Public Private Partnership in Infrastructure - Roads Sector in India

2016 ◽  
Vol 2 (1) ◽  
Author(s):  
Dr. P. K. Sinha ◽  
Ms. Sanchari Sinha
Keyword(s):  
Private Sector ◽  
Public Services ◽  
Public Expenditure ◽  
Private Investment ◽  
Public Private Partnership ◽  
Political Accountability ◽  
Private Partnership ◽  
Private Finance ◽  
The Government ◽  
Private Sector Involvement

Public Private Partnership (PPP) has emerged as a key prospective for involving the private sector in the provision of infrastructure and other public services. There is a room for debate as to whether private sector involvement necessarily implies private finance. The term PPP could cover situations where private investment is brought, to improve the efficiency of public expenditure and private finance. PPP are not vehicles for privatizing public services since the Government retains full political accountability for the services. They simply are the means by which the Government can use what private sector offers to improve its own performance. It is done by establishing own arrangements often through legally binding contracts that will bring benefit to both sectors. The private sector needs to earn return on its ability to invest and perform. The Government should therefore look very carefully at PPPs, because if economic advancement can be made via infrastructure improvements, it may meet any increased cost of involving the private sector. This article brings an overview of the PPP terminology in infrastructure with emphasis on the roads sector. It highlights on the framework and sectoral overview of road sector in the light of PPP process and phases.

scholarly journals KAJIAN URGENSI PUBLIC PRIVATE PARTNERSHIPS DI KOTA BANDUNG

2018 ◽  
Vol 8 (2) ◽  
pp. 141-149
Author(s):  
Mary Ismowati
Keyword(s):  
Private Sector ◽  
Public Services ◽  
Public Private Partnership ◽  
City Government ◽  
Public Private Partnerships ◽  
Technical Literature ◽  
Private Partnership ◽  
The Public ◽  
The Government ◽  
The City

Bandung city government's desire to work on various projects with a mechanism of Public Private Partnerships ( PPP ) due to limitations of the government for the city of Bandung well within the capability of funding, human resources , technological capabilities , and so forth . This is done to help realize the " Bandung Champion " . City government 's desire based on the opinion the Government is obliged to fulfill its social responsibility to the community economy , and to ensure that public services can be done to the entire community.The aim in this paper to analyze the cooperation scheme of Public Private Partnerships ( PPP ) what is right for the city government The method used in this paper is a descriptive study with technical literature , ie finding relevant theory reference to the case or the problems found , namely the problem of public private partnership cooperation city government with the private sector in the provision of public services . This type of data is secondary data obtained from the documentation media and internet and also sourced from books and other literature sources that support the discussion in this study.In order for the cooperation of public private partnership city government with the private sector managed a few things that must be considered: this cooperation must be strategically important for both parties , this cooperation are complementary rather than mutually competence , openness to information in both parties , and should this cooperation raises link although the true integration of different cultures . Mutual trust is the main thing. Forms of cooperation of public private partnership with the city government to the private sector in the form of contract maintenance , Leasing ( Lease ) or Contract of Build- Operate- Transfer / BOT or Build Operate and Transfer OwnedIt was concluded that the Public -Private Partnership cooperation is not always a bad connotation and in order to succeed , a lot of terms and conditions must be met . It is intended that the government gets the best results , people also get results commensurate , ie welfare . Thus , the spirit of Public -Private Partnership is to strengthen the government or the public service which is considered inefficient 

scholarly journals Public Private Partnership: Insights from the Egyptian Experience

2018 ◽  
Vol 8 (3) ◽  
pp. 241
Author(s):  
Heba Samir ◽  
Aya Maher
Keyword(s):  
Private Sector ◽  
Public Services ◽  
The United States ◽  
Public Private Partnership ◽  
Mena Region ◽  
Private Partnership ◽  
Reform Agenda ◽  
Private And Public ◽  
The Government ◽  
Cost Efficient

