EUROPEAN EXPERIENCE OF PUBLIC-PRIVATE PARTNERSHIP ON THE EXAMPLE OF THE ROAD TRANSPORT INFORASTRUTURA PROJECTS IMPLEMENTATION

This study focuses on a wide range of issues related to the effects of integration process on the development of economic relations, in particular, in the road transport services market. Special emphasis is put on the critical role of integration in contributing to building circular technological supply chains, ensuring sales coordination and management, reducing unit costs and increasing labor productivity. It is argued that the outcome of integration translates into a cohesive economic mechanism which in addition to its integrated elements is characterized by the presence of a core coordination element. The article offers a definition to a public-private partnership phenomenon, identifies its advantages and disadvantages, explores the mechanisms of public-private partnership implementation as well as suggests a toolkit to optimize the partnership functioning for integrated structures. This is a pioneering study that provides a rationale for the need to use several public-private partnership patterns simultaneously together with developing a mechanism for carrying out public-private partnership which is proposed to be consolidated into the mechanism of integrated partnership viewed as the most preferable one to be implemented in the market of road transport services. It has been verified that the integrated partnership pattern provides an opportunity to develop competitive advantages of all its participants. The research findings have enabled to make the following generalizations: the existing partnerships differ in types of arrangements and institutional support; prior to making a decision to launch a specific integrated partnership project, the mechanism of its implementation should be envisaged; to enhance the efficiency of the integrated partnership project implementation, building relevant infrastructure facilities is paramount; the prospects for further integrated partnership project operation assume the utilization of a network mechanism of public-private partnership which best meets the needs and the specifics of the road transport services market.

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

Management ◽

10.30857/2415-3206.2020.1.2 ◽

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.

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The attractiveness of public-private partnership for road projects in India

Journal of Project Management ◽

10.5267/j.jpm.2021.10.001 ◽

2022 ◽

Vol 7 (2) ◽

pp. 111-120 ◽

Cited By ~ 1

Author(s):

Mohammed Shakil Malek ◽

Laxmansinh Zala

Keyword(s):

Development Stage ◽

Public Private Partnership ◽

Public And Private ◽

Private Partnership ◽

Factors Affecting ◽

The Public ◽

The Road ◽

Road Projects ◽

Net Benefits ◽

Descriptive Statistical Analysis

The objective of this paper was to have a study on the perceptions of stakeholders of Public-Private Partnership (PPP) projects for factors affecting the attractiveness of road projects in India. A questionnaire survey was conducted among major PPP project participants of Indian PPP road projects. Fifteen attractive factors were shortlisted through a literature survey for designing the questionnaire. Collected data was analyzed with factor analysis and descriptive statistical analysis. The findings resulted in three components: effectiveness of the private sector, effective time and cost management, and the public sector’s economic benefit. Eight factors were identified as highly affecting the attractiveness of PPP in Indian road projects. PPP provides ample diversity of net benefits to both the public and private sectors. During the project development stage, both sectors have to formulate decisions based on appropriate assessment criteria. Therefore, the reflection of attractive factors will assist the public-sector to select PPP in the road sector. It also helps to establish the strategy for road projects using PPP.

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Public-Private Partnership for achieving sustainable development goals: a case study of Khulna, Bangladesh

Public Administration and Policy ◽

10.1108/pap-04-2020-0023 ◽

2020 ◽

Vol 23 (3) ◽

pp. 283-298

Author(s):

Md. Nazmul Haque ◽

Mustafa Saroar ◽

Md. Abdul Fattah ◽

Syed Riad Morshed

Keyword(s):

