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Implementing public-private partnerships in municipalities

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  • Moszoro, Marian

    ()
    (IESE Business School)

  • Krzyzanowska, Magdalena

    (Kozminski University)

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    Abstract

    Public-Private Partnerships (PPPs) realize three critical strategic issues for improving the quality of urban services: the enhancement of governmental financing capabilities, the improvement of public investment efficiency, and the harnessing of consumer-orientated management expertise. Based on a sample of 20 projects embarked upon by the city of Warsaw, we examine the process of project selection, planning, and prerequisites for satisfactory completion. The paper contributes to the literature on the PPP pre-implementation process and offers a perspective on the potential of PPPs in emerging economies. Key policy recommendations: 1) central headquarters for coordination of planning process; 2) clear project selection criteria; 3) involvement of independent consulting companies to legitimate the process under subsequent administrations; 4) ex ante risk allocation and ex post performance measurement procedures; 5) pre-determined termination conditions; 6) determination to start the process and learn by doing, and 7) knowledge transfer and retention mechanisms.

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    Bibliographic Info

    Paper provided by IESE Business School in its series IESE Research Papers with number D/908.

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    Length: 14 pages
    Date of creation: 09 Feb 2011
    Date of revision:
    Handle: RePEc:ebg:iesewp:d-0908

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    Postal: IESE Business School, Av Pearson 21, 08034 Barcelona, SPAIN
    Web page: http://www.iese.edu/
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    Related research

    Keywords: Public Services; Public-Private Partnerships; Urban Development; Central and Eastern Europe; Emerging Markets;

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    1. David M. Newbery, 2002. "Privatization, Restructuring, and Regulation of Network Utilities," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262640481, December.
    2. Dr Ronald W. McQuaid, 1994. "Partnerships And Urban Economic Development," Working Paper p13, Departement of Economics, Napier University.
    3. Rob Ball & David King, 2006. "The Private Finance Initiative In Local Government," Economic Affairs, Wiley Blackwell, vol. 26(1), pages 36-40, 03.
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