Partnership between private and public organizations has become very vital for policy implementation. PPP contracts have been successful for the recent years in many countries such as United Kingdom, Germany, Netherlands, South Africa, and The United States. Egypt is considered to be one of the MENA region leaders in the PPP field. PPPs are considered to be on the top of the Egyptian economic reform agenda so as to increase the private sector involvement in public services through leveraging private sector spending against public spending. The objective of this theoretical paper is to analyze the role of public private partnership in Egypt with regards to developing meaningful cooperation between the governments and businesses in a way that enables effective provision of cost efficient quality public goods, services and facilities. The significance of the study lies in the fact that PPP has become a crucial need for the government of Egypt for rendering an efficient public services and projects amidst all the challenges for developing the country after the 25th of January Revolution.

scholarly journals Reasons for Implementing Public-Private Partnership in Road Construction: Perspective from State-Owned Agencies and Private Sector in Ghana

2020 ◽  
Vol 3 (1) ◽  
pp. 23-25
Author(s):  
Simon Ofori Ametepey ◽  
William Gyadu-Asiedu ◽  
Clinton Aigbavboa ◽  
Clinton Aigbavboa
Keyword(s):  
Private Sector ◽  
Hypothesis Test ◽  
Road Construction ◽  
Public Private Partnership ◽  
Functional Responses ◽  
Private Partnership ◽  
The Road ◽  
Alternative Means ◽  
The Government ◽  
Shared Risk

Presently, there is a request by various stakeholders in the road construction sector to embrace public-private partnership (PPP) as an alternative means of solving the road infrastructure deficit in Ghana. To this end, the study sought to identify the underlying reasons for implementing public-private partnership in road construction in Ghana. It also intends to examine the differences in the perception of these reasons by the State-owned Road Agencies (SRA) (who represent the government) and the Private Sector (PS). A questionnaire survey was used to elicit the perceptions of the SRA and PS on the underlying reasons for implementing PPP in road construction in Ghana. An in-depth interview was also conducted among four PPP “experts” in Ghana. Seventy-six functional responses were analysed using Statistical Package for the Social Science (SPSS) to rank the importance of the reasons based on the overall responses, as well as the responses from both the SRA and the PS and to examine the differences in the perceptions between the two groups. “Shortage of government funding”, “Political pressure”, “Economic development pressure of demanding more facilities”, “accelerate project development”, “Allowance for shared risk”, “Ability to raise funds for project by private sector”, and “Facilitate creative and innovative approaches” were found to be the seven most important reasons for adopting PPP in road construction in Ghana. In terms of the differences in perception between the SRA and PS groups, the hypothesis test results indicated that significant differences exist for only a few of the reasons.

scholarly journals Ten Years of Public Private Partnership in Jakarta Drinking Water Service (1998-2007): Eastern Jakarta Drinking Water Service by Thames PAM Jaya

2021 ◽  
Author(s):  
◽  
Renalia Iwan
Keyword(s):  
Drinking Water ◽  
Private Sector ◽  
Public Private Partnership ◽  
Capital City ◽  
Cooperation Agreement ◽  
Private Partnership ◽  
Water Service ◽  
The Public ◽  
The Government

