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PPPs and water: getting the best public policy outcomes


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In early 2007 Deloitte released its global research study of the experience with public-private partnerships (PPPs) across different sectors of social and economic infrastructure, including water, wastewater and waste. Titled  Closing the infrastructure gap: the role of public-private partnerships , it provided a global overview of PPPs including how, why and when PPPs should be considered as a delivery model, which countries have greatest experience with infrastructure and services delivery via PPPs, which sectors of infrastructure have seen greatest deployment of PPPs, and the circumstances under which different types of PPP delivery models have been used and with what success.

The follow up, Closing the infrastructure gap: Part II – to be released in 2009 - specifically focuses on aiding the public sector deal with the strategic and operational issues involved with private sector involvement in the delivery of infrastructure projects.

Specific questions addressed include:

  • what are my choices in terms of the role of the private sector?
  • how do I decide what role the private sector should play?
  • what are the risks and considerations in selecting the role of the private sector?
  • what is being done in other jurisdictions?
  • what is the cost of involving the private sector?
  • what might a deal structure look like for incorporating the private sector?

The goal of the research is to provide a framework that helps public officials select the appropriate role or involvement for the private sector in infrastructure projects based on: risk qualification/ assessment, the costs associated with different delivery models, and the desirability of retaining control over the infrastructure.

Deloitte Head of Infrastructure & Project Finance, Roger Black, draws upon both pieces of research in his paper presented at the Australian Water Association’s annual conference in March 2009 – OZWater 09. Specifically he will apply the results of the research to the provision of new infrastructure and maintenance of existing infrastructure in the water, wastewater and waste sector in Australia.

To read in full download PPPs and water: getting the best public policy outcomes below.

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