ppp in local authorities 2 june 2003 trends and predicted forecasts
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PPP in Local Authorities – 2 June 2003 Trends and Predicted Forecasts. David Locke. Presentation Outline. 4ps Local authority PPP in context Emerging issues Opportunities for local government Challenges and obstacles Lessons learned. 4ps Products. Skills Development. Project Support.

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Presentation Transcript
presentation outline
Presentation Outline
  • 4ps
  • Local authority PPP in context
  • Emerging issues
  • Opportunities for local government
  • Challenges and obstacles
  • Lessons learned
4ps products
4ps Products

Skills

Development

Project

Support

4ps

Gateway

Reviews

Wider

Partnerships

local government ppp in context
Local Government PPP in Context

Planned

Total £12.3 billion

Currently in Procurement

Total £17. 5 billion

0.3

0.8

2

4

2.2

3

2.2

12

3.3

4

Defence

Hospitals

Local Government

Schools

Transport

slide5
£12 billion available until 2006
  • 219 projects approved for funding
  • Nearly 120 projects signed
  • Some 85 projects operational
  • Some use of own resources
  • Wide range of projects – accommodation, infrastructure, ICT
other local authority partnerships
Other Local Authority Partnerships
  • Partnerships for ICT services
  • Partnering arrangements
  • Development partnerships
  • Joint venture companies
  • Joint boards
role for pfi and partnerships
Role for PFI and Partnerships
  • New options for service delivery
  • Opportunities for step change in services
  • Encourages focus on outcomes and outputs
  • Integration of design, build and operations
  • Additional source of funding
  • Best value
emerging issues
Emerging Issues
  • Value for money is proven in many sectors
  • Deal flow developing through bidding rounds
  • Project values are increasing
  • Bidders may avoid difficult sectors
  • Innovation is happening…but slowly
  • Projects are taking too long to deliver
  • Deficiencies in estimation of project costs
  • New joint venture approaches
challenges and obstacles
Challenges and Obstacles
  • Procurement capacity in local government
  • Opportunities for sharing authority resources
  • Costing and optimism bias
  • Standardisation and project documentation
  • Design and sustainability
  • Revenue support arrangements
  • Central government arrangements
lessons
Lessons
  • Importance of sound ‘business case’
  • Involve private sector at an early stage
  • Ensure that there is capacity to deliver
  • Use experience from operational project directors
  • Prepare - understand the key stages in the process
  • Use advice sensibly
  • Be realistic – costing, timetabling, bidder requirements
slide11
David Locke

Telephone - 020 7808 1479

Fax - 020 7808 1499

E-mail - [email protected]

Artillery House

Artillery Row

Westminster

London

SW1P 1RT

www.4ps.gov.uk

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