<p>Clean water is crucial for survival and economic development. Everyday, people need a sufficient amount and a suitable quality of water for drinking, cleaning and sanitation. However, rapid population growth, pollution and climate change have made water a scarce resource, which everyone competed. The United Nations Development Program's recent report stated that more than 1 billion people, up to this day, are without access to safe drinking water and sanitation. Lack of access to clean water can cause social, economic and health problems. Therefore, there is an urgent need to find solutions to this problem. To solve the problem of water scarcity, International Financial Institutions introduced Public Private Partnership (PPP) in the management of water sector. PPP is a concept which involves private sector participation in the management of drinking water service. In PPP, water is recognized as an economic good which is recognised under the 1992 Dublin Principles. It was hoped that by placing an economic value on water, efficient and equitable use of water can be achieved. It was also hoped that it would encourage conservation and protection of water resources. However, studies show opposite results from the Principle. Jakarta drinking water service is one example of a failed PPP. Jakarta, the Capital City of Indonesia, adopted Public Private Partnership (PPP) in the management of its drinking water service in 1998. The twenty five years concession contract was granted to Thames Water International (TWI) and its local partner, Kekarpola Airindo (KATI), now known as Thames PAM Jaya (TPJ). This company is responsible for the management of Eastern Jakarta drinking water service. This research was aimed to evaluate Thames PAM Jaya (TPJ) performance on water provision in Eastern Jakarta, ten years into the twenty five years concession by undergoing a qualitative research method. A range of semi-structured interviews were used to: gain perceptions and opinions of each stakeholder on the Public Private Partnership (PPP), identify the advantages and/or disadvantages of the water privatization in the capital city and to identify the constraints and limitations facing the private sector. Participants involved in this research include Government officials, Thames PAM Jaya, Jakarta Water Supply Regulatory Body (JWSRB), non governmental organizations (NGOs), and TPJ customers. The analysis concludes that Public Private Partnership (PPP) in Eastern Jakarta does not bring improvement to the region's drinking water service. Thames PAM Jaya (TPJ) had failed in fulfilling targets set in the Cooperation Agreement. Lack of transparency and public tendering in the process of forming the public private partnership may have contributed to this poor performance because the proper search for a competent partner was short circuited. Political interference in the bidding process is a form of corruption in which the company granted the contract was clearly complicit. The water tariff in Jakarta is not only the highest in Indonesia, but it is also the highest in the Southeast Asia region. The quality of its service, however, is still of poor quality. Limited access to water due to its high price and low service has resulted in water hacking and the on-going use of groundwater. The Cooperation Agreement, on the other hand, has locked the Government of Indonesia into a long term partnership which is very disadvantageous for the government and the residents. Private sector involvement should be the last alternative to improve the management of the water supply service in Indonesia.</p>

scholarly journals EARLY TERMINATION COMPENSATION UNDER DEMAND UNCERTAINTY IN PUBLIC-PRIVATE PARTNERSHIP PROJECTS

2018 ◽  
Vol 22 (6) ◽  
pp. 532-543 ◽  
Author(s):  
Jinbo Song ◽  
Yanzhu Yu ◽  
Lulu Jin ◽  
Zhuo Feng
Keyword(s):  
Private Sector ◽  
Demand Uncertainty ◽  
Public Private Partnership ◽  
Early Termination ◽  
Cumulative Probability ◽  
Compensation Mechanism ◽  
Private Partnership ◽  
Concession Period ◽  
Core Issue ◽  
The Government

In the early termination of public-private partnership (PPP) projects, compensation is considered a core issue that greatly affects the interests of the government and the private sector. To address the early termination that is frequently caused by government default or voluntary buyback, this paper proposes an ex-ante compensation mechanism using the cumulative probability that a given demand could be realized to determine early termination compensation under demand uncertainty. By splitting the compensation into two parts, the base compensation could be the minimum compensation for the private sector, while the additional compensation is considered a reasonable allocation of future booming demand. The predetermined compensation criterion ensures a smooth transfer of the early terminated project, which not only benefits the government from being overcharged, but also enables the private sector to gain a reasonable compensation for the remaining concession period.

scholarly journals Public–Private Partnership Monitor: Pakistan

2021 ◽  
Keyword(s):  
Private Sector ◽  
Energy Sector ◽  
Public Private Partnership ◽  
Public Infrastructure ◽  
Related Services ◽  
Private Partnership ◽  
The Public ◽  
Private Sector Investment ◽  
Total Investment ◽  
The Government

The Government of Pakistan strongly supports public–private partnership (PPP) initiatives. From 1990 to 2019, Pakistan witnessed 108 financially closed PPP projects, with a total investment of approximately $28.4 billion. About 88% of these projects are in the energy sector, attracting more than $24.7billion, followed by investments in the port sector. In early 2021, Parliament approved the amendments to the 2017 PPP Law, enacting the Public Private Partnership Authority (Amendment) Act 2021. This further strengthens the enabling legal and regulatory framework for developing and implementing PPPs, thereby promoting private sector investment in public infrastructure and related services.

scholarly journals АНАЛІЗ ТЕНДЕНЦІЙ РОЗВИТКУ СИСТЕМИ ДЕРЖАВНО-ПРИВАТНОГО ПАРТНЕРСТВА НА РИНКУ ПОСЛУГ АВТОМОБІЛЬНОГО ТРАНСПОРТУ

