment and an annual budget of US$1.1 billion, according to SCT.

2,000

3

4

Vehicle Increase (2005-2015)

0

To catch up on the maintenance and repair lags of the system

2,500

3.5

2,608,659 motorcycles

159% ZMCDMX

• 2,652 tons of CO2 reduction (until 2016)

The construction of Latin America’s first waste-toenergy facility for Metro

3,000

6 27,171,560 automobiles

• for Line 1 (for 2018)

8

Copenhagen

60%

10 new trains

10

3.84-5.76

Bike-Sharing System

of users did not use bicycles before joining Ecobici

• 43km total

7. AVERAGE PRICE SINGLE-RIDE METRO TICKET 2017 COMPARED TO MONTHLY MINIMUM WAGE SALARIES

vehicles registered in 2015 approximately were reached

Early in 2010, Ecobici became one of the biggest bike-sharing programs in the world

Expansion of Lines 12, 9, A and B

Huge Investment

transportation, prices can

• US$1.7 billion for service for 30 trains (17-year contract)

the capital and 18 State of Mexico

8.53

In 2015, Mexico City received from the Mexico-Chile Cooperation Fund Commission to keep promoting the use of bicycles.

The Most Expensive and the newest Metro Line in Mexico City

1550

MX$3.5 billion

• 36 million trips provided in six years

• more than 5 million people use it every day.

ULATIN

RS CIRC

S OF CA

• 452 stations and 6,500 bicycles

subway systems in the

“Line 12”

Y DAY G EVER

London

LIONS

5.5 MIL

• distributed over 12 lines

3 2

1 0

Renovation and Expansion

transportation in Mexico City

5 TRIPS

DAY

The cost of public

It has 390 trains

DAILY

EVERY

Metro, Under the Scope

6

35,000

USE IT

296

• In 2017, Mexico City hosted the Word Bike Forum

M

OPLE

ON PE

5 MILLI

1.4

• 15km bicycle paths added in 2016 on main avenues (Revolucion, Patriotismo and Buenavista)

AN ORE TH

Rio de Janeiro

• Mexico City encompasses 170.11km (bike lanes, bus-bike lanes and complete street schemes)

0

MEXICO CITY METRO

Parking Facilities for Bikes Two massive bicycle parking facilities located at Modal Transfer Centers Pantitlán and La Raza (first of their kind in the city). Automatic accessibility system allows up to 1,200 uses per day

There are 737km of bicycle infrastructure in Mexico.

1

5.

Tokyo

Extended Paths

2.

208 stations

500 0

UNCLOGGING MEXICO’S MOBILITY ARTERIES Even if this infographic was made for Director Generals and CEOs because of the nature of our publications, it can also be used to give another kind of reader the understanding of our mobility system.

TYPE: MOBILITY

This infographic, highlights the four main means of transportation of Mexico City and their evolution over time.

private vehicles and there were 30 million private vehicles registered in Mexico City’s vehicle park in 2015.

(1) Comparison between the use of bicycles and private vehicles. It shows the average daily use of both means. The importance of this part lies on how the bicyclesharing business is growing swiftly on the back of players such as Ecobici.

(3)This section compares Metrobus and Metro. These collective means are very similar to each other, but they differ in several areas showcased there. We focus on comparing data on how they have evolved over time and the kind of resources they use to operate.

(2)Despite an increased use of bicycles in the Metropolitan Area of the Valley of Mexico, the city’s inhabitants will not stop using their

(4)The section on the Metrobus system shows the evolution of its infrastructure between its innauguration in 2005 and 2018.

(5) A comparison of the daily users of both systems, this graph has the same orientation and style as the on cars and bicycles to show readers that both deal on the same subject. (6) In these parts of the Metrobus and Metro sections, we showcase the new infrastructure expansion plans for them. In the case of Metrobus, this was the introduction of a confined lane in Paseo de la Reforma for Line 7 of this transportation means to run. In the case of Metro, it focuses on the renovation and expansion plans for the system through the addition of new lines and the use of new trains.

(7) The comparison between the price of a single-trip ticket i n s eve r a l s u b w ay s y s t e m s compared to the minimu-mwage salary. Even if a single ride in Mexico City is quite cheap, the minimum wage is also really low.


