Public-Private Partnerships

Joining forces to reduce risk and accelerate project completion

Public-private partnerships (PPPs) are defined as projects that use private sector financing for the construction or upgrades of public sector facilities. PPPs transfer risks such as operation, maintenance, design and construction from taxpayers to the private sector, enabling project owners to bypass investment roadblocks that often impact public sector financing. PPPs offer numerous benefits, including faster project completion and greater return on investment when compared to traditional methods. Although used extensively elsewhere,  PPP is relatively new in the USA.  However, momentum in the USA is growing and we are actively exploring ways to work with public sector partners to provide the methods needed to achieve their current project goals.

The advantages of Public-Private Partnerships (PPPs) include the following:

  • Faster, more efficient, and more cost-effective delivery of projects
  • Transfer of economic risk from the taxpayer to the private sector partner
  • Economic efficiency resulting from the integration of design and construction of public infrastructure with the financing, operation and maintenance/upgrading of that infrastructure
  • Creation of added value through synergies between public authorities and private sector companies, in particular, through the integration and cross transfer of public and private sector skills, knowledge and expertise
  • Alleviation of capacity constraints and bottlenecks in the economy through higher productivity of labor and capital resources in the delivery of projects
  • Accountability for the provision and delivery of quality public services through a performance incentive management/regulatory regime
  • Innovation and diversity in the provision of public services
  • Effective utilization of public assets to the benefit of all users of public services