scholarly journals Public Private Partnership: Insights from the Egyptian Experience

2018 ◽  
Vol 8 (3) ◽  
pp. 241
Author(s):  
Heba Samir ◽  
Aya Maher

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.

2016 ◽  
Vol 2 (1) ◽  
Author(s):  
Dr. P. K. Sinha ◽  
Ms. Sanchari Sinha

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.


2018 ◽  
Vol 8 (2) ◽  
pp. 141-149
Author(s):  
Mary Ismowati

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 


2020 ◽  
Vol 3 (1) ◽  
pp. 23-25
Author(s):  
Simon Ofori Ametepey ◽  
William Gyadu-Asiedu ◽  
Clinton Aigbavboa ◽  
Clinton Aigbavboa

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.


2021 ◽  
Author(s):  
◽  
Renalia Iwan

<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>


2018 ◽  
Vol 22 (6) ◽  
pp. 532-543 ◽  
Author(s):  
Jinbo Song ◽  
Yanzhu Yu ◽  
Lulu Jin ◽  
Zhuo Feng

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.


2021 ◽  

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.


2021 ◽  
Vol 8 (2) ◽  
Author(s):  
Fahmi Dzakky

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


2010 ◽  
Vol 16 (1) ◽  
pp. 5-18 ◽  
Author(s):  
Jing-Feng Yuan ◽  
Mirosław J. Skibniewski ◽  
Qiming Li ◽  
Jin Shan

In recent years, China needs far more financing for transportation infrastructure than can be provided by the government alone. Meanwhile the capacity of the Chinese government to provide public services on its own in an effective and efficient way is being questioned and reassessed at various levels. Accordingly, the involvement of private investors in the development of Metropolitan Transportation Systems (MTS) has been promoted by the Chinese public sector by means of adopting the Public Private Partnership (PPP) model. However, China's dynamic and complex political, financial, legal and regulatory environment makes the private sector adjust to accommodate the existing regime by way of understanding the driving factors in PPP applications for improving the chances of project success. This paper presents two case studies in China's MTS. Based on a case study and comprehensive literature review, 15 driving factors associated with PPP projects from the perspective of the Chinese public sector have been identified. A structured questionnaire survey targeting the public sector has been conducted to seek, analyze and integrate its perception of the driving factors. Through statistical analysis of the relative significance of each of these driving factors, the writers determined five common major dimensions of the Chinese public sector's purpose in developing PPP schemes, and the key factors that quantify each purpose. The establishment of the measures for these objectives and the key factors that quantify each of these purposes will likely be useful in encouraging private participation in infrastructure management and directing/concentrating efforts of the private sector to deliver quality public services under mutually beneficial long‐term contractual arrangements. Santrauka Pastaruoju metu Kinijai reikia daug daugiau finansavimo transporto infrastruktūrai pletoti, nei gali suteikti vien šalies vyriausybe. Jos galimybes veiksmingai ir efektyviai teikti viešasias paslaugas tiriamos bei vertinamos ivairiais lygiais. Skatinamas privačiu investuotoju itraukimas i metropolijos transporto sistemu (MTS) pletra, taikant viešojo ir privataus bendradarbiavimo modeli. Tačiau Kinijos dinamiška ir kompleksine politine, finansine bei teisine aplinka priverčia privatu sektoriu derintis prie egzistuojančios tvarkos, atsižvelgiant i pagrindinius viešojo ir privataus bendradarbiavimo veiksnius, kurie padidintu projekto sekmes tikimybe. Straipsnyje pateikiami du Kinijos metropolijos transporto sistemu pletros pavyzdžiai. Remiantis nagrinejamais pavyzdžiais ir išsamia literatūros analize, iš Kinijos viešojo sektoriaus poziciju identifikuota 15 pagrindiniu veiksniu, susijusiu su viešojo ir privataus bendradarbiavimo projektais. Buvo atlikta apklausa, orientuota i viešaji sektoriu, išanalizuota, kaip pagrindiniai veiksniai suvokiami ir pritaikomi. Atliekant kiekvieno iš šiu veiksniu santykiniu reikšmingumu statistine analize, buvo apibrežti penki pagrindiniai Kinijos viešojo sektoriaus tikslu aspektai, pletojant viešojo ir privataus bendradarbiavimo schemas, ir pagrindiniai rodikliai, ivertinantys šiuos tikslus skaitine išraiška. Minetu tikslu nustatymas ir pagrindiniu skaitiniu rodikliu ivertinimas galetu būti naudingi, skatinant privatu sektoriu prisideti prie infrastruktūros valdymo, galetu padeti koncentruoti bei nukreipti privataus sektoriaus jegas kokybiškoms viešojo sektoriaus paslaugoms teikti, remiantis abipusiškai naudingomis ilgalaikemis sutartimis.


2007 ◽  
Vol 32 (2) ◽  
pp. 53-60 ◽  
Author(s):  
Edward Murray

While the world has changed dramatically in the last five decades or so, transportation has not been able to keep pace with the overall development. However, in order to ensure prosperity of a country or a state, it is imperative that the ability to move people and products must improve. This paper examines the status of transportation infrastructure and its funding in the State of Washington, USA and suggests some new approaches towards public-private partnership (PPP) in the area. In the process, the success and some of the challenges of PPP are also discussed. In the US, traditionally, people were not charged direct tax such as a toll for using the roads, the primary mode of financing transportation being gas tax. The new sources of revenue collection being developed include: Specific roadway pricing Mileage-based user fees Real-time variable rate roadway pricing. Traditionally, in the US, the public sector shouldered the main responsibility for managing transportation�acquire right-of-way (ROW), design, finance, operate, own, and maintain while the private sector was only allowed to build roads following all the regulation and permits introduced by the government. The reformed PPP model awards ‘design-build’ contracts on a competitive ‘best-value’ basis instead of the conventional ‘low-bid’ basis and thus turn over the design build responsibility to the private sector leaving with the government the financing and maintenance of the roads. The idea is to give road to everybody while allowing the private sector to earn some profit and the public sector to save some money. However, PPP could face a problem if: the traffic and revenue estimates are wrong traffic and revenue risks are taken by private sector but at a huge price construction costs are underestimated the people do not accept the proposition the PPP legislation is not favourable. For any infrastructure project such as transportation to succeed, what is most critical is a set of factors including feasibility, essentiality, reliable revenue forecasts, collateral, credibility, political stability, and transparency. Above all, the government has the responsibility to all its citizens while the private sector is accountable to its stockholders and business partners. What is therefore important is to see how the two parties meet their obligations while building a suitable transportation infrastructure.


2021 ◽  
Author(s):  
◽  
Renalia Iwan

<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>


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