ppp s are they delivering glenn stone grant thornton llp march 22 2010 n.
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PPP's – are they delivering? Glenn Stone Grant Thornton LLP March 22, 2010

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PPP's – are they delivering? Glenn Stone Grant Thornton LLP March 22, 2010. Criteria for a successful PPP deal. Meets public sector expectations Meets private sector expectations Meets the end-user's expectations. Public sector expectations. Fast delivery Value for money / efficiency

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Presentation Transcript
criteria for a successful ppp deal
Criteria for a successful PPP deal
  • Meets public sector expectations
  • Meets private sector expectations
  • Meets the end-user's expectations
public sector expectations
Public sector expectations
  • Fast delivery
  • Value for money / efficiency
  • Meeting output specifications
  • Certainty and continuity
  • Quality
private sector expectations
Private sector expectations
  • Certainty and confidence
  • No surprises
  • Profitability
  • Genuine partnership
  • Pipeline of projects
public user expectations
Public / user expectations
  • Visible improvement on what existed
  • "Reasonableness" in charging (if any)
  • Value for money
are they delivering
Are they delivering?
  • Large majority of international public sector believes they are:
    • UK National Audit Office
    • Australia
are they delivering1
Are they delivering?

Private sector

  • Does good private sector competition exist?
  • Will successful bidders compete for next project?

User perspective

  • What is the user feedback?
  • Are user volumes as predicted?
where they are not delivering why is this
Where they are not delivering:Why is this?
  • Too ambitious
  • No viable business case
  • Public sector unprepared
  • Competition not seen as transparent
  • Weak private sector bidders
  • Lack of pipeline
  • Public sector entering into bad deals
  • Good deals can turn into bad deals

(eg. Refinancing)

conclusion
Conclusion

Good quality / well-prepared deals have a high probability of success. However, governments must put their best resources into these projects at an early stage and support them with experienced advisers.