THE SHARED NETWORK

TYPE: IT INFRASTRUCTURE

Estimated total investment

THE SHARED NETWORK

First self-sustaining Public-Private Partnership

Investors include

Awarded to Altán Networks Consortium with Grupo Multitel and Hansam as partners.

It complies with the World Bank’s standards for open contracts

Mobile broadband grows 200 percent to 82.7 million lines.

GDP contribution of the Telecom sector increases 0.8 percentage points.

Fixed broadband penetration increases 26.8 percent.

Mobile telephone prices drop by 42 percent

Total telecommunications prices drop more than 25 percent

2Q13 AND 2Q18

US$7 billion

Morgan Stanley Infrastructure

IFC

CKD Infrastructure Mexico

China-Mexico Fund

Caisse de dépôt et placement du Québec

FFLATAM-15-2

Isla Guadalupe Investments

End users save an estimate MX$133.7 billion thanks to the drop in prices between 2015 and 2017.

Service Providers:

Industrial partners: •

Nokia

Axtel

Huawei

MegaCable

Motorola

This project is financed through a PPP scheme, which means the private sector is the most important player in the process.

Altan is in charge of designing, deploying, operating and maintaining this project.

THE SHARED NETWORK - MILESTONES AND FORECAST FOR POPULATION COVERAGE

2013

2014

2015

2016

2017

JANUARY

JUNE

The Telecom Reform is published in DOF

FEBRUARY

Bases for the Shared Network Tender are published by IFT and SCT

MAY

Call for Tenders is launched

First Shared Network antenna is installed. The goal is to install 2,200 antennas and 7,000km of opctic fiber in the first year.

NOVEMBER

*Population percentages based on the INEGI 2010 cens

SEPTEMBER

Tender is awarded to Altán Networks Consortium

An installation rate of 500 antennas per month is reached.

2018

2019

2020

2021

2022

100

32.2%

by delivering 4G LTE network connectivity to 92.2 percent of

80

20

0

0 Number of Pueblos Mágicos covered

Total of urban population covered (million)

Rural population covered (million)

Number of Pueblos Mágicos covered Total population covered

92.2%

(million)

Percentage of total

PPP in the country, the project is expected to attract 100

of investment funds, strategic partners and telecom experts.

78.6 11

70%

Financial investors: Morgan Stanley Infrastructure, Awarded to International Finance Altán Networks Corporation (IFC), Consortium: CKD Infrastructure Mexico (CKD IM), China-Mexico Fund, Caisse de dépôt et placement du Québec (CDPQ), FFLATAM-15-2 and Isla Guadalupe Investments

concession period directly to operators and not to end users, avoiding monpolistic practices.

C6-106

Government Commitment to establish a digital agenda to bridge the digital gap and democratize access to telecoms

Strategic partner: Grupo Multitel

First self-sustaining PPP in Mexico and pioneer in adopting the World Bank standards for open contracts

A team of over 150 professionals

A 7.1 earthquake shocks Mexico and the project’s work is suspended

The goal is to offer 4G LTE network connectivity to 92.2 percent of the population under a 20-year concession

The record of installing 500 antennas per month is accomplished

ne

Ju

y

ar

nu

Ja

13 20

16 20

r

be

16 20

Tender is launched

ry

a

ru

b Fe

16 20

Telecommunications and Broadcasting Reform is published in the Official Journal of the Federation

5.8 36.1

17 20

r

be

em pt

Se

h

t 19

h rc

18 20

Ma

17 20

The first Shared Network antenna is installed in the State of Mexico, starting the installation of 7-8 service towers per day, for a total of 2,200 antennas and 7,000km of fiber optic lines over the first year

ch ar

18 20

M

The mobile broadband market grew 200 percent, jumping to 82.7 million lines in 2018 compared to 27.4 million in 2013

Se

m ve No

y Ma

r

be

em pt

The concession for the Shared Network is awarded to the Altán Networks Consortium The bases for the Shared Network Tender are announced by SCT and IFT

7.9 56.1

32.2%

Industrial partners: Axtel and Mega Cable

The minimum service quality requirements consider the development of a 4D LTE origin mobile broadband with 4Mbps speed in down-link and 1Mbps in up-link