2021 ◽  
Vol 151 (5) ◽  
pp. 94-103
Author(s):  
Даниїл В. Лапоног
Keyword(s):  
Private Investment ◽  
Road Transport ◽  
Public Private Partnership ◽  
Infrastructure Development ◽  
Private Partnership ◽  
The Public ◽  
Partnership Development ◽  
Transport Services ◽  
The Government

The article seeks to provide insights into contemporary research in public-private partnership development in the road transport market. The study reviews a range of world public-private partnership best practices which demonstrate that effective interaction between government and business at different levels (national, subnational and regional) allows to attract and allocate investment resources more effectively, thus contributing to creating new jobs, promoting better infrastructure development and enhancing the overall quality of life in the country. It is argued that among the key factors boosting the public-private partnership market development the most significant is the level of institutionalization. It is also asserted that this factor, in combination with the relevant political environment and the capital market specifics, facilitates building successful partnerships. Moreover, government initiatives together with legal and regulatory interaction frameworks shape solid foundation to encourage further public-private partnership development by gaining positive effects from successful implementation of such partnerships, designing roadmaps and unified standard procedures and processes aimed at simplifying the relationships between the private sector and the government. Apart from the above, it is highlighted that the institutional factor aligned with the government strategic goals affects the formation and legitimation of public-private partnership markets. The study also provides argument that through the models of public-private partnerships the public sector can benefit, in the first place by utilizing resources of private companies, thus fostering further infrastructure development and raising the effectiveness and efficiency of road transport services market. The findings reveal that the purpose of public-private partnership programs institutionalization in the sector of road transport services is to enhance government motivation to attract private investment and offer new road network services based on public-private partnership contracts which will contribute to ensure the quality of road services.

scholarly journals PUBLIC PRIVATE PARTNERSHIP: ALTERNATIF PEMBANGUNAN INFRASTRUKTUR DALAM NEGRI

2021 ◽  
Vol 8 (2) ◽  
Author(s):  
Fahmi Dzakky
Keyword(s):  
Private Sector ◽  
Legal Aspects ◽  
Public Private Partnership ◽  
Infrastructure Development ◽  
Literature Study ◽  
Private Partnership ◽  
Development Agenda ◽  
Private Sector Participation ◽  
The Government ◽  
Business Entities

Sebagai regulator dan fasilitator proyek infrastruktur Indonesia, Pemerintah telah mengundang partisipasi sektor swasta melalui pengaturan Public Private Partnership (PPP) atau yang dikenal juga dengan Kerjasama Pemerintah dengan Badan Usaha (KPBU). Kemitraan Pemerintah-Swasta umumnya dicirikan oleh entitas sektor swasta yang mengumpulkan dana untuk membangun aset yang dibutuhkan oleh Pemerintah, dan menyediakan fasilitas atau layanan sebagai imbalan aliran pendapatan kontraktual dari Pemerintah atau pengguna. Hal ini disebabkan PPP dikatakan efektif untuk dijadikan alternatif pembangunan infrastruktur di dalam negeri. Tulisan ini akan menganalisis mengenai eksistensi PPP sebagai unsur alternatif pembangunan infrastruktur di Indonesia, dilihat dari aspek hukum dan implementasinya. Metode yang digunakan adalah metode penelitian hukum normatif dengan menggunakan studi kepustakaan. Adapun hasil yang diperoleh adalah Pemerintah harus berupaya untuk dapat meningkatkan kualitas kontrak dan perbaikan skema PPP sehingga dapat menarik investor turut membantu pemerintah pada agenda pembangunan infrastruktur dalam negeri.Kata Kunci: PPP, infrastruktur, pembangunanABSTRACTAs the regulator and facilitator of Indonesian infrastructure projects, the Government has invited private sector participation through the regulation of Public-Private Partnership (PPP) or also known as Government Cooperation with Business Entities (KPBU). Government-Private Partnerships are generally characterized by private sector entities that raise funds to build assets required by the Government and provide facilities or services in exchange for a contractual revenue stream from the Government or users. This is because PPP is said to be effective to be an alternative to infrastructure development in the country. This paper will analyze the existence of PPP as an alternative element of infrastructure development in Indonesia, judging by the legal aspects and its implementation. The method used is normative legal research method using literature study. The result obtained is that the Government should strive to be able to improve the quality of contracts and improve PPP schemes to attract investors to help the government on the domestic infrastructure development agenda. Keyword: PPP, infrastructure, development

