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2. These definitions all seem to be based on the notion that PPPs: ‘fill a space between traditionally procured government projects and full privatisation’ (Grimsey and Lewis, 2005, cited in OECD, 2008: 9). OECD also notes that there may be public private interaction in the form of short-term management and outsourcing contracts, concession contracts and joint ventures between the public and private sectors. However, the OECD attempts to draw a line by stating that “the distinguishing feature that determines whether a project is defined as traditional public procurement or a PPP should be whether or not a sufficient amount of risk has been transferred” (OECD, 2008).
Figure 1. The spectrum of combinations of public and private participation, organised on the basis of risk
Source : (OECD, 2008: 11)
It could be added, however, that, in the case of education, it is always the government the one who holds the ultimate responsibility for the provision of public services, hence the assumption of “risk distribution” is questionable. 3. Traditional procurement means the government awards contracts to private providers for certain services, eg computer services. In the case of a concession the private operator pays the government for the right to operate the asset and usually depends on user charges for income (OECD, 2008: 13). In practice, however, it may be difficult to distinguish a PPP from a concession.
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