THE PUBLIC COMPONENT: While the project is entirely designed, deployed, operated and maintained by the private sector through the awarded consortium, the PPP considers a public contribution: The Ministry of Communications and Transport takes part through:

The first phase’s goal to cover 30 percent of the population and 28 Pueblos Mágicos is exceeded, reaching 32 percent coverage of the total population, or 36.1 million people, including 5.8 million in rural areas and over 20 Pueblos Mágicos

J

50%

PROMTEL leases 90MHz of the 700MHz band Telecomm contributes 2 optic fiber threads

Source: IFT, Altán Networks, INEGI

y

ar

nu

Ja

y

ar

u an

When deployed, Altán will deliver the infrastructure during the

20 20

The market for fixed broadband grew 45 percent, to 17.7 million lines in 2018 compared to 12.2 million lines in 2013

covered (million)

n Ja

ry

The total price of communications dropped by over 25 percent from June 2013 to June 2018, contrasting with a 21.3 percent increase in inflation

The drop in prices from 2015 to 2017 amounted to an estimated MX$133.7 billion in cumulative savings for end users, which equals half of ISSSTE’s annual budget or 3 times UNAM’s annual budget

The Accomplishments

ry

ua

n Ja

24 20

23 20

The elimination of National Long Distance (LDN) cuts mobile phone calling prices by 42 percent from 2Q13 to 2Q18

The penetration of fixed broadband increased 26.8 percent from 2013 to 2018 after stagnating at -2.5% average rate between 2011 and 2013

The GDP contribution of the Telecommunications and Broadcasting sectors increased to an average of 2.4 percent in 2018 compared with 1.6 percent in 2013

FIVE YEARS AFTER THE CONSTITUTIONAL REFORM:

The Shortcomings

Congress is preparing an amendment to the Federal Telecommunications and Broadcasting Law to enable users to terminate their service plans without penalizations and for licensees to renew their concessions with no forced terms

Percentage of total population covered

Both infographics show data on a key IT infrastructure project for Mexico: the national “shared network”.

*Population percentages based on the INEGI 2010 census

22 20

21 20

y

ar

nu

Ja ua

13.4

Domestic partner: Hansam

the project was awarded to Altán Networks, a consortium

Rural population

85%

95.4

percent of its investment from the private sector. In 2017,

76

population covered

88.6%

99.5 14

Estimated total investment

the population by January 2024. As the first self-sustaining

100

40

US$7 billion

pursues the ambitious goal of bridging Mexico's digital gap

120

60

14.5

the Peña administrations' initial Government Commitments,

MIllion

20

103.5

initiative in history. The project, rooted in article C6-106 of

92.2%

50%

60

THE SHARED NETWORK — MILESTONES AND FORECASTS FOR POPULATION COVERAGE* 0 20 40 60 80 100 120

The Shared Network is the largest telecommunications

2024

70%

80

40

88.6%

85%

| INFOGRAPHIC

ONE OF ITS KIND: DEPLOYING THE SHARED NETWORK

2023

Percentage

By January 2022 The Telecommunications and Broadcasting Reform’s the shared main objective was to increase market competition in the sector. network is After five years, several players have entered the market but America Mobile continues to hold twoexpected to cover thirds of the market share 100% of Pueblos Mágicos, a total of 111

They display key aspects such as what companies are investing, how it has evolved toward meeting its goals and what are the main milestones reached. While both show more or less the same information, each has a unique goal 77

The top infographic has a more illustrative display of the data. It showcases the project’ss timeline with the purpose of showing facts coherently to tell the project’s story. The original infographic (on the left) is displayed as it was originally printed in 2019 edition of Mexico Infrastructure & Sustainability Review. This second infographic has a more detailed artwork and a more narrative focused nature as it includes more data and a more complex artwork.

For the purposes of this presentation, I modified this infographic


NAIM The construction of the New Airport of Mexico City was and continues to be a highly controversial matter. A flagship project for the Enrique Peña Nieto administration, newly-arrived President Andrés Manuel López Obrador promised to cancel its contruction during his campaign. The new airport of Mexico City (NAIM) was already being built but will be cancelled in the next months. For this reason, in 2016, we decided to make an infographic that compares the current (saturated) Mexico City International Airport (AICM) with the new one. There is an abismal difference between both airports in terms of capacity, size, and number of contact positions for aircraft. As shown, AICM cannot the current passenger traffic.