scholarly journals IMPROVEMENT OF THE PUBLIC-PRIVATE PARTNERSHIP SYSTEM IN THE ROAD TRANSPORT SERVICES MARKET

Management ◽  
2020 ◽  
Vol 31 (1) ◽  
pp. 25-37
Author(s):  
Danyil V. Laponoh
Keyword(s):  
Private Sector ◽  
Private Investment ◽  
Road Transport ◽  
Public Private Partnership ◽  
The State ◽  
Transport Infrastructure ◽  
Private Partnership ◽  
The Road ◽  
Transport Services ◽  
Effective Form

Introduction. The active use of the institution of public-private partnership (PPP) allows us to distinguish PPP from the totality of financial and economic relations between the state and the private sector based on the principles of equality and freedom of PPP participants, stability of the agreement and its flexibility, responsibility of the parties, competitiveness, non-interference, incentive and guarantees, retribution.The research hypothesis. The algorithm for selecting and assessing the effectiveness of projects in the road transport market to select the most effective form of financing with the participation of the state and the private sector will create conditions for attracting private investment in the development of transport infrastructure on the basis of public-private partnership.The purpose of this article is to improve the system of public-private partnership in the market of road transport services.The methodology of the study: expert, statistical, comparative, factor and scenario analysis; empirical data analysis using grouping, generalization methods.Results. An algorithm for selection and evaluation of the efficiency of projects in the sphere of the road service market to select the most effective form of financing with the participation of the state and the private sector has been proposed and tested, in particular: four alternative options for project financing to select the optimal one (state order, life cycle contract (LCС) without extra-budgetary financing, LCС with extra-budgetary financing, concession agreement); clarification of the methodology for evaluation of commercial, socio-economic and budgetary indicators of the road service market.Conclusions. Theoretical provisions developing the methodological basis of public-private partnership were formulated, including: the concept of public-private partnership was defined and its main principles were highlighted; classification of PPP forms and models was proposed taking into account the existing world and national practice; methodological tools for evaluation of PPP projects efficiency were improved.

scholarly journals Public-Private-Partnership (Ppp) in Nigeria

2019 ◽  
Vol 6 (4) ◽  
pp. 482-501
Author(s):  
Theresa U Akpoghome ◽  
Theophilus Chinedu Nwano
Keyword(s):  
Joint Venture ◽  
Private Investment ◽  
Cost Effective ◽  
Public Private Partnership ◽  
Historical Background ◽  
Private Partnership ◽  
Goods And Services ◽  
Arbitration Clause ◽  
Global Standards ◽  
The Government

Public-Private-Partnership (PPP) in Nigeria is a major issue of discourse among individuals, corporate bodies and government. PPP is a tool to deliver the much needed infrastructural services. Building modern, sustainable and reliable infrastructure is critical for meeting the rising aspirations of millions of people in Nigeria and PPP helps to raise economic growth rates, offers new economic opportunities and facilitates investment in human capital. This paper examines the historical background and types of Public-Private-Partnership in Nigeria. It discovers that the problems or the challenges of Public-Private-Partnership include multiplicity of functions by various bodies, definitional issues, joint venture agreements, conflicts and contractual review conflicts. The paper discovers that one of the major challenge in PPP agreements is the absence of arbitration clause in the contracts. The paper recommends that the insertion of arbitration clause should be encouraged to reduce incidences of prolonged litigation. Synergy among regulatory bodies is also recommended to foster reduction in the issue of double taxation and encourage more private investment participation. The paper concludes that Public-Private-Partnership remains one of the most important developmental avenues available to the government to revive the decaying public corporations, utilities and public goods and services of global standards through cost effective mechanisms.

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