Sustainable Development ◽

Sustainable Development Goals ◽

Public Private Partnership ◽

Private Partnership ◽

Content Type ◽

The Public ◽

The Road ◽

Development Goals ◽

On The Road

PurposePublic-Private Partnership (PPP) is a common practice in both the public and private sectors. PPP has been an important instrument to achieve Sustainable Development Goals (SDGs) at the national level. However, the role of PPP at the subnational level is often scarcely studied. Using Khulna city of Bangladesh as a case, this paper aims to assess the role of PPP projects in the attainment of SDGs.Design/methodology/approachThe research was conducted in the Central Business District (CBD) of Khulna, on a total of 4.6 kilometers stretches of road medians in the CBD where landscaping was done through the PPP approach. Besides the collection of secondary data from official records, primary data were collected through site visits, field surveys and interviews of PPP project partners.FindingsThe result shows that 89 percent of the respondents (road users) were pleased with the landscaping done on the road medians. Similarly, about 86 percent of the respondents felt more comfortable and safer to use the roads. Well-maintained road medians allow road-crossing at a regular interval which reduces the chance of an accident. The private parties have installed promotional billboards on the road medians and saved BDT 10.82 million a year. The public authority saves the maintenance budget amounting to BDT 23 million a year. The project achieves a triple-win situation. Despite some limitations, this PPP project has taken Khulna a step forward to achieve SDGs.Originality/valueThe findings have policy implications as the PPP project has enhanced the resilience of Khulna by addressing the relevant SDGs.

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CHALLENGES FACED IN PPP AND HAM MODEL AND THE NEED FOR AN ALTERNATIVE

Journal of Civil Engineering Science and Technology ◽

10.33736/jcest.1407.2019 ◽

2019 ◽

Vol 10 (2) ◽

pp. 82-93

Author(s):

A. Jain ◽

F. Khan ◽

P. Gupta ◽

K. Gupta ◽

S. R. Yadav

Keyword(s):

Questionnaire Survey ◽

Financial Risk ◽

Road Transport ◽

Public Private Partnership ◽

Private Partnership ◽

Entire Process ◽

Private Investor ◽

Partnership Model ◽

Key Stakeholders ◽

Proposed Model

Public Private Partnership Model (PPP) by Ministry of Road Transport and Highways (MORTH) renewal was undertaken by introduction of the hybrid annuity model (HAM) wherein government decided to share the risk of financing by contributing 40% towards the project. With the launch of this scheme more than fifty percent projects got green signal in 201617 under the HAM scheme. This work compares these two models by undertaking a questionnaire survey from the key stakeholders involved in such projects and identifies challenges & risk faced and issues pertaining to delays and success of the proposed model. The outcome from the work highlights that funding has been a major challenge faced by PPP projects and thus innovation into the model is necessary. There also seems to be a lack of transparency in the entire process which makes it riskier for the private investor. It is also concluded from the work that financial risk is predominant whether it is a PPP or HAM model and thus a search for a new sustainable model that is sustainable is essential.

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Public-Private Partnership as a Mechanism for the Development of Transport Infrastructure in Kherson Region

Business Inform ◽

10.32983/2222-4459-2020-12-217-224 ◽

2020 ◽

Vol 12 (515) ◽

pp. 217-224

Author(s):

V. P. Vlasova ◽

Keyword(s):

Conflict Of Interest ◽

Institutional Environment ◽

Public Private Partnership ◽

Transport Infrastructure ◽

Private Partnership ◽

The Road ◽

Railway Infrastructure ◽

Financial Groups

The development of the transport infrastructure of the region remains an important task, which today is solved by means of the mechanism of public-private partnership (PPP). At present, both a sufficient institutional environment and the regulatory support for the implementation of public-private partnership projects have already been created. Kherson region, having an average level of development of transport infrastructure, de facto occupies the near-border position. Therefore, the level of development of infrastructure of the region (in particular, road economy) is of significant strategic importance for the security of the State. The main tasks for the development of transport infrastructure of Kherson region and possible directions of implementation of infrastructure projects are defined. The study showed that only two projects that are not infrastructural are implemented on the basis of PPP in Kherson region. However, the concession of Kherson seaport has been launched – this project is pilot not only in the region, but also in Ukraine. Concluding a concession agreement in seaports is a complex and long-term procedure. Important in the agreement is the determination of the amount of concession payments and the distribution of risks between the project participants. Typically, concessionaires are large international companies (cargo owners or shipowners) or domestic industrial and financial groups that dictate the terms of the contract, so, accordingly, there may be a conflict of interest. This publication defines the essential conditions of this concession project. PPP projects in the road sphere are promising, which should solve a number of problems of the region. The airport «Kherson» is described as a concession object, the scheme of the PPP mechanism concerning it is proposed. It is determined that public-private partnership in the sphere of railway infrastructure is in the process of formation and determination of forms of cooperation.

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

International Journal of Technology and Management Research ◽

10.47127/ijtmr.v3i1.69 ◽

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.

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

Bulletin of the Kyiv National University of Technologies and Design Series Economic sciences ◽

10.30857/2413-0117.2020.5.10 ◽

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.

