Guidelines for Public Private Partnership Request for Proposal

Abstract

Public Private Partnership (PPP) in infrastructure is essentially a contractual arrangement between a public entity and a private partner for building and operating projects with the objective of providing efficient services at affordable costs, thus maximising welfare. However, the success of PPP is dependent on a fair, transparent and competitive environment coupled with a sound policy and legal framework. Flaws in the framework can lead to unintended outcomes: a cautious approach coupled with due diligence is, therefore, essential while formulating the rules of engagement. The selection of the private partner holds the key to the success of a PPP project since the cost and quality of service to users over a long period would depend on the performance of the private partner.