Public-Private-Partnership (PPP) and Economic Development : Theory and Recent Experiences

Public-private-partnership (PPP) is a mode of providing public infrastructure and services by the government in partnership with the private sector. It is a long-term arrangement between government and private sector entities for the provision of public utilities and services. In view of the investments made by private sector entities, there are risk-sharing and performance-linked payments made by the government to the private entities. PPP concessions can either be sustained by user charges collected by the concessionaire or through annuity payments made by the government. In case annuity payments are made, they are typically borne by the government out of the annual budgetary allocations spread over time and are essentially in the nature of deferred budgetary payments. This book explains and examines comprehensively the role, design, structure, and execution of PPP projects in the course of economic development of a country. It addresses a range of matters associated with PPPs from policy considerations to implementation issues. The book is spread over 15 chapters which have been organized into 2 parts. Part I (chapters 1 to 7) is devoted to theoretical issues involved in using PPP as a tool of project financing and hence economic development. Part II (chapters 8 to 15) explains and examines the role of PPP in various sectors of the Indian economy such as energy sector, transport sector, telecommunications and information technology (IT), urban infrastructure and services, and healthcare services. An appendix, bibliography and index also form part of the book. The book is meant for a cross-section of readers interested in understanding the design and execution of PPP strategies and projects in the context of development finance.