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Evolution of the mechanism of regulation owing to development road economy on the basis of innovative principles public-private partnership

Problems of Innovation and Investment Development ◽

10.33813/2224-1213.23.2020.5 ◽

2020 ◽

pp. 44-53

Author(s):

Vdovenko ◽

Korobova ◽

Pavlenko

Keyword(s):

National Economy ◽

Public Private Partnership ◽

The State ◽

Theory And Practice ◽

Investment Activity ◽

Private Partnership ◽

The Public ◽

The Road ◽

Road Development ◽

The Impact

Subject of research – relations in the process of improving the mechanism of regulation of road development in Ukraine and putting into practice proposals to ensure innovative approaches and modernization of the road system on the basis of public-private partnership are formed. The purpose of the article. The scien- tific and methodological and practical proposals with the purpose of applying the mechanism of regulation of the road economy development as a promising of the national economy have been developed. The methodology of the work. The theoretical and methodological basis of the research is the system of both general scientific and special methods of scientific cognition, fundamental provisions of modern economic theory and practice. In scientific research such methods as mono- graphic in formulating approaches that the development of the road economy de- pends not only on the level of economic development, but also on the influence of regulatory mechanisms that are applied, economic and statistical – in determining and calculating the concession payment for the right to management are used. The results of the work – the scientific results of the improved basis of development of the national economy through the creation of an effective mechanism for the implementation of new rules and tasks in the system of regulation in the field of road economy are proposed for application. Conclusions. We propose modern mea- sures and tools for shaping the innovative environment, and we propose to intro- duce such rules that would meet the interests of the authorities, increase the level of protection of interests of private investors and the state in the implemen- tation of public-private partnership projects. The advantages in developing mech- anisms for guaranteeing public-private partnership project financing by the state partner during the whole project implementation period are substantiated; mecha- nism of fair compensation in case of early termination of the public-private part- nership contract at the initiative of the state partner in order to compensate for the reasonable losses of the private partner. The scientific-methodological and practical proposals for the purpose of application of the mechanism of regulation of the road development are revealed. It is proved that due to the impact of mod- ernization transformations, the public-private partnership can play a dual role as an institutional innovation and has every reason to combine both the modernization of investment activity and the modernization of the regulatory mechanism for the purpose of evolutionary transformations in the leading spheres of the national economy.

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FEATURES OF PUBLIC-PRIVATE PARTNERSHIP AS A MECHANISM FOR IMPLEMENTING A NEW REGIONAL POLICY FOR THE FUNCTIONING AND DEVELOPMENT OF THE ROAD SECTOR

SCIENTIFIC BULLETIN OF POLISSIA ◽

10.25140/2410-9576-2020-2(21)-73-82 ◽

2020 ◽

pp. 73-82

Author(s):

Inna Oleksandrivna Khomenko ◽

◽

Lyudmila Nikolaevna Volynets ◽

Halyna Olehivna Lysenko ◽

◽

...

Keyword(s):

Legal Framework ◽

Public Private Partnership ◽

Private Partnership ◽

The Public ◽

The Road ◽

Road Management ◽

Global Pandemic ◽

Effective Activity ◽

Main Activity ◽

The Impact

This article reveals the basic concepts, principles, significance of public-private partnership (PPP), its significance, main provisions and importance for the functioning and development of the road sector in Ukraine. The main advantages of the functioning of the public-private partnership system are also given, the legal framework and the main principles for effective activity are analyzed. Examples of successful global public-private partnership projects in the field of road management, which are the basis for determining the amount of tolls on public roads for vehicles, are outlined. The agreements concluded by administrative institutions on the basis of public-private partnership are described.The main activity of the state road fund, sources of its financing and distribution of funds are investigated. The main debt obligations of the road industry and their further impact on the development of public-private partnership in Ukraine have been identified. The main problems, the reasons for the inefficiency of public-private partnership in thefield of road management are clarified and effective ways of development and solution of complex issues are suggested. The analysis of the main factors influencing the development of public-private partnership of Ukraine is carried out and the ways of elimination of negative factors are given. The principles of operation and essence of the first six pilot transport projects of Ukraine and further increase of their number, which were developed taking into account world standards on the basis of requirementsof both parties, are considered. The impact of the global pandemic on the traffic of different countries is revealed. There are examples of companies that were able to resume their activities and increase the economic rating during the easing of quarantine restrictions. The main ways to improve the functioning of the road industry of Ukraine are proposed.

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