Infographics are the right way to not only to show CEOs why it was a good decision to invest on NAIM but also for common citizens to understand the advantages of that project.

The tender-winners and investors of NAIM Investment sizes and completion dates

TIMELINE OF TENDERS AND WINNERS’ LEVEL OF INVESTMENT (MX$ Million) Dec 14

Levelling and Cleaning

COCONAL

Nov 27

Oct 9

April 30

MX$1,762,803 million

Temporary Rainwater Drainage

GACM Campsite

Grupo Oro

MX$233,471 million

Grupo Gycsa

Dec 11 MX$112,046 million

Feb 27

July 17

Control Tower

Aldesa, Jaguar Ingenieros

March 20

MX$1,242,171 million

Feb 13

US$10 billion

Sep 16

is the estimated investment the project expects According to Proyectos Mexico (MX$ 186 billion)

Foundation Piles Dec 20

Runway 2

Dec 2

2014 2015 December 2014 Gexiq received the first construction contract in the NAICM to remove 441 buried steel tubes in the land worth MX$40 million

COCONAL and VISE

Runway 3

MX$664,096 million

ICA, IDISA, Construcciones y Trituraciones, El Cajón, Controladora de Operaciones de Infraestructura

Foundation Slab for Transportation Center

SACYR, EPCOOR

MX$1,399,983 million

Dec 6

MX$7,359,205 million

2018

September 2016 NAICM became the first mexican and Latin American entity to emit green instruments in the international market through its emission of US$2 billion green bonds

As a result of the public consultations policy of the new government, Mexico’s civil society will have a greater decision power toward infrastructure projects. They need information to make an informed decision.

Aug 22

Oct 14

2017 December 2015 COCONAL received the contract to level and clean the land for the airport for MX$1.8 billion

CTVM

84,828

Oct 20

Aug 22 MX$7,555,647 million

MX$7,926,300 million

CICSA, GIA+A, Prodemex, La Peninsular

2016 October 2015 NAICM received a revolving credit line from 13 global banks worth US$3 billion

GAMI

Foundation Slab for Terminal Building Jan 12

Oct 10

Terminal Building for Passengers Dec 30

September 2016 The winning consortiums for runway 2 and 3 were announced

Infographics are important because they enable the public to understand the importance of infrastructure projects and how they will impact people’s lives.

As of October 2017, MX$135 billion have been awarded through 292 contract procedures and 197 suppliers

2019 January 2017 ICA and Carso won the contract to build the terminal building for the NAICM worth over MX$84 billion

2020 February 2017 The SCT released a package of 20 tenders for the NAICM with a value of MX$35 billion

September 2017 NAICM emitted US$4 billion of green bonds in the international market

September 2017 Studies for the express train connecting the NAICM to the CDMX worth MX$74 billion was given to ISSA

More public consultations will cause the way communication is carried out in Mexico’s infrastructure industry. TYPE: MOBILITY


INFOGRAPHIC

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Ways that information is displayed

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Sources: CONSAR, BMV, 414 Capital Inc

COMMUNICATIONAL CHALLENGES Means in which the information is presented

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This infographic displays the complex topic of financing products for infrastructure projects

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attractive to Afores?

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invest more and more in the infrastructure industry, and

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the country’s infrastructure gap, whether in public

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for its projects. Structured vehicles such as CKDs and

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PENSION FUNDS TO THE RESCUE

Goods investment National private debt Structured Instruments investment Fibra Investments International debt investment Government value investment

Mexico’s infrastructure industry is a sector that suffers from the lack of transparency in the award of public tenders and the use of public resources. Infographics can play a key role in the democratization of urban infrastructure projects by empowering citizens through information.

Rather than seeing how an infrastructure project can improve their lives, people generally see that their streets are closed and that traffic increases. Infographics are great means to present information and tell infrastructure stories in a visual way. I worked displaying complex data in a way that tells our readers and clients where they can take advantage of business opportunities within the infrastructure industry and other sectors.

However, since civil society is expected to play a greater role in decisions on key infrastructure projects during the López Obrador administration, infographics can bring more complete information to citizens so that their decisions are more informed.


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