PPP Policy
Establishing a PPP unit, however, is not the only possible solution. Countries may prefer to build PPP expertise directly within its sector ministries. This may be an appropriate structure if the country is prioritising investments in only a few sectors, and has extensive project pipelines—and appropriate budgetary resources. For example, if the country is predominately pursuing PPPs in the roads sector, then it may choose to house its PPP expertise within the roads ministry. If governments aim to undertake PPPs in various sectors simultaneously, however, establishing a centralised PPP unit may be the most effective strategy for advancing the PPP programme and concentrating the expertise and lessons learned.
i.
What are the advantages of establishing a PPP unit?
Countries with limited PPP experience, but with significant PPP potential, should consider the establishment of a centralised PPP unit. In the early years of a PPP programme, it can be beneficial to concentrate best practices and lessons learned and institutional memory in one central location. The PPP unit may also play an important role in building support for the PPP programme, and capacity within sector ministries. It may promote the PPP programme to stakeholders within the government, among private sector investors, as well as to the public, Non-Governmental Organisations (NGOs), academia and civil society. Textbox 2.20 provides additional advantages associated with establishing a PPP unit.
Textbox 2.20: Advantages of a PPP Unit27
27 For more information on PPP Units, refer to “Public-Private Partnership Units: Lessons for their Design and Use in Infrastructure,” World Bank, 2007, accessible at: http://www.ppiaf.org/sites/ppiaf.org/files/publication/WB%20-%20PPP%20Units%202007.pdf
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