The document discusses public-private partnerships (PPPs) and their role in infrastructure development and service delivery. It notes that governments face financial constraints in providing basic services and that PPPs can help attract private sector financing and expertise to address infrastructure shortcomings. Key benefits of PPPs include more efficient delivery of projects, optimal risk transfer, leveraging of private sector skills and resources, and improved accountability. The document provides several examples of successful PPP projects in different countries and sectors.

2. • Governments have a social and political responsibility of providing
basic services to its nation and citizens.
• Financial constraints affect this responsibility.
• City Councils are mandated to look into infrastructure development
and service deliver within their jurisdiction.
• There is a dearth of infrastructure and systems failure in essential
service delivery.

3. • Our cities are riddled with
• Poor road infrastructure.
• Rugged pavement or no pavements, no street lights.
• Ineffective emergency services.
• Poor waste collection or disposal management.
• Lack of public facilities like amusement parks, car parks,
• Lack of office and lodging space etc.

4. • budget deficits and the inefficient management of large infrastructure
projects and delivery of services within the public sector are endemic.
• the resources available to governments are routinely squandered
without accountability
• cost of projects to attend to the problems and the traditional
procurement method of governments funding infrastructure projects
through fiscal budgets is increasingly considered unviable.

6. • There is a rise of PPPs in developing economies as a means of crowding
in investment and expertise from the private sector
• Urbanization and fiscal decentralization have shifted much of the
responsibility for infrastructure and utility investment to local
governments
• Conceptually, PPPs are an instrument to respond to market failures while
minimizing public sector short-comings as a service provider

7. • Countries most successful in attracting finance from the private sector
have established prioritized programs of investment opportunities
• political support, a proper legal and regulatory structure, a procurement
framework that can be understood by both procurers and bidders, and a
credible project timetable are an essential part of successful PPP.

8. • An agreement between two or more entities to go into business or
invest.
• An activity undertaken by government and business to provide public
services that either entity finds impossible or less economical to perform
on its own.
• A PPP arrange a trade-off between the participants in order to pool
resources and certain abilities in a development project that the partners
could not have carried out alone.
• “a contract in which a Contracting Authority partners with a Partner to
build, expand, improve, or develop infrastructure or service in which the
Contracting Authority and private sector partner contribute one or more of
know-how, financial support, facilities, logistical support, operational
management, investment or other input required for the successful
deployment of a product or service, and for which the private sector
partner is compensated in accordance with a pre-agreed plan, typically in
relation to the risk assumed and the value of the result to be achieved” –
PPA

9. • To provide for partnerships between the public sector and private sector for the
supply of infrastructure and delivery of services as means of contributing towards
sustaining economic growth, social development and infrastructure
development;
• To provide for the development and implementation of public private partnership
arrangements for the delivery of infrastructure and services;
• To provide for private sector participation in state-owned enterprises,
commercial entities and commercial assets.

10. PPPAs aim to
• Deliver public infrastructure and therefore access to services ;
• Give better value for procurement of infrastructure and public
expenditure by the Government through efficient and optimal risk
identification and transfer to the private sector;
• leverage on private sector financing, management, technical know-how
and technological innovation for delivery of efficient and affordable
infrastructure and services;
• to encourage participation by resource owners in public private
partnerships and provide assurance for private interests in those
partnerships;

11. • to encourage competitive and efficient markets for the provision of
infrastructure and services.
• minimize the fiscal burden of providing infrastructure development and
service delivery through the public treasury and thereby allowing
resources to be freed for social services; and
• to promote private sector contribution towards the attainment of
positive social indicators associated with optimal access to infrastructure
and services.

12. • Speedy, efficient and cost effective delivery of projects;
• Value for money for the taxpayer through optimal risk transfer and risk
management;
• Efficiencies from integrating design and construction of public
infrastructure with financing, operation and maintenance/upgrading

13. • Creation of added value through synergies between public authorities
and private sector companies, in particular, through the integration and
cross transfer of public and private sector skills, knowledge and expertise
• Alleviation of capacity constraints and bottlenecks in the economy
through higher productivity of labour and capital resources in the
delivery of projects
• Competition and greater construction capacity (including the
participation of overseas firms, especially in joint ventures and
partnering arrangements)

14. • Accountability for the provision and delivery of quality public services
through an performance incentive management/regulatory regime
• Innovation and diversity in the provision of public service;
• Effective utilisation of state assets to the benefit of all users of public
services

15. • “massive downtown urban renewal projects” jointly planned and
constructed by the City of Baltimore and the business community.
• a large-scale urban redevelopment project in central Baltimore’s
downtown business district of the late 50s and 60s
• "Committee for Downtown" promoted a master plan for arresting the
commercial decline of central Baltimore.

19. • one of the largest sports facilities infrastructure Public-Private-
Partnership (PPP) project in the world.
• PPP between the Singapore Sports Council and Sports Hub Pte Ltd., a
consortium of private sector partners.
• The consortium entered into a 25-year contract with the Singapore
Sports Council to design, build, finance and operate the Sports Hub.

23. • a Public Private Partnership creature is owned by Gauteng Provincial Government,
with Bombela Concession Company (Bombela) holding the 20-year Concession to design,
build, part-finance and operate the system.
• Bombela manages the client (Gauteng Provincial Government) interfaces and provides an
integrated solutions approach for this PPP project, led by an experienced executive team,
promising passengers a state-of-the- art transport system
• Three main drivers for the Gautrain Rapid Rail Link:
• stimulation socio economic development through job creation and the transfer of
skills, as well as the development of women and youth;
• special development project – an urban sprawl management project.
• a transport project and the project was designed to develop the economy and help
manage urban development.”

24. • Another example of a successful road project PPP with a 30
year concession period.
• Involved the rehabilitation including construction of new
road of 198km road
• Cost R3 billion ($324 million) by 1996 estimates

25. • The PPPA is in place.
• The PPP Commission is in place
• The Pensions Act is in place (Pension Funds)
• There has been some decentralisation
• The Private Sector is prospering and looking for Challenges
• Why are we slumbering? Slumbering in degenerated cities?
• As Economists what’s our role to trigger regeneration of our cities?

26. • An opportunity to turn calamities to opportunities
• An opportunity to create win win and win situations

27. …