(PPP) Registration

Public Private Partnerships (PPP) - Introduction

In a public-private partnership (PPP), companies and government bodies or civil society organizations work together. The partnership may be solely financial (donations and sponsorship), but may also involve a more concrete collaboration. PPP is based on two main principles:

  • Both parties invest in the project. In a financial sense (manpower, materials budget) and in an expertise-related sense (knowledge, networks).
  • The parties contribute to a societal and often also commercial purpose.

PPP involves a contract between a public sector and a private party, in which a government service or private business venture is funded by both the parties and executed through a partnership of public authority and private sector companies. A public- private partnership covers all types of collaborations between the public and private sectors, where public sector delivers policies, infrastructure etc. Hence, Public Private Partnership means an arrangement between a government/ statutory entity/ government owned entity on one side and a private sector entity on the other. It is often done for the provision of public assets or public services, through investments being made and/or management being undertaken by the private sector entity, for a specified period of time. There is well defined allocation of risk between the private sector and the public entity. The private entity who is chosen on the basis of open competitive bidding, receives performance linked payments that conform (or are benchmarked) to specified and pre-determined performance standards, measurable by the public entity or its representative.

There are various types of public- private partnership
  • Public Ownership and operation
  • Quasi public agency
  • Operations assistance
  • Contract operations and maintenance
  • Contracts operations and financing
  • Design/ Build/ Operate
  • Lease and Operate
  • Joint Ownership
  • Private Ownership